The gold and silver prices are both rallying on Wednesday morning, with the gold futures up $71 to $5,102, while the silver futures are currently up $4.63 to $85.01.
We also got more news of tightness in the silver market in China, along with another 4 million ounces leaving the Comex yesterday, which makes it 12 million over just the past three days alone, and 145 million ounces since October 2 of last year.
Again, remember that even with 145 million ounces coming out over the past few months, the current Comex inventories are still on the historically high side. Although, we also haven’t been in a situation like the one we are now, where there are multiple legitimate supply concerns around the globe, and at least so far, we haven’t seen any stop in the drain out of the Comex.
In the clip below, my colleague Vince Lanci talks about the falling inventories in Shanghai, and also how the March/May futures spread in China has inverted, indicating that there’s a demand for metal now.
