Now The Deluge - London Cash Gold Contract Default Triggers A Global Physical Gold Rush

Over the past 10 weeks, the world has witnessed large physical gold bullion flows into the US from all parts of the globe.

The vault stocks of gold in NY COMEX vaults have increased by approximately 20 million (M) oz.

The CEO of US financial services company StoneX, that has a large commodity trading division, estimates that more than 2,000 tons (56M oz.) of gold have been moved into the US over the past 8 weeks. So 36M+ oz. of gold have gone elsewhere than just COMEX vaults.

During this period it has also become clear that the estimated 400M oz. of London market cash/spot gold contracts for immediate gold ownership and settlement have widely been shown in default. And that was for an estimated 10M oz. of gold draw-down on London vaults.

The mumbled argument that 8 weeks of delay to London delivery is simply due to a slow Bank of England gold lease facility is moot - leasing gold is what is done by market participants when they are asked to deliver metal that they do not have.

London gold spot/cash contract holders are under no illusion now - they’ve been had.

The game switches now to silently and rapidly securing actual physical gold and to exit the London market where the promissory note gold scam has been overseen and coordinated by the Bank of England for decades.

Two very large Swiss refineries Metalor and Argor-Heraeus have started to impose surcharges on their gold production and Argor Hareaeus has stopped production of some gold products.

This is as we would expect as the remaining 390M oz. of London gold spot/cash contract owners begin to mobilize to secure physical metal.

This is just getting started.

Best regards,

David Jensen