The Rush To Pull Gold Out Of The U.S.

Something interesting is happening inside the plumbing of the global financial system. It was reported yesterday that the Netherlands just shifted approximately 86 tonnes of its gold reserves from New York and Ottawa to London, explicitly citing “increasing geopolitical unrest” and the need to prepare for severe crises. The Dutch central bank says gold held in London can be accessed and traded more quickly during an emergency than gold stored in New York or Canada. That is some wonderfully sanitized central-bank language to deliver a message that seems to me to be “confidence in the U.S. holding the world’s gold…and...