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LBMA: gold ounces transferred daily declines in January

Kitco News

(Kitco News) -The amount of gold and silver transferred between accounts of London Bullion Market Association members fell during January, the organization reported Tuesday.

The LBMA releases clearing statistics each month showing the net volume of gold and silver transferred between accounts of members, essentially providing a snapshot of the amount of trading activity. The data are released one month in arrears.

The volume of ounces transferred daily in January fell by 7.5% month-on-month to 19.4 million, although the corresponding value was 2.2% lower at $30.2 billion, the LBMA said. There was a daily average of 3,832 transfers in January, up 13% from the prior month. Clearers settled on average 5,056 ounces per transfer, 22% lower month-on-month.

In silver, the average amount of metal transferred daily in January decreased by 15.1% to 272.1 million ounces, with the corresponding value 11% lower at $4.89 billion, the LBMA said. There was a daily average of 1,190 transfers in January, up 3.6% from the previous month. Clearers settled on average 228,770 ounces per transfer, 18% lower than in December.

The 19.4 million ounces of gold transferred daily last month were down slightly from 19.6 million in January of 2019, according to the LBMA data. Silver transfers of 272.1 million ounces daily last month were down year-on-year from 288.1 million.

The gold-silver price ratio averaged 86.9 in January, the highest ratio since August 2019, the LBMA said. The ratio measures how many ounces of silver it takes to buy an ounce of gold, with a higher number meaning gold is outperforming.

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