Per Bloomberg “Worldwide holdings in bullion-backed exchange traded Funds have ballooned to a record on rising demand” GLD surged above 1000 tons ,the highest since 2013.

Below is 3 min chart of June Gold (yellow Line) and the white line is the basis spread between June gold and cash. it appears good correlation between the two until the spike in Gold futures did not see a corresponding spike in basis.In hindsight easy to see you should have been a seller of Gold on the spike.Something I will continue to monitor

The cause for all the talk of basis lately is this:

blue=gold futures white =spot gold

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