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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: Snowshoe who wrote (42843)	11/17/2008 4:50:43 PM
From: TobagoJack	Respond to of 217901

just in in-tray player 1 Questions re below: 1. Iran Pariah or domino? 2. Report accurate or false? 3. If already switched, 80 billion transaction did not move market... Implicatons for POG? 4. If intending to switch, why announce you already have? 5. Will low oil price require them to sell the gold? 6. Will anyone else follow? reuters.com Iran switches reserves to gold: report player 2 here's what i think about it: 1. Iran is a pariah whether it buys gold, makes handstands, or whatever. pariahdom is deserved, as the regime is odious, but in any event, its decisions regarding gold will imo have no influence on the decisions of other nations w.r.t. monetary gold. 2. imo irrelevant because of 3. 3. forget mainstream thinking about gold supply and demand. the amounts Iran has bought are likely way too small to make much of a difference to the gold market. there are 155,000 tons of gold supply out there. had they bought yen, or dollars or euros, we would also not expect much of an effect, and it's exactly the same with gold. there may be a psychological effect by this news becoming known, but little else. 4. sounded like they have already bought. 5. could well be, if they begin to run a current account deficit, but imo irrelevant as per 3. 6. possibly, but for slightly different reasons (e.g. to hedge forex exposure).