The inexorable rise in the price of gold, despite the concerted effort among the BIS, western Central Banks, CME and LBMA using paper derivatives to keep a lid on the price gold reflects the likelihood that a short-squeeze in physical gold bullion is percolating.
Former copper futures trader and Chairman of GATA, Bill Murphy, calls this a “commercial signal failure,” which occurs when the demand for the fulfillment of the physical commodity underlying a paper derivative overwhelms the ability of the entities short the contracts to fulfill the terms of the contract. Soon this slow motion short squeeze will transition into “fast” time.
Chris Marcus and I discuss the likelihood of this development on the Comex:
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Boy oh Boy would I love to get Dave Kranzler’s thoughts on the MacroVoices interview with Jeff Christian last week! Erik has been a key source for many people, and they both tear down us “conspiracy believers” on the manipulation, with some futures market trading “facts” that I don’t fully understand..
Any chance you could listen to it and decipher and analyze? Thanks Dave..
Huh? I don’t waste precious brain cells listening to anything Jeffrey Christian has to say.
That should be enough analysis.
Some of this behavior was covered in a previous article by Dave