One of the reasons trading the gold and silver markets can be so tricky is because there is what happens with physical gold and silver, and then there’s the paper world derivative market.
Which creates a fascinating dynamic. In that while the price action has remained divorced from the underlying supply and demand trends in recent years, it does still factor in. As the low price has reduced the supply, especially in the silver market, where mines are getting shut down and new production is not going online.
And while paper trading can distort the price over the short-term, or perhaps sometimes even for the medium to long-term, physical metal is being taken off the market. With physical delivery of metal remaining one of the greatest threats to the current fractional reserve precious metals pricing system.
So I was fortunate to have James Anderson of SD Bullion join me on the show to reveal what he’s been seeing, in terms of if people are actually buying physical gold and silver yet.
We also talked about a recent interesting conversation he had in regards to whether China and Russia are aware of the manipulation that’s been taking place in the paper market, and how to factor in all of these variables into your planning and analysis.
So click to watch the interview now!
October 23, 2019