Once again Ted Butler puts an interesting spin on what yanked this weeks precious metals trading so hard to the down side - $2 off silver and $50 off gold.

Could this have been a set up by bank shorts in the wake of the historic CFTC position limits meeting on 14th January??

A link to the webcast of the meeting is provided below; be warned its two and a half hours long and rather heavy going. The questions are a bit more interesting, when they start talking about precious metals around 50 minutes in...

http://www.capitolconnection.net/capcon/cftc/011410/cftc-archive-wmv.htm

In a nutshell, this CFT met on the 14th January to discuss the introduction of position limits (mainly affecting short positions) in the Energy markets on the COMEX , the outcome of which would also inevitably impact on the precious metals markets. At the moment the big banks are not limited in the size of the positions they can take, so with unlimited funds available to them, they can effectively swamp the markets with speculative shorts. Thats the theory anyway.

Do you buy the possibility that JP Morgan and a few other big banks actively work to suppress PM prices on the COMEX?? Ted Butler certainly does and according to him and many of his readers, President Obama's speech last week was a clear call on big bank manipulation of the precious metals markets on the COMEX.
According to Ted, if you have to look for a reason as to why the precious metals we down sharply on the week, "you look to the Comex and you look to JP Morgan". Have a listen to the interview linked below to hear his rationale.

Ted Butler is an internationally renowned Precious Metals analysts and has been researching the precious metals markets for over 30 years. His Butlerresearch LLc news letter has been going for many years in the USA.

Todays interview with Ted Butler on King World News is less than 10 minutes. Well worth a listen.

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