Quote from: molecular on April 15, 2013, 02:49:55 PM

what are the premiums doing? metal shortage in sight?

Metal shortages are already here.

From Keiser:

Quote

ABN AMRO issued a letter to their gold contract customers of failure of delivery, and that instead the bank will pay account holders in a paper currency equivalent to the current spot value of the metal. Voila counter party risk. If you have a piece of paper you dont have anything, if you dont hold it, you dont own it. It is all about physical possession.

Of course, that is not to say that gold should not be going down because the USD is headed higher, probably to around 87-90ish, as there is a lot more demand for it. Lots of countries have taken out USD denominated debt so they need them to pay interest.