CharlieSays

Not sure if this has been posted already. Article detailing the Gold Leasing rates and how they apply to LIBOR, and the gold carry trade http://seekingalpha.com/article/100677-mis...cle_lb_articles

Its not following fundamentals either... I always find ker's analysis a useful insight, personally im not day trading and until pay day not topping up. might get me some oil come month end but thats for a different thread. Then again tinned chicken might be an option. Husband eats 50-year-old chicken. http://news.bbc.co.uk/1/hi/england/manchester/4693520.stm

Did they work out if it was 700 Bn a month or total in the end?

Dont think this has been posted yet. (and other smily faces)

John Authers on FT Short view talking about gold. http://www.ft.com/cms/bfba2c48-5588-11dc-b...00779fd2ac.html Then in his article http://www.ft.com/cms/s/0/2182ab42-85af-11...00779fd18c.html The Short View: Money market funds By John Authers, Investment Editor Published: September 18 2008 19:52 | Last updated: September 18 2008 19:52 There are no one-way bets in markets – but occasionally the government can create some. Thursday’s huge co-ordinated intervention by central banks only lifted global stocks for a few hours. And rushing for safety itself involved big market-timing risks. Take gold. It provided a profit amid the panic of the past two days, but the timing had to be perfect: gold rose $112 in barely 12 hours, and during the following four hours it fell $38. It is not a one-way bet. Another clear-cut bet was on money-market funds, which offer a slightly better version of a deposit account, for slightly higher risk, by investing in low-risk bonds. The news that holdings of Lehman Brothers had forced one fund into a loss, from $1 to 97 cents, triggered an exodus from the funds. This is not rational. Money market funds are still, even after Lehman, much safer than most alternatives. Their downside is limited. But one bet seems certain. Following Lehman and AIG, we know that creditors may be saved but shareholders will not. So the government, perversely, has turned short-selling the shares of an investment bank into a one-way bet. Hence rules to force short-sellers to locate stock to borrow before they make a sale, which will drastically reduce the overall level of short-selling, are irrelevant. If a bet against the equity of Morgan Stanley (down 22 per cent in hours on Thursday) is safe, short-sellers will do the necessary paperwork. Add the money fund panic to the clampdown on shorting, and you get Thursday’s sell-off in custodian banks led by State Street. They long ago ceased to take any great credit risk and instead make fees for administering funds. But State Street’s nice earners include running money market funds and securities lending (to short-sellers). And so on Thursday, incredibly, at one point its shares fell as much as 55 per cent.

Hello again gold at $900, Im sorry i ever doubted.

Thanks for that, explains a lot, i was always thinking that it the physical play might be a very small fraction of the real thing, and then filled up with air or something. BTW just noticed one of Dr's markers being sailed through. Bye Bye 850, lets hope it holds now, once the presidents club or whatever they are called come back from turning on the printing press they will get back to their daily smackdown. From total despair yesterday to today.

http://timesofindia.indiatimes.com/Busines...how/3418861.cms

From MISH'S Global Economic Trend Analysis Jon Nadler, Senior Analyst Kitco, Chimes In On The Precious Metals Conspiracy http://globaleconomicanalysis.blogspot.com...tco-chimes.html Long but interesting article describing how a hedge fund unwinding in commodities have caused the recent drop in PM prices we have been seeing.

Following up on the part of the thread discussing someone having massive short financial silver and gold futures positions, I tried to get my head round a couple of points and so looked at the definitions on a gold and silver contract. http://www.nymex.com/GC_spec.aspx The last trading day is defined as the third to last trading business day, So for Aug would mean today (Wednesday), so can we expect a lot of unwinding to happen before they end of trading. Or do they make a separate trade for a future month that offsets their current position, and is this where EFPs come into it, but that must rely on both parties to agree to unwinding the trade.

Bradford & Bingley's Mortgage Bonds Cut by Moody's http://www.bloomberg.com/apps/news?pid=206...GE&refer=uk Aug. 22 (Bloomberg) -- Bradford & Bingley Plc, the U.K.'s biggest lender to landlords, had its top-rated mortgage bonds downgraded by Moody's Investors Service. Moody's cut the covered bonds one step to Aa1, the New York- based ratings company said in an e-mailed statement today. The bonds of the Bingley, England-based lender remain on review for ``possible further downgrades,'' according to the statement. ... Late loan repayments have surged amid the worst U.K. housing slump since the 1990s, also harming Bradford & Bingley's business. The mortgage lender said late payments rose to 3.3 percent of all loans as of August. Its market value has tumbled more than 80 percent in the past year. ... ``This is not just a downgrade, it's a downgrade with a watch negative, which is a strong indication that the rating will go down further,'' said Florian Hillenbrand, a covered bond analyst in Munich at UniCredit SpA, Italy's largest bank. ``Nobody knows where it will end.''

Not sure if these extra couple have been posted yet. The sprial, episodes 3,4 Edit: Added no 1 & 2 links

Two years for your first post, thats restrained.

Picked up my first gold coin today off ebay, couple of questions, when can i eat it? But while trying to find reasons to make myself happier about the PPT 15% attack on gold recently i thought how the 20% Oil reduction would have on the margins on Gold Juniors. Say around a 600$ production cost (seem to remember that from one of CC interviews) Previous 600$/ ounce production cost @980$/ounce market val => 380$/ounce margin Now 480$/Ounce production cost @880$/ounce market val => 400$/ounce margin So Im up, sort of, pity my juniors are mainly standing around a hole still.

Three Million in Gold Bullion Seized at Gold Dealers House Authorities have seized $60,000 cash, some of it sealed in shrink wrap, and $3 million in gold bullion at the Moorpark, CA ranch house of James Fayed, whose wife, Pamela, was murdered last week. Twenty-five assault rifles and thousands of rounds of ammunition were also seized from the house, according to Assistant U.S. Atty. Mark R. Aveis Fayed, who was seeking a divorce from his wife, both jointly owned Goldfinger Coin and Bullion Sales and an associated Internet firm, e-Bullion.

Could this be related to the surprise rise in supplies at the end of last month? Which started the downward leg for oil for the last few weeks? Its a shame they cant just keep it all hidden in some big underground cavern, refuse to let anyone see it for 50 years, and just tell world that they have loads spare, meanwhile quietly sell any left hanging around.

If in doubt of where to post... Shamelessly stolen from http://stockmania.com/

@Ziknit re Friends Provident PM fund, Spoke to pension advisor, yep Friends Provident do offer a PM fund, but its aimed at expats rather than UK based. Why this should make a difference i dont know. The other thing i found was that there was a restriction on the initial investment $10k, so drip feeding makes this pretty difficult (at least for me, or until US$ tanks), also there is a 5% entry fee, or penalties for withdrawing before 5 years. If you find anything different let me know. Additionally, I asked about any sort of commodity play and there was none. so we had a long discussion about commodity/equity cycles at this point, I asked about their method of evauating risk profile (see above equities + property exposure) and he said it was based on a model, as if that explained it all, followed by a discussion about the parameters of said model, which he didnt know and when asked about timespan of model data, commodity dependence and demographics. Think will use pension as a way to get exposure to emerging markets for the time being.

Thanks for that, Ive got my pension with Friendless and provident and meeting/talking to the pension advisor later today/tomorrow so i will ask him about this, having said taht the idiot still sent me an spreadsheet saying i should be exposed 20% to UK property, 40% UK Equities and others, just to be a bit mad and spread risk 5% Pacific/emerging markets. Still that might just be the line he is told to peddle, i will update if he has anything interesting to say.

No one quite knows how much gold the Fed keeps at Fort Knox, they havnt had an audit for 50+ years, James Turk on one of CC interviews was saying that the latest gold being sold by the CB was of dubious quality, implicating that they are scraping the barrel. Most of the CBs can still sell 50% or so of their yearly allowance with one month left to play, but again they could have sold already if they wanted to, so they want to keep their gold just at the moment, or dont have too much left, or its already shifted East.

doesnt dare look..... DOW - 237!!! wtf.