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The attached article was written by Jeff Neilson, it comes to us by way of Seeking Alpha:
Upon awaking Sunday morning, the first thing I heard when I turned on BNN was the brief mention that the IMF was “re-announcing” the sale of the second half of the same gold-sale which had already been announced on a half-dozen occasions – over a period of a year and a half.
Recognizing immediately that this was simply more of the same, IMF propaganda, I went to where I always to go when I'm looking for the latest gold propaganda: Kitco.com. Sure enough, staring me in the face at the top of the page was the headline “Gold Steadies As Traders Digest IMF Gold Sales News”.
This is simply too hilarious – since there is absolutely zero news to “digest”. The IMF is not selling this gold today. In fact, it did not announce the sale of one ounce of gold. All it did was to repeat information which the market has been in possession of for six months. It still has a little less than 200 tons of gold to sell, it is still ready and willing to sell most or all of it to central banks. Most importantly, (and what was somehow 'forgotten' in the Kitco propaganda) was that the IMF has five years to sell this measly 191 tons (see “New Central Bank Sales Agreement Very Gold-Bullish”).
Supposedly, the world's gold-traders are all trembling in fear today: fear of the fact that there might actually be some real gold to buy – as opposed to the “paper gold” which the banksters are flogging with their so-called “bullion-ETFs” (see "Bullion-ETF Shrinkage GOOD For Sector").
For all the amnesiacs who populate our markets, let me recap the actual facts here. Last September, it was announced that the IMF's sale of 400 tons of gold would be part of the next five year, central bank gold-sales agreement – despite the fact the IMF is not a central bank. The reason why the anti-gold cabal was insistent about the IMF gold-sale being included in a gold agreement (which has nothing to do with it) is because the sales of gold from Western central banks has virtually ended.
The previous five-year sales agreement called for sales of 2,500 tons – 500 tons per year. The central banks failed to meet those sales quotas the last two years. Indeed, in the final year, the central banks couldn't scrounge-up enough gold to fill half of their quota.
The new, five-year deal calls for the sale of 2,000 tons of gold. Not only is this a reduction in gold sales from the previous deal (to 400 tons per year), but it includes the IMF's 400 tons. Without that badly-needed bullion, the new agreement would have amounted to merely 1,600 tons – a cut in sales by more than 1/3. Even then, with central banks only selling roughly 200 tons last year, the expectation would be for those sales to continue to plummet. Thus, the 191 tons of IMF gold is the only large quantity of bullion that gold-buyers know will be available over the next five years.
Of course the propagandists made sure those facts were excluded from their latest gold fear-mongering. It would be hard to terrify even the most clueless traders by re-announcing the sale of less than 40 tons of gold per year – especially when more than half of the IMF gold was bought in the first weeks of this latest five-year period. This is simply the latest salvo in what has been a clumsy and transparent propaganda-game.
The original IMF sale was “announced” on six different occasions – spread over a year and a half. The first five “announcements” all came before the sale of IMF gold was even approved. Thus, at most, there were two “news” items there: the announcement of the intent of the IMF to sell that gold, and a follow-up when that sale was finally approved. All the other, tedious re-announcements were 100% for propaganda purposes.
Now it appears that the desperate banksters plan to play this same game again. Very likely, there are already central banks wanting to buy all that gold today. However, if (or rather when) the IMF announces that the remaining gold has been sold, not only will that deprive the banksters of another source of propaganda, but the actual sale of that gold can be expected to launch gold into another rally – given that most market participants are still totally clueless about the actual supply/demand dynamics of the gold market.
Thus, the real “news” here is that the IMF is likely “stonewalling” potential central-bank buyers – in order to drag-out this silly melodrama as long as possible. For those central banks wanting to buy the IMF's gold, they are forced to remain silent.
Suppose one of those central banks went public with the announcement that they were trying to buy that IMF gold – but the IMF kept brushing them off. This announcement, which would totally contradict the latest propaganda from the anti-gold cabal, would immediately cause the price of gold to soar – making the gold these central banks want to purchase much more expensive. Therefore, other central banks must remain silent, and allow this absurd propaganda to go unchallenged.
My expectation is that we will see something of a “gold stalemate” over the next several months. No IMF gold will be sold – at all – since every ounce that is sold reduces the propaganda-value of the IMF's dwindling tonnage. The central banks will be forced to remain silent, and every two or three months, the IMF will re-announce the sale of the second-half of its gold again and again – while actually selling nothing.
Given the fact that the original IMF propaganda-campaign successfully duped market sheep over and over, there is no reason to expect these zombies to be any more insightful than they were before. This sets the stage for the following scenario, which (as Yogi Berra liked to say) will be “deja vu, all over again”.
Gold bulls will have to endure several more IMF re-announcements before the world is “surprised” with the final announcement that all the remaining gold has been sucked-up by central banks – with not one ounce available for private investors. Naturally, this will launch the gold market in the same manner that the original “surprise” of India's gold-purchase did.
The message for knowledgeable gold investors is clear: the banksters are doing their best to keep the “window” for buying cheap gold open a little longer. Get it while you can.
http://seekingalpha.com/article/1911...a?source=email
Upon awaking Sunday morning, the first thing I heard when I turned on BNN was the brief mention that the IMF was “re-announcing” the sale of the second half of the same gold-sale which had already been announced on a half-dozen occasions – over a period of a year and a half.
Recognizing immediately that this was simply more of the same, IMF propaganda, I went to where I always to go when I'm looking for the latest gold propaganda: Kitco.com. Sure enough, staring me in the face at the top of the page was the headline “Gold Steadies As Traders Digest IMF Gold Sales News”.
This is simply too hilarious – since there is absolutely zero news to “digest”. The IMF is not selling this gold today. In fact, it did not announce the sale of one ounce of gold. All it did was to repeat information which the market has been in possession of for six months. It still has a little less than 200 tons of gold to sell, it is still ready and willing to sell most or all of it to central banks. Most importantly, (and what was somehow 'forgotten' in the Kitco propaganda) was that the IMF has five years to sell this measly 191 tons (see “New Central Bank Sales Agreement Very Gold-Bullish”).
Supposedly, the world's gold-traders are all trembling in fear today: fear of the fact that there might actually be some real gold to buy – as opposed to the “paper gold” which the banksters are flogging with their so-called “bullion-ETFs” (see "Bullion-ETF Shrinkage GOOD For Sector").
For all the amnesiacs who populate our markets, let me recap the actual facts here. Last September, it was announced that the IMF's sale of 400 tons of gold would be part of the next five year, central bank gold-sales agreement – despite the fact the IMF is not a central bank. The reason why the anti-gold cabal was insistent about the IMF gold-sale being included in a gold agreement (which has nothing to do with it) is because the sales of gold from Western central banks has virtually ended.
The previous five-year sales agreement called for sales of 2,500 tons – 500 tons per year. The central banks failed to meet those sales quotas the last two years. Indeed, in the final year, the central banks couldn't scrounge-up enough gold to fill half of their quota.
The new, five-year deal calls for the sale of 2,000 tons of gold. Not only is this a reduction in gold sales from the previous deal (to 400 tons per year), but it includes the IMF's 400 tons. Without that badly-needed bullion, the new agreement would have amounted to merely 1,600 tons – a cut in sales by more than 1/3. Even then, with central banks only selling roughly 200 tons last year, the expectation would be for those sales to continue to plummet. Thus, the 191 tons of IMF gold is the only large quantity of bullion that gold-buyers know will be available over the next five years.
Of course the propagandists made sure those facts were excluded from their latest gold fear-mongering. It would be hard to terrify even the most clueless traders by re-announcing the sale of less than 40 tons of gold per year – especially when more than half of the IMF gold was bought in the first weeks of this latest five-year period. This is simply the latest salvo in what has been a clumsy and transparent propaganda-game.
The original IMF sale was “announced” on six different occasions – spread over a year and a half. The first five “announcements” all came before the sale of IMF gold was even approved. Thus, at most, there were two “news” items there: the announcement of the intent of the IMF to sell that gold, and a follow-up when that sale was finally approved. All the other, tedious re-announcements were 100% for propaganda purposes.
Now it appears that the desperate banksters plan to play this same game again. Very likely, there are already central banks wanting to buy all that gold today. However, if (or rather when) the IMF announces that the remaining gold has been sold, not only will that deprive the banksters of another source of propaganda, but the actual sale of that gold can be expected to launch gold into another rally – given that most market participants are still totally clueless about the actual supply/demand dynamics of the gold market.
Thus, the real “news” here is that the IMF is likely “stonewalling” potential central-bank buyers – in order to drag-out this silly melodrama as long as possible. For those central banks wanting to buy the IMF's gold, they are forced to remain silent.
Suppose one of those central banks went public with the announcement that they were trying to buy that IMF gold – but the IMF kept brushing them off. This announcement, which would totally contradict the latest propaganda from the anti-gold cabal, would immediately cause the price of gold to soar – making the gold these central banks want to purchase much more expensive. Therefore, other central banks must remain silent, and allow this absurd propaganda to go unchallenged.
My expectation is that we will see something of a “gold stalemate” over the next several months. No IMF gold will be sold – at all – since every ounce that is sold reduces the propaganda-value of the IMF's dwindling tonnage. The central banks will be forced to remain silent, and every two or three months, the IMF will re-announce the sale of the second-half of its gold again and again – while actually selling nothing.
Given the fact that the original IMF propaganda-campaign successfully duped market sheep over and over, there is no reason to expect these zombies to be any more insightful than they were before. This sets the stage for the following scenario, which (as Yogi Berra liked to say) will be “deja vu, all over again”.
Gold bulls will have to endure several more IMF re-announcements before the world is “surprised” with the final announcement that all the remaining gold has been sucked-up by central banks – with not one ounce available for private investors. Naturally, this will launch the gold market in the same manner that the original “surprise” of India's gold-purchase did.
The message for knowledgeable gold investors is clear: the banksters are doing their best to keep the “window” for buying cheap gold open a little longer. Get it while you can.
http://seekingalpha.com/article/1911...a?source=email
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