Central banks are Selling. The Producers have been Selling Forward their 1997 and even some of their 1998 supplies and beyond. In other words, the World has forgotten the Metals that Glitters. There sure is. The fact that Bulls in Gold are as scarce as a Snowball in July in Miami, is about the best reason I can give you.
Demand keeps picking-up, especially from the Far East.
Unless these Pacific Rim countries decide to stop cohabiting, Demand will continue to expand. Eventually, the Demand will overwhelm the Supplies and prices will have to work much Higher. I see tremendous economic expansion in certain 3rd World countries. China is Taking over Hong Kong in July, and every body knows China will try to get along. Taiwan s Central Bank just let the world know that Honk Kong s Currency may not be convertible on the island after the Colony reverts back to China rule in July.