Re What is happening to all the gold (and silver) coming to the US
The influx of gold and silver into the US, particularly since late 2024, is driven by concerns about potential tariffs, leading to a surge in demand and a shift in where these precious metals are stored, with banks and investors moving gold to New York vaults.
Here’s a more detailed breakdown:
-
Tariff Concerns:The primary driver is the looming threat of tariffs on gold imports, prompting a rush to move physical gold into the US before they take effect.
-
Shift in Storage:Instead of being stored in London, gold is now being moved to the Commodities Exchange Centre (COMEX) and other vaults in New York.
-
Unprecedented Influx:The influx of gold is so significant that New York vaults now hold a stockpile that could satisfy US demand for the next four years, according to the World Gold Council.
-
Silver’s Role:While gold is the main focus, silver is also experiencing increased demand and is seen by some as a potential “new gold” due to its industrial applications and a widening gap between supply and demand.
-
Market Implications:These movements in the gold market suggest that major players are preparing for potential financial instability or a deepening economic crisis.
-
Central Bank Activity:Central banks, including those in BRICS nations, are diversifying into silver, and some US states are considering gold in their reserves.
-
Gold Price Surge:Gold prices have surged in 2025, with some predicting further increases, reaching new all-time highs.
-
Silver Supply Deficit:Silver demand is expected to outpace supply in 2025, with the global silver market forecast to remain in a sizeable deficit.