[OldDeckHand]

It seems to me that since we've had the almost explosive emergence of sovereign funds, these asset bubbles have been almost unavoidable. As the author points out, first tech stocks, then real estate and now precious metals. I wonder if any research has been done to see if there's a causation and not just a (presumed) correlation.

What is undeniable that precious metals, over the long-term, are an under-performing asset relative to the stock market. I'm not a catastrophist - not with the weather, and not with the global economy. I think over the long-term, precious metals will continue to be an under-performing asset.

[NVDave]

There has. And there is.

In the 2008 run-up, farmers could see the difference between what they got and what was being shown in the close-in futures prices, that futures were bid up over the physical by increasing margins from “reality.”

[utherdoul]

If prices start getting nuts wouldn’t large holders dump stockpiles of precious metals onto the market and then repurchase them once prices crash?