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

To: IngotWeTrust who wrote (10888)	4/28/1998 8:03:00 PM
From: goldsnow	Read Replies (1) \| Respond to of 116764

Ole, thanx for this prestigious award.. Do you think that Eoropeans are ready to part with their GOLD...After, so much effort that after all included discovery of America, many wars in the names of God and Gold..Couple of years ago my dear friend from Spain was taken sightseeing to St Augustine in Flrida (300 year-old) He later remarked to me that by local standards he felt himself to be antique (He lives in Sitges, 2 thousand year-old town outside of Barcelona great place to live or stay outside of Barcelona, Facades of this Meditteranean Town are still just like they were when Columbus sailed) I doubt they are going to part with gold for he sake of the New World FOCUS-EU gropes towards fragile deal on ECB job 12:27 p.m. Apr 28, 1998 Eastern PARIS, April 28 (Reuters) - The European Union appeared on Tuesday to be groping towards a fragile deal on the European Central Bank in which one misplaced word could still dash hopes of an agreement at this weekend's EU summit. Britain, which holds the EU's rotating presidency and is therefore responsible for finding a deal, began a last round of talks to end a row over whether Dutchman Wim Duisenberg or Bank of France head Jean-Claude Trichet will head the ECB. British Prime Minister Tony Blair telephoned German Chancellor Helmut Kohl on Tuesday to discuss the top job. A spokesman for Blair said he would like to see EU leaders reach an agreement at the Brussels summit, at which they are expected to confirm that 11 countries will take part in the launch in January of economic and monetary union. Most European politicians believe the job will go to Duisenberg, now in charge of the ECB's forerunner, the Frankfurt-based European Monetary Institute. ''The support for Duisenberg is very broad,'' Dutch central bank head Nout Wellink told a news conference on Tuesday. He said domestic pressure on Kohl would make it difficult for him to accept any other candidate. Kohl is expected to play a key role in persuading France, Germany's main ally in Europe, to accept Duisenberg. The question however is whether the drafters of EU summit statements -- with years of experience of finessing national differences -- can devise a face-saving solution for France. Officials have ruled out any explicit split in the eight-year mandate, with Duisenberg, 62, starting the job and then handing it over to Trichet, 55. Blair's spokesman said, ''The post has got to carry credibility and the solution will make sure that that is the priority.'' European Commissioner Yves-Thibault de Silguy said on Monday that the new ECB head would be appointed for a full eight-year term, in strict respect of the Maastricht Treaty. Germany, which made the independence of the central bank a condition for accepting EMU, opposes any split in the mandate which would smack of political meddling in monetary policy. Leaders of Kohl's Christian Democrats, the Christian Social Union and the Free Democrats on Tuesday affirmed their support for Duisenberg and their opposition to splitting the mandate, coalition sources said. They also nominated Bundesbank chief economist Otmar Issing as Germany's candidate for the ECB six-member executive board. The board, along with the governors of the 11 national central banks, will make up the ECB's governing council and set a common interest rate for all EMU members. ''Mandates are one of the most high-ranking things in terms of central bank independence,'' Darren Williams, economist at SBC Warburg Dillon Reed in London, said. Officials however have floated the possibility that EU leaders could state explicitly or implicitly that Trichet would succeed Duisenberg should the Dutchman step down early. France could also be awarded the vice-presidency of the ECB. With Trichet already on the ECB governing council as Bank of France head, this would probably go to another Frenchman, possibly his deputy Herve Hannoun. French President Jacques Chirac is in Japan until Thursday so officials do not expect any change in the French position this week. France has said repeatedly it will defend Trichet as its candidate. But there have been growing signs that EU governments are now fine-tuning a proposal to be put to EU leaders to take or leave on Saturday. Blair discussed the ECB job in phone calls last week with Chirac and Dutch Prime Minister Wim Kok, whom he was expected to meet again in the Netherlands on Friday. Financial markets have shown little reaction to the ECB tussle, convinced now that nothing can stop EMU going ahead on time and believing both Duisenberg and Trichet would follow a similar orthodox line at the helm of the central bank. ''This is all kind of an unstoppable train now. Is this really such a big issue? Probably not,'' Williams said. He added however that in the unlikely event that Trichet got the job, markets might worry about political meddling. ''His credentials as a central bank governor are pretty much impeccable, but if he were to be named, that would give cause for concern because that would really smack of political interference,'' he said. ((Myra MacDonald, Paris newsroom, +33 1 4221 5452, fax +33 1 4236 1072, paris.newsroom+reuters.com))

To: IngotWeTrust who wrote (10888)	4/28/1998 8:19:00 PM
From: Mark Bartlett	Read Replies (1) \| Respond to of 116764

ole 40'r, Apart from the historical context, is there any other reason that the gold price must be "fixed" in London. It would seem to me that if England does not enter the EU, why should the price of gold be "fixed" there. This assumes of course the EU decides to back their reserve currency with a reasonable % of gold. I guess what I am getting at is ... if other areas of the world decide to elevate the economic importance of gold as a reserve - then to me it makes sense the price would be fixed in these countries - and not England where it apparently is now not as important. Comments invited !! MB