As the day progressed and as short-squeeze in gold intensified, gold continued to make record high price closing up over $20 per ounce for the day. Baring any concerted effort by the US Federal Reserve to whack gold price down ahead of this weekend's Bretton Woods II meeting, short-squeeze should continue to intensify into the weekend, and may reach $1,500 to $1,650 per ounce by the weekend.
For us economist who follows the Austrian School of Economic Thought the current run-up in precious metals and commodity prices is a given as a consequence of the reckless US Central Bank policies of flooding the world with useless fiat paper dollar bills, with US dollar a World Reserve Currency. But for those mainstream economists, followers of the "Keynesian's Economic Thought" whose group currently dominates the economic landscape in both private and public sectors, the relentless rise in commodities price is a mystery, something that baffles them.
With no end in sight for the current US Federal Budget deficit, the Fed money-printing cannot end until there is total economic collapse such as the Weimer Republic or Zimbabwe. As a consequence, there will also be no end in sight for the current bull market in commodities.
Here is a chart showing gold price at the end of the day today.
