This is a fictional premise -believed also by many on the opposite side of the argument. Give one instance of this actually happening.
Might the recent discussions, as well as the language in the 2000 budget, suggest that signals are being sent telling the market that the IMF will be selling gold this year??
You heard it from Davos, CB's and world leaders are actively seeking to demonetize gold in the minds of people.
As for non-fiction, wouldn't you agree that when the Fed/ECB leases gold to speculators, knowing it will sold short into the market, isn't that selling by proxy??
Either way, the fear of CBs selling is the panic button for most gold holders. Goldbugs recognize that CBs could flood the market with their gold in order to fight off any challenge to Fiat.
Furthermore, the WSJ had an article on how deflation has been impacting gold. Since gold was being held primarily as a hedge against inflation, AND THERE IS NO INFLATION, there is no reason to hold it, except as a means of preventing the bottom from falling out of the gold market (which would happen if CBs sold gold enmasse).
So there you go, Double D.
One fictional(future) example that is being actively discussed.
We have one actual event in the leasing of gold to be sold by speculators (CBs obviously control the amount of gold that can be leased).
And we have an economic reason for gold having been under pressure over the past several years. Deflation, Deflation.... and AG is huffing and puffing on the 'ol money balloon, trying to prop up the entire world.
Hopefully he'll succeed, and for that to happen, he has to maintain pressure on gold.
Regards,
Ron |
