Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold & Gold Stock Analysis -- Ignore unavailable to you. Want to Upgrade?

To: The Vet who wrote (4657)	12/12/2006 11:00:33 PM
From: aknahow	Read Replies (1) \| Respond to of 29622

Thanks, interesting observation. I was just messing around with my post. So much data is provided by GLD that someone ought to be able to come with a more exact means of predicting deliveries and or withdrawals of physical. One would think that one would be able to spot 6 tons of purchases, but we have no access to actual spot market volume data. Working with such small margins the arbitrage of the participants must be risk free. They are not shorting shares , hoping to buy physical at a lower cost to make a profit by delivering to get the covering shares. I imagine that some computer program triggers both sides of the transactions at the same time. Perhaps I am just rambling but, if this is true, then your calling attention to the volume of shares traded is important because the shares traded at certain discreet periods may = tons of gold to be delivered??? Volume of shares traded when deliveries are made could be "different" than on days where no physical deliveries are to be made? Different in amount and time of day? I wish I had the skills to do a statistical analysis of volume on days of physical delivery vs no delivery days. At any rate volume of GLD shares traded, and time of trades appears to be a key to a better understanding of this situation. Again thanks, because frankly, in spite of my interest in GLD I never once had even looked at or cared about the share volume. I had looked at SLV volume and the large trades reported at 2 a.m as having been made at or after the close.

To: The Vet who wrote (4657)	12/13/2006 5:00:33 PM
From: aknahow	Read Replies (1) \| Respond to of 29622

One more time and this is the last time, I will thank you. There was a delivery of physical today into the GLD ETF. 12 Dec 2006 14,344,012.08 446.15 9,006,969,192.60 13 Dec 2006 14,433,278.50 448.92 9,005,197,317.63 I know you were not saying that one could or should predict deliveries of physical but your post got me to focus on looking at volume and on the first day I did so it looks like one can do something with the data. Sure only time will tell but its' a start. Now if I can just figure out how to make money out of being able to tell if there is going to be a delivery or not I will be really happy.<g>