Canada Sold 85,703 Ounces of
Gold in April, 18% of Holdings
By Greg Quinn
Ottawa, May 5 (Bloomberg) -- Canada sold 18
percent of its gold holdings last month as part of a
longstanding plan to improve returns on its
international reserves.
The Finance Department sold 85,703 ounces of gold
in April, leaving it with about 400,000 ounces worth
$142 million, the government said in a statement.
The country's total international reserves, including
gold, U.S. dollars and overseas currencies, stood at
$36.3 billion at the end of the month.
The price of gold has fallen 32 percent since the
federal government began selling its stockpile in
1980, when it had 21 million ounces, and boosting
its holdings of foreign currencies. Having
non-Canadian currency reassures investors that the
government can buy Canadian dollars to prop up the
currency's value if necessary.
A Finance Department official said ``no decision has
been taken as to whether Canada will sell all its gold
holdings.''
In February, Canada sold 90,588 ounces of gold as
the metal's price rose to $389.05 an ounce, the
highest in almost 6 1/2 years. The highest closing
price of gold in London for immediate delivery in
April was $336.75. |
