Gold held in ETFs combined is the 6th largest holder in the world
Craig Hemke from TF Metals Report shares his thoughts on the pull back in open interest in gold. We also discuss the total amount of gold held in gold ETFs but the fact that if all the investors wanted to take physical delivery it would not be possible.
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Al, how safe do you think the Central Fund of Canada’s bullion is? Also the Sprott Physical Silver Fund?
Exactly. Also there are physical bar numbers recorded in GLD, so how can there be multiple claims on those bars. I like disucssions like this, but I wish they’d get deeper and more precise, as otherwise they can look like unfounded and just cause fear. We need more facts, gentlemen!
My take is that CEF and PHYS/PSLV are as safe as GoldMoney, and for those w/brokerage accounts in the US, they are more convenient, as one can buy and sell during the day, and not just at end of day. CEF’s been around since the 1960’s so that feels good, but Sprott’s ETF’s one can take delivery, adding to the confidence that the gold is there.
I think that GLD/IAU/SLV are perfectly good for trading.
For investing and insurance, one needs physical. And I think that Goldmoney, CEF and PHYS/PSLV are all equivalent. But there’s nothing like having gold in hand or nearby. If the banks fail and your gold is in Switzerland, what good does that do you when you are in LA or NY? I don’t see it. Everyone’s different.
Good comments Bill in Tokyo. I guess if things get really hairy we all need to just head to Switzerland. They’ll always have gold there.
Anyone holding or thinking about First Majestic might find this interesting.
http://seekingalpha.com/article/4003515-first-majestic-silver-corp-valuation-clouds-silver-lining
http://seekingalpha.com/article/4007134-kerrisdale-analysis-first-majestic-critical-review
It’s a shame the promoters will never say anything negative or ask the obvious hard questions when a little commish is at stake.
Interesting commentary today from TF regarding the amount of Gold ETFs hold.
Thanks guys.
Food for thought on Sinclair and his eager pupils…
http://www.avaresearch.com/articles/1518/Exposed-Jim-Sinclair-And-Select-Gold-Pumping-Websites.html
Mentions S.D., Bo Polny, Holter etc…
Remember Ray Dalio’s “Depression” Warning: This Is Where We Stand Now
In recent weeks, Ray Dalio – a vocal proponent of QE4 and certainly against any form of monetary tightening – has been about as doom and gloomy as we have ever heard the head of the world’s biggest hedge fund. Just last week, we reported that the founder of Birdgewater, when speaking before the New York Fed, voiced his latest warning about the potential losses that would befall asset holders if interest rates rose by just 1%. Recall from his speech that “if interest rates rise just a little bit more than is discounted in the curve it will have a big negative effect on bonds and all asset prices, as they are all very sensitive to the discount rate used to calculate the present value of their future cash flows. That is because with interest rates having declined, the effective durations of all assets have lengthened, so they are more price-sensitive.”
And the punchline: http://www.zerohedge.com/news/2016-10-13/remember-ray-dalios-depression-warning-where-we-stand-now