Tag Archives: physical delivery

SGE Delivery YTD 1928 tons, 43 tons in Week 47

Physical delivery from the Shanghai Gold Exchange remains extraordinary robust throughout November. According to numbers released today by the SGE, last weeks delivery was 43 metric tonnes, up 7.5 % from a week earlier. Total SGE delivery year to date stands at 1928, on track to reach 2092 tons at the end of December. Total SGE delivery equals Chinese gold demand (jewelry, industrial, bar and coin demand).

In September I interviewed Alex Stanczyk, Chief Market Strategist for the Anglo Far- East group of companies. From his contact at the biggest gold transporter in the world, he told me there was even more gold being shipped to China than was moved through the SGE, and most of this gold came from the UK and Switzerland. This is what Alex tweeted today:

I will do another interview with Alex somewhere next week and publish it shortly after.

Overview SGE data week 47

– 43 metric tonnes delivered in week 47 (withdraws from the SGE vaults), 18-11-2013/22-11-2013
– w/w + 7.5 %
– 1928 metric tonnes delivered year to date
– weekly average 41.02 tonnes YTD, 2013 estimate yearly total 2092 tonnes.


For more information on SGE delivery read this, on it’s relation to Chinese gold demand read this.

SGE physical delivery week 47

Screen dump from SGE trade report; the second number from the left (本周交割量) is weekly physical delivery, the second number from the right (累计交割量) is total delivery YTD.

SGE gold delivery week 47

Premiums based on the SGE week reports. Difference between SGE gold price in yuan and international gold price in yuan.

Shanghai Gold Exchange premiums

Below is a screen dump of premium section in the SGE weekly reports; the first column is the date, the third the international gold price in yuan, the fourth is the SGE price, and the last is the difference.

SGE premium section

In Gold We Trust

Shanghai Gold Exchange 2

Mainstream Media Reports On SGE Physical Delivery

Although I can’t track all media on Shanghai Gold Exchange coverage – maybe they report more on it than I know – but as far as I know the big guys wrote about SGE physical delivery twice now. 

Bloomberg, 15 July 2013:

The Shanghai Gold Exchange supplied 1,098 metric tons in the six months through June, compared with 1,139 tons for the whole of last year, according to data from the bourse today. 

Reuters on 18 October 2013:

Physical deliveries from the Shanghai Gold Exchange totaled 1,709.056 tonnes as of Friday, data on the exchange’s website showed. 

What is important to understand is that the majority of these deliveries are supplied by imports from the west, and they give us very detailed information of Chinese gold demand. The gold exodus from west to east is accompanied by the power shift from the US to China, and underlines the end of the US dollar hegemony. 

Slowly this information is reaching the masses. Slowly, but surely, it will have an enormous impact on power relations between nations. 

In Gold We Trust