Some information about the price of gold. I have read that central bankers have raised
lease rates on the lending of gold. History has shown that when this happens, the price
of gold follows, always, inevitable. Turns out that it was thought that only 3,500 tons
were on loan, but possibley 6,500 to 8,000 tons are actually loaned out. This has the
central bankers worried that a major squeeze to cover loans will accure, and some
institutions will not be able to make good on the loans. That is why the increase in lease
rates. To stop the speculation. People will have to cover sooner than later. The ultimate
short squeeze. Also the higer lease rates mean lower profits for the borrowers. Less
gold on the open market, demand for gold pushes up the price, borrowers have to
cover. Just something I read. Shorts beware, gold will go up, the worlds monitary
systems depend on it. The best place to be will be in mining companies.
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