Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Bob Dobbs who wrote (36498)	7/6/1999 2:10:00 AM
From: Alex	Respond to of 116753

UK gold sales begin <Picture> Gold has lost much of its value over the past 20 years <Picture> The Bank of England is to begin selling off half of its gold reserves on Tuesday, with an initial sale of 25 tonnes at 1100GMT in London. The Bank says it plans to sell the gold in order to further diversify its reserves, while gold has been declining in value. But the news has depressed the gold price, which has fallen by 10% since the decision was announced in May. Gold is now selling at $262 an ounce. Others to follow Other central banks, and the International Monetary Fund (IMF), are also planning to sell gold. The IMF's sale of 300 tonnes is to finance debt relief for Third World countries. Central banks in Argentina, the Netherlands, and Belgium have also sold gold, and Switzerland is expected to follow suit. The world's central banks hold about one-quarter of the world's gold supplies, and the news of the sales has been worrying gold producers. The new South African President, Thabo Mbeki, attacked the sale and said it could put thousands of miners' jobs at risk. Paper currencies The Bank of England will now hold more of its reserves in paper currencies, using the gold sales to buy dollars, yen and euros. But the depressed gold price has already wiped out $400m from the value of the remaining reserves. One part of the world still believes in gold as a store of value. The demand for gold jewelry in India has continued to be strong, with 500m Indians owning around 7% of the world's gold stocks. news.bbc.co.uk