Gold Markets Again Haunted By Signs Of Paper Versus Physical Dislocation

Comex was just rescued with gold from JP Morgan...

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Silver Doctors Editor’s Note: Today’s article references the most recent disconnect in the “markets” that began in late March, which we began covering here:

Have you been following the various disconnects between the paper and physical markets, especially in silver where the paper price has plunged while the cost for one ounce of physical silver has soared?

Catch-up on the recent paper versus physical market disconnect news here.

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by Chris Powell of the Gold Anti-Trust Action Committee (GATA)

Comex was just rescued with gold from JPMorgan.

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By Justina Vasquez and Elena Mazneva
Bloomberg News
Tuesday, April 7, 2020

Gold prices that usually move in lockstep are diverging again, reviving fears of impending turmoil just a couple of weeks after the last bout of panic.

An ounce of bullion sold in New York was as much as $50 more expensive than in London on Tuesday, compared with just a few dollars in normal times. The price spread is seen as a measure of the cost to swap futures contracts into gold in its physical form.

A similar discrepancy occurred about two weeks ago, as the coronavirus crisis disrupted supply chains and caused flight cancellations, leading to worries over a gold-bar shortage in New York just before April futures contracts became deliverable.

In the end, banks including JPMorgan Chase & Co. made more gold available and exchange inventories swelled to levels that were more than enough to cover any demands for delivery.

The resumption in price divergence shows, however, that investors may be still worried about supply disruptions even though delivery for the current most-active futures contract — June — isn’t due any time soon. …

… For the remainder of the report:

https://www.bloomberg.com/news/articles/2020-04-07/gold-rallies-spread-b…

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Toast to a free gold market
with great GATA-label wine

Wine carrying the label of the Gold Anti-Trust Action Committee, cases of which were awarded to three lucky donors in GATA’s recent fundraising campaign, are now available for purchase by the case from Fay J Winery LLC in Texarkana, Texas. Each case has 12 bottles and the cost is $240, which includes shipping via Federal Express.

Here’s what the bottles look like:

http://www.gata.org/files/GATA-4-wine-bottles.jpg

Buyers can compose their case by choosing as many as four varietals from the list here:

http://www.gata.org/files/FayJWineryVarietals.jpg

GATA will receive a commission on each case of GATA-label wine sold. So if you like wine and buy it anyway, why not buy it in a way that supports our work to achieve free and transparent markets in the monetary metals?

To order a case of GATA-label wine, please e-mail Fay J Winery at [email protected].

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Support GATA by purchasing
Stuart Englert’s “Rigged”

“Rigged” is a concise explanation of government’s currency market rigging policy and extensively credits GATA’s work exposing it. Ten percent of sales proceeds are contributed to GATA. Buy a copy for $14.99 through Amazon —

https://www.amazon.com/Rigged-Exposing-Largest-Financial-History/dp/1651…

— or for an additional $3 and a penny buy an autographed copy from Englert himself by contacting him at [email protected].

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Help keep GATA going:

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

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