Reuters article about gold being in backwardation..good read

http://www.reuters.com/article/2013/07/19/derivatives-gold-idUSL1N0FP1CB20130719

 

Thanks for that. I'm stealing a quote from it and adding it to my sig.

 

so what's silver's excuse then?

 

Future price expectations, especially in gold and silver, are often wrong, as proved by the steep red candlesticks in the price trends. Backwardation or contango, that is a function of it, is then as wrong too. One day, it's gone. Oh.

 

It is important to understand that gold should never ever go into backwardation unless something is really wrong.

http://blog.milesfranklin.com/is-there-anything-else-necessary

And we have been in negative backwardation now for 10 days in a row - longest time ever.

 

Great read, thanks.

Its going to be interesting to see how this plays out.