The largest US bank JPMorgan said it would deliver a large amount of raw materials - 30 million troy ounces of gold, equivalent to about 937 tons of gold - to New York under contracts that expire in February.
The delivery came as gold prices surged to $2,813 an ounce. It was also the second-largest delivery announcement ever in stock market data going back to 1994, according to Bloomberg.
The world's largest bullion trader announced the record transaction amid President Donald Trump's tax policies that have the potential to reshape the global trade balance.
According to Bloomberg, concerns about tariff conflicts have made it profitable to transport silver by air to the US. Silver is usually transported by ship because it is considered too cheap and bulky.
JP Morgan’s gold deal is just one of a series of signs that President Donald Trump’s tariffs are reshaping global trade, with many fearing the tariffs could fuel inflation in the US and damage relations with its allies.
On February 1, President Donald Trump announced a 25% tariff on goods from Mexico and Canada and a 10% tariff on goods from China. The three countries that have just been taxed account for nearly half of all US imports.
