gene arensberg writes about the rigged gold and silver markets. as usual, no matter how badly the gold market has been manipulated, the silver market is even worse. to me the most amazing part of this farce is that every position and every trade is documented, and there is a paper trail that can be investigated later. it's not as though law enforcement will need to call in a csi to reconstruct what happened. this is criminal behavior out in the open, the evidence becomes more clear with each passing day, yet the banks continue to manipulate the markets as though there will never be a day of reckoning. i can only hope the obama administration sweeps out every last one of the regulators at the sec and cftc.

As shocking and infuriating as that potentially illegal positioning in gold futures appears, it pales in comparison to the banks’ positioning in silver on the COMEX.

Again, as of November 4, just two U.S. banks held 22,684 contracts net short in silver. All traders classed as commercial by the CFTC held a collective net short position of 27,908 contracts with silver then at $10.20 the ounce. So, just two big U.S. banks held a gargantuan 81.28% of all the collective commercial net short positioning on the COMEX, division of NYMEX.

It is not even fair to call the two U.S. banks position a “net short” position. The banks were so certain that they could drive the futures price of silver lower on November 4, that they did not hold a single long contract for silver then. No wonder silver has since tested as low as the $8.40s on the cash market.

No, that’s not fair at all, but it apparently is fine with today’s regulators at the Commodities Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC).

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