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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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To: ild who wrote (48073)12/23/2005 1:52:36 PM
From: aknahow  Read Replies (1) of 110194
 
Thanks for reminding us about the short interest.

Have reached two or more tentative conclusions.

1. The adds are computer driven, predetermined and timed based on the premium.

2. Adds are done in increments of close to $50 million dollars with the actual dollar amount driven by the number of oz. that $50 million will buy.

3. Once the premium reaches or exceeds one tenth of one percent additional shares will be obtained by the delivery of gold to bring the premium down below this level. If the first issuance of new shares does not accomplish this then another delivery of gold with a value close to $50,000,000 will be made.

So who cares? Well when gold is moving up or down "knowing" that GLD is going to have its' holdings of gold increased by 3 tons eiher the same or next day, might be of some value.

The historical record exist. My "analysis" is based on observations, not math or use of a computer.

I feel confident that I am close to a correct answer. Welcome a more exact analysis of the data.

Any insights on the utility of this theory or how it can be combined with other information to get a better picture of actual purchases of physical gold would be of interest.

I have not bothered with the other etf since they are so much smaller. Should one look for a pattern in their additions also?

ild, thanks for your post and questions. They have helped me move from just observing to drawing some conclusions, which of course, might be totally wrong, which would be my own fault.
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