01.02.2025 11:51
The move by U.S. President Donald Trump to increase taxes has caused great fear at JPMorgan, the largest gold trader in global markets. The bank is now in a rush to move its gold assets from abroad to America in order to avoid being affected by additional tariffs.
```html
The conservative approach of U.S. President Donald Trump regarding tariffs is causing concern in financial circles. JPMorgan, the world's largest gold trading institution, is planning to move its $4 billion worth of gold bullion to the U.S. due to Trump's rhetoric about rising tariffs. Market players are also beginning to take precautions.
The bank in question was among several institutions that announced a delivery plan on Thursday for positions expiring in February on the Comex, part of CME Group. Delivery notifications reaching 30 million ounces constituted the second highest volume in the history of the exchange, dating back to 1994.
THEY TURNED TO PHYSICAL GOLD OUT OF TRUMP FEAR
Concerns that customs duties on imports would increase following the election of U.S. President Donald Trump had caused futures gold prices on the Comex to rise above spot prices in London. Following the Fed's decision, while spot market gold surged to record levels, the additional premium on the Comex created a profitable arbitrage opportunity for a limited number of banks that can quickly transfer bullion between major trading centers.
Although millions of ounces of gold are traded daily on the Comex, only a limited portion of this is completed with physical delivery. Most long positions are rolled over or closed before their expiration.
The Comex is generally used to maintain positions in London, the largest trading center, and banks balance long positions with short positions in New York. However, since the day of the U.S. elections, physical stocks in the exchange's warehouses have increased by 13 million ounces, or approximately $38 billion.
```