A tidbit of information some people here might find
interesting:
Marcus Grubb, Managing Director, Investment of the World Gold
Council made a short appearance on bberg tv at about 5:30
eastern.
He said that this was caused by a single 400 t sell order placed
in NY on Friday.
It was not caused by the economic data out of China, because
that came after the selling started.
Further, he said that gold is still selling at premiums in
Shanghai and India.
(at that point he was cut off as they went to a commercial)
_______________
400t? Which entity has that much - or can place an order
that large?
To put it into context, that is 2/3 of the size of the
national reserves of the Netherlands, one of the top dozen or so
gold-holding countries.
It was not an ETF, as Bberg reported today: "Holdings in all
ETFs compiled by Bloomberg dropped 1 percent to 2,382.43 tons
yesterday, the biggest loss since Feb. 21."
At $1500/troy ounce, 1 metric ton of gold is worth $48.225
million.
Cyprus was talking about selling approx $500m worth of
"excess reserves" of gold. That is a bit over 10 t.
That could make sense, as Cyprus has approx 14 t of
gold reserves.
This was a 400 t sell order according to Mr. Grubb.
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WGC comment
Posted by johan on 16th of Apr 2013 at 06:25 am
A tidbit of information some people here might find interesting:
Marcus Grubb, Managing Director, Investment of the World Gold Council made a short appearance on bberg tv at about 5:30 eastern.
He said that this was caused by a single 400 t sell order placed in NY on Friday.
It was not caused by the economic data out of China, because that came after the selling started.
Further, he said that gold is still selling at premiums in Shanghai and India.
(at that point he was cut off as they went to a commercial)
_______________
400t? Which entity has that much - or can place an order that large?
To put it into context, that is 2/3 of the size of the national reserves of the Netherlands, one of the top dozen or so gold-holding countries.
It was not an ETF, as Bberg reported today: "Holdings in all ETFs compiled by Bloomberg dropped 1 percent to 2,382.43 tons yesterday, the biggest loss since Feb. 21."
1% of that figure is 24 t.
400 tons
Posted by thor on 16th of Apr 2013 at 07:13 am
I think Merrill Lynch sold the 400 tons on friday
could it be cyprus selling 400t of gold?
Posted by 8899 on 16th of Apr 2013 at 06:36 am
At $1500/troy ounce, 1 metric
Posted by johan on 16th of Apr 2013 at 06:56 am
At $1500/troy ounce, 1 metric ton of gold is worth $48.225 million.
Cyprus was talking about selling approx $500m worth of "excess reserves" of gold. That is a bit over 10 t. That could make sense, as Cyprus has approx 14 t of gold reserves.
This was a 400 t sell order according to Mr. Grubb.