SD Bullion

World Gold Council Confirms Gold Buying Reporting Error

Only a few weeks ago, the Bank of England's subsidiary, the western gold industry mouthpiece so-called the World Gold Council. Claimed that global central bank gold buying last year in 2022 hit the highest level since a year before their London Gold Price rig failure in 1967. 

 

This past week, the Bank of England's World Gold Council admitted a massive central bank gold-buying error in their reports of the ongoing facts. They messed up and accidentally reversed their data sets from the last time they failed to keep the gold price politely suppressed.

Why are Central Banks Buying So Much Gold Now?

This past week, the essential bit of silver and gold-related news remains the World Gold Council's curious ongoing admittance and recent Q4 2022 update that government central bank gold buying is reaching annual levels not seen since 1967.

It is the most significant collective central bank gold accumulation movement since World War 2 and the Bretton Woods agreement era.

Japan Records Record Gold Price High

In a strengthening bullion bull market, when the short side tries to induce spot price decline attacks, they increasingly get smoked and smothered under higher prices.

During the last three-month run for gold prices higher, you can see many short-side betters buried under higher prices shortly after every red spike sell-off volume spike.

In today's COMEX gold price trading action, we saw a similar short snake bite quickly filled with a decent rally to close the end of this week.

This recent gold rally has undoubtedly been assisted by a relatively weaker fiat US dollar and by lower yields on US bonds since late last year. It has likely also been assisted by robust government central bank gold reserve buying at clips not seen since after World War 2.

International Central Banks Officially Testing CBDCs

The Bank for International Settlements continues working on the coming fiat CDBC payment infrastructure. Not merely retail versions, we are supposed to use one day with smartphones for regular daily payments. 

But also, many significant underlying payment technologies will allow wholesale trade settlements amongst some of our supposed multipolar rivals and their commercial banking systems. 

 

Citi Bank Buys $229 Million In Physical Gold?

A reported combination of avian flu hen culling and sharp increases in feed costs and farming expenses worldwide have led to another wall climb in price for a staple in the world's everyday diet. The highly nutritious chicken egg often fetches more than 50¢ per single egg in city retail supermarkets in the USA.

The internet was ablaze on the matter, with every meme maker seemingly all clowning on the skyrocketing price of eggs and the increasingly limited availability of supplies.

This past Wednesday's CPI report was the most significant moment in gold trading in this fresh new year.

Silver Price Poised After Record COMEX Withdrawals

Today we will look at how silver and gold have started the year and, most importantly, where they are likely headed based on current respective valuations versus historical precedence.

For example, the US stock market is still historically overvalued based on a range of long-term data sets. Wall Street Legend Burton Malkiel hurt stock market bulls' ears today by stating the following on CNBC.

The CAPE Ratio he cited is still at historically high levels, and +5 to 6% returns over the next decade are likely to underperform real price inflation by more than half as the fiat Federal Reserve note is poised to go into a secular bear market. With commodity values melting higher versus paper assets and bubble real estate valuations to come.

FDIC Prepares for Bank Failures as Bad Assets Climb

We're not alone in thinking another global financial crisis is inevitable. Financial leaders who regularly meet at the USA's Federal Deposit Insurance Corporation are also hard at work in hopes they will be prepared for the resolution of the original 2008 crisis, which was merely papered over by bailouts and delayed bankruptcies to come.

The FDIC problem bank asset size admittance, that figure ballooned this year. And the shape of their data and this graphic suggests the USA and the world might be sleepwalking into eventual financial spillover events, which can be boiled down to stressful time frames when seemingly everyone increasingly wants their capital back.

Given the tone of this FDIC meeting from last month, it is important for everyone to review the current bank bail-ins laws, and how a prudent bullion investment allocation can help individuals protect wealth if and when these laws are used systemwide.

The World Demands 200 Million More Ounces of Silver Than We Have

It was recently estimated by Metals Focus, a London-based silver analyst consultancy, that this year the world will have demanded nearly 200 million ounces more silver than we were able to supply from mining or recycling combined.

Not a surprise to those of you who have been paying attention. Because throughout this year, we tracked that nearly 400 million ounces of industrial-sized silver bullion bars moved out of the combined COMEX and London silver warehouse networks, much of which was to help meet record worldwide silver demand throughout this year.

While myriad industrial uses for silver continue to grow steadily. 

A combination of two major silver demand forces made this a record year for silver in 2022.

This Indian silver import chart is only updated through last October 2022, but you can see it has already reached a record high level. India will likely have imported some 300 million ounces of silver this year.

Demand for Gold Has Never Been This High Says Austrian Mint

The US government's underreported price inflation data, provided by its own Bureau of Labor and Statistics, came in lower than expectations this week at +7.1% year on year.

We're happy with this rate of price inflation.

For one second, suspend your disbelief, and consider that this admitted price inflation rate would halve the fiat US dollar's purchasing power in merely ten years.

What a difference a year makes after the financial market has sustained high price inflation conditioning.

This week the fiat Fed tapered the size of their rate hikes moving up only 50 basis points instead of the 75 basis point hikes we have seen.

Gold Standard Bill Introduced, Will It Pass?

West Virginian Congressman Alex Mooney spoke on behalf of his return to a Gold Standard Bill introduced two months ago, with near no chance of being considered seriously yet.

This bill H.R. 9157, if ever enacted into law, would require the Department of the Treasury to define the Federal Reserve note dollar in terms of a fixed weight of gold based on that day's closing market gold price. Federal Reserve Banks must exchange Federal Reserve notes with gold at this price. If a Federal Reserve Bank does not do this, the Treasury must make any exchange and place a corresponding lien on that bank's assets.

In addition, the Treasury and the Federal Reserve Board of Governors must report on U.S. gold holdings.