The Chicago Mercantile Exchange recently suspended two traders from the United Arab Emirates, Heet Khara and Nasim Salim, for manipulating the price of gold and silver. The two traders utilized a technique called “layering.”
Last week we wrote that the precious metals complex had not broken out yet and had more work to do before it could attempt a true breakout. The metals had some more upside and so did the shares. However, the poor performance of the shares this past week could warn of a larger reversal.
In an attempt to take early advantage of the proposed gold monetization scheme, Muthoot Exim-the precious metals arm of Muthoot Fincorp, has decided to set up gold recycling centers across the country.