Germany’s Largest Bank Refuses “Deliveries of Physical Gold” After Customer Request
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By Mac Slavo
Every share in gold is supposed to represent a certain amount of physical gold in storage, and be available on demand.
But that’s not what happened when a customer asked for their gold at Deutsche Bank, the largest German bank participating in the gold exchange; instead, the bank officially refused physical delivery of gold after a request, stating a vague change in “business policy.”
Is the real reason that such a request was refused that a surge of investors seeking a safe haven during a period of currency collapse has strained the bank’s meager deposits, and they don’t want to admit how short the position is?
There isn’t nearly enough gold and silver to meet the obligations of everyone holding shares in these important commodities; banks lend out and leverage gold just as they do with other deposits.
If enough people demand physical possession at one time, the bank or institution could be caught with its pants down, and it is possible that this is a case of avoiding that position by simply refusing to even meet that demand.
Via RT:
Clients of Germany’s biggest bank who have invested in the exchange-traded commodity Xetra-Gold are facing problems when they want to obtain physical gold, according to German analytic website Godmode-Trader.de. Xetra-Gold is a bond on the Deutsche Börse commodities market, and Deutsche Bank is a designated sponsor. On the website, Xetra-Gold says its clients have the right for physical delivery of gold.
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