Loading ...$8 – 9 spread is a nice arbitrage opportunity for the paper players here to take delivery and ship east.
The Crimex can’t maintain credibility as a market unless they can actually deliver the metal for the lower price.
There’s a lot of speculation about a March default on Crimex – the next big delivery month.
I’m guessing here but after Trump’s move on Venezuela, the Chinese aren’t going to try to calm the prices on Shanghai, I’d guess they’ll increase the pressure to break the Crimex.