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To: Paul Kern who wrote (62631)1/23/2007 8:24:37 PM
From: Square_Dealings  Read Replies (1) | Respond to of 116555
 
physical is shorted too via carry trade or leasing.

what I meant was that at some point theres a limit to how much debt or borrowing (shorting) can be taken on

Maybe this changes things somewhat, not sure

<< NEW ORLEANS, Jan. 22 /PRNewswire/ -- After months of inquiries and a hotly debated, in-depth position paper by its economic research unit, Blanchard and Company has learned that the International Monetary Fund has adopted a landmark accounting change to the way Central Banks account for their gold loans, giving this sector of the commodities market more transparency than it has ever had, the precious metals market leader announced today.

"This is a huge step forward for the precious metals market and a major victory for the gold market investor," said Blanchard Chairman and CEO Donald W. Doyle, Jr. "Not since the Washington Agreement on gold in 1999 and the legalization of gold ownership for Chinese citizens in 2004 has there been such an important event in the advancement of the gold market." >>

theenergydaily.com

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