2013-08-22 — bloomberg.com
The rout in gold that wiped out $56 billion of value this year is spurring consumer demand in China and India, the biggest buyers, and leading JPMorgan Chase & Co. and Bank of America Corp. to say prices are bottoming.
Hedge funds and other large speculators reduced bearish bets by 17 percent last week, U.S. Commodity Futures Trading Commission data show. The 14 most widely held options confer the right to buy gold at prices higher than today.
Isn't this game easy and fun? First you put out coordinated "sell" calls, then you dump some of the stuff on the market manipulatively (and uneconomically -- unless there's a "bigger strategy"), then you ignore what's going on in the physical market for 5 months and what it implies for demand, then you suddenly become "aware" of it, then you reverse the bearish calls -- but before that, you're already positioned long!
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