Who's got shovels?: Central banks join the gold rush

Discussion in 'Wall St. News' started by schizo, Jun 18, 2010.

  1. schizo


    They're all asswipes if you ask me.

    Foreign governments have been getting in on the recent gold rush, driven by continued fears about Europe's debt crisis and the pace of the global economic recovery.

    Those concerns have been propelling the precious metal to record highs over the past 18 months. In fact, gold posted a new intra-day high Friday, when it reached $1,260.90 an ounce. A day earlier, it reached a fresh record high closing price of $1,248.70 an ounce.

    Last year, foreign central banks were net buyers of gold for the first time since 1997. India, China and Russia have been the biggest buyers. And more recently, the Philippines and Kazakhstan jumped into the fray with big purchases of the precious metal during the first quarter, according to data released by the World Gold Council Thursday.

    What's behind the buying binge?

  2. 1) It's nothing more than a momentum trade. It's a big velcro-ball that more and more people get stuck to.
    2) When Kazakhstan is buying, you know that must be a "top". :D

  3. GC rolled in 97 from 350ish - 250ish low in late 99 or roughly 28.5% loss.

    Just sayin...
  4. Just wait till the UK buys back the stash that Brown low-ticked the bottom with. Sell at $250, buy back at $2500 lol.
  5. speres


    Yeah, and then Brown bought euros lmao :D