Don’t quite know what to make of this, but if rumors are to be believed, the IMF is about to flood the gold market with Gold!! Upto 3000 Tons of it!!!
http://www.commodityonline.com/news/IMF-to-flood-market-with-3000-tonnes-of-gold-13259-3-1.html
http://www.stockhouse.com/Columnists/2008/December/8/Horrific-gold--dump---Is-this-guy-for-real-Thom
Also, saw this other crazy headline- US FED to issue debt!!!
Don’t quite know what to make of that either!!
http://www.kitco.com/ind/West/dec102008.html
http://online.wsj.com/article/SB122888021757894023.html?mod=googlenews_wsj
http://www.bloomberg.com/apps/news?pid=20601103&sid=am8eBgidYgsI&refer=us
While I put up the above mentioned links, that I came across in my daily scan of global financial news, I must state that I have no idea that such events are about to occur or have been planned.
Here's what I do know!
If there’s one thing that I’ve learned over the past few months, it is the importance of the concept of ‘mean reversion’, something that everyone seems have forgotten after the extraordinary global growth over the last 5 year, albeit financed by ‘easy money’.
Also, give the excess manufacturing capacity (think China!) and excessive debt and overleveraging ( think U.S. Consumer and Investment banks) in the system, this deleveraging downturn is far from over!
P.S.: Gold is up $32 as I write this, currently trading at $ 808.20.
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