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Politics : Dutch Central Bank Sale Announcement Imminent? -- Ignore unavailable to you. Want to Upgrade?

To: sea_urchin who wrote (7491)	8/29/1999 11:20:00 AM
From: m.philli	Read Replies (1) \| Respond to of 81312

Morning Searle, I agree, Asians buying an ounce is probably a bit of a stretch. China, I can't say, but in the Philipinnes,(I expect Indonesia, Thailand, Malaysia are similar)foreign investment ,a booming economy, translates into jobs. Whether they are in department stores, Macdonalds, construction or in my wife's case an electronics factory, some of the wages translates into Gold sales. A job translates into earrings (of a quality that can be taken to the pawnshop if necessary, their not interested in the plated stuff. A job means you can afford to finally marry, this means wedding rings, A marriage means the purchase of a barbecued pig, which means the farmer can buy jewellery for his wife. My wife lived in a boardinghouse with 6 girls to a room, brought most of her money home to help her family, but Still,managed to acquire those gold earrings and chain. So I guess I'd be more accurate in talking grams, but 70 million here, 270 million their, still adds up to a lot of Gold demand. I would also expect those booming economies would have allowed the increase of gold reserves balancing other CENTRAL BANK sales. People don't pawn/sell their jewellery (scrap sales) when times are good, so any increase would have had to come from increased production. So, I'm still left with the question, "When Kalimantan went bust, why didn't supply/demand forecasts alter and gold rise. Were some of the producers (Barrick) and some of the Hedge funds wise enough to realize Asia was going to crash and demand evaporate. Perhaps, Barrick was wise enough to see this, after all they brought Mulroney and Bush on as directors shortly before these events took place. Maybe they provided the "enlightenment and wisdom", to go against what appeared at the time to be ever increasing demand!Maybe, they were the ones suggesting forward sales, to supply this booming market to prevent a gold price skyrocket.Worked out good for them anyway,smart people making policy on their board. I know, poking a stick in a dead horse's guts, wondering why he died when he did.Was it natural causes or "foul play". I guess the coroner will rue out foul play, but an air of suspicion, still emanates from the corpse. mike