In other words, that is Gold’s biggest monthly profit since March 2024 – and by the time that this month is over, that figure can easily be a lot higher.
Trump’s rates and market reactions
After his inauguration, President Trump announced the self -proclaimed ‘Tariffman’ plans to impose 25% rates on Mexico and Canada by 1 February. He also threatened to launch an Economic War to the rest of the world with the rates – causing concern in the market that radical rates may apply to gold that has traditionally been exempt from import duties.
Whether that becomes a reality or not, can still be seen. Savvy traders, however, did not wait to find out.
Gold stock and the Comex Surge
Since President Trump’s inauguration, traders and financial institutions have collected stocks of gold on Comex – the New York Commodity Exchange, while in exchange created a shortage in London.
London is the home of the world’s largest freely available Golden Trade Hub, where large market participants trade directly with each other instead of via a exhibition.
The increase in New York has seen gold stocks on Comex more than 75% – placing the greatest inflow since 2020. The importance of this cannot be underestimated. At present, traders in London cannot get gold in their hands because so much has been sent to the United States – and the rest is stuck in the queue ready to connect it in the bulging safes of the Comex Commodity Exchange.