No slow on the GOFO
The headlines of backwardation and GOFO seemed to have subsided yet we are still in the record breaking run of both and it is just as significant. The backwardation of the futures market is now in its 38th day (compared to only a few days in 1999 and 2008). In simple terms this is a clear indicator the current strong preference for (belief in) physical gold over paper. GOFO too is now 32 days in the negative (again compared to the very short times in 1999 and 2008) which depending on how you look at it is either an indicator of preferring physical gold over USD or desperation of bullion banks to get hold of physical gold. There is strong demand for physical bullion. Have you got yours yet? Check out our website today for an excellent article we’ve posted that explains these and other fundamental shifts in the gold market at present.