Honk Kong Mercantile Exchange begins trading silver futures tomorrow

derryb · July 20, 2011 12:59PM

Hong Kong Mercantile Exchange will start trading dollar denominated silver futures contracts tomorrow. Hope this gives a big wedgie to the COMEX manipulators.

PerryHall · July 20, 2011 5:40PM

<< Hong Kong Mercantile Exchange will start trading dollar denominated silver futures contracts tomorrow. Hope this gives a big wedgie to the COMEX manipulators.

>>

Will this make the price of silver more volatile, less volatile, or no effect on volatility?

derryb · July 20, 2011 10:28PM

With a big demand for PMs coming from Asian citizens we should see prices there driven by demand and demand alone. Artificially low prices of the CRIMEX, I mean COMEX, should be threatened.

As we know, silver prices tend to trend gold prices:

Gold “Fever” in Asia and Central Bank Demand Could Cause an “Earthquake” in the Gold Market

BigRick · July 20, 2011 10:55PM

1000 ounce futures but no options.

gsa1fan · July 21, 2011 12:07AM

So can Americans buy these? Where to go to get info.? Link?

CaptHenway · July 21, 2011 1:00AM

Honk if you love geese!

BigRick · July 21, 2011 1:48AM

"So can Americans buy these? Where to go to get info.? Link?"

Yes (if your broker supports it) & LINK

CaptHenway · July 21, 2011 2:06AM

An interesting commentary:

Link

ksammut · July 21, 2011 2:27AM

<< An interesting commentary:

Link >>

Thanks Captain for sharing that link. Let's hope that he is correct in his thoughts.

57loaded · July 21, 2011 2:30AM

this was done with gold in ~ May 18th of this year.

gsa1fan · July 21, 2011 2:36AM

Well Fidelity is NOT going to let me buy any

gsa1fan · July 21, 2011 2:39AM

So should we see some difference in silver price around 5pm today?

BigE · July 21, 2011 3:08AM

What will happen if people sell their comex contracts for the Hong Kong contracts, how will this affect physical spot prices here?--------------BigE

Spooly · July 21, 2011 4:34AM

I just signed up for "daily market data" to be e-mailed to me at the close everyday!

Daily market data

BigE · July 21, 2011 4:46AM

Here is another link:

SILVER FUTURES

EagleEye · July 21, 2011 7:51AM

Did the big $10 Billion silver dump have something to do with this?

Spooly · July 21, 2011 8:45AM

Is Kitco going to use current HKME pricing on its website?

secondrepublic · July 21, 2011 8:49AM

<< Honk if you love geese! >>

CaptHenway · July 21, 2011 1:04PM

So what happened over there today?

CaptHenway · July 21, 2011 1:05PM

<< 

<< Honk if you love geese! >>

>>

Glad somebody finally got it........

Spooly · July 21, 2011 1:14PM

HKME....... here the gold report. Low volume...... is an understatement!

Sorry.... it lost it's format!

Spooly · July 24, 2011 12:11PM

It will be really hard to build a large short postion on the HKME.

Here are the rules:

Spot Month Position Limit: 3,000 contracts (gross long or short); the spot month position limit shall be
effective from the close of the first business day of the contract month.

Reportable Position: 250 contracts (gross long or short) for each contract month.

I see Morgan Stanley is both a "Clear Member" and a "Broker Member".

roadrunner · July 24, 2011 12:22PM

It will be really hard to build a large short postion on the HKME.

Couldn't a large bank have multiple other entities carry short positions for them at the limit? Since JPM has claimed to be out of the massive silver shorting business on the
Comex they have probably gotten Morgan Stanley, GS, and others to pick up the load. And does this limit apply to the each individual client of the commerical entity or the
net position of all their clients?

roadrunner

Spooly · July 25, 2011 10:31AM

RR, those are great questions. I will be watching the HKME very closely.

I not sure the HKME is a "game changer" or just another way to manipulate the market.

cladking · July 26, 2011 3:47AM

<< 

<< Hong Kong Mercantile Exchange will start trading dollar denominated silver futures contracts tomorrow. Hope this gives a big wedgie to the COMEX manipulators.

>>

Will this make the price of silver more volatile, less volatile, or no effect on volatility? >>

It will stop the growing disconnect between paper and physical markets dead in its tracks
unless the bankers can manipulate this exchange as well. Normally the paper market sells
lower than physical so on average will mean a somewhat higher price for silver. This effect
will be nominal however.

The more important and greater effect is that it will become far more difficult for the bank-
sters and others using shenanigans to stop rallies. Tricks with paper have no effect on
the demand or supply of actual silver.

It seems likely that this will become an important part of the price of silver and, to a lesser
extent, the price of gold.

In short, look for at least moderate levels of new buying and no games to thwart price
changes. This will not hurt bulls in bear markets but we may be eating bear for lunch in
bull markets.

derryb · July 27, 2011 11:44PM

Nathan Rothschild along with the People’s Bank of China created the privately owned Hong Kong Mercantile Exchange. According to MarketsWiki the HKMEx was founded by En+ Group. On the face of it, it looks like a Russian company is partnering with China. When you look at the board of En+ Group you see Nathan Rothschild is at the genesis of this new market.

cladking · July 28, 2011 2:26AM

I stand corrected.

It probably can't be good for bulls or bears if the Rothchilds are involved. At least it will be good for the Rothschilds and that's all that really counts.

Honk Kong Mercantile Exchange begins trading silver futures tomorrow

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