This Central Bank Reduced Foreign Gold Deposits by 47 Tons in November

Federal Reserve Foreign Gold Deposits

Koos Jansen at reported that the Federal Reserve Bank of New York (FRBNY) – the custodian for part of the official gold reserves for 36 nations and the International Monetary Fund (IMF) – saw its inventory of foreign gold deposits drop by 47 tons in November 2014. The FRBNY has lost 166 tons of gold year-to-date, and only publishes how much gold it stores in total for the IMF and foreign nations – it’s not country specific.

Industry analysts speculate that most (if not all) of this reduction in gold inventory could be for two countries. The Dutch Central Bank reported in a press release on November 21 that it had repatriated 122.5 tons of gold from the FRBNY. The German central bank – better known as the Bundesbank – first announced plans to bring home 300 tons of its gold stored in the US in 2012. However, only 5 tons of gold were received from New York in 2013.

In a February 19, 2014 interview with Handelsblatt, Carl-Ludwig Thiele, a member of the Executive Board of the Bundesbank, said:

In the first year, we transported five tons from New York. This year we will transport 30 to 50 tons, or perhaps even more, from New York to Frankfurt.

The Bundesbank also responded to an inquiry from Jansen to confirm that Germany was on track to take back its gold at the accelerated rate.

This latest report is more proof that central banks want gold in their possession, instead of a promise their gold is available – which may or may not be kept.