Gold prices fell but there seems to be an increase of supply not a drop in demand. Peter Schiff looks at Central Banks and asks, "What's in the vault?" This won't end well and will affect our financial health.
He lays out the case that a lot of gold supposedly in storage has been lent out or sold. When Germany asked for some of its gold back this spring, the NY Federal Reserve Bank wouldn't let them view it and will take seven years to return it. The COMEX inventory has dropped sharply. A Dutch state-owned bank said April 1st that it would not give back physical gold, forcing depositors to take "money" instead. Morgan Stanley is rumored to have had serious runs on gold it holds for clients. All this makes sense if the political actors behind the central banks have been secretly misusing gold. Lower gold makes it look like the national currency hasn't been diluted and devalued. This won't end well.
Who has gold reserves?
More gold in jewellery than in vaults.
Where does the US have its gold?
h/t Zero Hedge for the Peter Schiff story.