Proof Bullion Banks Are Buying All The Physical Gold They Can

Proof Bullion Banks Are Buying All The Physical Gold They Can

On the heels of fierce trading in the gold and silver markets, today the man who runs the largest gold and silver dealer in the United States sent King World News some critical information regarding what is going on behind the scenes in the war in the gold and silver markets.  41-year market veteran Bill Haynes also sent KWN private communications from a major refiner detailing where all of the gold being drained out of the COMEX and ETFs is actually being sent.  Below is the exclusive KWN piece from the 41-year veteran of the gold and silver markets.

Proof That The Bullion Banks Are Buying All Of The Physical Gold They Can Get Their Hands On’s August 7th interview with Stephen Leeb discussed the strong demand for gold in China, which ran contrary to what the mainstream had been reporting.  Leeb said that this year China is set to import some 1,200 tons of physical gold.  But China is not the only Asian country where the demand for gold is strong.

Most physical gold sold in Asia carries premiums, especially in India, and bullion banks are moving to fill that void in order to capture those lucrative premiums.

They are doing so by procuring physical gold in the U.S., not only from the COMEX warehouses and ETF liquidations, but directly from refiners.  The gold is then converted into forms which Asians are comfortable with -- mainly kilo bars, and then the gold is shipped to Asia.

Several weeks ago I exchanged emails with a rep for a major precious metals refiner about the huge ETF liquidations and speculated that the liquidated gold was in fact going to Asia.  After all, the gold coming out of the ETFs and the COMEX warehouses has to go somewhere.

The rep said that my speculation fit well with what his refinery was seeing.  He said, “I think you are absolutely right given the level of large institutional demand we see for our kilo bars and 400 ounce bars that are going to New York and London.”  New York and London are the off-loading sites for gold being shipped to Asia.
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