Interesting article on COMEX gold and silver sales.

Mesquite

here

derryb

VERY intertesting, thanks

pmcollectour

Gold and silver COMEX contract prices went into backwardation on July 23. In normal commodity markets, the prices of future month contracts are higher than the current or “spot” month, typically by the amount of the interest rate and transaction costs. The standard condition is called contango. When the spot month price is higher than one or more future months, the market is said to be in backwardation. If spot month prices remain higher than the near future months for more than two or three days, that is a sign of a physical supply squeeze, which often foretells a near term rise in the price.

cohodk

<< <i>Gold and silver COMEX contract prices went into backwardation on July 23. In normal commodity markets, the prices of future month contracts are higher than the current or “spot” month, typically by the amount of the interest rate and transaction costs. The standard condition is called contango. When the spot month price is higher than one or more future months, the market is said to be in backwardation. If spot month prices remain higher than the near future months for more than two or three days, that is a sign of a physical supply squeeze, which often foretells a near term rise in the price. >>



I've heard this backwardation story a dozen times now. Please tell me where you see backwardation.

gold futures