Bill Holter’s Commentary
Do you still doubt a failure to deliver will occur? Poland and Hungary are acting as if they believe it…
Poland Joins Hungary With Huge Gold Purchase And Repatriation
July 8, 2019
Submitted by Ronan Manly, BullionStar.com
With a variety of the world’s central banks going on a gold buying spree in recent years such as Russia and China, there has unsurprisingly been no shortage of newsflow in this area for the world’s financial media to comment on. But even in such an environment of abundant sovereign gold purchases, a number of buying bombshells have stood out for their intensity and ‘shock and awe’ abruptness. Particularly from nations which on the surface might seem like unlikely gold buyers.
One of these was the announcement last October by Hungary’s central bank, that after 32 years of holding unchanged gold reserves, it had rapidly increased its monetary gold holdings by 1000% or 10 fold, from 3.10 tonnes to 31.5 tonnes, and also repatriated (brought home) this entire holding from London to Budapest, away from the clutches of the Bank of England. At the time we asked:
“With almost all of Poland’s gold held at the Bank of England, a relevant question now is how long before Poland also sees fit to repatriate its gold in physical form away from the fractionally-backed LBMA controlled gold trading centre of London. “
The answer to this question was, not long at all. For to the Hungarian bombshell we can now add Hungary’s neighbor and closest political ally Poland, which has just in its own way shocked the gold market and the European Union by announcing that during the first half of 2019 it has already bought 100 tonnes of monetary gold at the Bank of England, bringing its gold reserves to 228.6 tonnes (all stored at the Bank of England), and now plans to repatriate almost half of its strategic gold reserves (or at least 100 tonnes) back to the National Bank of Poland (NBP) vaults in Warsaw.
J. Johnson’s Latest – The Resolute Longs Remain Strong After The Post-Holiday Friday “Shorting” Failure
July 9, 2019
Great and Wonderful Tuesday Morning Folks,
Gold is trading lower at $1,393.10, down $6.90 after a trip down to $1,387.50 with the high at $1,398.50. Silver ain’t doin’ nuthin’ with the trade literally unchanged from yesterday at $15.05 after the trade dropped to $14.965 with the high close by at $15.105. The US Dollar is still the run to currency with its value pegged at 97.155, up 17.1 points and close to the high at 97.195 with the low to beat at 96.97. All this was done before 5 am pst, the Comex open, and the London close.
The emerging markets have really helped suppress the trade with Gold under the Venezuelan Bolivar now at 13,913.59 taking away another 144.82 in value with Silver losing .549 in Bolivar value. Gold under the Argentine Peso now sits at 58,229.79, it too losing 612.94 in A-Peso value with Silver now gauged at 629.123 losing 2.224 Pesos. The Turkish Lira, which gave the precious metals a boost yesterday now has Gold priced at 7,933.18, losing 130.92 T-Lira with Silver at 85.7052 losing .8338 in T-Lira value.
July Silver Delivery requests now total 729 demands for physical losing 25 receipts either to real physical demand or to those EFP’s going to London, which has clouded most everything these past few years. The Delivery Volume so far this morning is also at zero but there is a buy order out there for 27 more physical Silver contracts at $14.975. We’re hoping this buyer brings in the heat as he gauges the system to his benefit, which will be the boon for everyone in position when the time comes. Silver’s Overall Open Interest remains elevated with the count now at 218,727 Overnighters proving a drop of 2,689 short positions, exiting their trades against the Resolute Longs, and after the Post-Holiday Friday Failure.