The change in precious metals and the overall market sentiment can be tapped by tracking the “Commitment of Traders” report released by the CFTC (U.S. Commodity Futures Trading Commission).
According to the figures as of November 15, the non-commercial futures contracts of COMEX gold futures, traded by large speculators and hedge funds, had a net position of 177,660 contracts. It was was a weekly decline of -39,578 contracts from the previous week, which had a total of 217,238 net contracts. The gold speculative position fell under the 200,000 net bullish commitment level for the first time in three weeks.
Commercial traders’ position, categorized by the CFTC as “hedgers,” had a net position of -199,966 contracts last week. It’s a weekly change of 45,620 contracts from the total net position of -245,586 contracts reported the previous week.
GLD holdings fell
The holdings of the world’s largest gold-backed ETF, the SPDR Gold Shares (GLD), fell by 5.6 tons on November 17. It’s the lowest mark since June. Overall, the holdings fell by nearly 30 tons since the US election. GLD is known to closely track the price of gold.
The iShares Silver Trust (SLV) follows the movement in silver. The mining stocks that also suffered over the past month as the fund holdings include Agnico-Eagle Mines (AEM), Yamana Gold (AUY), Harmony Gold (HMY), and Royal Gold (RGLD).