The Paper Gold Shorts Are Desperate To Go Long…

Today, US CPI came in a little better than expected, not that a few decimals mean anything. Gold was marked down $35. So what was that about?

Quite simply, the bullion bank traders know that gold is going to go much higher and want to go long in the paper market. Physical supply is being cornered by central banks, sovereign wealth funds, and UHNW individuals, particularly in Asia.

The reason they can hit the price is that they are not being challenged in paper markets where speculative interest...