A MUST read.. (I had to re read multiple times to grasp the meaning… still might need more to understand properly the full implications…)

Anyhow… here are some notable extracts from https://goldstandardinstitute.net/classroom/when-gold-backwardation-becomes-permanent/

“No amount of price change will bring back trust in paper currencies once the gold owners have lost confidence .  Thus gold backwardation will not only recur, but at some point, it will not leave its backwardated state.”

“Backwardation should not be able to happen at all as gold is so abundant.  The fact that it has happened and keeps happening means that it is inevitable that, at some point, backwardation will become permanent.”

Now look at the historical chart gold.

Backwardation starting in late 90’s… and clusters more and more apparent. See these as “kinks” in the trust physical gold owners have of the current fiat currency. The idea is… the bid for paper fiat (denominated in gold) will be removed… essentially making gold’s value expressed in fiat as INFINITE

I think I’m gonna get me some physical before it’s too late…

Edit: adding for silver… same thing .. more and more clusters…

Quote:

“In all other commodities (except silver), inventories represent a few months of production.  Other commodities can even have “gluts”, which usually lead to a price collapse.  As an aside, this fact makes gold good for money.  The price of gold does not decline no matter how much of the stuff is produced.  Production will certainly not lead to a “glut” in the gold market pulling prices downward.”