By Robin Bromby
That country has an interest in lower gold prices (making it cheaper to buy up much of the world’s supply) but Beijing seems unlikely to have been involved in “unusual” events on Friday in New York. Out of the blue, just after the opening at Comex, there was placed a sell order covering two million ounces, an order so big it triggered an automatic 10-second trading interruption (and a $US30 an ounce fall in the metal’s price).
If you were to round up the usual suspects, your first instinct would be to pull in the Federal Reserve and other central bankers along with the funds that do their bidding. After all, gold is the enemy of the money printers. The more money being created out of thin air, the more people trust those yellow bars.
There was a huge order unloaded on October 1, too, and then we had that episode in April when, within two hours, 13.4 million ounces was unloaded through Comex. Someone is determined to knock the stuffing out of gold.