The Eagle has been grounded...

[LargoWinch]

This is from the WSJ no less...

Not hard to believe since I am experiencing significant delays associated with my physical purchases from Kitco in Montreal.

The Eagle Has Been Grounded


By Ianthe Jeanne Dugan
Word Count: 575
As gold prices tumbled from their highest level ever, investors and collectors loaded up on one-ounce "American eagle" gold-bullion coins. The buying spree came to an abrupt halt this week after the U.S. Mint stopped selling the coins for the first time since production began 20 years ago.
"Due to the unprecedented demand...our inventories have been depleted," the Mint -- part of the U.S. Treasury Department -- told its dealers Friday. "We are therefore temporarily suspending all sales of these coins."
The move shocked sellers and collectors of the coins, which are the most widely traded in the U.S. Suppliers ...


Link to the article:
http://online.wsj.com/article/SB121928079980258833.html

[FRED]

Re: The Eagle has been grounded...

This is from the WSJ no less...

Not hard to believe since I am experiencing significant delays associated with my physical purchases from Kitco in Montreal.

The Eagle Has Been Grounded


By Ianthe Jeanne Dugan
Word Count: 575
As gold prices tumbled from their highest level ever, investors and collectors loaded up on one-ounce "American eagle" gold-bullion coins. The buying spree came to an abrupt halt this week after the U.S. Mint stopped selling the coins for the first time since production began 20 years ago.
"Due to the unprecedented demand...our inventories have been depleted," the Mint -- part of the U.S. Treasury Department -- told its dealers Friday. "We are therefore temporarily suspending all sales of these coins."
The move shocked sellers and collectors of the coins, which are the most widely traded in the U.S. Suppliers ...


Link to the article:
http://online.wsj.com/article/SB121928079980258833.html

So we are learning about the difference between the physical and paper gold market, are we?

[GRG55]

Re: The Eagle has been grounded...

So we are learning about the difference between the physical and paper gold market, are we?

Starting to have some similarities to the physical and paper oil market, non :p ?

[metalman]

Re: The Eagle has been grounded...

Starting to have some similarities to the physical and paper oil market, non :p ?

indeed. the physical oil market is this big...

--
^
wet oil market
v
--


paper oil market is this big...


--
^




















keep going...




















keep going...



















keep going...


















maybe here.
v
--

[photoncounter]

Re: The Eagle has been grounded...

Why physical gold is better. Probably discussed many times here..

http://www.basemetals.com/content/re...ysicalGold.pdf

[blazespinnaker]

Re: The Eagle has been grounded...

"In order to separate fiction from truth, let's start with the fact that the US Mint did not suspend all gold coin sales, or even all bullion gold coin sales, but is only temporarily suspending sales of one size (1-ounce) of one product (the gold Eagle)"."

http://www.mineweb.com/mineweb/view/...0275&sn=Detail

[Rajiv]

Re: The Eagle has been grounded...

A Few Speculators Dominate Vast Market for Oil Trading

Regulators had long classified a private Swiss energy conglomerate called Vitol as a trader that primarily helped industrial firms that needed oil to run their businesses.

But when the Commodity Futures Trading Commission examined Vitol's books last month, it found that the firm was in fact more of a speculator, holding oil contracts as a profit-making investment rather than a means of lining up the actual delivery of fuel. Even more surprising to the commodities markets was the massive size of Vitol's portfolio -- at one point in July, the firm held 11 percent of all the oil contracts on the regulated New York Mercantile Exchange.

The discovery revealed how an individual financial player had gained enormous sway over the oil market without the knowledge of regulators. Other CFTC data showed that a significant amount of trading activity was concentrated in the hands of just a few speculators.

The CFTC, which learned about the nature of Vitol's activities only after making an unusual request for data from the firm, now reports that financial firms speculating for their clients or for themselves account for about 81 percent of the oil contracts on NYMEX, a far bigger share than had previously been stated by the agency. That figure may rise in coming weeks as the CFTC checks the status of other big traders.

[Slimprofits]

Re: The Eagle has been grounded...

U.S. Mint to Resume Distribution of American Eagle Gold Coins

By Vincent Del Giudice

Aug. 22 (Bloomberg) -- The U.S. Mint said it will resume limited distribution of its 1-ounce American Eagle Gold coins a week after suspending sales because investors and collectors depleted the supply.

In a memo today to authorized dealers, Cathy Laperle, a Mint official, said the coins will be allocated ``on a weekly basis until we are able to meet demand.'' The Mint will resume taking orders Aug. 25, Laperle said.

Citing ``unprecedented demand,'' the Mint halted sales Aug. 15. Gold prices soared over the past year, with the most active gold futures reaching a record $1,033.90 an ounce on March 17. Prices have since declined.

American Eagle coins are available in other weights as well as in silver and platinum, the Mint said.

[c1ue]

Re: The Eagle has been grounded...

The CFTC, which learned about the nature of Vitol's activities only after making an unusual request for data from the firm, now reports that financial firms speculating for their clients or for themselves account for about 81 percent of the oil contracts on NYMEX, a far bigger share than had previously been stated by the agency. That figure may rise in coming weeks as the CFTC checks the status of other big traders.

Big surprise.

Of course, now that the cat is out of the bag re: financials trading in MBS for Treasuries, then in turn using Treasuries to buy commodities - some other trick will now have to be found to fund operations.