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

To: TobagoJack who wrote (96682)	11/21/2012 10:00:24 PM
From: elmatador	1 Recommendation Respond to of 217548

Brazil gold reserves hit 11-year high boosted its gold holdings for the second straight month, and to the highest level in 11 years, as Latin America’s biggest economy looks to diversify its vast international reserves. As a group, central banks are set to buy almost 500 tonnes of gold this year, the most in more than four decades. Central banks in Latin America have recently joined those in Asia and the Middle East in adding to their gold reserves: in addition to Brazil, others including Mexico, Colombia, Paraguay and Argentina have recently bought bullion Brazil gold reserves hit 11-year high By Samantha Pearson in São Paulo and Jack Farchy in London Brazil has boosted its gold holdings for the second straight month, and to the highest level in 11 years, as Latin America’s biggest economy looks to diversify its vast international reserves. Data from the International Monetary Fund on Wednesday showed that Brazil raised its bullion holdings by 17.2 tonnes in October to 52.5 tonnes, the highest level since January 2001. The move comes on the back of Brazil’s 1.7 tonne increase in September, the country’s first significant gold purchase in a decade. Brazil’s aggressive efforts to weaken its currency by buying dollars – about $132bn since the beginning of 2008 – have left the country with the sixth biggest international reserves in the world, about 80 per cent of which is denominated in the US currency. However, recent turmoil in currency markets and concerns over the global financial crisis had given Brazil’s authorities even more reason to diversify their holdings, said Silvio Campos Neto, an economist at the Tendências consultancy in São Paulo. “The dollar has its problems because of monetary easing policies and fiscal uncertainties that will also exert a certain pressure on the currency, so it’s natural the country is on the lookout for other types of assets,” he said. Brazil is the latest emerging economy to buy gold, as concerns about quantitative easing and competitive devaluation by the world’s biggest central banks drive reserve managers to diversify their holdings. As a group, central banks are set to buy almost 500 tonnes of gold this year, the most in more than four decades. Central banks in Latin America have recently joined those in Asia and the Middle East in adding to their gold reserves: in addition to Brazil, others including Mexico, Colombia, Paraguay and Argentina have recently bought bullion. The buying is helping to prop up prices, in spite of weak demand in China and India, gold’s main physical markets, and uncertainty among investors. Edel Tully, precious metals strategist at UBS, said that Brazil’s buying in October had been “one of the key factors that gave prices a reasonable floor last month”. Gold last month fell to a low of $1,672 a troy ounce, but on Wednesday was trading at $1,728. Although Brazil’s central bank declined to comment on the reason behind its recent return to gold purchases, it has frequently stated its intention to diversify assets and reduce its exposure to currency risk. In December last year, 83.5 per cent of the central bank’s $352bn reserves was held in government bonds, 15.6 per cent was in other bonds and bank deposits while only 0.8 per cent of reserves was held in other asset classes such as gold. In its international reserves report in June, the central bank said the recent surge in reserves had allowed the country to hedge its external liabilities, allowing it to now “seek a greater diversification of international reserves.” Recent weakness in Brazil’s real, which was trading around a three-year low of R$2.09 against the dollar on Wednesday, has also given the central bank more room to halt currency interventions and buy other assets, said Mr Campos Neto. Copyright The Financial Times Limited 2012. You may share using our article tools. Please don't cut articles from FT.com and redistribute by email or post to the web.

To: TobagoJack who wrote (96682)	11/21/2012 10:06:17 PM
From: elmatador	Respond to of 217548

the middle east situation and neighborhood The situation is untenable for the Moslem nations. They know the end is near. Thus they have got more aggressive. The Moslem nations of the past 50 years, post independence from British empire and gorging in oil have their days numbered. When you are strong you are not aggressive and loud. That aggressivity and loudness, only comes when you are on the defensive. The above does not mean the situation will no develop as you explain. Only explain why and the out come.

To: TobagoJack who wrote (96682)	11/22/2012 12:20:45 PM
From: ggersh	Read Replies (1) \| Respond to of 217548

bullmarketthinking.com The Soros Position Nobody is Talking About November 21, 2012 \| By Tekoa Da Silva \| 1 Comment Just about everyone in the gold and money management communities, is aware that billionaire George Soros’ hedge fund, Soros Fund Management LLC, is heavily invested in gold and gold mining equities. Additionally, in the past few days, a flurry of new articles have been written, detailing the Soros Fund’s most recent 13-f filing. In case anyone is unfamiliar, a 13-f filing is a document which contains a fund’s investments held during a financial quarter, and when we compare a recent 13-f with a previous 13-f, we can see the buying and selling activities of a fund during a given time frame. In the most recent 13-f filing on November 14th, the Soros fund increased its position in gold via the GLD fund from 884,400 shares, to 1.3+ million shares. That represents a sum of about $200 million. The fund increased its position in the GDX gold miners ETF from 1 million shares, to over 2.3 million, it added a 1.7 million share position in Kinross Gold, and finally, maintained a nearly 2.4 million share position in the GDXJ junior gold miners ETF. But it seems I left something out. Along with all the other financial news editors. The Soros Fund added what appears to be a $9 million call option position on the GDX. What might that mean? Well, it could mean a few things. It could mean that George Soros and his fund management team listen closely when a 100 year old man speaks. It might also mean the team felt that gold mining equities were extremely undervalued on a short term basis…and it might also mean the team sees money to be made over the next 6-12 months, via a sharp move higher in the GDX. One thing we do not know, is the expiration date and strike price of the options. However, given the size of the fund, and size of the option position, it’s very unlikely that the options are short-term(less than 6 months), and due to necessary volume to fill such a position, they are likely “close to the money”—to use a piece of option jargon. It’s encouraging to see one of the world’s most successful billionaire investors moving cash into the gold mining equity space, especially during a time in which many a smart market commentator has pounded the table to anyone who will listen, of the value to be had in the sector. There is no doubt great numbers of retail investors have abandoned the mining equity space this year. We should also note many of the retail and institutional investors who abandoned their ships (positions) over the last six months, may have inadvertently been selling their holdings directly to the Soros Fund Management LLC team. In betting who will ultimately be right or wrong from a financial perspective, I’ll be placing my bets on the Soros Fund. Best of luck in the months ahead, Tekoa Da Silva