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

To: Enigma who wrote (48923)	2/12/2000 3:05:00 PM
From: Ken Benes	Read Replies (2) \| Respond to of 116912

Although, there is no smoking gun, the actions of the BOE for the periodic sales at public auction come as close to indicating manipulation than actually having the finance ministers on tape discussing, why they would conduct of sale in this fashion. The BOE approach was novel and was designed to maximize publicity surrounding the continuing sales by central banks. What other reason could be inferred, it certainly did not optimize the price they received in the first two auctions. As a matter of fact, the first announcement reduced the priced received by 10%. On the other hand the Dutch, as has been the practice, in their recent sales, announced the sales without publicity after the fact, having little impact on the gold market. Your admission that you are not convinced that the cb's attempted to influence the price of gold indicates that you might at some point recognize that is what in fact happened. During the last ten days as the controversy has swirled about the producers forward selling practices, a critical examination of the techniques used has left little doubt that they did in fact depress the price of gold by increasing supply in the spot market. Some future revelations may produce the evidence required to implicate the cb's in overt moves to depress the pog for political and economic reasons. Ken

To: Enigma who wrote (48923)	2/12/2000 3:46:00 PM
From: Rarebird	Respond to of 116912

The CB's are Momentum Players just like the Average Joe on SI. The CB's will buy Gold when the price begins to surge and the economic cycle turns down. To be sure, the CB's are committed to a diversified portfolio, in contrast to many people on SI. But their goal is the same: to maximize profit for their holdings as well as to keep the economic bubble finely tuned.

To: Enigma who wrote (48923)	2/12/2000 3:54:00 PM
From: Gord Bolton	Read Replies (1) \| Respond to of 116912

It will certainly be interesting to see how it all unfolds. The Central banks are creditied with having a lot of gold sitting in the warehouses doing nothing much but if they have leased out a large percentage and that gold has been sold into the market they may have already shot their wad so to speak. That would be the same gold that is supposed to be on hand to suport the currency in time of need. I am sure that China, Russia and South Africa would all like to see the POG go up as they are all large producers and could use the Cash. Big mining companies do have some power in the market as well if they can ever learn to sing in harmony. And if gold does start rising it will create its own demand. New buyers will enter on speculation or as a safe haven and everyone who leased gold on cheap interest rates will be pressured to buy it back before it goes higher in price. Remember Central banks and everyone else does not want to buy gold because it is cheap and getting cheaper. They want to have it because it could go up and way up in price. There is a finite amount of gold available and there is potential unlimited demand.