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

To: John Hunt who wrote (37941)	7/28/1999 3:56:00 PM
From: Walter	Respond to of 116762

You are in trouble if you actually believe anything Vheadline news writes. Placer is putting project on hold but it wasn't done unilaterally and Venz gov't is not looking for another mining co. to takeover.

To: John Hunt who wrote (37941)	7/28/1999 4:00:00 PM
From: long-gone	Respond to of 116762

What's going on in the gold market? Critics claim market is being manipulated By Jon E. Dougherty © 1999 WorldNetDaily.com Veteran traders and gold mining companies say the price of gold is being artificially held down to prevent huge losses by key lending institutions. Chairmen and chief executives at Canada's Placer Dome, U.S. miners Newmont Gold and Homestake Mining, South Africans Anglogold and Gold Fields and Ghana's Ashanti Goldfields have been seeking answers primarily from British Prime Minister Tony Blair on the Bank of England's May 7 decision to sell over half of the country's 750 tons of gold reserves. They charge that the sales were prompted by the desire to bail out lending firms running short positions in gold, but so far neither Blair nor anyone in the Clinton administration -- which supported the Bank of England's decision -- is addressing the questions. Worse, the International Monetary Fund is contemplating a British-style sell-out that will, say critics of the plan, further erode the trading value of gold, despite gold's traditional economic prowess. Great Britain and the U.S. also support the IMF sell-off plan, which is ostensibly being contemplated to raise money to cover the debt of poor nations that have not been able to repay the IMF. While few experts are openly charging U.S. and British leaders with a conspiracy, they do say these and other actions have resulted in a 10 percent fall in gold prices since spring. And because of the manner in which the sales have been handled, they amount to de facto manipulation of the gold market at a time when prices don't equal demand. Last year gold production amounted to some 2,550 tons but gold borrowings were over three times as high at around 8,000 tons. While production has remained steady, short-term borrowing on gold has increased since then. Critics say at issue is the practice of key lending institutions allowing gold bullion dealers to borrow inflated amounts of gold, which they then sell onto the market at a profit. If prices rise unexpectedly or before dealers sell the borrowed gold, both lender and borrower stand to lose billions of dollars. That's because deals are being made with gold that has not yet been mined out of the ground and, if prices remain low, may never be. (cont) worldnetdaily.com