Dutch Central Bank Sale Announcement Imminent? Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Dutch Central Bank Sale Announcement Imminent?

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Enigma who wrote (6444)	6/16/1999 1:11:00 AM
From: Hawkmoon	Read Replies (1) of 81980

DoubleD, Sure we have the largest reserves of gold in the world. We should given that the US dollar has been the defacto global currency for years. Who knows... maybe there is a bit of economic blackmail going on here. The US treasury apparently is forbidden from selling physical gold unless permitted by an act of congress (someone quoted that here). Selling gold should raise the strength of the dollar without necessarily weakening the Euro relative to other currencies. A strong dollar makes their goods cheaper and facilitates economic growth in Europe. Heck who knows what the real rules of the game. All we know is that gold is under pressure from CBs. I suspect it is because there is more concern about depression than overheating of the global economy from inflation. As for World War II, that economic growth came from DEFICIT spending. Inflation, DoubleD... deliberate inflation to fight a war. And after it was all over, we were the only nation left standing on its economic feet. Inflation that would not have been permitted were a stringent adherence to maintaining a gold standard had been observed. The fact that Gold is held by the Federal Reserve means nothing either, except that its a legacy of having been on the gold standard for so many years and not having sold it. Since leaving that standard and entering into a floating exchange rate process, it has become a liability and created economic inefficiency and speculation in the gold mining industry. Think about it... The US gov't maintains a 56 day supply of crude oil. Is that a Reserve asset too?? There used to be a strategic Rubber reserve in Navajo Army Depot, Arizona (I've seen it). Is that a reserve asset as well?? Regards, Ron

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next