Central banks must be running low: IMF talks gold sales again

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3:57p ET Wednesday, January 31, 2007

Dear Friend of GATA and Gold:

The central banks must be running low on gold, for today the International Monetary Fund piped up with another gold-selling scheme, maybe because the IMF's 3,217 tonnes of gold can be considered the gold of no one in particular and so may be easier to part with.

Just perfectly, the IMF committee whose report recommends selling gold was chaired by Andrew Crockett, president of JPMorgan Chase International, the great gold shorter for the central banks and formerly director general of the Bank for International Settlements, the great coordinator of the central bank gold-price suppression scheme, as acknowledged in June 2005 by the BIS' own William S. White, head of the bank's monetary and economic department:

Mining giants indignant that someone else should rape and pillage Africa

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By David Robertson
The Times, London
Monday, January 29, 2007

http://business.timesonline.co.uk/article/0,,9072-2571763,00.html

The world's largest mining companies are turning to the UN and the World Bank in an attempt to prevent China freezing them out of Africa, The Times has learnt.

The heads of more than a dozen mining companies representing assets of more than $700 billion (£357 billion) met in secret at the World Economic Forum at Davos last week.

Central banks can't determine how much leverage is out there

Section:

After the Flood:
How Central Banks Fret
About Failures
Once Liquidity Dries Up

By John Plender
Financial Times, London
Tuesday, January 30, 2007

http://www.ft.com/cms/s/539c92d0-b006-11db-94ab-0000779e2340.html

In September 1998 Bill McDonough, the then president of the Federal Reserve Bank of New York, corralled representatives of 14 leading banks into the Fed's offices at 33 Liberty Street in Manhattan's financial district and urged them to bail out the ailing Long-Term Capital Management hedge fund. It was a classic central banker's response to a potential systemic crisis.

Ted Butler: Buyer beware

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4:08p ET Tuesday, January 30, 2007

Dear Friend of GATA and Gold:

Silver market analyst Ted Butler's latest commentary warns against buying silver in pool or certificate accounts that offer no assurance of having real metal behind them in the crunch. His commentary is headlined "Buyer Beware" and you can find it at GoldSeek's companion site, SilverSeek, here:

http://news.silverseek.com/TedButler/1170190859.php

Falling yen sparks carry trade alert

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By Gillian Tett and Peter Garnham
Financial Times, London
Monday, January 29, 2007

http://news.yahoo.com/s/ft/20070130/bs_ft/fto012920071956112665;_ylt=AvN...

The yen hit a four-year low against the US dollar on Monday, intensifying fears that the rising level of currency-based "carry trades" by hedge fund investors could jolt markets if these positions were suddenly unwound.

Hedge-fund hardball: How Amaranth was devoured by its banker, MorganChase

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Hedge-Fund Hardball

Amid Amaranth's Crisis,
Other Players Profited

Goldman Offered Deal;
J.P. Morgan Balked,
Then Did One Itself

By Ann Davis, Gregory Zuckerman, and Henny Sender
The Wall Street Journal
Tuesday, January 30, 2007

When Amaranth LLC collapsed in the fall, after swiftly losing more than $6 billion, it was the biggest hedge-fund failure ever. Now as investors slowly get back what's left of their money, it's becoming clear the debacle also had some big winners: other players in the high-stakes energy market who profited from a crippled rival's travails.

Ron Struthers: New commodities index is a lie

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8:50p ET Monday, January 29, 2007

Dear Friend of GATA and Gold:

Ron Struthers, editor of Struthers' Resource Stock Report, reports that the new Reuters/CRB commodities price index, introduced in July 2005, shows a plunge in commodity prices even as a calculation of the index according to its former parameters shows a steady increase continuing. The new index, Struthers writes, "has only one purpose and that is to mislead the investment community. It is simply another tool in the Fed/government's chest for the management of economic data."

David Bond reports on Vancouver conference, pro-gold speech by RBC's Fell

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7:45p ET Monday, January 29, 2007

Dear Friend of GATA and Gold:

Veteran mining journalist David Bond reports on the Vancouver conference and RBC Capital Markets chief Anthony Fell's salute to gold and his denunciation of central bank mismanagement of the world financial system. This great read is headlined "PEEDAC Will Be on Steroids" and you can find it at GoldSeek's companion site, SilverSeek, here:

MineWeb: China scrambles for African mineral resources

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2:14p ET Monday, January 29, 2007

Dear Friend of GATA and Gold:

MineWeb's Alec Hogg reports from Davos, Switzerland, about international recognition that China is aggressively pursuing natural resources in Africa -- a good way of spending all those extra U.S. dollars. You can find Hogg's report, "New Scramble for African Mineral Resources Developing," here:

http://www.mineweb.net/int_beat/601870.htm

James Turk comments on International Speculator report on GATA's work

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11:59a ET Monday, January 29, 2007

Dear Friend of GATA and Gold:

GoldMoney founder and Free Market Gold & Money Report editor James Turk has some interesting comments on the interview done with your secretary/treasurer by Doug Hornig of Doug Casey's International Speculator letter. You can find Turk's comments, headlined "Is the Gold Price Being Managed?," in the "Founder's Commentary" box at the top left of the GoldMoney home page here: