Gartman flees argument with Veneroso on gold price suppression


7p CT Friday, November 17, 2006

Dear Friend of GATA and Gold:

From GATA's point of view, the most interesting part of the 2006 New Orleans Investment Conference so far was today's exchange between GATA consultant Frank Veneroso of Veneroso Associates and Dennis Gartman, editor of the Gartman Letter. They had been invited to discuss, among other things, whether the gold market is manipulated.

New Congress seen likely to favor dollar devaluation


By Jephraim P Gundzik
Asia Times, Hong Kong
Saturday, November 18, 2006

Last week's sweeping victories for Democrats in the US mid-term elections could prompt significant economic policy changes in the United States over the next 24 months.

Boosting US exports will top the Democrats' economic agenda. In addition to stepped-up efforts aimed at prying export markets open, the 110th Congress may pressure the increasingly pliant administration of President George W Bush to reverse course on exchange-rate policy and encourage the depreciation of the dollar. Intensifying trade disputes, the sliding value of the dollar and  weakening US demand could produce a sharp slowdown in Asia's export and economic growth next year.

Dollar will remain primary reserve currency, Fed official tells bankers


Fed's Fisher Says Dollar
Likely to Stay Main Currency

By Christopher Anstey
Bloomberg News Service
Friday, November 17, 2006

WASHINGTON -- Federal Reserve Bank of Dallas President Richard Fisher said the dollar is likely to remain the world's top currency in central bank reserves because of U.S. growth rates and success in containing inflation.

GATA chairman reaches national radio audience in Canada on Saturday


Blender Media Press Release
via CNNMatthews
Friday, November 17, 2006

VANCOUVER, British Columbia -- "Market Matters," a nationally syndicated radio program on the Corus Radio Network, is featuring Bill Murphy, chairman of the Gold Anti-Trust Action Committee (GATA). Murphy will be discussing collusion against a free market in gold, precious metals, currencies, and related securities.

Choking on hedge book, Newcrest stalls payment by 2 years


Newcrest Defers Gold Hedges
to Gain Exposure to Spot Price

From Reuters
Friday, November 17, 2006

SYDNEY -- Australia's Newcrest Mining Ltd. said on Friday it had restructured its hedge book by deferring 1.6 million ounces of gold in order to get better exposure to market bullion prices. The company said the purpose of the restructure was to achieve a better balance of exposure to spot gold prices and to reduce the percentage of production hedged for any one year.

Resource Investor: Court finds Barrick doesn't own Chilean mine property


By Jon A. Nones
Thursday, November 16, 2006

According to a Chilean news source, El Diario de Atacama, Rodolfo Villar, a local gold prospector and geologist, has won a court ruling establishing ownership to the properties in the 8,600 hectares of land surrounding and including Barrick's Pascua Lama. Barrick is challenging the ruling in the Chilean Court of Appeal.

Vince Borg, senior vice president of corporate communications for Barrick, confirmed this with Resource Investor but said the Villar case is a "nuisance suit."

John Crudele: How you may have kinda saved $392.10


By John Crudele
New York Post
Thursday, November 16, 2006

You will be happy to know that your household costs actually went down in October because of that light truck you didn't buy.

I don't mean to mess with your head this early in the day. But the declining costs of light trucks was a major reason the government earlier this week was able to announce a surprise 1.6 percent drop in producer prices for October.

China doesn't seem to be moving out of the dollar yet


China not yet moving
away from dollar;
diversification story
masks rise in its
Treasury holdings in 2006

By Wanfeng Zhou
Thursday, November 16, 2006

NEW YORK -- China's reserve-diversification story remains very much in the spotlight in the currency market, yet there's little evidence that the world's largest holder of foreign-exchange reserves is selling U.S. dollars, analysts said Thursday.

U.S. is biggest currency manipulator, Chinese researcher says


China's Trillion-Dollar Dilemma:
What to Do with All that Stuff?

From Xinhua News Agency
China Daily, Beijing
Wednesday, November 15, 2006

As official data flash up staggering US$1 trillion of foreign exchange reserves, China is debating whether the huge stockpile is a blessing or a burden and what to do with it.

The huge reserves are a reflection of China's economic achievements since reforms began in the 1980s, but observers worry that an excessive, fast-growing stash will endanger currency stability and liquidity.

Silver smashdown imminent


The warning is the usual disinformation from GFMS.

* * *

Silver to Hit $15/oz
on Investor Demand,
GFMS says

From Reuters
Tuesday, November 14, 2006

NEW YORK -- Strong investor buying of silver, fueled by a popular exchange-traded fund, is likely to take the silver price 17 percent higher to $15 an ounce in the next few months despite lower fabrication demand, precious metals consultant GFMS said on Tuesday.