The New CS Board

[jumanji0881]

Basel III is not a game-changer for gold prices and will lead to higher costs and lower liquidity - Bank of America : https://www.kitco.com/news/2021-06-21/Basel-III-is-not-a-game-changer-for-gold-prices-and-will-lead-to-higher-costs-and-lower-liquidity-Bank-of-America.html

My comment: The big banks do not like Basel 3

Excerpt:
Bank of American said that faced with the new funding requirements, bullion banks are more likely to either increase transaction costs or reduce their exposure in the precious metal sector.

"In our view, rising funding requirements for unallocated gold means that financial institutions 1) either reduce the bullion business or 2) sustain activity and put more funding aside. Either way, we don’t think that these dynamics are bullish for gold as such, also because it seems unlikely that banks would support their business by purchasing gold outright, rather than using unallocated gold," the analysts said.