Never knew gold was priced differently at different locations. APparently gold ownership is being used as collateral and as such, it has to be a deliverable product. Leverage is higher in NY, gold is worth more in NY, gold bars are flying as fast as the airlines can carry them out of London vaults into NY vaults. not sure if it is political, MAGA will claim it as a win, economics says it is being required as hedge against uncertainty related to tariffs which pushes cost up which pushes cost to borrow up which raises prices. go team, we're taking all their gold, teach those libbie brits to want to question Elon...now it's political what are the odds that someone had the bolded trade laid out before the first announcement was made, bet the same person owns lots and lots of truth social stock... Why Dealers Are Flying Gold Bars by Plane From London to New York But some banks and hedge funds might take a knock if they can’t quickly get hold of gold with which to bail out of loss-making trades in New York. In a sign of the strain on some market players, the interest rate to borrow gold has rocketed. One big reason: The stampede to jet gold to New York led to a weekslong queue, as the Brits call it, to withdraw bars from the Bank of England’s subterranean stocks. Officials tasked with monitoring London’s bullion market have fielded anxious calls from bankers asking to short-circuit the system, said people familiar with the matter. The Bank of England responded that they have to wait for their turns. The gold rush shows how Trump’s steps to reshape world trade are rippling through international markets. He recently said Europe’s trade stance versus the U.S. was an atrocity, and promised punishing levies on the region. While it isn’t clear whether any tariffs would affect gold directly, the price spread widened after Trump unveiled broad-based aluminum and steel tariffs this week. Manufacturers that use gold are losing money and struggling to price their products as a result, said Wade Brennan, chief executive of Kilo Capital, a firm that lends to commodities companies. “The situation is very profitable in the short term for some players—the clearing banks and refiners in particular,” Brennan said.
