empty vaultRabobank has just followed in the footsteps of ABN Amro which effectively defaulted by halting deliveries of gold bullion in April, as the Dutch bank will close customers’ gold accounts effective September 1st!
With the GOFO now negative for a record 8th consecutive day, it appears the wave of bullion bank defaults warned of by William Kay may be just getting started.

 


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As Beurs reports (via google translate), Rabobank has given no explanations for the move, simply stated that customers can no longer acquire precious metals after September 1st, and will have up to 1 year to transfer open accounts to another institution:

Rabobank grabs the slump in the gold and silver market to get rid of accounts linked to these precious metals. It follows in the footsteps of ABN AMRO that made ​​possible the delivery of physical gold and silver a few months ago. It is striking that another Dutch bank takes a decision that the liquidity of physical gold and silver limited.

From September 1, customers can no longer precious metals purchasesWho then some in his account has standing, given a year to the balance to sell or transfer to another bankThe bank would be interested in such investment have seen decline for some time. Hence the decision to the product no longer to offer .

“Why does Rabo it?”, Asks Pascal Paepen of  De Morgen  himself. , “I do not know” was his answer.Were there a little too much to lose customers who had speculated? Or would the bank no longer dealing with products that are not in the market? The popularity of the precious metals account may significantly decreased by the rise of all kinds of ‘trackers’ and ‘ETFs’.

It appears that the barbaric relic known as “tradition” is becoming rather scarce to source or hold in volume in the Western banking system as the bullion banks have reached the bottom of their barrels.
Got PHYZZ??

 

Silver Buffs Generic Add2

    • @Arctree
      Geert Wilders?  Who in the heck is that? 
      How will getting out more have helped me to know this person?  I learn more on the internet
      than socializing with people like you

    • @silverhawk
      well perhaps you can google Geert instead.  Its not always about America y’ know and i wasnt socialising i was helping you to learn.  
      Look up Fitna (geert’s film). Fitna can mean sedition ( you may have to look that up as well) This may broaden your net horizons since you dont want to get out more. 
      If you dont understand what I mean the i suppose youll just have to go figure as they say over there.

    • Hehe Arctree,
      don’t mean to be mean-spirited with the Americans (this is basically an American blog), but…. eh…. mmmm….. Americans don’t exactly tend to know what’s going on outside America… hehe … ehhhh… mmmmm….. yyeeaaaa.
      That’s about all I can say.

  1. ABN AMRO Bank N.V. is a dutch state owned bank. The dutch state also owns 60% of Shell Oil. Rabobank is a Dutch multinational voted top ten of the worlds safest banks. Amro is a party to a civil lawsuit against Goldman Sachs as of 2010. It is estimated Holland gold, 600 metric tonnes is in Brussels. Political tit for tat, financial meltdown in “Holland”, or an effort to keep Dutch gold in Dutch hands? I select A and C. Holland is has a very stable economy with state owned multinationals. The FED owns 40% of all Treasuries with maturities over five years. They have purchased 40% of all Treasuries since 2009. The hints of tapering to an exit is anathema to the FED’s positions and long term interest rates. Their solution? Get Hatch, a warm, lovable fuzzball of a Republican with long establishment ties and beginning his last term to offer up a bill backed by Big Insurance to allow public employers with pensions to payout annuity premiums. Seems their next few moves are already manifesting. With voter’s apathetic to change DC, they can and will use public worker pensions to exit their QE monstrosity…then go after private employers next? +10 to the Dutch to keep their gold…

    • Well, Rabobank has mortgage takers killing themselves in front of their building, due to the desperate situation this has put home owners in. In The Netherlands, you can’t just stop paying mortgage terms, or hand the bank your keys and go live in a trailer. No such option. You are bankrupt, but cannot default in the popular sense. Endebted for life.
      Anyway, not soooo sure Rabobank is all that safe. No FEDs to buy their sub-prime (crap) mortgages. Just tick the already high Duch mortage interest up a single notch, and there will be bloodshed. With knives though, as we don’t have guns there.

    • I was thinking after some 45 minutes looking up the Dutch…maybe someone or some hedge was placing big bets for the Dutch gold and the dutch wanted nothing to do with that action for delivery with the obvious manipulations and all. No doubt the FED went through the gold in their vaults and are trying to soak up bars else where? Shanghai and the Dutch could have been targets? PM’s have to go to the moon, soon, like to me is 3 qtrs at the most, and the music will stop. Make sure you have your seat…at these prices in July and hefty sales numbers, the seats will all be taken. If I have to…I will melt down libirtads and maples to make painted handles for my filing cabinet, or for a painted yard jockey, or even painted rocks in my aquarium…the US will not get anything. It is legal to melt anything save US currency. Screw the, so-called by Adam Smith, “all for us and nothing for you” crowd of soul-less creatins. 

  2. rambling through Harvey O’s site, the major US bullion banks have about 29 tons of gold.  Period.  What happens to a bullion bank that is stripped of every ounce of gold and can’t be the backer of paper trading via their physical holdings, even if the leverage is 100 paper ounces to 1 ounce of physical.   They are M.T.  Zip Nada zip.   One or more of these banks could be zeroed of phyzz.  What happens then?
    It just occured to me that I have no idea of the result if this happened
    And another thing.  GLD is down to 936 tons of gold.  Each share goes for $123. That represents 1/10 of an ounce of gold.   Soros owns well over 500,000 shares of GLD.  That would be about 50,000 ounces or 1.6 tons.  He could easily buy another 5,000,000 shares for 615,000,000, a puny amount of cash fom someone worth $30 billion
    With that ownership, he could demand 16 tons of gold.  That is a lot of gold in dollar value but no more than 30 cubic feet.  A ton of gold is a cube  15 inches square on each side.
    If your floor can take that load you could put it in your garage, over in a corner, stacked 2 high and take no more room than a 30 cu ft closet. 
    If JPM wanted to acquire gold they could do the same thing.  They picked up 2,000,000 shares of SLV, the silver ETF.  50,000 shares allows you to take delivery of roughly  the same number of ounces.  2,000,000 SLV shares; 2 MOZ. 
    With the deep pockets of these mega banks and investors, they could strip the GLD and SLV of their metals, take delivery and do something to refill their vaults.   If the eventuality of bare vaults hits the bullion banks, what are we going to see?
     

    • Imagine having a wooden floor over concrete…over a rug…over gold bars…and a rug. You could store many, many tonnes under a wooden floor. And easy access in case you need to buy a new Ferrari or heli.

    • @XC Skater  Better yet… Imagine laying over a woman, over a rug, over a Ferrari, over a wooden floor, over concrete, over a rug, over gold bars!!!  (bright eyes) Uhhh huhh!

    • “It just occured to me that I have no idea of the result if this happened”
      Public Market Price will take over.  As it is already to a certain degree with the high premiums.
      When the public supply gets closer to zero, you can name your sell price.  Or barter price.
      If the price of a gallon of gas is $2.75 on the market floor, yet there is only one station open in town with gas, what do you think they can charge?  Take it or leave it, they’ll be someone who will be there to pay the price.

    • “One or more of these banks could be zeroed of phyzz.  What happens then?  It just occured to me that I have no idea of the result if this happened.”
       
      At a guess?  Nothing.  These guys are into make-believe, big-time.  They buy and sell paper gold with fake fiat money.  Why would they ever worry about phyzz when they can just pretend that they have it and are trading it?  Most of these guys just want the trading price action, so whether or not there is ANY phyzz is pretty much irrelevant to them.  Perhaps we will soon see some kind of statement about these traders settling in dollars or in phyzz, their choice, and they will always choose cash.  If so, phyzz becomes irrelevant to their trading game.
       
       

  3. “who then some in his account”
    “the bank would be interested in such investment have seen decline”
    Google is so busy making sure the feds have all our search information that no one there has time to write a decent translation program?
    Expecting to see a human’s translation of this statement very soon. No mention of this release on any news site as of 19:45 mountain time, maybe it’s not really that important.
     

  4. Ranger I heard that he exited most of his position just before the April price smash  Great timing.  Maybe a bit of insider intel
    But there was a story on another site a few days ago that said he jumped back in for $215,000,000.   If he’s bottom fishing the timing was good.  With Soros, he doesn’t have to report everything but his funds are sort of transparent.  He’s like gravity.  You may not see the moon but the tides tell you it’s near.  Paulson has stayed the course in  GLD and owns billions of the ETF.  He rode it up and then down big time but what the heck, what’s $2-3 billion in losses to him. 

    • Timing of this sort is like coincidence.  Or the Tooth Fairy.  Both have about the same likelihood of being spotted.  Insider info exchanged during a $200 a plate lunch is more likely with these pirates.
       
      As to Paulson, what it is to him is a black eye.  Quite a few of his customers have left his hedge fund due to the losses in gold.  For a while there, the S&P 500 Index was kicking his butt in terms of return.  That is not a good thing when one is supposed to be a schiznit hot hedgie big swinging d**k and Master of the Universe.  lol
       

  5. What? What’s the problem here? There’s ‘plenty’ gold and silver just busting out the walls of vaults at the Central Banks … EVERYWHERE! We have that on zman’s impeccable logic, so THAT’S a GIVEN! Hell, banknotes have DECADES more to run before THEY even BEGIN to show even a HINT of general rejection, ain’t that what NetRanger said? Gosh, makes sense to me, after all, their purchase power has ONLY declined 97% (or is it over 98% now?)! DECADES, I tell ya’. DECADES to go! The God-Governments will MAKE it happen! They’re GODS, don’t ya’ know? They’re GODS!

    • “If they are really so short of physical gold, why would they allow a year to move your account?  Wouldn’t the doors just shut?”
       
      I dunno, maybe.  Makes me think of why they need 7 years to repatriate the 1500+ tons of German gold from the NY Fed.  After all, the Fed / Gov claims to have 8,000+ tons of the stuff on hand. (cough, cough)

    • No, no, no @Ed_B
      300 tons is repatriated from the US, in 7 years. Not a word about the other 80% which the Germans did ask for.
      300+ tons from France, also in 7 years, is being worked on in Mali as we speak.

    • Thanks for the update on the gold numbers.  Whatever they are, the salient fact is that the Germans have asked for their property to be returned to them and they were essentially told, ‘Sorry, we don’t have it but if you give us enough time, we should be able to round up some of it’.  Makes me wonder just how much gold has been shipped off to various countries from the US and / or the UK and for how long has this been going on.  Clearly, there is a LOT going on in this that has not seen the light of day and that may not ever see it.

    • So about the time germany asked for the gold back we started seeing comex stocks start to drop.  if we are correct in assuming the us has gold loaned out it may be possible they went calling it back from who they had it loaned out to, those people then sourcing the physical through cash, forward, and futures mkts, resulting in the shortage we’re seeing now.  how much more needs to be done?  This is all a theory, but I’m thinking the thought has merit.
       
      Also means that likely when the buying is done we see the GSR get smaller?

  6. http://www.nytimes.com/2013/07/18/world/europe/greece-approves-new-austerity-measures.html?_r=0

     
    <nyt_text>
    ATHENS — Following two days of intense debate, Greece’s Parliament narrowly approved a barrage of new austerity measures early Thursday, including a contentious plan for thousands of layoffs and wage cuts for civil service workers. The approval paved the way for the release of additional crucial financing from the country’s foreign creditors but raised questions about the stability of the fragile coalition that is to enforce the cuts.
     

    • Net Ranger
       I read a note yesterday that Greece will have a 10 billion Euro shortfall. There is no way they can bridge that gap. The last time Greece was that bad off was just recently and that was only about 2.5 billion Euros.  Greece can and will destroy the Euro banking empire.  If I was Greece I’d default and stop paying on any loans, go back to the Drachma and tell the Euro-drones STFU   Molon Labe resonates just as loudly to as it did over 2,000 years ago.   The Greeks have minerals, gold in the ground, oil and natural gas.  The reset they are being forced through now by the ghouls in Brussels and Germany would not be worse than what they would go through by getting their natural resource enterprises going. 
      I’d also reach out to Putin and see what he could do. Maybe help with my offhsore nat gas resources.
       Since Cyprus is completely screwed I would also set up the Greek banking system to offer the best offshore banking system in the world and offer anyone who had a billion shekels to rub together complete privacy, since the Swiss have bent over and are taking it up the a** from our govenment. 
      As far as I am concerned it beats the crap out of having the crap being beat out of me by some jackasses in Nazi Uniforms and $5,000 suits.  When the going gets tough the tough get going.  The Greeks meant something back in the day. They could become the Hong Kong of the Mediteranean, offering a conceirge system of services to the world’s wealthy and tell Hollande, Monti, Draghi, Merkel, Weaselboom and the rest of the Euro-crat rat bastards they can GFT.

    • “Since Cyprus is completely screwed I would also set up the Greek banking system to offer the best offshore banking system in the world and offer anyone who had a billion shekels to rub together complete privacy, since the Swiss have bent over and are taking it up the a** from our government.”
       
      Them taking it up the @$$ doesn’t bother me near as much as does the s**t-eating grin on those who are on top.  
       
      Yeah, the Swiss sold their soul for rock-n-roll.  So what?  They WERE bankers and they have devolved into banksters.  Seems a natural, if profane, result… like mold growing on leftovers in the fridge.  
       
      Private off-shore banking can still be done with Singapore and the Cook Islands taking over where the Swiss left off.  Just for giggles, do a web search for Cook Islands and banking sometime.  It’s quite illuminating.
       
      As to Greece… yeah, the only way they are going to survive as a nation will be to use the Iceland strategy to exit the EU financial maze.  Otherwise, they will get strung along, further and further into unpayable debt until every bit of wealth has been well and truly extracted from them.

  7. http://www.reuters.com/article/2013/07/17/us-sec-gupta-idUSBRE96G1B820130717

     

    By Jonathan Stempel
    Wed Jul 17, 2013 6:58pm EDT

    (Reuters) – Former Goldman Sachs Group Inc. director Rajat Gupta was ordered to pay a $13.9 million civil penalty and banned from serving as an officer or director of a public company for having illegally passed corporate secrets to former hedge fund manager Raj Rajaratnam, a top U.S. regulator said on Wednesday.

  8. Yes, fear of physical delivery may have been reason to quit the ETF game before the others. A few large position may have been taken and accepted before giving it much thought. Running into delays at COMEX, but expected to deliver when asked…that’s not a comfortable position to be in. So, stop taking new clients, and once you have a comfortable amount of metal, quickly take the delivery part out of the deal. The clients that did it for this reasons could extract it without fuzz, the others were too late to give it a real thought, or ended up visiting a bullion dealer to really lock in their physical position.

  9. copy that Net Ranger.  The Greeks have  spent 2 generations sucking from the glorious golden titty  When the Eurozone membership allowed them to borrow on cheapo delux rates, they doubled down.  I am not sure if the Greeks are up to this transformation but if they are not, the next step will be something on the order of the 5th level of Dante’s hell visited on the streets of Greece. 
    It’s one thing for poor people who’ve been thrown under the bus to take to the streets in protest.  When civil servants get hosed and thrown under the same mass transport system, they tend to get really cranky and end up  breaking things. 
    Besides which, they know where the bodies are buried, the nodes are and where the bosses live.  A really pissed off Greek can be pretty formidable, even  if for the wrong reasons.

    • Reasons?  REASONS?!  We don’t need no steenking reasons!  lol
       
      Maybe we will soon see a bunch of info that reveals all manner of scandals involving Greek politicians.  An occasional assassination would not be shocking either.

  10. BTW I just terminated my faCIAbook page account.  Between that delogging of the total bulls*** of CIAbook, I found a google proxy search engine called startpage.com.  They use a proxy searching system that does not store your google searches in your computer or cnnect back to your searches. You can still find exactly the same data as a google search but with no paper trail, dossier compilation, tracks and traces of your search or cookies.  I’ve been using it for about a week now and it appears to work well.  FYI

    PS XC Skater and other Dutch friends have my sympathies in dealing with SIFIs like BAN MOAR BANK and KRABBO BANK. With friends like those who needs enemies.

    • @AG,
      As many non-Euro’s don’t realize, the banking system is actually awesome to deal with here, in some respects.
      What about same-day, cost-free, wire transfers all through Europe via the IBAN system? Americans can even transfer money between themselves without complexity.
      No need for credit cards, wait time, interests, etc. Just out of one account, into the other.
      Dutch mortgage interest is actually some of the world globally I think. Lack of competition between banks, and the market closed to foreign banks who desperately want in on the action. I decided to rent in 2008 when I moved houses. One of my better decisions thus far. My house would have depreciated about 2x the amount my stack is to date.

    • :)
      Been using startpage for years.
      Albeit, if “they” want you and your traces, they’ll find you and the e-trace you leave behind you.
      But yes, startpage is good.

    • In fact,
      if “they” are sufficiently interested in you, “they” have nice unmarked vehicles that can sit near or in front of your house loaded with neato (yes neato is a word haha) equipment that allows “them” to pick up whatever you are doing on your computer (notice I didn’t say “online”…). Very sophisticated stuff out there. When used right (typically a specific warrant is needed I believe), it has caught many a sicko abuser of young ones.
      So, people think that they’re safe because their computer isn’t logged on the web and they’re removed wireless chip from their computer… mwahahaha…. “they” can pick up whatever electronic signal that is emanating from your house.
      Lesson?
      Do good, avoid evil, and at least you’ll not get in trouble for doing bad things!
      (PS: I love our law enforcement: most guys are good guys that are serious about catching creeps and evil-doers, many of whom are caught: unfortunately, too few do get caught, and the richer and more powerful they are, the more they can pay their way out of trouble).

    • Case in point:
      I don’t come on here and tell everyone where I live, but, as unsophisticated as they may be electronically, SD can identify my location with my IP address … meaning the Doc and the crew can figure out where I live if they’re so bored as to care.
      That’s them.
      Imagine those who have millions and billions at their disposal for uber-neato technology.
      wow!

  11. Makes you wonder if their remaining physical will be used for another smash… making a flood of more bulls throw their hands up in the air and bankrupt another batch of miners. Many here will probably cheer because they can buy a bit lower, but it could actually destroy sentiment to the point where it takes years to recover, or even until the next economic boom (which could take even longer). Not what I am looking for personally at least because that money could have been used more productively than having it “locked up” in gold/silver.

  12. XCS  My worry about the Benelux banks is their leverage. And the Netherland tax haven situation that makes the banks in that country exposed to theft from the ECB and IMF.
    From what I’ve read, some of these banks are leveraged far beyond the typical French or Spanish banks.  Their exposure to home mortgages, PIIGS bonds and derivatives might prove troublesome.  My overall view of the Eurobanking system is that it is more leveraged than ours,(35 to 1 vs US 13 to 1) with a worsening economic condition in all the countries along with Germany’s weakening economy.  The bail-ins started in Cyprus. Weaselboom et al has stated clearly that this is policy for all banks.  Dbank is weak and some say it might fail.  We’ll see.
    But that was supposed to be the strongest bank in the union

    Widget  I share your concerns too. Since the price of silver went from $49 to $19 in barely two years, that would scare most people if they didn’t know the back story and real details of silver prices.  When silver went from $49 to $2 an ounce in 1980, that sent silver to the dog house for nearly 30 years.  And that would be pretty nasty for us stackers.
    I am confident that while we might see $16 silver in a crash of some sort, the potential for sub $20 silver being a bottom is probably reasonable in spite of the patience-challenging prices we’ve seen for the last 3 months. We have trouble finding silver at less than $2 over spot and a 4 week wait. I’d be thrilled to see $25 or $30 and that’s a fact.

    • “When silver went from $49 to $2 an ounce in 1980, that sent silver to the dog house for nearly 30 years.  And that would be pretty nasty for us stackers.”
       
      It’s understandable that a lot of people would look at this situation in just this way.  Stackers, on the other hand, would see this time period as the greatest buying and stack building opportunity of a life-time.  :-D

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