Page 26 - Bullion World Volume 02 Issue 08 September 2022

Bullion World | Volume 2 | Issue 09 | September 2022

Comex Inventories Plummet -

Is A 'Vault-Run' Underway?

Source: SchiffGold

Summary inventory surge during the Ukraine/Russia crisis to
While Comex deliveries have been very elevated for replenish stock.
over two years, most of the metal was going back and
forth within the Comex vaults. However, that surge has been completely undone and
inventories are now well below where they were before
May, though well above pre-COVID levels. Since May
2022, total inventories are down 17.7% and down
24.9% since February 2021. The past few months have
seen a major acceleration of gold leaving the Comex.
This is shown below with the big spike down on the
right side.

The past few months have seen a major acceleration
of gold leaving the Comex.

Unlike gold, silver has not yet started leaving the
Comex system in droves, but the amount of Registered
has fallen off a cliff.

Gold and silver deliveries on the Comex have surged Silver is also seeing a major change in inventory.
since March 2020. While delivery volume in 2021 and Unlike gold, the metal has not yet started leaving the
2022 are below the massive amount seen in 2020, Comex system in droves, but the amount of Registered
overall volume is very elevated compared to pre- has fallen off a cliff (Registered is metal available for
COVID levels. delivery). Silver Registered is down 41% since March
15, 2022, and down 65.7% since Feb 4, 2021, which
This analysis focuses on gold and silver within the was the start of the Reddit Silver Squeeze last year.
Comex/CME futures exchange. The charts and tables
below specifically analyze the physical stock/inventory This is a massive drawdown in metal available for
data at the Comex to show the physical movement of delivery. For now, the metal is staying in the Comex
metal into and out of Comex vaults. vaults, but if gold is a leading indicator, metal might
start leaving Eligible in a big way. As can be seen

Current Trends below, the amount of Registered has fallen to 16.6%,
While Comex deliveries have been very elevated for down from 40% in 2020. This is the lowest ratio since
over two years, most of the metal was going back and June 2017.
forth within the Comex vaults. There was not a major
extraction of metal. In fact, at the beginning of COVID,
a dislocation in the market brought a massive surge of
inventory into Comex gold vaults (see figure below),
even while delivery volume was breaking records.

In 2021, gold did start physically moving out of the
vault, albeit from much higher stock levels. After a
decent amount was extracted, there was then an

26