DiggerUK

Gold Consolidates at $1,100 as U.K. Credit Rating Is Under Review

The $US is weakening against all the world's currencies, we don't have to wait for the "reason to become apparent"
The race to debase is like watching re-runs of Wacky Races, the winner to be the one that crashes last, or least.

Even the $Zim is back in the race.
www.oanda.com/convert/...
www.oanda.com/convert/...

Why the IMF's Indian Gold Sale Matters

Seeking Alpha is trotting out articles on the IMF sale to India at a rate of knots, all of them failing to answer one question.
By what process was it decided that India gets 200 tonnes?
Dying to know the answer to that one.
(Hillary Clinton been sticking her oar in round the back somewhere ? Who knows.)

"I always thought that some of it would be sold off-market, but it was a bit of a surprise that as much as 200 tons had been sold off-market," Bank of Nova Scotia director of precious metals sales Simon Weeks told Reuters.
And this is someone who works for a bank that does the London Gold Fix twice a day.
www.lbma.org.uk/assocn...

Place your bets on who gets the rest.
Japan? Brazil? Mexico? Saudi? Australia? Iceland?

Gold Fever Spreads to India

On Nov 03 05:01 PM Roger Knights wrote:
"The mode of the music has changed."

Hallelujah. Somebody has risen beyond the shell shock of the IMF gold finally being sold with some joined up thinking.

As for me, now I'm at the manipulator and conspiracy theorists funeral, can I just say that I couldn't stand them when they were alive.

Remember this day, a day that will go down in infamy for some , deep joy for others.

India's Gold Grab Boosts Metal's Price

After years of never having the manipulation theory put to a real test, the much talked over IMF gold sales begin.
The first half goes to India, and the price of gold rises.

Be interesting to know who gets the second half of the gold tranche.
Japan ? Saudi ? Australia ? Brazil ? Iceland ?

GATA headquarters must look like the HQ of the party that just lost the election when the final vote has been counted on election night.
Today was the day manipulation theorists lost the argument for good.

Gold Soars to New Highs

Bespoke Investment Group underplays the dimwits, goldbugs and Gatagoons when they claim that the only comments raised were along the lines of :-
" raising speculation that the planned sale would cause a glut of gold in the market."

They were hysterical in their assertions that the gold price would be collapsed by "manipulation" and have been claiming so for a number of years now.
Well, I'm listening very, very hard, and can't hear a sound from them now.

Can't wait for the rest to be flogged off. Maybe we will get another press statement off the IMF manana.
Maybe it's been sold?

India Gold Buy Sets Record

People have been squawking about IMF gold sales "manipulating" the price of gold down, for as long as any of us can remember. Well, now the first tranche has been sold, and the p.o.g. has gone....hmmm, can't get my Kitco chart to work.

It was argued by many, that it was a non story for a quiet day in the news room. And guess what. They haven't got a story for quiet days in the news room anymore.

Ah well, back to shape shifting lizard stories then.

IMF Sells 200 Tonnes of Gold to India for $6.7 Billion

The supporters of manipulation and conspiracy theories, who have been claiming IMF gold sales would lower the pog, seem to be very quiet.

Can we now get back to the serious business of good old fashioned c0ckup and beer.

Who is going to get the next tranche of gold.
Japan? Australia? Saudi? Brazil? Iceland?
Place your bets now ladies an gentlemen.

Why I'm Wary of the Gold Trade

A lot of commentators are speculating that gold is in an overpriced situation.
That's nonsense. There is no shortage of supply. All of you could go online and purchase now.
All of you could walk into a coin or bullion dealer in the morning and buy.
When supply is hard to come by, then talk of the possibility of a suckers rally.
Until demand outstrips supply, just buy what you can afford and feel pleased.

Gold's Real Inflation Adjusted High Is $7,150/oz

John Williams $7,150 golden tish tosh.
To say that government inflation figures can be skewed this way and that to the benefit of governments, causes less surprise than telling people that the earth is round, not flat.

What is more outrageous is the way it is now being presented as Bloomberg approved fact.
Were is the William's methodology? it is nowhere to be seen just a headline grabbing quote.
If anybody has the methodology used, as opposed to a pretty graph, please post it.
Another alternative is to stop inhaling conspiracy theories, and go with some facts.

Disclosure.
Long and large physical, 60% of portfolio.

The Dogma of Low Interest Rates Is Wrong

Harry Long quotes from a former article,
"Low interest rates often have the opposite of their intended effect. Extremely low interest rates can vacuum liquidity out of nations."

Reversing that argument shows that high interest rates can flood nations with liquidity via the carry trade.. A liquidity that sucks wealth from the host, with the same concern for the well being of that host, as a leech has for it's host.
It's a sub species of QE that causes the same problems when the time comes to remove the parasite. It can only be seen as QE by the back door.
The rise in $Aus. and $NZ are down to this carry trade, not expanding economies.

Australia and New Zealand are going to have to raise interest rates to dampen inflation at some point, all that will do is pump up the blood volume for the leeches.
Talk about throwing petrol on a fire.

Wall Street Breakfast: Must-Know News

Shooting yourself in one foot is bad enough, but doing it with a JFK magic bullet that punctures both feet at once, is a skill unworthy of praise.

The A$ has risen on the back of the carry trade winging it's way to the outback at a rate of knots. It's QE by the back door, nothing to do with a recovering economy.

And how exactly are they going to get rid of this carry trade, without harming the currency, by lowering rates, especially if they have to raise rates to dampen any future inflation, due to the stimulus packages that have been introduced.

Options Trader Tuesday Outlook: Gordon Brown's Booster Shot

There have been unconfirmed reports here in the UK, that Gordon Brown is going to have private talks with Barack Obama to standardise the size of dollar bills and pound notes.

Apparently it has something to do with ensuring they have space for the same number of zero's on each countries notes.

Has there been anything on Fox News, we don't have it on TV over here. I'm sure they would have said something if the rumours were true.

New Central Bank Gold Agreement Cuts Back on Sales

It may be a coincidence that the reduction of future gold sales from ECB of 500 tonnes, is close to the 403 tonnes of IMF proposed sales.
It could just be coincidence, or my suspicious mind at work.

I'm wondering what Hilary Clinton really discussed with the Chinese over her green tea and fortune cookies.
Perhaps a deal to help them with the small problem of dumping some of their dollar reserves, without harming the dollar, or am I just a cynical old bird?

Latest Gold Correction a Buying Opportunity

Nice one Mark, credit were credit is due hey!

What you could also have mentioned is that the gold the IMF is proposing to sell is about 15/17% of annual production.

Why IMF Gold Sales Won't Affect the Gold Market

This is a confused article.

The IMF has only sought agreement to sell the 12.97 million ounces it acquired after the 2nd Amendment of the IMF's Articles of Agreement.
No discussions have been reported on proposed sales other than this amount.

At today's price a sum of about $11.5 billion plus.
www.lbma.org.uk/statis...
www.imf.org/External/N...