Largest Swiss Bank Launches Gold-Vault Service in Singapore

gold vaultBloomberg reports tonight that UBS has launched a gold vaulting service in Singapore and will make its bullion vaulting services available for clients in Singapore and Hong Kong.  UBS joins Deutsche Bank and JP Morgan in offering bullion storage facilities in Asia.
Perhaps this is where the approximately 300 tons of gold drained from the GLD over the past 6 months was headed?

Gold Maples As Low As $39.99 Over Spot!

 

As Bloomberg reports, the Swiss bank has launched a gold storage service in Singapore:

Switzerland’s biggest bank, started storing gold for wealth-management clients at a facility in Singapore, citing interest from investors in the region even after the metal slumped into a bear market.

The leased vault in the Singapore FreePort is available for clients in the city-state and Hong Kong, according to Peter Kok, regional market manager for wealth management in Singapore and Malaysia. While bullion is heading for the first annual drop in 13 years, client interest persists, Kok said.

 

While the Western financial authorities proclaim gold “tradition” and a barbaric relic, Singapore authorities are encouraging gold ownership and investment:

“Notwithstanding the drop in gold prices, we are still receiving queries on the offering from clients who are keen to reap the benefits of asset and geographical diversification,” Kok said in an e-mailed reply to questions.

The Singapore government has been promoting the country as a bullion-trading hub, removing a 7 percent sales tax from investment-grade precious metals last year.

 

Meanwhile, GLD’s inventory continues to plunge:

Holdings in the SPDR Gold Trust, the largest bullion-backed exchange-traded fund, fell 1.2 metric tons to 968.30 metric tons yesterday, data on the SPDR website show. The holdings have dropped 28 percent this year to the lowest level since 2009.

 

Coincidence?

 


AGE sale mailchimp

Comments

  1. Asians will prove themselves every bit a stupid as Western ‘investors’ if they put their metals in the hands of criminal bankers who’ve infested the entire Western banking system. Their better course would be to establish scores of private Asian-owned vaults with the added service direct metals exchange to derive true price discovery beyond the banking function entirely, which has a PRINCIPAL objective of suppressing metal value to enhance that of their phony paper stamps.

    • From —Harvey Organ
      Monday, July 1, 2013
       
      In summary on the customer side of things for JPMorgan:

      On Friday, the 28th of June, I reported that we had from the beginning of June,  2543 notices or 254,300 oz issued.  If we add the 71,611.00 oz owing from  May issuance, we get  325,911 oz.  If we subtract the actual withdrawal of gold from JPMorgan of 222,662.21 (which includes Friday’s  withdrawal customer side 4,817.25),  this still leaves 103,248.79 oz that needs to be settled upon from the vaults of JPMorgan customer side.
       
      So Doc, Eric…and anyone else….. Harvey is a great/fun read all the time.
      But is he right on this?
      Why is it that Harvey’s blog is the ONLY place I’ve seen anything like this?
      Did JPM come up with the ounces? 
      Did they settle in cash? 
      WFT  is this???
      WFT does this mean??

    • More from Harvey—-
       
      JPMorgan’s customer inventory remained constant today at 143,212.149 oz or 4.45 tonnes.  Its dealer inventory remains at 401,877.493 oz but it still must settle upon contracts issued in the June delivery month which far exceeds its inventory.
       
      Thus tonight we have the following JPMorgan gold inventory:  (same as Friday)

      JPM dealer inventory:  401,877.493 oz   12.50 tonnes
      JPM customer inventory:  143,212.149 oz  or 4.45 tonnes
       
      You will also recall three weeks ago on  Saturday (and again on that following Monday night,) I reported that JPMorgan had 470,322.102 oz in it’s dealer account. From that day until now, 68,444.61 oz was either withdrawn or adjusted out(on the dealer side), leaving the dealer side  at 401,877.493  oz where it sits tonight.
       
       
      I’m just trying to understand the “Cause and Effect” of this apparent ongoing situation; Shouldn’t this a big monkey wrench in the machinery??

    • My EXACT thought’s Pat, as soon as I head the headlines! My exact thought was – “I really hope these guys are not that stupid”!
       
      Otherrwise it will be the same game for these criminal banksters, just a different location/country.

    • @4_oz
      First, this is going to be long, I apologize in advance.
       
      For another opinion on deliveries/etc, you can read Ed Steers ‘gold and silver daily’  he covers comex deliveries/stops and inventory withdrawals/gains every day.  I think his slant would be appreciated by most here.  He also links to a ton of articles and I confess I’ve yet to find a day where I’ve had the time to read even 25% of them!  Like the paper or not, it impacts the price we pay, and those who trade the paper watch these things, therefore if you are concerned about the price of silver, you should too.
       
      First key is that a long COMEX instrument does not equal long JPM gold, it is long gold from one of the big 5 banks, could be any of the 5, just that JPM happens to be a big player in the delivery markets.
       
      Second key has to do with OI because I think harvey’s method gets confusing.  I look at open interest or OI (the amount of agreements between paper buyers and sellers).  Lets say the OI is 1,000, meaning people hold 1,000 longs and an equal number hold the shorts.  They can either choose to trade with each other to get out of their positions (this often happens), or they can choose to not trade out and either deliver or stand for delivery.  
       
      The key is to watch the OI as you get close to the delivery months, so right now the key OI to watch is in July gold, which is about 2,400 contracts (240,000 oz).  These 2,400 people have all July to either trade with each other, or make good on the physical. OI can drop one of two ways: physical delivery is made, thus eliminating the paper obligation, or two parties agree to trade with each other cancelling out each others obligations.  OI can increase when two new parties agree to trade with each other.  This happens frequently in future months, less often in the spot months such as July right now.  If OI in the spot month is increasing rapidly, someone has a very strong opinion as to the physical prices of gold/silver.
       
      So, now that you understand the OI, you don’t have to worry about harveys method tracking how much has been delivered already, just look at the total OI, and compare to the total registered and available stocks (registered, the smaller number, is more accurate in this case.  240,000 ounces worth of longs who could stand for delivery in July, 1,300,000 registered ounces.  This does not concern me yet.  If you really want to pay attention, watch how many deliveries there are in a day, and then watch how the OI changes the next day.  For example, if OI is 2,400 oz now, 100 contracts are delivered, the OI should be 2,300.  If the report shows it is 1,800, that means that 500 additional contracts were washed out by trading (i.e. a long sold to a short).  Vice versa if the OI increases.
       
      I don’t know it for a fact, but I think a lot of the delivery game is arbitrage between ETF and comex products, meaning the gold isn’t really leaving, but rather the ownership is just changing.  This can be tracked by following how much has left the registered line of the delivery reports, right now that number is steady to slightly growing.  Note the ‘total stocks’ number has dropped dramatically and is slowly decreasing, still near 2008 type numbers.

  2. 4 oz  I was wondering the same thing.  If the claims against JPM are 100,000 ounces more than they report having available to settle these claims, what wil happen if the claims are made, where with the gold come from and what is the real story here.  June 30 was the settlement date.   Did anyone hear more about this? 
    In a reality based world a 100,000 ounce shortfall would be big news and Harvey’s been doing the count down for some time now.

    • They are not bigger. JPM has 400k oz still in registered vaults, all July warrants are now settled.  Also remember that a comeX long doesn’t mean jPM owes you gold, just that one of the big 5 do, total of 1.3mln registered (what Harvey calls dealer inventory)
       
      the way I watch this is to pay attention to open interest in the contract

    • all *June* warrants now settled

  3. UBS, Deutsche Bank, JP Morgan….What could possibly go wrong by letting these organizations store your precious metals?

    • lol.  Right?  Most rich people aren’t very intelligent.  Business smart, lucky, born into wealth, yes.  So there will be a market for theft.  As for me, my silver will be stored in MY vault (wherever that is… :) ).  Poor suckers get what they deserve.  I’ll bet not one vault customer comes to this site to get informed.

  4. Mr B.  Roger that.
    DBank is pretty much flat broke. 
    UBS steals from their clients, aids tax cheating,  rigs LIBOR and launders money—in other words—business as usual. 
    JPM?  D–all of the above. 
    Like Ricky Ricardo said  “Eeet’s juss so reedeeeculous’  Babaloo

  5. Well this is funny! The banks are following the metals. So telling that it’s all going to Asia and there right there ready to Rehypothecate it.

  6. Anyone catch Barry Ritholtz trashing gold today? He’s getting worse every time I hear him speak. He’s turned into a real Wall St pimp with little understanding of the current economic collapse now underway. He says gold will rally to $1400 then go to $700.
     
    He didn’t make one good point on why people might want to hold some gold although its been up 12 years in a row. LOL.

Speak Your Mind