Adrian Douglas of GATA.org just released an incredibly well researched article on the current inventory levels of the COMEX for both gold and silver. According to his paper gold inventory levels have decreased by 41% for gold and 24% for silver in just 6 months! At current reported inventory levels the COMEX will default on delivery of physical metal in 8,5 months for gold and 18,8 months for silver!
At no time in history has it been this important to own physical metal in your own possession and not paper promises. Gold and silver are money. The only real money that are no-one else’s liability. When the COMEX goes bust gold and silver will head for the moon and beyond.
The article concludes:
Investors should make sure they own physical bullion and not a paper substitute. When the music stops, and it looks like it could be soon, paper promises will not be honored with bullion. When a shortage becomes obvious to investors the price of bullion will be multiples of its current price. But those holding paper promises will not benefit. At best they will be paid in fiat currency and probably after months or years of legal wrangles, and most likely at the price on the day of default, not at the price on the day of settlement. Why accept anything but physical bullion?
