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Fed bought $7.5 billion in Treasurys in first operation

 

By Deborah Levine

Last update: 11:15 a.m. EDT March 25, 2009

 

NEW YORK (MarketWatch) - The Federal Reserve Bank of New York bought $7.5 billion in Treasurys on Wednesday. It's the first such operation since the central bank announced last week that it intends to buy $300 billion in Treasury securities to help improve conditions in private credit markets and spur lending. The debt bought Wednesday included notes maturing between 2016 and 2019. Dealers submitted $21.9 billion in debt to be purchased. The Fed said Tuesday its next batch of purchases, of debt maturing in two to three years, will take place on Friday. Other maturities are slated to be bought next week.

 

http://www.marketwatch.com/news/story/Fed-...p;dist=hplatest

 

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You keep saying that. What's your basis?

 

I'm not sure but about 5 minutes after that call, it blasted off in GBP. Probably more to do with GBP coming down than anything else, but currently up from £636 and touching £642. Could still come down of-course...

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Open interest in COMEX gold increased by 1,209,600 ounces in the two days following the fed’s announcement last week. Can anyone explain to me who in their right mind would short gold following the fed’s plan to double its balance sheet?

 

3/18/2009 376237 fed’s announcement

3/20/2009 388333 two days later

 

A 12096 increase in Open Interest (1,209,600 ounces)

 

Conclusion: Attempts to suppress gold prices are now obvious and desperate. The game will soon be coming to a close.

.

.

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Alex (not Jones) Says:

March 24th, 2009 at 5:51 am

 

Only the Fed working through the PPT has the resources to risk that much money, possibly other central banks working in tandem.

Markets are very reactionary and often move contrary to good sense. programmed trades often fire not so much on price alone but other factors such a price/volume rations, stochastics and other complex formulae .

Even Cramer was caught on camera discussing market manipulations with surprisingly small amounts.

That gold prices are being deliberately suppressed is not even in serious question, and even by whim, there are not many groups capable of putting up amounts like that and risk losing it all. The real question is what does it really mean, are they trying to cover up the fact that Fort Knox has been emptied out or are there larger implications like a forthcoming confiscation or are certain groups trying to buy up all they can before the price explodes?

http://www.prisonplanet.com/who-shorted-go...-last-week.html

 

They are riding trying to hold down one big bull.

 

And before cg can say it, yes they will fail :D

 

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I'm now long 600 ounces thru GLD.

 

But it is thru options, and so with limited risk:

http://www.greenenergyinvestors.com/index.php?showtopic=6327

 

I am not yet sold on the LIFT-OFF concept, but felt it was important to have an exposure,

give the way it has held up over $900

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I'm now long 600 ounces thru GLD.

 

But it is thru options, and so with limited risk:

http://www.greenenergyinvestors.com/index.php?showtopic=6327

 

I am not yet sold on the LIFT-OFF concept, but felt it was important to have an exposure,

give the way it has held up over $900

Understood, but my perceptionof risk is different. I would count at least the possibility you will be paid out in dollars not Au (the chemical element) if you ever did take delivery in the event of....well... you know...!

Yes it's a low risk, and smaller than the investment risk possibly, but it is one I am not comfortable ignoring, because the consequences are so large.

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I'm now long 600 ounces thru GLD.

 

But it is thru options, and so with limited risk:

http://www.greenenergyinvestors.com/index.php?showtopic=6327

 

I am not yet sold on the LIFT-OFF concept, but felt it was important to have an exposure,

give the way it has held up over $900

 

Saying that one here, you do realise you are asking for it ?! :lol:

 

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The best part I liked about this video was at the end when he was talking about developing contacts/links with people in Asia/China with a picture of Hong Kong on the screen.

 

Living at the gateway to China could be as good as gold in the future with the collosal shifts occuring.

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I'm now long 600 ounces thru GLD.

 

But it is thru options, and so with limited risk:

http://www.greenenergyinvestors.com/index.php?showtopic=6327

 

I am not yet sold on the LIFT-OFF concept, but felt it was important to have an exposure,

give the way it has held up over $900

Thats a mighty large position for someone who isn't sold on the concept :lol:

 

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Thats a mighty large position for someone who isn't sold on the concept :lol:

I think you sould see Bubb's GLD options thread for the whys and wherefores.. i.e. leverage etc..

http://www.greenenergyinvestors.com/index.php?showtopic=6327

I think Bubb is trying (and succeeding) to educate us about options and their virtues (and vices!).

 

I don't think I'd trade them (options)

except as a small supplemental to a core physical position, but they are a useful addition.

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