Gwenda buys GDX 13.98: In fact, a recent eight-week period saw 512 metric tons of gold withdrawn from the SGE.

Sure, second-quarter demand was way down. In fact, the flow of gold through the SGE is already 36% higher than last year and 13.5% higher than the level of 2013. And 2013 was a record year. Well, Indian gold imports are surging. So how well are these schemes working? India is doing this because it wants to get the masses of idle gold lying dormant in vaults and households throughout the country out into the open.


Rosaria:
In gold monetization, people turn in bullion or jewelry at a bank.

Inez:
People can turn in gold and get bonds against them, paying an interest rate of around 3%. The bonds are for five to seven years, and for five, 10, 50 and 100 grams of gold.

Argentina:
The sovereign gold bonds are aimed at curbing domestic demand for physical gold among investors.

Jamie:
And so far, with prices at a month-long low, gold is looking like a bargain.

Luella:
This despite the fact that India still has a 10% import duty on gold.

Neva:
In August 2014, the figure was a mere 50 metric tons.

Tenisha:
But with inventories in those funds scraping bottom, gold may be harder to come by, which, in turn, should up the price.

Bobbie:
Why would someone need to borrow gold in London?

Sixta:
This current move up in gold could extend well into the fall and will convince skeptics as it moves up.

Angelita:
Note how the volume has increased as the GDXJ has bottomed, increasing on the upswings.

Gold Miners ETF Market Vectors (AMEX:GDX)
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