Flash crash in gold spot at Kitco

[jcismylord]

Anyone knows what the heck is wrong with Kitco's gold spot chart today?

Seems to have crashed from 1680 to 1580 in a matter of seconds, followed by immediate recovery.

What the heck.

Looking at https://goldprice.org, cnbc, bloomberg, yahoo finance, marketwatch - they all have a different number for the gold price.

The spot reported is from 1,598.57 at goldprice to 1680 at other places. The charts also don't look the same.

Which one to trust?

[osoab]

Paper algos.

[jcismylord]

Paper algos.

a freaking hundred bucks in swings !
wow.
unbelievable.
something is getting unhinged here.
someone big is playing games here.

[jcismylord]

Looks like a second shameless huge take down just happened. Crazy day.

[jcismylord]

aha - turns out - there is a "confusion"

https://www.kitco.com/news/2020-03-24/Gold-futures-prices-soar-over-100-on-London-spot-confusion.html

"quotes have become unreliable or have been pulled as U.K. market-makers shut down due to the Covid-19 outbreak and the U.K. government ordering the country on lock-down. Apparently, big gold traders and commercials in Europe who normally base their trading decisions on the London spot price rushed to buy Comex gold futures when they could not get London what they felt were accurate London spot gold prices."

seems to be a brake in the system

[jcismylord]

the spot-price break-down / confusion continues -
KITCO reports - SPOT: 1589.40
APMEX reports spot at $1675,
CNBC - $1,666
etc, e

[jcismylord]

this article - https://www.zerohedge.com/commodities/gold-market-breaking-down-gold-spreads-explode-lbma-warns-liquidity-problems
explains well what happened

look at this chart - https://www.zerohedge.com/s3/files/inline-images/2020-03-24.jpg
it is fascinating
the decoupling has indeed happened

"I’ve never seen that before," said one gold trader who has been in the market for 30-plus years. Some contacts reached by Kitco suggested the discrepancy is an evolving story that is still unfolding, with traders trying to figure out what’s happening.

the London Bullion Market Association, the world's most important authority for physical gold and its transfers, issued this stunning statement

"The London gold market continues to be open for business. There has, however, been some impact on liquidity arising from price volatility in Comex 100-oz [ounce] futures contracts. LBMA has offered its support to CME Group to facilitate physical delivery in New York and is working closely with Comex and other key stakeholders to ensure the efficient running of the global gold market."