Thank you Lucas of http://lucas2012infos.wordpress.com/ for originally posting this. This is yet another story confirming indeed major economic and financial changes are happening across the planet.
There are serious strains in the (gold) system. I’ve never witnessed such a serious strain in my lifetime in terms of the backwardation of gold, and in terms of the lease rates being negative for such an extended period of time. This suggests that there are two forces at work: One is that there are serious strains in the system — that the bullion banks are struggling to come up with the physical gold for spot delivery that the market demands.