Posted on 11/13/2009 7:56:06 AM PST by h20skier66
Thursday saw the US Treasury report a record October deficit, the 13th monthly shortfall in a row. The Federal Reserve last week vowed to hold its key interest at next-to-zero for an "extended period".
The Bank of England here in London has now created £200 billion of new money since March, using it primarily to buy government bonds as Whitehall's deficit hits a peace-time record equal above 14% of GDP.
China's central bank reported record gold reserves this spring of 1054 tonnes. The Reserve Bank of India bought 200 tonnes of gold from the International Monetary Fund at the start of November. Russia's gold reserves have risen by more than 71 tonnes since January.
"[Thursday's] price action shows as a large outside day," says Scotia Mocatta's technical analysis today, "typically good reversal warnings."
"Gold and silver yesterday surpassed both the high and low from Wednesday," agrees a London dealer in their technical note.
(Excerpt) Read more at commoditynewscenter.com ...
One of the largest gold mining companies in the world, Barrick Gold, recently announced two very important items:
1) It would remove all hedges used to protect the price of its gold; and 2) that the company would buy back more than one billion dollars of it’s own stock.
So, this means? Barrick Gold expects gold to go much higher.
FYI -Rex
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