{"id":38618,"date":"2018-10-03T06:18:09","date_gmt":"2018-10-03T11:18:09","guid":{"rendered":"http:\/\/olduvai.ca\/?p=38618"},"modified":"2018-10-03T06:18:09","modified_gmt":"2018-10-03T11:18:09","slug":"lbma-clearing-and-vaulting-data-reveal-the-absurdity-of-the-london-gold-market","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=38618","title":{"rendered":"LBMA Clearing and Vaulting data reveal the absurdity of the London \u2018Gold\u2019 Market"},"content":{"rendered":"
\n

LBMA Clearing and Vaulting data reveal the absurdity of the London \u2018Gold\u2019 Market<\/a><\/h3>\n<\/header>\n
\n
\n

The first day of each month sees the reporting of a number of statistics about the London Gold Market by the bullion bank led London Bullion Market Association<\/a> (LBMA). These statistics focus on clearing data and vault holdings data<\/a> and are reported in a 1 month lag basis for clearing activity and a 3 month lag basis for vault holdings data. Therefore the latest clearing data just published is for the month of August, while the latest vault holdings data is for the end of June.<\/p>\n

While LBMA clearing data has been published for many years<\/a> now, publication of vault holdings data by the LBMA is a recent phenomenon and only began at the end of July 2017. As the LBMA press release<\/a> at the time stated:<\/p>\n

\u201cThe physical holdings of precious metals held in the London vaults underpin<\/strong> the gross daily trading and net clearing in London. The net clearing is undertaken by the members of the London Precious Metals Clearing Limited (LPMCL).\u201d<\/em><\/p>\n

Although in both cases the data reported lacks any granularity and are just rolled up numbers, the two sets of statistics are useful in that they highlight the clear contradiction that exists between the huge volumes of fractionally-backed paper trading in the London Gold Market, and the relatively small quantities of underlying physical gold that sit in the gold vaults of the same institutions engaged in this \u2018gold\u2019 trading, quantities which are even smaller when Bank of England and ETF gold holdings are excluded.<\/p>\n

\"\"<\/a>
LBMA gold vaulting data report for end of June 2018: Published 1st October<\/strong><\/figcaption><\/figure>\n

Vault Holdings \u2013 Underpinning \u2018Gold\u2019 trading<\/h3>\n

\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

LBMA Clearing and Vaulting data reveal the absurdity of the London \u2018Gold\u2019 Market The first day of each month sees the reporting of a number of statistics about the London Gold Market by the bullion bank led London Bullion Market Association (LBMA). These statistics focus on clearing data and vault holdings data and are reported […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[17309,17628,22063,22064,1110,1111,647,21499],"class_list":["post-38618","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bullion-star","tag-lbma","tag-london-bullion-market-association","tag-london-gold-market","tag-paper-gold","tag-physical-gold","tag-precious-metals","tag-ronan-manly"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38618","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=38618"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38618\/revisions"}],"predecessor-version":[{"id":38619,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38618\/revisions\/38619"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=38618"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=38618"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=38618"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}