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Gold/Mining/Energy : Euro Impact on Gold, USD ...

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To: Broken_Clock who wrote (30)9/22/1998 10:40:00 PM
From: banco$  Read Replies (1) of 289
 
Papaya King, Macro statistics showing currency movement between euro debt instruments, US Treasuries and JP Gov't bonds are not yet available on my end, although the overall size of respective bond markets is already well known. I don't know if anyone can claim accurate numbers at this time, as they are a collection of private decisions within the marketplace. The important consideration is that all the above bond markets are massive. The reallocation of holdings to the prospective euro market is in progress and will accelerate considerably in the coming months. Private institutions have been taciturn about how much funds they are reallocating. Figures will be more visible once the institutions have taken care of their clients and start communicating details to the press and analysts. Even a few large firms coming forward with specific figures will provide enough basis to determine the collective shift in asset allocation. At this moment in time, only the professionals are aware of what reallocation is occurring.

Specific institutions and governments have commented about future participation, foreign pension funds and insurance companies among them. These groups will participate immediately upon inception of the euro or shortly thereafter. The pre-season games, however, are definitely underway.
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