What Caused Gold to Scream Higher Sunday Night

And then back off

Good evening. This was one of the hardest pieces to write as part history and part blow-by-blow. Frankly, the content is better than the prose on this one folks .

The audio part at bottom will give readers some insight into why we think a small bank or large fund may have gotten hurt. - VBL

---

1. Background

2. The Antecedent Causes of Sunday Night

   1. China Encouraged its Citizens to Buy Gold

   2. BRICS Demand a More International Yuan

3. Problems Start to Emerge

   1. Shanghai Starts to Trade at Significant Premium to Comex

   2. The China Delivery Crisis in August and September- Mainland China

   3. The Comex Delivery to China in October- sourced

4. Sunday Night Catalysts

   1. Wednesday- November 29th China- Bai

   2. Thursday- November 30th USA- American Money arrives

   3. Friday December 1st- Unfinished buying

5. Ground Zero- Sunday Night Dec 3rd

6. Aftermath- BiS involvement

---

1- Background

Summary: What happened last week was predictable (see How it Could Manifest if it Actually Happened) as a consequence of dedollarization. ¹

Over the last year or so several interrelated forces had been converging on a moment like the Gold market just experienced this past Sunday. Chief among them was the BRICS pursuit of an alternative to the USD as trusted reserve currency as well as replacing the dollar’s safe haven parent, UST Bonds, as primary global reserve asset ( GRA).