Q&A: Eric Sprott (in the Globe & Mail) on gold and why it's heading to $2,400 in a year

``daily paper volumes are many times larger than annual mine production. I believe that the return to fundamentals driving gold prices will be triggered by a shortage of physical gold and ultimately, a failure to deliver. We already see signs of physical gold shortages, as evidenced by the negative Gold Forward Offered Rates (GOFO) rates, record low physical inventories and backwardation in the futures market. A full discussion can be read in the articles linked to above.''