Full story here. Metals aren’t necessarily my big interest, but this is worth noting. When there are many people at one end of the pool (‘cos it’s such a good idea), look for the sharks to come.
“The gold & silver futures markets are each hurtling down a dangerous path toward possible default. The artificial paper price has created enormous physical demand, and hampered supply production, if not delivery. The gap between the corrupted paper price and the legitimate physical price in actual trading markets has grown sharply, enough to force a breakdown like in any distorted market. When December contracts in gold & silver are demanded to be satisfied via delivery of the metal, we could easily see the COMEX fail in delivery. A default is highly likely. (more…)