...Hi Esh...Good stuff, this & the Banking thread..
...Came across this Report yesterday, but in 'couldn't copy, paste' PDF, but now see link here... Worth the read methinks, as 8 ETF's = GLD - IAU - PHAU - GBS - SGLD - GLD SJ - XGLD - OUNZ (Van Eck/Merk) hold 1280.8 tonnes in London vaults (May 2016)... Certainly been interesting watching LBMA/SGE fix interaction since 19th Ap... Appears to me, Shanghai don't need to push anything, West is going to implode 'paper gold' all by itself, which will suit them admirably as they don't like to be blamed for 'breaking' any Market............................................
"Specifically, he looks at what historically has been the hub of gold trading, the London bullion market, and finds that it "is running into a problem and is facing the biggest challenge since it collapsed from an insufficient supply of physical gold in March 1968."
We suggest readers set aside at least an hour, and two coffees for this "must read" report. For those pressed for time, the executive summary is as follows: using data from the LBMA and Bank of England on gold stored in London vaults and net UK gold export data from HM Revenue & Customs, Mylchreest calculates that the “float” of physical gold in London (excluding gold owned by ETFs and central banks) has recently declined to +/- zero. Summarizing the data in the report."
We have been here before...
“Someone once said, ‘no one wants gold, that’s why the US$ price keeps falling.’ Many thinking ones laugh at such foolish chatter. They know that the price of gold is dropping precisely be-cause ‘too many people are buying it’! Think now, if you are a person of ‘great worth’ is it not better for you to acquire gold over years, at better prices? If you are one of ‘small worth’, can you not follow in the footsteps of giants? The real money is selling ALL FORMS of paper gold and buying physical! Why? Because any form of paper gold is losing value much, much faster than metal. Some paper will disappear all together in a fire of epic proportions! The massive trading continues at LBMA, but something is now missing”
Anonymous quote from many years ago (the 1990s!)
* * * Mylchreest full must read report below (pdf):
