Lets cut to the chase and call out AUD100.00oz Ag sooner than later

Oddjob

Oddjob

Well-Known Member
Silver Stacker
So, Ag rips higher faster than we could have dreamed and Au ain't dragging the chain.

A couple of things I've seen heard in last 24 hours shows the retail FOMO for both just starting to kick in.

In the office today a few of the younger ones (Indian and Chinese) openly talking PM price rally and what to buy. First time I've heard this talk ever in the office.

Also, walked up Martin Place at 4.30pm this afternoon and decided to see if the ABC queue was still in place. I est 100 odd people still waiting in line to get in and ABC even put up the red carpet ropes to keep the queue in order.

Interesting times all.
 
Is the precious metals retail punter and stacker cohort big enough to even budge PM prices?
 
We're in a backwardation situation also, where spot price for immediate delivery is higher than the futures price (which, is normally slightly higher in contango)
Think of futures like: securing preorders. Where payment in the future, (downpayment now...) and its delivery, carry the premium costs of the market holding it for x months... which isn't "free"...

In this case... buy x oz for delivery in 4 months. Will cost you $51.0- even, which is currently like "free storage" and a 50c discount to the price as of today...
See: https://www.barchart.com/futures/quotes/SI*0/futures-prices

Speculative futures normally resolve in, or out of the money...
But at maturity delivery at the quote is to be honoured by the market.
If deliveries start being preferred instead of cash....
^^^^^
 
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