Loading ...Hi, re your part:
“unlike in 2011 when OI was at long term lows. The bankers didn’t have the interest to push back on in 2011, so prices went up. Physical demand was king.”
Call me crazy if you want, but I suspect that when the Bankers artificially or manage a higher Gold price, its because THEY want and need supply, for various reasons, and the high prices are NEEDED to bring IN, supply, not feed demand. For example innocent people or jewelers see high prices and start unloading their little scrap hoards of gold and jewelry for recycling.
Same thing with copper. High price throws a bone to producers, producers increase production, and dilute the price back down again.
Same thing with Oil.