Gold: Ronan Manly of Bullion Star verifies the Chinese gold import data recently reported by Reuters, showing a substantial decline this year, but notes that monetary gold -- the gold held in central bank reserves -- is exempt from import reporting.
Manly writes: "By adjusting the gold import quotas lower, gold imports could be channeled to the the vault of the central bank, while providing the necessary cover to create the illusion that lower quotas are the culprit for the decline. Given that nobody much believes the official low-ball figures for China's official gold reserves, stranger things have happened than the Chinese state temporarily diverting some of the country's gold imports for the coffers of its gold vaults in Beijing."
Indeed, Manly's speculation is supported by the shallowness and exceedingly brief duration of the usual gold price smashes by government-connected bullion banks in recent months, which suggest that demand for physical has only risen, not declined, and the recent advocacy by a leading Chinese government newspaper of return to some sort of gold standard for currencies:
gata.org
Besides, no financial market is bombarded by more disinformation from manipulators than the gold market, and this disinformation often comes from official sources, their lackeys, and mainstream financial news organizations that never put a critical question to an official source.
Manly's analysis is headlined "Chinese Gold Imports -- Better Data, Lower Inflows, Unanswered Questions" and it's posted at Bullion Star here:
bullionstar.com
Chris Powell, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org |
