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Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?

To: koan who wrote (138594)	12/8/2008 12:33:59 PM
From: Amark$p	Read Replies (1) \| Respond to of 312909

Not enough COMEX gold being delivered thus far. The Dec open interest needs to rise above 6,000+ contracts and was only 1,557 contracts as of Friday. Volume today is 540 contracts, but this may or may not increase open interest. nymex.com The 41% reduction in COMEX registered gold thus far is significant, but not significant enough. COMEX paper gold appears to live another day unless Dec open interest rises to over 6,000+ contracts, and these investors take delivery. December is typically the largest delivery month of the year as investors/bullion banks settle up for the year. Assuming no dramatic rise in Dec open interest, we will have to wait and see how deliveries against the Feb gold contracts proceed. We will also have to see how much eligible gold moves to registered category in the next few days. In short, deliveries are a nice step in the right direction this month, but not enough for COMEX to face default. That's my assessment right now...