LBMA Clearing Banks Risk Collapse, Silver Raid Rattles Comex

Samuel Briggs via Kinesis

LBMA Clearing Banks Risk Complete Collapse

In this week’s Live from the Vault, Andrew Maguire breaks down the LBMA’s latest, desperate attempt to lobby for an exemption from Basel III:

At the close of Q2 this year, Basel III will make unallocated gold trading impossibly expensive, with market makers experiencing an 85% haircut on each trade. With tens of thousands of tonnes of fractionally-held gold and silver cleared every year in the London market it’s no surprise that, as Andrew Maguire put it, the LBMA are fighting ‘tooth and nail’ to obtain an exemption.

As implementation day fast approaches, Andrew Maguire reports on collusion between the LMBA and CME, in a bid to buy time to unwind massive interconnected unallocated positions.

The long-time wholesaler also offers a short-term outlook for gold and silver, and explains this week’s long-awaited positive price movement in the precious metals markets.

A week on from the silver raid, the precious metals expert sends out his appreciation to the legions of silver stackers worldwide, who bought up as much as physical silver as they could afford on May 1st.