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Gold/Mining/Energy : Gold Price Monitor

GDXJ 94.04

+0.6%

Nov 21 4:00 PM EST

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To: Zardoz who wrote (42615)	10/10/1999 5:11:00 PM
From: teevee	Read Replies (1) of 116764

Hutch, Could it be that the very same 15 European banks that announced they are curtailing gold sales also have been the largest gold leasers to mining companies and hedge funds:-)) These same banks will probably sell to the hedge funds and mining companies the gold they need to buy to repay their gold loans. It appears to be a zero sum game, other than lease fees-the hedge funds have to buy to get back onside margin requirements and the mining companies have to buy because they can't produce fast enough to cover by delivering. The central and commercial banks end up doing a whole lot better that just earning the lease rate on the gold they lent to hedge funds and mining companies who forward sold:-))So how long do you think it will take before the market is overbought before the downward trend is resumed(probably hard to judge when the central and commercial bank gold supply is elastic/managed/rigged in order to maintain confidence in "coin of the realm" eh:-))? It appears that central and commercial banks do make a return on their gold bullion over and above lease rates, and regardless of which direction the price moves, afterall:-)) regards, teevee

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