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

To: russwinter who wrote (65177)	3/8/2001 9:41:33 PM
From: marynell	Respond to of 116753

I hope those ABX vampires go belly-up when gold soars! They really deserve to suffer, and I can't feel sympathy for the stockholders who support them.

To: russwinter who wrote (65177)	3/9/2001 12:06:35 AM
From: Activatecard	Read Replies (1) \| Respond to of 116753

From KITCO: Can anyone comment on this: What a difference a day makes!! We saw gold close $1.50 higher today on the back of another successful test of the $260 technical support area and sharply ( as in 2% higher!! ) lease rates to close over $262 in spot. From what I can gather, it was not so much demand in the leasing markets that caused these higher rates, but significant selling by Australian producers that narrowed the forwards. Or perhaps a combination of the two. New readers should be advised the following equation must always hold in the precious metals markets. LIBOR= FORWARD RATES + LEASE RATES So, if there is pressure on one component of the equation on the right, the other component must adjust. Thus, a narrowing of the forward rates would force higher lease rates, and visa versa. If this relationship becomes skewed, it is quickly arbitraged back into line by the "big boys". Also, the marketplace took a surprise anuncement by the Bank of England as slightly bullish. There have been consistent and persistent rumors that there was "trouble" with the current lending policies of this Central Bank. Most of them were just too silly to repeat. But, the BOE announced that henceforth, after the next auction, they would be selling only 20 tons per auction rather than the 25 tons in the past. This gave credence to the rumor-mongerers stories and also lent some support to the gold market.