Basel 3 seems like a win on the surface but rather than buy up tons of metals to rebalance their allocated/unallocated pools, they simply scale back their PMs trading and have trillions in tier 1 assets via tax payer bailout money.
The banks never get cut out.
The long term outlooks for metals is bullish thought. But you saw how gold and silver dropped drastically when Basel 3 kicked in. Expect volatility in the short term.
Basel 3 seems like a win on the surface but rather than buy up tons of metals to rebalance their allocated/unallocated pools, they simply scale back their PMs trading and have trillions in tier 1 assets via tax payer bailout money.
The banks never get cut out.
The long term outlooks for metals is bullish thought. But you saw how gold and silver dropped drastically when Basel 3 kicked in. Expect volatility in the short term.
Hold your metals.
The banks will just ignore the requirement and the regulators will look the other way. Same as it ever was.