Metals mid-week market report
Michael Smith & David Voreacos: Dallas-based NTR Metals wasn’t charged and prosecutors have declined to say whether the company is under investigation. The company, also known as Elemetal Direct, is one of eight divisions of Dallas-based Elemetal LLC. Trey Gum, general counsel for Elemetal, declined to comment.
The operations manager at a metals-refining company was charged with helping run a gold smuggling network that reaped billions of dollars for illegal mines controlled by drug dealers and other criminals in South America.
A criminal complaint against Juan Pablo Granda, 35, outlines a vast conspiracy involving employees at NTR Metals to buy huge amounts of gold from illegal mines in Peru that support human trafficking, forced labor, and environmental devastation. The scheme allowed the NTR Metals office in Miami to launder billions of dollars for criminal organizations—including Peruvian narco-terrorists—by buying gold from mines they control, according to the U.S. complaint filed in Miami.
Mid-Week Trivia Question: What percentage of copper does the U.S. import?
Mongolia Plans to Export 16- 40 Tons of Gold by 2020/AKIPress: "Gold-2" was approved by the Mongolian Cabinet as a key part of the raft of measures to revive the economy; it aims at increasing gold production by two to three tonnes annually, leading to an annual production target of 25 tons by 2020. Mongolian gold export is forecast to reach 15.8-40.0 tonnes in the next decade and gold revenue to $1.178 billion by 2020.
Pete: I feel that there is no way that they will come close to the top number in a few years, but it looks good on paper!
PM Fund Manager Dave Kranzler: Mehul Choksi, chairman of jewelry store chain Gitanjali Gems Ltd., is quoted as saying: “We expect some heavy buying in April as a large number of weddings are expected to take place. Legal Indian gold imports jumped up to 96.4 tonnes in February vs. February 2016. These numbers come from the finance ministry and not the World Gold Council or bullion banks. This reinforces the observations by many that the BIS-directed attempt to curtail Indian gold demand by removing cash from the financial system has failed.
Pete: The talk about Central Banks slowing down on their purchases of Precious Metals seems to incorrect!