Mexico Central Bank buys 93 tons of gold in 2011

[big67]

Is this old news?

http://www.ilsole24ore.com/art/finan...?uuid=AaSWKNUD

[Starving Steve]

Re: Mexico Central Bank buys 93 tons of gold in 2011

What has Bernanke and his Federal Reserve Bank bought in 2011? Ninety-three tonnes of paper and ink? Ninety-three tonnes of bad-debt instruments and bail-outs?

Too bad the story is in Italian. Do you have the story in Spanish or English so that Americans might read it? This is a much different Bank of Mexico than what we witnessed in prior years.

[mmr]

Re: Mexico Central Bank buys 93 tons of gold in 2011

Central Banks Expand Gold Reserves with $6 Billion in Purchases

Mexico, Russia and Thailand added gold now valued at about $6 billion to their reserves in February and March as prices advanced to a record, the dollar weakened and Treasuries lost investors money.

Mexico bought 93.3 metric tons since January, increasing holdings from about 6.9 tons, according to data from the International Monetary Fund, and the nation’s central bank later said it purchased 100 tons in recent months. Russia increased reserves 18.8 tons to 811.1 tons in March and Thailand expanded assets 9.3 tons to 108.9 tons in the same month, the data show.


Central banks are expanding their gold reserves for the first time in a generation as purchases by billionaire investors including John Paulson contributed to bullion extending its longest winning streak since at least 1920. Countries were also boosting their holdings in 1980 when gold rose to a then-record $850 an ounce, only to fall for most of the next 20 years.


“Central banks have good reason to buy gold,” said Peter Morici, a professor of business at the University of Maryland in College Park and a former economic adviser to the U.S. government. “The dollar is no longer a safe asset for backing currencies. Treasuries are not a sound investment” and budget and debt issues mean central banks should buy gold, he said.



...

[WildspitzE]

Re: Mexico Central Bank buys 93 tons of gold in 2011

Zee Germans want Portugal's Gold...

http://www.businessinsider.com/germa...bailout-2011-5

"

German politicians don't want to give Portugal its bailout cash until it sells its own assets, according to the International Business Times.
Norbert Barthle, who is a member of Angela Merkel's party and budget speaker, as well as his Social Democrat rival, Carsten Schneider, have both called for Portugal to think about selling its gold.

..."

[ocelotl]

Re: Mexico Central Bank buys 93 tons of gold in 2011

Here is the official confirmation from Banxico in spanish:

http://www.banxico.org.mx/informacio...03E7EE0%7D.pdf

and the related published template page on english for international readers:

http://www.banxico.org.mx/sistema-fi...ernationa.html

I'd like to note that gold is on the item I.A.4 on the list. http://www.banxico.org.mx/graph/test...eriod=Men&l=en

Also in my opinion I.A.1.a (securities) almost surely is foreign debt, mostly U.S. treasury debt.

Personally I'm somehow proud of all this. Anyway what upsets me is that Banxico waited to increase its position at twice the price of my last buy, but it is always better to have a backup in case of international reserve paper meltdown... This rebuilds my image of Agustín Carsterns, So far my opinion of him has been of a dovish Central Bank manager when comparing him to Guillermo Ortiz.

Also, as an addition to this, on several blogs they are beginning to qualify Mexico as a creditor country:

http://seekingalpha.com/article/2677...-buying-frenzy
http://www.ibtimes.com/articles/1411...ous-metals.htm


* Edition *

Banxico Page changed, so the related link to the template is no longer valid. Updating:

CF456 - Data Template on International Reserves and Foreign Currency Liquidity