Gold loses $200 in a day.. and the secret lies in 'backwardation'

⭕ Gold prices decline by more than $200 in less than 24 hours, from historic levels of $3500 to $3291 per ounce.

🔻 The declines raise questions about their implications, is it a temporary disruption or an indicator of a deeper flaw in the global market?

⭕ Backwardation: is a situation where the spot price of the commodity is higher than the futures price, indicating high immediate demand, meaning that investors prefer to obtain gold now rather than delay receiving it, fearing supply shortages or worsening crises.

$Gold #الذهب_لا_يصدأ #الذهب_اليوم