With the Fed flip-flopping around the mainstream media in an attempt to manipulate the dollar and force down the price of gold without ever having to implement an actual rate hike, central banks around the world are no longer fooled and are continuing to dump dollars at high rates. And in their place, these same banks are continuing to accumulate gold at record levels to ensure their reserves remain intact.
But perhaps what may be even more interesting is that demand for gold delivery at the Comex is suddenly increasing to dangerous levels, and if the trend continues into the June delivery date, it could be enough to finally bust the Comex once and for all.
The May gold contract is a non active contract. Yet we started the month with 5.67 tonnes of gold standing and it has increased every single day and today sits at 6.68 tonnes of gold standing:
The amount standing for gold at the comex in May is simply outstanding at 6.8740 tonnes. The previous May 2015, we had only .08 tonnes standing so you can certainly witness the difference as the demand for gold by investors/sovereigns is on a torrid pace. This makes the excitement for June gold that much more intense as more players are refusing fiat and demanding only physical metal.
I will be reporting daily as to how which is standing for delivery through the active month of June. June is the second largest delivery month after December. - Silver Doctors
Not only is the Chinese central bank continuing to expand its gold reserves, the country is steadily becoming a major player in the world gold market. Earlier this month, the largest Chinese bank bought one of the biggest gold vaults in Europe, as it expands its influence on global gold trade.
Central banks accounted for about 14% of the world’s gold demand last year.
As central banks continue to buy gold, many are dumping US debt. So far in 2016, global central banks have jettisoned $123 billion in US debt. Last year, they sold off $226 billion. According to the Treasury Department, central banks are selling US Treasuries at a pace not seen since at least 1978. - Schiffgold