Mumbai--May 18--Indian Finance Secretary Vijay Kelkar today said the
government will within 2 weeks amend trade rules and detail norms for
hedging gold to help the government's recently announced gold deposit
scheme. By Abhijit Doshi, Bridge News, Story .12094
Mumbai--May 18--Corporation Bank is planning to offer gold derivatives
to its corporate clients trading in precious metals, said R. Balakrishnan,
general manager of the state-owned bank. By Beverly Mathews, Bridge News, Story
<<Weak Bond Market and Implications for Derivative Markets
prudentbear.com
P.S. FWIW, I think this is bottom.
Gold HAD to fall in part because one end of the gold carry--the U.S. bond end--is beginning to unravel. The alternative, which is coming, would have been to unwind those positions.
But there's a point where it becomes impossible to keep gold at a given level, for the same reason it's impossible to keep shoe laces at a given level. Despite self serving analysis to the contrary, for the most part gold producers CANNOT make money on under $300 gold. Not unless Australia and Canada and the like see another currency crisis.
The end of this game really is playing itself out. All that's left is to watch. >>
Just spitballing here, but could these not be working together, so the shorts here can unload positions into unsuspecting Indian market then run them up? THEN(and only then) gold can run. |
