By now everyone has a prediction about where the S&P 500 Index (SPX) is going to be heading in the future. Most of the sell side and their ilk are all rolling out the green bullish carpet and predicting that a major bull run is right around the corner.
The recent drop in gold prices is a confirmation, or a revelation, to investors of the battle between the physical and paper gold markets. Here, Brien Lundin predicts the timing of a handoff from Asian physical demand to Western speculative demand.
Recent trading in silver and gold has shown the inverse of patterns consistent with a speculative frenzy. Instead of retail investors buying into a rising market, steady and massive accumulation has been noted on dips.
The world's biggest gold exchange traded fund SPDR Gold Trust could lose up to a further four million ounces (almost 125 tonnes) to add to the nearly 300 tonnes it has lost through redemptions since the start of the year.