Boom for gold. Americans buy European supplies
Golden frenzy. Americans buy ore from Europe, causing deficiencies in London. Prices have already exceeded $ 3057 per ounce.
Gold prices are achieved by historical records. On Friday, March 14, they exceeded the level of 3 thousand. dollars per ounce. On Thursday morning, gold reached a record level of $ 3057 per ounce (at the current exchange rate about PLN 11,900). The current price of 1 g of gold (in the 1000 sample), calculated on March 20 by the National Bank of Poland (NBP), is PLN 374.5, and yesterday it was 3.36 PLN lower. His crazy growth is primarily due to the weakening of the dollar, the new customs policy of the USA and the current geopolitical situation.
There is a lack of gold in London
Already at the beginning of the year, the first signals appeared that the increase in the demand for gold in the US led to the demonstration of the ore in London and the problems with liquidity on the market. The “Parkiet” website explained at the time that the decrease in the availability of gold in London is due to the fact that its large amounts were sent to the USA, which resulted in a reduction in the amount of ore available on the London OTC market (over-the-counter), i.e. outside the stock market.
Americans buy gold from Europe
“From December, gold with a value exceeding $ 61 billion came to the United States,” informs “Money.pl” and indicates that the cause of American gold fever is the constant fear of investors before the potential tutorials that Donald Trump could introduce. As the website notes, the US president never mentioned in a specific way about the duties for gold, but the very risk of their introduction caused a golden shopping frenzy.
Swiss refineries work around the clock
It was this golden shopping frenzy that caused that in the capital of Great Britain there is a lack of gold. “The mass flow of the ore causes a deficiency in London and forces the Swiss refineries to work around the clock,” writes “Money.pl”. Why? Because gold transport to the United States is a complex operation that requires precise logistics and high safety standards. The process begins in the treasures of the Bank of England, where gold bars are stored. Then armored trucks transport them to the Heathrow airport, from where gold is transported to Zurich. In Switzerland, bars are subjected to the process of melting and casting again, which ensures their compliance with American standards. It is only after this stage that gold is sent to the USA.
“For insurance reasons, only 5 tons of gold are transported once, and the cost of the entire operation is about $ 3-5 per ounce,” explains the website.
