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An increase in gold expeditions to the United States has led to a shortage of ingots in London, while merchants have an 82 billion dollars in New York to fear the Trump administration prices.
The wait to withdraw ingots stored in the safes of the Bank of England has gone from a few days to four and eight weeks, according to people familiar with the process, while the central bank has trouble responding to the request.
“People can’t get their hands gold Because so much has been shipped to New York, and the rest is stuck in the queue, “said an industry manager. “Liquidity in the London market has been reduced.”
The BOE refused to comment.
From November election of NovemberGold merchants and financial institutions have moved 393 metric tonnes in the chests of the Comex goods scholarship in New York, which increased its stock levels by almost 75% to 926 tonnes – the highest level since August 2022.
The total gold flows in the United States could be much higher than Comex figures reflect, according to market players, because there will probably be additional shipments to private chests in New York belonging to HSBC and JPMorgan. The two banks refused to comment.
Traders say that expeditions are intended to avoid tariffs on ingots that a certain fear could be introduced by US President Donald Trump.
“There is a feeling that Trump could go through the table and impose new raw materials that arrive in the United States, including gold,” said Michael Haigh, manager of research on the general matters of general company . “There is a little race among participants in the gold market to protect themselves.”
Expeditions are also the highest price result on the stock exchange in New York than on the cash market in London. The opportunity for unusual arbitration has prompted traders to send metal through the Atlantic.
Trump has not yet set out his trade policy and has not specifically mentioned an obligation in ingots, although he has threatened to impose many prices on American imports.
Gold prices have increased by 5% since the start of the year, and are only $ 30 of their record of all time of $ 2,790 per Troy ounce established in October.
London and New York are two main world markets for trading, most of the physical trading taking place in the United Kingdom, while the term market is in the United States.
Many market players compare the current rush of American gold with the situation during the cocovated pandemic, when locking and uncertainty on gold expeditions have triggered a storage push on Comex.
The BOE stores gold for third parties such as financial institutions, as well as for other central banks and the British Treasury.
Comex gold inventories increased by 36% this month, with 244 metric tonnes of entries – the highest monthly entries since May 2020, at the top of the pandemic. The merchants said they needed access to gold to fulfill certain term contracts, which allow the buyer to take physical gold delivery.
“The gold movement necessary to make its way in New York is essentially what led” storage “,” said Joe Cavatoni, market strategist at the World Gold Council. “It leads a lot of people to say:” We want to get ahead “, which means that the future market is in bonus.”
However, Cavatoni said it was carefully optimistic that the prices to come would likely not apply to ingots. “We do not have a sense of the rhetoric of the administration which he intends to attack monetary metals,” he said.
Last week, June contracts for physical gold on Comex exchanged a bonus of up to $ 60 per Once Troy on the London Prize. The difference has since rose to $ 10 per Troy Onece while traders have moved gold in New York.
