[Attention Surplus Disorder]

Interesting article about the recent activity in Ag and Au, especially silver.

Chris Martenson is the author of "Crash Course", an utterly superb presentation on things economic (with the exception of its 1% global warming content) which is findable both at the linked location or by searching for 'crash course'. "Crash Course" gets my highest recommendation as a background presentation on our historic, current and likely future economic situation(s).

[phockthis]

big surprise...

[SAJ]

The immediate result? Look for a replay of the quasi-index fund game that was prevalent between 2000 and 2008, and which was, effectively, **solely** responsible for driving the price of WTI crude to $147.

Except this time, look for similar run-ups to occur in food commodities, specifically ANY crop/mkt that seems as if there will be a substandard worldwide crop this year. Wheat may be the principal suspect this year, given Aussie floods. Soybeans are probably second on the list, given Argentina's crop (and governmental) problems.

Good trading to you, m'FRiend!

[proxy_user]

I don’t have technical knowledge of how commodities futures contracts are held - but aren’t many of the contracts that appear to be own by JPMorgan actually owned by their customers, and held in the JPMorgan name only to make it easier to trade?

If you looked at the stock market, it would look like all the stock was owned by Fidelity and Merrill Lynch, but that is really not so.

[djf]

Problem is, if the longs demand physical, JPM gets squeezed. They either deliver or go for a cash settlement.

And it’s the longs who decide how much, not JPM.