Gold kept in Bank of England rooms sells for less than gold in other places. The price stands more than US$5 under the normal rate, say people who know the trade.
This price drop comes as traders rush gold to the United States. They fear Donald Trump might add new taxes on gold coming into his land. The rush made long lines at the Bank of England. People must wait weeks to take their gold out.
The Bank of England holds gold in its rooms next to other banks in London, like JPMorgan Chase and HSBC. Most times, all gold in London sells at the same price. Small price changes in the past came from central bank trades. These changes were less than a dollar per bit of gold.
Trump has not said he wants to tax gold yet. But he talks of putting taxes on many things from other lands. This makes gold traders want to move their gold fast.
The Bank of England's workers find it hard to help all the people who want their gold. This makes gold in the bank worth less than gold in other London bank rooms, where it proves easier to move.
The Bank did not say anything when asked about this news. It holds more than 400,000 gold bars. These bars have a worth of over US$450 billion at today's prices. Most of this gold stands for other central banks, but some traders keep their gold there.
London holds more than 8,000 tons of gold, yet much of it stays put. Groups that trade gold on the market, central banks, and other people who own it may not want to sell.
This price drop comes as traders rush gold to the United States. They fear Donald Trump might add new taxes on gold coming into his land. The rush made long lines at the Bank of England. People must wait weeks to take their gold out.
The Bank of England holds gold in its rooms next to other banks in London, like JPMorgan Chase and HSBC. Most times, all gold in London sells at the same price. Small price changes in the past came from central bank trades. These changes were less than a dollar per bit of gold.
Trump has not said he wants to tax gold yet. But he talks of putting taxes on many things from other lands. This makes gold traders want to move their gold fast.
The Bank of England's workers find it hard to help all the people who want their gold. This makes gold in the bank worth less than gold in other London bank rooms, where it proves easier to move.
The Bank did not say anything when asked about this news. It holds more than 400,000 gold bars. These bars have a worth of over US$450 billion at today's prices. Most of this gold stands for other central banks, but some traders keep their gold there.
London holds more than 8,000 tons of gold, yet much of it stays put. Groups that trade gold on the market, central banks, and other people who own it may not want to sell.
