GOLD

[TTrader]

Has been a good 24h leveraged up 250K USD worth of gold ETFs yesterday.

Currently showing a 0.9% increase Looks like it will be worth holding them again tonight.. Time will tell.

Have also noticed a bit of a serge in bullion being listed on Trademe. Saw a 1kg (Perth Mint) bar being listed the other day which isn't something you see often. Also for anyone who collects sovereigns there are some reasonable deals on sella.co.nz (No success fees) have seen a few half's go for 180/185.

[arco]

Updating post #542

Into the light grey zone.

[airedale]

I wonder if Aussie is still out there. He beat the drum when POG was $950 and less. He should come out for a bow now that POG is touching $1020.

[tobo]

today's candle has no lower shadow and very small upper shadow, and body is mid size - suggests momentum may carry on a little longer in the light grey before runs out of steam... a few more dollars tonight?

[stevo1]

Part of a report from Commoditieonline

have posted this also on the silver vs us dollar thread


Full article here

http://www.commodityonline.com/news/...21219-3-1.html


Here in China, our firm SinoLatin Capital has been approached by numerous Chinese companies specifically looking to acquire gold mines in Latin America. We've studied the market for some time and we see China making several Latin American gold mining acquisitions over the next few years. How can retail investors benefit from these trends? One interesting way to play the South American gold market is AngloGold Ashanti (AU



But back to China. How could China affect the price of gold? We live in China and spend a lot of time with local industry leaders and policy makers. We hear repeatedly that the time has come to think seriously about how to survive the perceived dollar devaluation. In some cases we note serious concern, and in other cases absolute dread over a perceived dollar crash.


Over the past six months Beijing has made a series of moves to protect itself against a dollar devaluation. In a recent "BRIC Summit" in Russia several months ago, Chinese leaders came out strongly in favor of a new reserve currency to replace the dollar (including the IMF's "SDR" currency). China is also quietly purchasing mining assets and gold bullion. But the government has recently gone further.
As recently as 2002, the private ownership of gold was prohibited in China. You could be jailed if caught with any in your possession. Beginning in 2009, in a stunning about-face, the central government removed all restrictions. In fact, as Mineweb and other sources report now it is actively pushing folks to buy some personal metal, with China’s Central Television, the main state-owned television company, running news programs cum infomercials, letting the public know just how easy it is to purchase gold and silver as an investment.

[Dr_Who]

My stress test is telling me to be careful of gold when my barber and taxi drivers are talking about investing in gold.

[arco]

IMF Executive Board Approves Limited Sales of Gold to Finance the Fund’s New Income Model and to Boost Concessional Lending Capacity

September 18, 2009 The Executive Board of the International Monetary Fund (IMF) today approved gold sales in a volume strictly limited to 403.3 metric tons

http://www.imf.org/external/np/sec/pr/2009/pr09310.htm

[peat]

just to put that in a more understandble metric thats about 13 million oz's - based on the statement that 400 tons is 1/8th of their holding and their entire holding is 103.4 million oz ( = 3,217 tonnes)
http://www.imf.org/external/np/exr/facts/gold.htm

I guess that would be enough to put a bit of a lid on price...

[arco]

.

Quite interesting how they manage to pull these little tricks just when my grey boxes come into focus

(Evening Star on the Daily)

[lakedaemonian]

IMF Executive Board Approves Limited Sales of Gold to Finance the Fund’s New Income Model and to Boost Concessional Lending Capacity

September 18, 2009 The Executive Board of the International Monetary Fund (IMF) today approved gold sales in a volume strictly limited to 403.3 metric tons

http://www.imf.org/external/np/sec/pr/2009/pr09310.htm

I view this as a means to TRY and supress the gold market as well as provide a means of justified government to government gold sales:

XXX to China for example

Probably can rule out the UK as PM Briwn sold the UK's gold when it was at a multi-decade low 10 years back.

Gives China a chance to hedge a bit of it's excess paper.