Jack Walker

Will COMEX Default on Gold and Silver?

Avery,

This is an excellent and informative article.

Is it correct to conclude in the event of a real short squeeze the bullion banks will ultimately be bailed out by the US taxpayers?

As you say,

“The vast majority of short positions in gold and silver appear to be held by only 2 – 3 American banks…,”

Do you know if the SPDR Gold Shares ETF (GLD) is permitted to lease gold holdings to the bullion banks who then us it as margin for shorting or is it all being held long and unencumbered in a depository?

Jack