Blog Reactions

FT Alphaville:  Lunch Wrap

BloggingStocks:  Wow! Why is gold trading at record levels?

Econbrowser:  Commodity inflation

Reactions

Wow! India drops $6.7 billion in reserve dollars for gold. This could will continue a bad trend for the US dollar. http://bit.ly/3DH3q6 21 days ago

now this is scary!!!! http://bit.ly/1wuE2t 21 days ago

India's central bank buys 400,000 lbs of gold - Worth $6.9 Billion! http://bit.ly/1wuE2t 21 days ago

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Lunch Wrap
FT Alphaville — ... concern to Fitch chatter. - Australia’s Cup day rate rise . - World Cups are bad for production. - Gold for SDR swap confirmed! - The Apocalypse of St John . - Backing the buck in Further reading . - China’s Japan-style bubble in Pink picks . - Banks, banks and more banks in Markets Live . On FT.com, - Lloyds and RBS unveil fundraising moves. - Hester hits out at Brussels over forced sales. - Gold nears record high on India purchase. - Bank stocks drag FTSE 100 under 5,000.

Wow! Why is gold trading at record levels?
BloggingStocks — Filed under: Major movement, International markets, Deals, Market matters, Money and Finance Today, Commodities Here's a shocker! India's central bank just bought 200 tons of gold! Do you know why India bought the gold? India's finance minister said the reason for the purchase was that the economies of Europe and the US had "collapsed." India swapped $6.7 billion dollars for gold equivalent to 8% of world annual mine production. India's move was a clear signal that Asia is moving away from the the US ...

Gold hits record on India purchase
FT Alphaville — Gold prices on Tuesday surged to an all-time high after India’s central bank bought 200 tonnes of the metal from the IMF, swapping dollars for bullion as the country’s finance minister warned that the European and US economies had “collapsed”. India’s move to exchange $6.7bn for gold equivalent to 8% of world annual mine production sent the strongest signal yet that Asian countries are moving away from the US currency. The move pushed gold prices up 2.6% to a record $1,086.10 per troy ounce, as traders bet that other central banks would also become buyers.

Commodity inflation
Econbrowser — ... to buy copper and nickel for speculation, Liu Na, an analyst with Scotia Capital, wrote in a note dated Aug. 17, citing reports from the state-owned China Central Television.... "These stockpiles are in 'weak hands' as speculators have no real use for base metals," Liu wrote. "When the market sentiment turns, they are very likely to turn into quick sellers, especially when the bank's money is involved." I also found this November 3 story from the Financial Times of interest: Gold prices continued to rise on Wednesday extending ...