By Maxim Borbut @Adobe Stock

Leslie Hook of the Financial Times reports that gold shipments to the U.S. have surged, causing a shortage in London and delays in accessing bullion from the Bank of England. Fears of potential U.S. tariffs and higher gold futures prices in New York drive this rush. Inventories on the Comex exchange have increased significantly as traders scramble to secure gold. Hook writes:

A surge in gold shipments to the US has led to a shortage of bullion in London, as traders amass an $82bn stockpile in New York over fears of Trump administration tariffs.

The wait to withdraw bullion stored in the Bank of England’s vaults has risen from a few days to between four and eight weeks, according to people familiar with the process, as the central bank struggles to keep up with demand.

“People can’t get their hands on gold because so much has been shipped to New York, and the rest is stuck in the queue,” said one industry executive. “Liquidity in the London market has been diminished.” […]

However, Cavatoni said he was cautiously optimistic that the coming tariffs would most likely not apply to bullion. “We are not getting a sense from the rhetoric from the administration that it intends to go after the monetary metals,” he said.

Last week, June contracts for physical gold on Comex traded at a premium of up to $60 per troy ounce over the London price. The difference has since fallen back to $10 per troy ounce as traders have moved gold to New York.

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