The world consumes 82 million barrels of crude oil each day. At $85 per barrel the physical trade of crude oil is worth $6.97 billion each day. This means that the amount of gold that changes ownership each day is, in dollar terms, over 3 times the dollar value of crude oil that is consumed each day.
And theirs is a signficant amount to be removed, which is why the Venezuela request is so important...
We could see a serious jump in the physical gold price as the demand for deliverable physical gold by the bullion banks seriously ramps up. And if there is difficulty procurring that Gold - look out!
The mad scramble for phyiscal will only intensify as others start demanding their Gold.
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