World Bank \ IMF selling its Gold. Thats nice.

DriftingByTheStorm

Yeah,
as if the american monitary crisis wasn't enough to make people think banks should be more careful with their reserves, the US is "letting" the IMF sell a good chunk of its gold to finance expanding operations. Whatever that means.

CNBC just said this is the direct reason gold is on the downswing today. IMF is flooding the market.

Maybe they have real reasons for selling the gold (though i tend to doubt it. they can just fucking print money) ... but it sure is convenient timing for them to dump a bunch of gold ... gold was pushing out of its range to the upside, looking like it was ready to go on to 975 and 1000 an ounce shortly.

This timing is about as "convenient" as the AMBAC bailout announcement last Friday, just coincidentaly the same day and the same time that the market was breaking out of its wedge to the downside ...

remember that thread the other day "Something BIG is about to happen"? Yeah ... the market was breaking its wedge ... it just so happened it was to the downside.
But then BAM, the AMBAC announcement.
Coincidentaly, "in the hands of bureacracy".

Boy bureacracy sure has good timing.
Gold, bailouts, rate cuts.
No attempt to "rig" the markets here, right?

:rolleyes:

Jammin909

Very interesting. I'll do some research of my own. Thanks for the news.

This is just one example of what could potentially happen should countries/institutions start liquidating their reserves.

Kann

DriftingByTheStorm wrote:

Yeah,
as if the american monitary crisis wasn't enough to make people think banks should be more careful with their reserves, the US is "letting" the IMF sell a good chunk of its gold to finance expanding operations. Whatever that means.

Maybe they have real reasons for selling the gold (though i tend to doubt it. they can just fucking print money) ...

I'm not saying this isn't conspiracy-worthy but the IMF lends money and for this they need money. And no they don't print money. And even if they did they just might not want to flood the world with dollars right now, which could be a pretty bad move.

DriftingByTheStorm

Kann wrote:

I'm not saying this isn't conspiracy-worthy but the IMF lends money and for this they need money. And no they don't print money. And even if they did they just might not want to flood the world with dollars right now, which could be a pretty bad move.

The IMF issues "IMF Credits" which are not even really "money", they are like little notes banks\governments around the world stick in their bank accounts and then use as reserves themselves from which to lend real "cash" out on.

In other words, like the United States holds Treasury Bills and issues dollars, the IMF holds dollars and issues "IMF Credits", which recepient countries then hold and issue their currency.

Or at least, thats how it works in a simplified fashion.

But the bottom line is,
the justifications for IMF selling gold are pretty weak right now.

To me at least, it reads as pure gold price manipulation, given like i said, that gold is just about to break out of its range.

This is nothing new anyhow.
Central banks have been accused of precious metals price manipulation for over a decade.

This instance, given the timing, is just too obvious though.