Silver & Gold Western "Spot" is a paper price. Shanghai Puts the West to Sleep Like a Vet Injects "Spot," Putting Down The Sick Animal!

To trade gold and silver futures on SGE, traders must first deposit an equivalent amount of physical bullion as collateral. Comex physical delivery rare. Less than 1% of contracts.

Shanghai Gold Exchange Legit vs Comex (which is now SGE’s Source for Cheap Metal)

The physical delivery process on the Shanghai Gold Exchange (SGE) differs significantly from COMEX in terms of requiring actual deposits of physical metal upfront and facilitating the transfer of ownership of that metal upon contract expiration. Here are the key differences:

Shanghai Gold Exchange (SGE)

• To trade gold and silver futures on SGE, traders must first deposit an equivalent amount of physical bullion as collateral with SGE's designated vaults.

• The amount of metal a trader can buy is limited by how much they have deposited with the exchange.

• At contract expiration, physical delivery takes place where ownership of the pre-deposited metal is transferred between the buyer and seller.

• SGE acts more like a physical spot market, facilitating the actual transfer of bullion between parties.

COMEX aka CRIMEX

• Traders on COMEX do not need to deposit any physical gold or silver to trade futures contracts.

• COMEX contracts are predominantly cash-settled, with physical delivery being rare (less than 1% of contracts). - LOLOL

• For the few traders opting for physical delivery on COMEX CRIMEX they must notify the clearinghouse and meet additional margin requirements by the First Notice Day.

• COMEX CRIMEX does not necessarily hold enough physical inventory to meet simultaneous delivery obligations on all open contracts.

In essence, SGE requires traders to back their trades with pre-deposited physical metal and facilitates the transfer of that metal at expiration, while COMEX CRIMEX is a "paper" market where most contracts are cash-settled without actual metal changing hands.

It’s quite laughable that Gold and Silver slammed yesterday on news of China pausing

This post by Bai is the precise metaphor explaining the so called pause

First - China doesn’t tell the World how much Gold they have
Second - BRICS ++ have been loving the cheap metal pricing courtesy of Western short sellers
Third - If metals go up we are happy, if metals go down we enjoy buying them on sale
Fourth - Saudi officially joins BRICS ++ and the mBridge cross border payment system to trade away from US dollar. Petrodollar contracts expiring:

Saudi Arabia BRICS+ // BIS // mBridge

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