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<p>[QUOTE=&quot;InfleXion, post: 1697786, member: 29012&quot;]We can only speculate. My speculation is that anybody who believes the bull market is over has no incentive to demand physical gold. Why not just sell the paper and not demand delivery?&nbsp; &nbsp; </p><p><br /></p><p>It should also be noted that the larger half of the physical metal depletion was while gold was hovering around $1600 all of Q1 this year, and there was very little price action until the paper selloff. The physical outflows did not impact the price. They are rather a result of people removing their metal which has been accelerated by the now lower prices (just over half of the downtrend in supply took place in Q1 2013 as the largest quarterly outflow ever, and now that amount has been nearly equalled in just the month of April) . </p><p><br /></p><p>The trend is what is concerning. It&#039;s not sustainable. Maybe it will trail off, but right now it&#039;s gaining steam. Something to keep an eye on. If it doesn&#039;t trail off on its own then they will have to become physical buyers as well, and that will impact the effectiveness of the paper to control the price.[/QUOTE]</p><p><br /></p>

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