INTERVIEW: Jan Nieuwenhuijs Exposes Faulty Audits of U.S. Gold Reserves

The global gold market is experiencing seismic shifts, and according to Jan Nieuwenhuijs, a gold market analyst for Money Metals, key developments in gold flows, central bank holdings, and U.S. gold policy signal significant changes ahead. 

In a recent interview with Tom Bodrovics on Palisades Gold Radio, Nieuwenhuijs provided insights into the movement of gold from London to the COMEX, the controversial audit history of U.S. gold reserves, and the growing role of gold in the international monetary system.

Gold Flow from London to the U.S.: Trade Tariffs and Arbitrage

One of the most significant trends in the gold market has been the movement of gold out of the London Bullion Market Association (LBMA) vaults and into the U.S. COMEX system. 

According to Nieuwenhuijs, this shift began when Donald Trump was elected in 2016, and fears of potential tariffs prompted bullion banks and traders to move gold into the U.S.

“We saw a premium rising on COMEX relative to the London spot price, and this was very much tied to tariff concerns,” Nieuwenhuijs explained. “Some dealers wanted to secure gold inside the U.S. before any tariffs were imposed, while others saw an opportunity to arbitrage between the two markets.”

JP Morgan and other bullion banks played a significant role in this arbitrage, purchasing gold in London at a lower price, refining it in Switzerland into 100-ounce and kilo gold bars, and then delivering it to COMEX. The result was record-breaking delivery volumes at COMEX, reflecting rising demand for physical gold within the U.S.

However, Nieuwenhuijs noted that the continuation of this trend remains uncertain. 

“Trump’s stance on tariffs has been inconsistent, we have to wait and see how the gold market reacts,” he said.

The U.S. Gold Reserves: A Controversial Audit History

One of the most contentious topics in the gold market is the status of the U.S. gold reserves, particularly those stored at Fort Knox, West Point, and Denver. Despite claims by the U.S. Treasury that the gold is audited, Nieuwenhuijs has written extensively on the flaws in these audits.

The most recent U.S. gold audit began in 1974 following public pressure. The plan was to inspect 10% of the reserves annually, completing a full audit by 1983. However, by 1993, not only had the process failed to meet this timeline, but compartments were inexplicably reopened multiple times—violating the intended audit procedure and responsible practices.

“The idea was that once a compartment was audited, it would be sealed permanently,” Nieuwenhuijs explained. “Yet, in the 1990s and 2000s, we saw compartments being reopened multiple times with no clear justification.”

By 2008, a full inventory check had been completed, but since then, only the seals on vaults have been inspected—not the gold itself. Questions remain about whether any of the U.S. gold has been leased, swapped, or otherwise encumbered in financial transactions -- such activities have never been disclosed or potentially even examined. 

Nieuwenhuijs called for a new, independent audit, stating, “We need a transparent process with third-party verification to truly confirm that the gold is there.”

Gold Revaluation and Its Impact on U.S. Financial Policy

A crucial issue tied to U.S. gold policy is the valuation of its reserves. Currently, the U.S. Treasury values its gold holdings at just $42.22 per ounce—far below the market price of over $2,000 per ounce.

“This outdated valuation is a legacy from the Bretton Woods system, which collapsed in the 1970s,” Nieuwenhuijs said. “While other central banks mark their gold to market value, the U.S. continues to downplay gold’s role, which aligns with its strategy to maintain the dollar’s dominance.”

Revaluing gold to its market price could unlock approximately $700–800 billion in new liquidity for the U.S. government. This money could be used to reduce national debt or fund economic stimulus programs, though such a move would also acknowledge the long-term depreciation of the Federal Reserve note dollar against gold.

“If the U.S. were to revalue its gold and use it as collateral for spending, it would inject a massive amount of liquidity into the economy, which could be highly inflationary,” Nieuwenhuijs cautioned.

China’s Secret Gold Accumulation and the Eastern Shift

While the U.S. government has been reluctant to highlight gold’s importance, China has taken the opposite approach—quietly amassing massive gold reserves while downplaying its official numbers.

Officially, the People’s Bank of China (PBOC) reports purchasing only 5 tons of gold per month. However, Nieuwenhuijs believes the real figure is closer to 50–70 tons per month when accounting for undisclosed purchases in London and other markets.

“China wants to reduce its dependency on the U.S. dollar, but they don’t want to make it obvious,” Nieuwenhuijs noted. “If the world knew exactly how much gold China was buying, the price would skyrocket, making it harder for them to accumulate more.”

China’s approach aligns with broader trends in the East, where countries like Russia, Saudi Arabia, and India are also increasing their gold holdings to hedge against financial instability and potential sanctions.

A Global Deleveraging and the Future of Gold

The increasing demand for gold from central banks signals a broader economic shift. 

According to Nieuwenhuijs, the world is at the end of a major debt cycle, where excessive credit expansion has created imbalances that must now be corrected.

One way to address these imbalances is by allowing the gold price to rise, increasing the base of the global financial system while reducing reliance on debt-backed assets.

“Gold is at the bottom of the financial pyramid, with everything else—stocks, bonds, and currencies—resting on top of it,” Nieuwenhuijs explained. “When there is too much leverage in the system, gold’s role as a neutral asset becomes more important.”

As geopolitical uncertainty grows and economic policies become more erratic, Nieuwenhuijs believes gold will play an increasingly critical role in the global monetary system.

“The world is shifting, and gold is the asset that provides stability,” he concluded. “We’re seeing central banks position themselves for this new reality, and that’s a powerful signal for where gold is headed.”

Final Thoughts

The gold market is undergoing profound changes, driven by global trade tensions, geopolitical uncertainty, and shifting central bank policies. The movement of gold from London to the U.S., the lack of transparency in U.S. gold audits, and China’s aggressive accumulation all point to a world where gold is becoming more valuable as a financial anchor.

For investors and policymakers alike, understanding these trends is crucial. Whether through revaluing reserves, increasing transparency, or shifting away from dollar dependence, the role of gold in the global economy is poised to expand significantly in the years ahead.

For more in-depth research from Jan Nieuwenhuijs, and to learn more about investing in gold and silver, visit MoneyMetals.com.

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