Are Paper Gold Markets in Serious Trouble?

Are Paper Gold Markets in Serious Trouble? Paper gold markets are trading under stress while the threat of tariffs pressures Western exchanges. While tariffs with Canada and Mexico have been delayed for 30 days, additional uncertainty continues to chip away at the underlying fundamentals of the gold market. US gold is trading at a massive premium over the LBMA, creating arbitrage opportunities for big banks who are stockpiling gold in the US, draining liquidity from the market in London. As EFP swap lines deteriorate, we find ourselves witnessing a potential catalyst for structural change in the global gold market. ——