A follow on bear raid designed to test the will to hold the futures contracts, in which open interest in gold is high against deliverables. Silver has a low open interest relatively speaking.
The only thing this does is to increase the offtake of physical bullion around the world by distorting prices, increasing demand while decreasing longer term supply.
At these prices, claims per deliverable ounce of silver are 13 and for gold they are up to 55. It would be hard to hold off a run on the metals at these levels without sharply higher prices.
But why have a care? Wall St. is not noted for long term thinking.
