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An increase in gold deliveries to the United States has led to a lack of Bullion in London, since retailers in New York accumulate an inventory of $ 82 billion due to fears of the Trump administration tariffs.
Waiting for the Bullion kept in the Bank of England has risen from a few days to four and eight weeks, according to the people familiar with the process, since the central bank has difficulty keeping up with the demand.
“People can’t get their hands Gold Because so much was shipped to New York and the rest is in the queue, ”said an industry director. “The liquidity on the London market was reduced.”
The Boe declined a comment.
Since The US election in NovemberGold dealers and financial institutions brought 393 tons into the vaults of the COM -Commodity Exchange in New York and rose by almost 75 percent to 926 tons – the highest level since August 2022.
According to the market participants, the entire gold flows in the USA could be far higher than the COM numbers, since there were probably additional programs to private vaults in New York that belong to HSBC and JPMorgan. The two banks rejected a statement.
Dealers say that the programs should avoid the tariffs on Bullion that some fear of US President Donald Trump could be introduced.
“There is a feeling that Trump could go through the board and impose new tariffs on raw materials that come to the USA, including gold,” said Michael Haigh, head of raw material research at Société Général. “There is a bit of climbing among the participants on the gold market to protect themselves.”
The programs are also the result of higher prices for the futures exchange in New York than on the money market in London. The unusual arbitrage opportunity has suggested that the dealers send the metal over the Atlantic.
Trump has not yet equipped his trading policy and has not expressly mentioned a ambiguity, even though he has threatened to impose far-reaching tariffs.
Gold prices have risen by 5 percent since the beginning of the year and are only $ 30 in the amount of $ 2.790 per Troy Ounce in October.
London and New York are two main markets for trade worldwide, with most physical trade taking place in the UK while the Futures market is located in the USA.
Many market participants compare the current US gold rush with the situation during the Covid pandemic, when the closures and uncertainties about golting gear were triggered to increase the inventory on Cormx.
The Boe stores gold for third parties such as financial institutions as well as for other central banks and the British Ministry of Finance.
COMEX gold stocks have increased 36 percent with 244 tons of tributaries this month – the highest monthly inflows since May 2020 at the peak of pandemic. Dealers said that they needed access to gold to meet certain futures contracts that enable the buyer to take over the physical delivery of gold.
“The gold movement had to get in New York. This is basically what the” inventory “promotes,” said Joe Cavatoni, market strategist at the World Gold Council. “This leads many people to say:” We want to be ahead “, and that drives the Futures market into a bonus.”
However, Cavatoni said that he was carefully optimistic that the upcoming tariffs would most likely apply to Bullion. “We have no sense of the rhetoric of the administration that it intends to pursue the monetary metals,” he said.
Last week, June transported for physical gold on Cormx with a bonus of up to $ 60 per Troy Ounce over the London price. Since then, the difference has fallen back to 10 US dollars per Troy -Ire because dealers moved gold to New York.
