Where Is Gold Going In This Market

[LivinLOS]

I am not a gold bull and dont own any - preferring silver

I like both but am weighted 33/1 in Silver versus gold.

From time of purchase silver is up 40+%

While Gold is up just under 20%

Yet cost of acquisition is half for the silver.

So........hindsight

Sold all my gold (purchased at 380) back when the gold silver ratio was high 70's.. Moved it totally into silver about a year ago IIRC at 12.05.. Had a very nervous time when it shifted down under 9 about looking at an annual return in the high 40% range so might end up another year of >30% gains.

Have some exit prices in mind but right now dont know where I would rather sit.. I need to own something but dont want to be long fiat currencies.

[flying]

Sold all my gold (purchased at 380) back when the gold silver ratio was high 70's.. Moved it totally into silver about a year ago IIRC at 12.05.. Had a very nervous time when it shifted down under 9 about looking at an annual return in the high 40% range so might end up another year of >30% gains.

Have some exit prices in mind but right now dont know where I would rather sit.. I need to own something but dont want to be long fiat currencies.

Congrats on the previous sales.

exit price is a tough one.

G/S ration seems pretty stable at 60 range these days.

If Gold does have a good bump left in this run it could go to 1200-1300 range

Silver should be around 21

By Oct. I think we will know a lot better where its headed.

Good Luck

[flying]

http://www.bloomberg.com/apps/news?pid=206...id=atxJ5yqO73DY

Kinross Says Gold Industry Faces Reserve Crisis

By Rob Delaney

Sept. 16 (Bloomberg) -- Kinross Gold Corp., Canada’s third- largest producer of the precious metal, said the gold industry is facing a crisis of declining reserves as investor demand outpaces supply.

“We may be in the midst of a perfect storm in terms of price and industry dynamics,” Tye Burt, chief executive officer of the Toronto-based company, said at a conference in Denver today. “Globally production has been in decline since the peak of 81 million ounces in 2001 to 77 million ounces last year, and we see that decline continuing long term.”

Gold climbed to an 18-month high in New York and London today on concern that a global economic recovery may stoke inflation and on a drop by the dollar that boosted demand for the metal as an alternative investment. Gold for December delivery advanced as much as $17 to $1,023.30 an ounce on the New York Mercantile Exchange’s Comex division. The precious metal reached a record $1,033.90 an ounce on March 21, 2008.

Kinross said in June that it’s considering as many as 50 investments in all countries where the company has operations, including Russia. The company wants to acquire “development- stage” or “active” projects and is likely to take on local partners for any investments in Russia, Vice President James Crossland said in a June 4 interview.

Kinross rose 14 cents to C$24.74 at 4:15 p.m. in Toronto Stock Exchange trading. The shares have gained 10 percent this year.

Acquisitions

Kinross sold shares valued at $414.6 million in the first quarter to pay for acquisitions and take advantage of investors’ interest in gold as a haven from economic turmoil.

The company’s producing assets are distributed evenly in the U.S., Russia and South America, and the company wants to maintain that geographical balance, Crossland said in June.

Kinross and Barrick Gold Corp., the world’s largest gold producer, will conclude a study “very soon” on their Cerro Casale deposit, Burt said today. Cerro Casale may produce about 400,000 ounces a year if put into production, he said. Kinross assumed 50 percent control as part of its $3 billion acquisition of Bema Gold Corp. in 2007. Barrick owns the remainder.

In the first half of this year, gold-equivalent production, which includes silver output, rose 47 percent to 1.09 million ounces. For the full year, Kinross predicts 2.3 million to 2.4 million ounces of gold equivalent production, Burt said today.

[LaoPo]

http://www.bloomberg.com/apps/news?pid=206...id=atxJ5yqO73DY

Kinross Says Gold Industry Faces Reserve Crisis

By Rob Delaney

Sept. 16 (Bloomberg) -- Kinross Gold Corp., Canada’s third- largest producer of the precious metal, said the gold industry is facing a crisis of declining reserves as investor demand outpaces supply.

“We may be in the midst of a perfect storm in terms of price and industry dynamics,” Tye Burt, chief executive officer of the Toronto-based company, said at a conference in Denver today. “Globally production has been in decline since the peak of 81 million ounces in 2001 to 77 million ounces last year, and we see that decline continuing long term.”

Gold climbed to an 18-month high in New York and London today on concern that a global economic recovery may stoke inflation and on a drop by the dollar that boosted demand for the metal as an alternative investment. Gold for December delivery advanced as much as $17 to $1,023.30 an ounce on the New York Mercantile Exchange’s Comex division. The precious metal reached a record $1,033.90 an ounce on March 21, 2008.

Kinross said in June that it’s considering as many as 50 investments in all countries where the company has operations, including Russia. The company wants to acquire “development- stage” or “active” projects and is likely to take on local partners for any investments in Russia, Vice President James Crossland said in a June 4 interview.

Kinross rose 14 cents to C$24.74 at 4:15 p.m. in Toronto Stock Exchange trading. The shares have gained 10 percent this year.

Acquisitions

Kinross sold shares valued at $414.6 million in the first quarter to pay for acquisitions and take advantage of investors’ interest in gold as a haven from economic turmoil.

The company’s producing assets are distributed evenly in the U.S., Russia and South America, and the company wants to maintain that geographical balance, Crossland said in June.

Kinross and Barrick Gold Corp., the world’s largest gold producer, will conclude a study “very soon” on their Cerro Casale deposit, Burt said today. Cerro Casale may produce about 400,000 ounces a year if put into production, he said. Kinross assumed 50 percent control as part of its $3 billion acquisition of Bema Gold Corp. in 2007. Barrick owns the remainder.

In the first half of this year, gold-equivalent production, which includes silver output, rose 47 percent to 1.09 million ounces. For the full year, Kinross predicts 2.3 million to 2.4 million ounces of gold equivalent production, Burt said today.

Although the message contains a likely possibility in gold shortage it's a bit odd that the article doesn't even mention the situation in and about China, the world's largest gold producer since 2008 with a production in 2008 of some -almost- 10 million ounces.

LaoPo

[flying]

Although the message contains a likely possibility in gold shortage it's a bit odd that the article doesn't even mention the situation in and about China, the world's largest gold producer since 2008 with a production in 2008 of some -almost- 10 million ounces.

LaoPo

Rumors.......?

http://ftalphaville.ft.com/blog/2009/09/17...metals-for-you/

[LaoPo]

Although the message contains a likely possibility in gold shortage it's a bit odd that the article doesn't even mention the situation in and about China, the world's largest gold producer since 2008 with a production in 2008 of some -almost- 10 million ounces.

LaoPo

Rumors.......?

http://ftalphaville.ft.com/blog/2009/09/17...metals-for-you/

That makes it even more strange that the article in Bloomberg didn't mention China at all. It also doesn't surprise me if China would ban export of precious metals as a hedge against the declining dollar of which they possess a Great Wall of them.

It's an important step towards a future with another reserve currency/SDR, next to the dollar and euro. In 10 or 20 years the Yen won't play such an important role anymore as it does now. The number of -important- currencies will decline and rise at the same time, but the latter will just be a few (more than just the Dollar).

LaoPo

[Naam]

Rumors.......?

http://ftalphaville.ft.com/blog/2009/09/17...metals-for-you/

the blatant lies of specific bloggers in "alphaville" are still published to nourish the wet dreams of goldbugs and bullshit potential future goldbugs.

quote: "As recently as 2002, the private ownership of gold was prohibited in China. You could be jailed if caught with any in your possession."

conveniently omitting that the restrictions did not apply to gold jewelry but then... since quite some time i am influenced too. to be on the safe side i keep a fistful of Krüger Rands handy for the purchase of bakeries.

[LaoPo]

Rumors.......?

http://ftalphaville.ft.com/blog/2009/09/17...metals-for-you/

the blatant lies of specific bloggers in "alphaville" are still published to nourish the wet dreams of goldbugs and bullshit potential future goldbugs.

quote: "As recently as 2002, the private ownership of gold was prohibited in China. You could be jailed if caught with any in your possession."

conveniently omitting that the restrictions did not apply to gold jewelry but then... since quite some time i am influenced too. to be on the safe side i keep a fistful of Krüger Rands handy for the purchase of bakeries.

A good Metzgerei is needed too!

LaoPo

[Naam]

Rumors.......?

http://ftalphaville.ft.com/blog/2009/09/17...metals-for-you/

the blatant lies of specific bloggers in "alphaville" are still published to nourish the wet dreams of goldbugs and bullshit potential future goldbugs.

quote: "As recently as 2002, the private ownership of gold was prohibited in China. You could be jailed if caught with any in your possession."

conveniently omitting that the restrictions did not apply to gold jewelry but then... since quite some time i am influenced too. to be on the safe side i keep a fistful of Krüger Rands handy for the purchase of bakeries.

A good Metzgerei is needed too!

LaoPo

i was thinking of that already as Mrs Naam keeps on bragging with her 50% ownership of a Metzgerei in Germany.

[badge]

[...]

It's an important step towards a future with another reserve currency/SDR, next to the dollar and euro. In 10 or 20 years the Yen won't play such an important role anymore as it does now.

SDR's are USD and EURs. With a little JPY and GBP for good measure.

The number of -important- currencies will decline and rise at the same time, but the latter will just be a few (more than just the Dollar).

LaoPo

Im lost; to 'decline and rise at the same time' is to remain unchanged. And a few more important currencies, 'more than just the dollar', will rise? Like for instance the EUR?

[CaptainARK1]

Gold major trend reversal imminent!

First drop can be $40-60 in a heartbeat.

New downtrend will last for 2 years or more.

does that mean you are short and how high must gold climb in order to get you out of this thread again?

If I don't keep tabs on what's going on in this thread, who will inform the parents after all the children are gone missing?

Sentiment aka Psychology detective work:

So look at this poster, PCA. A nice enough fellow I'm sure, but look at the level of certainty he has that he is abs. correct about Gold, and to such an extent that even a counter opinion is frowned upon. Every opinion must be in line with the mob.

Such certainty is manifested ONLY by crowd members - they deal only in absolutes. In the middle part of the trend they are usually less "cultish" but when a trend gets frothy, their cup runneth over and the emotion can and does hammer any dissenter who is dumb enough (like Captain) to state a counter opinion.

Another example is "flying" ..... certainty personified, in fact so cocksure is this gent, that my assertion of reversal in Gold was so preposterous that it came straight out of the nuthouse - (my permanent home )

Look around in this thread for the same theme - there are loads of examples of CERTAINTY - evidence galore

----------------------

Here's why certainty is poison in the markets .........

Professionals and bums like CaptainARK deal only in probabilities - what the odds are. This is the only thing the markets offer the warrior - "odds" - When the odds are in our favor we positon for a shot but still could be wrong. But "favorable odds" are all we need to show up for work.

Certainty is a luxury we've never been able to afford.

[Abrak]

Gold major trend reversal imminent!

First drop can be $40-60 in a heartbeat.

New downtrend will last for 2 years or more.

does that mean you are short and how high must gold climb in order to get you out of this thread again?

If I don't keep tabs on what's going on in this thread, who will inform the parents after all the children are gone missing?

Sentiment aka Psychology detective work:

So look at this poster, PCA. A nice enough fellow I'm sure, but look at the level of certainty he has that he is abs. correct about Gold, and to such an extent that even a counter opinion is frowned upon. Every opinion must be in line with the mob.

Such certainty is manifested ONLY by crowd members - they deal only in absolutes. In the middle part of the trend they are usually less "cultish" but when a trend gets frothy, their cup runneth over and the emotion can and does hammer any dissenter who is dumb enough (like Captain) to state a counter opinion.

Another example is "flying" ..... certainty personified, in fact so cocksure is this gent, that my assertion of reversal in Gold was so preposterous that it came straight out of the nuthouse - (my permanent home )

Look around in this thread for the same theme - there are loads of examples of CERTAINTY - evidence galore

----------------------

Here's why certainty is poison in the markets .........

Professionals and bums like CaptainARK deal only in probabilities - what the odds are. This is the only thing the markets offer the warrior - "odds" - When the odds are in our favor we positon for a shot but still could be wrong. But "favorable odds" are all we need to show up for work.

Certainty is a luxury we've never been able to afford.

CaptainArk,

I am not a particular bull of gold and dont hold any at the moment.

I can say though that the majority of posters on this thread are not gold nuts. Flying in particular has repeatedly said he does not hold gold for short term profit. In fact you would be hard pressed to find a gold will be US$2000/ounce in 6 months guy.

So I dont disagree with the underlying argument when there is absolute certainty of price going one way it can only go in the opposite direction. I just dont see it in this thread.

[PCA]

Gold major trend reversal imminent!

First drop can be $40-60 in a heartbeat.

New downtrend will last for 2 years or more.

does that mean you are short and how high must gold climb in order to get you out of this thread again?

If I don't keep tabs on what's going on in this thread, who will inform the parents after all the children are gone missing?

Sentiment aka Psychology detective work:

So look at this poster, PCA. A nice enough fellow I'm sure, but look at the level of certainty he has that he is abs. correct about Gold, and to such an extent that even a counter opinion is frowned upon. Every opinion must be in line with the mob.

Such certainty is manifested ONLY by crowd members - they deal only in absolutes. In the middle part of the trend they are usually less "cultish" but when a trend gets frothy, their cup runneth over and the emotion can and does hammer any dissenter who is dumb enough (like Captain) to state a counter opinion.

Another example is "flying" ..... certainty personified, in fact so cocksure is this gent, that my assertion of reversal in Gold was so preposterous that it came straight out of the nuthouse - (my permanent home )

Look around in this thread for the same theme - there are loads of examples of CERTAINTY - evidence galore

----------------------

Here's why certainty is poison in the markets .........

Professionals and bums like CaptainARK deal only in probabilities - what the odds are. This is the only thing the markets offer the warrior - "odds" - When the odds are in our favor we positon for a shot but still could be wrong. But "favorable odds" are all we need to show up for work.

Certainty is a luxury we've never been able to afford.

Captain,

talking much and being successful in trading does not corellate. Honestly I wish you all the best with the trades you are executing and thats so far all about being a nice enough fellow.

Psychologically speaking there is nothing less important than the very next trade regardless which chart and market you are about to analyze. I do not like Gold much but rather have my sincere respect for it. My comments and statements in this and other threads are based on my own way to recognize odds and to identify stages of nonacting as the best choice which mostly is the case. I also do not believe in technical analysis from the books or teachings you claim to be a student of. In case TA would work all it takes is pattern scanning any market and blindly autotrade certain price levels. Every dummy could figure this one out after investing enough time into it, but as I said it doesn't work

I think you are a fanatic trader which is not a disadvantage as long you refer to my first sentence.

[LaoPo]

[...]

It's an important step towards a future with another reserve currency/SDR, next to the dollar and euro. In 10 or 20 years the Yen won't play such an important role anymore as it does now.

SDR's are USD and EURs. With a little JPY and GBP for good measure.

The number of -important- currencies will decline and rise at the same time, but the latter will just be a few (more than just the Dollar).

LaoPo

Im lost; to 'decline and rise at the same time' is to remain unchanged. And a few more important currencies, 'more than just the dollar', will rise? Like for instance the EUR?

..... my braincells work a bit different and faster than my fingers are typing. Nothing serious but once in a while I write mystery; sorry for that.

I know that SDR is consisted of $'s and €'s plus a few Yen and GBP's; but what I meant to say is that the world will see another (reserve) currency + eventually another SDR basket.

And, about important currencies declining I meant to say that the number of currencies, now dominating International banking and Business will decline, meaning the major currencies: US $ - Euro - JPY - CHF - and GBP.

Other currencies like the HKD - AUD - CAD , although important, are not considered MAJOR important currencies.

All those previous currencies will decline -in number- as being -still now- important in International trade.

The -NOW- most important countries for the future, the so called BRIC countries - Brazil - Russia - India and China will call stronger and stronger for another, maybe combined, currency for international trade (rather than the Dollar); after all they represent a growing important role in the world's economy.

Therefore the declining number (above) will also show a rise in important currencies but shifting at the same time.

meaning: we will have: USDollar - Euro - New Currency (with strong role for Yuan/China) with maybe a 4th one, which I doubt.

The roles of the CHF, GBP, JPY, HKD, AUD and CAD will be finished (or strongly diminished to a local role) in International trade.

And, I'm talking a situation within 5-10 years from now.

LaoPo

[badge]

[...]

Therefore the declining number (above) will also show a rise in important currencies but shifting at the same time.

meaning: we will have: USDollar - Euro - New Currency (with strong role for Yuan/China) with maybe a 4th one, which I doubt.

The roles of the CHF, GBP, JPY, HKD, AUD and CAD will be finished (or strongly diminished to a local role) in International trade.

And, I'm talking a situation within 5-10 years from now.

LaoPo

I disagree. Lets meet up in 5 - 10 years from now and compare notes

[flying]

First drop can be $40-60 in a heartbeat.

New downtrend will last for 2 years or more.

Another example is "flying" ..... certainty personified, in fact so cocksure is this gent, that my assertion of reversal in Gold was so preposterous that it came straight out of the nuthouse - (my permanent home )

CERTAINTY - evidence galore

Yes but listen Harmonica Captain.....You in fact are the only one here with Certainty Evidence galore.

You alone are the one running through the theaters yelling fire.

Your posts are filled with such statements.....

IMMINENT

The WIFE THE KIDS & THE DOLLAR

First drop can be 49-60 in a HEARTBEAT

CERTAINTY exists in almost every post of yours though.

Good luck to you. I am actually certain you will be right.

The dollar will go up.......& down

Same for all things

[LaoPo]

[...]

Therefore the declining number (above) will also show a rise in important currencies but shifting at the same time.

meaning: we will have: USDollar - Euro - New Currency (with strong role for Yuan/China) with maybe a 4th one, which I doubt.

The roles of the CHF, GBP, JPY, HKD, AUD and CAD will be finished (or strongly diminished to a local role) in International trade.

And, I'm talking a situation within 5-10 years from now.

LaoPo

I disagree. Lets meet up in 5 - 10 years from now and compare notes

That's your right but it's not helping if you just say "I disagree".

Explain WHY you disagree.

LaoPo

[LaoPo]

About the 403 (!) tonnes of GOLD the IMF is selling:

Reuters

China weighs purchase of IMF gold -report

09.21.09, 5:07 AM ET

* China could consider IMF's sale of 403 tonnes of gold

* China looking to diversify, has 1,054 tonnes already

* Market value of IMF sale around $13 billion

BEIJING, Sept 21 (Reuters) - China is considering buying gold being offered for sale by the International Monetary Fund, Market News International said on Monday, citing two unnamed government sources, but the report could not immediately be confirmed.

"China will consider buying if the price is right and the return is relatively high," MNI quoted one of the government sources as saying.

Gold, which had dipped just below $1,000 an ounce, rebounded to $1,003.45 after the report. That would put the market value of the 403.3 tonnes on offer from the IMF at close to $13 billion.

"There was a small reaction to the news that China may discuss its gold plans at the G20, it recovered a little, but overall the market isn't overly concerned, not yet anyway," a Europe-based trader said.

China, the world's biggest producer and buyer of gold, revealed earlier this year that it had lifted its own stocks of gold to 1,054 tonnes from 400 tonnes when it last reported its holdings in 2003.

The IMF formally endorsed a plan on Friday to sell 403.3 tonnes of gold, one eighth of its holdings, to central banks or in the gold market.

Two Chinese central bank officials not directly involved in the issue told Reuters China should consider buying the gold being put up for sale by the IMF, but only at a big discount.

The officials, neither of whom had direct knowledge of the gold strategy, said they were expressing personal opinions.

"China only has about 1,000 tonnes of gold reserves and the investments in other assets are performing not very well," said one official, who declined to be named.

"I think we should build up more gold with foreign reserves, but when to buy is the key. It's a good idea if China can buy the gold from IMF at prices well below market level."

The official said he had no idea if the sale would be on the agenda for the G20 summit.

"I personally think China should buy the IMF gold. It will help China to diversify its reserve assets," the second official said. "For the purpose of reserve safety, it is also good to increase the proportion of gold by a suitable amount."

The estimated $13 billion cost of the is small beer for the Chinese exchequer, with foreign exchange reserves of more than $2 trillion. If it decided to buy the gold, China would be likely to seek a discount for the bulk purchase, since a market sale would put heavy pressure on the price.

The IMF has said it will try to sell the gold, one-eighth of its holdings, to central banks. If there are no takers, it could sell to the market, which saw world gold demand of 3,880 tonnes last year, according to World Gold Council figures.

The huge increase in reserves that China announced earlier this year had had little impact on the market because the gold was accumulated over a long period and mainly through direct purchases from Chinese producers.

(Reporting by Eadie Chen and Tom Miles; Editing by Clarence Fernandez)

-- Reuters Sept. 21, 2009

Reuters article on Forbes:

http://www.forbes.com/feeds/reuters/2009/0...rtner=dailycrux

LaoPo

[churchill]

but How much discount would they want - 10-20% ?

[12DrinkMore]

but How much discount would they want - 10-20% ?

The IMF is not allowed to discount the price, so they are wasting their breath.

http://www.imf.org/external/np/exr/facts/gold.htm

The IMF’s legal framework for gold

Role of gold.

The Second Amendment to the Articles of Agreement in April 1978 fundamentally changed the role of gold in the international monetary system by eliminating the use of gold as the common denominator of the post-World War II exchange rate system and as the basis of the value of the Special Drawing Right (SDR). It also abolished the official price of gold and ended the obligatory use of gold in transactions between the IMF and its member countries. It furthermore required that the IMF, when dealing in gold, avoid managing its price or establishing a fixed price.

Transactions.

Following the Second Amendment, the Articles of Agreement limit the use of gold in the IMF’s operations and transactions. The IMF may sell gold outright on the basis of prevailing market prices, and may accept gold in the discharge of a member country's obligations (loan repayment) at an agreed price, based on market prices at the time of acceptance. Such transactions require Executive Board approval by an 85 percent majority of the total voting power. The IMF does not have the authority under its Articles to engage in any other gold transactions—such as loans, leases, swaps, or use of gold as collateral—nor does it have the authority to buy gold.

I was mildly surprised to see that the IMF has 3,200 tonnes of the stuff, and China only declares 1,000 tonnes in it's vaults, a mere 33 billion in bullion compared to its huge holding of USTs slowly decaying away.

[teatree]

Is there still a wait list to buy gold bars in Thailand? Anyone bought some recently?

[lannarebirth]

Well like lannarebirth showed on his chart it has possibility.

But like always who knows is correct but, when it hits $2900 Im out

Same goes for silver when it hits $58 color me gone

To be clear, I wasn't giving an opinion on where I think it's going. Only what the technical expectation is of the observable pattern.

I know it's a popular idea to think of Gold as money, but it is in fact a commodity. It is a commodity whose price is largely controlled by derivatives. It is a commodity that has an extraordinary number of derivatives by which it's price may be controlled (up or down). Where derivatives drive price large players can paint a tape any which way they like. They can make "head and shoulders" patterns, "(which regardless of Capt Arks enthusiasm don't work much anymore), "symmetrical triangles", whatever. If I were you I'd be watching volume and some of the other negative divergances that are forming.

I have no position and no public view on Gold.

[flying]

Well like lannarebirth showed on his chart it has possibility.

But like always who knows is correct but, when it hits $2900 Im out

Same goes for silver when it hits $58 color me gone

To be clear, I wasn't giving an opinion on where I think it's going. Only what the technical expectation is of the observable pattern.

I know it's a popular idea to think of Gold as money, but it is in fact a commodity. It is a commodity whose price is largely controlled by derivatives. It is a commodity that has an extraordinary number of derivatives by which it's price may be controlled (up or down). Where derivatives drive price large players can paint a tape any which way they like. They can make "head and shoulders" patterns, "(which regardless of Capt Arks enthusiasm don't work much anymore), "symmetrical triangles", whatever. If I were you I'd be watching volume and some of the other negative divergances that are forming.

I have no position and no public view on Gold.

Yes thanks I didn't mean to imply that you were bullish. Just that the chart looked good. As for watching volume & neg divergences I have no skill there.

I have no exit in mind at this time. As I bought not as an investment.

One thing tho...when looking at charts of paper traded gld I wonder how far off it is or could be from the reality of physical gold.

[Naam]

To be clear, I wasn't giving an opinion on where I think it's going. Only what the technical expectation is of the observable pattern.

I know it's a popular idea to think of Gold as money, but it is in fact a commodity. It is a commodity whose price is largely controlled by derivatives. It is a commodity that has an extraordinary number of derivatives by which it's price may be controlled (up or down). Where derivatives drive price large players can paint a tape any which way they like. They can make "head and shoulders" patterns, "(which regardless of Capt Arks enthusiasm don't work much anymore), "symmetrical triangles", whatever. If I were you I'd be watching volume and some of the other negative divergances that are forming.

I have no position and no public view on Gold.

BLASPHEMY! ABOMINATION! every child knows that GOLD is the only REAL money (that will soon buy bakeries). let's crucify LRB

[flying]

BLASPHEMY! ABOMINATION! every child knows that GOLD is the only REAL money (that will soon buy bakeries). let's crucify LRB

Actually I do feel real money is gold & silver. The rest is currencies

[teletiger]

Gold may be the "money of last resort".

Regards.

[cloudhopper]

Just to put some of the recent news re IMF gold sales, imminent fiat USD collapse etc. into perspective - the US has around 8,000 tons of gold, and the next 5 countries combined have about 12,000 tons (of which China has around 1,000).

[flying]

Just to put some of the recent news re IMF gold sales, imminent fiat USD collapse etc. into perspective - the US has around 8,000 tons of gold, and the next 5 countries combined have about 12,000 tons (of which China has around 1,000).

You know that the US 8000 tons has not been independently audited in over 50 years? Having seen how the FED has worked this year off of old forgotten rules that allowed them to slip billions under Congress nose. Well I wonder what is the reason to deny a independent audit for so long?

You know they changed their terminology from gold reserves to gold & gold swaps?

So what they hold & what has bee swapped(lent to a 3rd party) over the years is anyone's guess.

Pretty outrageous actually

[cloudhopper]

Just to put some of the recent news re IMF gold sales, imminent fiat USD collapse etc. into perspective - the US has around 8,000 tons of gold, and the next 5 countries combined have about 12,000 tons (of which China has around 1,000).

You know that the US 8000 tons has not been independently audited in over 50 years? Having seen how the FED has worked this year off of old forgotten rules that allowed them to slip billions under Congress nose. Well I wonder what is the reason to deny a independent audit for so long?

You know they changed their terminology from gold reserves to gold & gold swaps?

So what they hold & what has bee swapped(lent to a 3rd party) over the years is anyone's guess.

Pretty outrageous actually

Yeah if there's really no gold there then they're toast if the world insists on a PM backed global currency someday. Anyway to put it in even more perspective, the 20,000 tons theyall(may or may not) have is only 1/8 of the 160,000 tons mined and "out there" to share in the rule making.

[Naam]

Credit Suisse 23-09-2009:

- Gold broke out of its summer range in the second half of last week and traded though $1000/oz to a new high for

the year of $1007.50/oz today. The move was triggered by technically related buying in the Comex and OTC gold

markets - there has been no sign of fear-based buying of gold coins, small bars or a large surge into gold exchange

traded funds. Slow summer trading had resulted in a sharp fall in implied gold volatility, especially in short dates.

The rapid jump in implied volatility over the past week suggests that some players were short gamma, and have

now been forced to cover. Silver looks similarly elevated.

- Seasonally September has been a good time to be long gold, resulting in positive returns on average (mean and

median) over the past thirty years. This is one factor that encouraged investors to get long gold in late August.

- Central banks are changing their behaviour in gold. European banks continue to sell, although less than in recent

years. Central banks in emerging markets appear increasingly keen to add to under-weight gold holdings. Should

this trend continue it will have important implications for the gold market. The IMF's planned (and limited) gold sale

moved closer to approval this week although this should not threaten the price and could be positive if sovereign

buyers take it from the IMF in an off-market transaction.

- We do not believe that this rally in gold will be sustained and have held our one and three month forecast for gold

at $950 and $1000/oz respectively. We calculate that investors and speculators that buy gold via Comex futures

hold record net-long positions in gold and that, barring more broad based and sustained gold buying, the metal is

vulnerable to a correction. Longs should take profits; those looking to buy gold should be patient and buy on dips.

-Don't Buy Gold at $1000/oz and longs should take some profits. Scale into new outright long gold

positions below $930/oz with a stop at $850/oz.