Business Week welcomes more decline in the dollar


Why The Dollar's Decline Isn't A Downer

A steep drop is unlikely, and there are advantages to a further slide

Business Week
Issue of January 15, 2007

Back in 2002, billionaire investor George Soros boldly warned that the U.S. dollar's value could plunge by a third over the next few years. He was pretty much on target. Since the greenback's peak in early 2002, it has dropped 35% against the euro, 28% vs. a trade-weighted basket of major currencies, and 18% vs. the currencies of all countries the U.S. does business with. What's interesting is, nothing bad happened--except maybe for those investors who didn't sell the dollar short, as Mr. Soros presumably did.

MineWeb: Central bank gold purchase was only bookkeeping adjustment


By Lawrence Williams
Friday, January 5, 2007

LONDON -- The recently reported "gold purchase" by an ECB central bank does not appear to be a purchase per se but only an adjustment relating to the refining of gold coins which had previously only been recorded under "other assets" in the central bank in question's accounts.

... For the full story:

Kitco's Nadler can only sneer at Blanchard report, not answer it


12:35a ET Thursday, January 4, 2007

Dear Friend of GATA and Gold:

Resource Investor's Jon A. Nones has gotten a bit of a debate going between Blanchard & Co.'s research director, Neal R. Ryan, author of the recent critique of the secrecy of central bank gold lending, and Jon Nadler, an analyst for Nadler has been doing a lot of sneering at the Blanchard report, which Ryan has considered unfair. So Resource Investor has given them a chance to elaborate.

Ted Butler: Reflections


3:23p ET Wednesday, January 3, 2006

Dear Friend of GATA and Gold:

Silver market analyst Ted Butler reflects on the last year and the one ahead for silver, congratulates the silver exchange-traded fund, and observes that the short position in silver is more concentrated and manipulative (and more promising for silver longs) than ever. You can find Butler's new essay, "Reflections," at GoldSeek's companion site, SilverSeek, here:

A European central bank is buying gold -- but who and how much?


Buying Bullion: Central Banks
Seek Alternatives to the Dollar

By Ambrose Evans-Pritchard
The Telegraph, London
Wednesday, January 3, 2007

Gold punched ahead in new-year trading on dollar weakness and the revelation that a member of the European Central Bank system had begun buying bullion, the first such purchase in years.

Fighting over gold in the land of Dracula


By Craig S. Smith
The New York Times
Wednesday, January 3, 2006

ROSIA MONTANA, Romania -- Eugen David, a small-time farmer with a chipped tooth and muddy boots in this obscure wrinkle of Transylvania, is an unlikely man to attract the attention of movie stars and moguls. But he counts Vanessa Redgrave, George Soros, and Teddy Goldsmith among his backers in a land battle with a Canadian gold mining company.

NYTimes: Central banks tiptoeing away from the dollar


By Jeremy W. Peters
The New York Times
Tuesday, January 2, 2006

Countries with large holdings of dollars in their foreign-exchange reserves are showing a new willingness to dump the dollar in favor of the rising euro.

The latest to make a major move is the United Arab Emirates, which joined Russia, Switzerland, Venezuela, and others late last month when it shifted a chunk of its reserves into euros.

James Turk: Gold isn't really up; the dollar is depreciating


8:40a ET Tuesday, January 2, 2007

Dear Friend of GATA and Gold:

Gold's price isn't going up. Rather, the U.S. dollar is declining in value.

That's the point made by GoldMoney founder James Turk in his first commentary of the new year. Turk, editor of the Freemarket Gold & Money Report and consultant to GATA, writes that while gold's dollar price has averaged an appreciation of more than 15 percent over the last six years, gold's price in terms of oil is almost unchanged. Gold's "rate of return," Turk notes, is really the rate of depreciation of the dollar.

Banks and funds pay top dollar to secure commodity talent


By Kevin Morrison
Financial Times, London
Monday January 1, 2007

LONDON -- London Commodity traders, once the overlooked Cinderellas of the financial trading world, are being offered multi-million-dollar lock-in payments reminiscent of the early dotcom boom, when banks were also desperate to expand into new areas by offering guaranteed payments to key staff.

Report predicts China's currency will gain 5% on dollar in 2007


From Xinhua News Agency, Beijing
Monday, January 1, 2007

BEIJING -- The exchange rate of the renminbi, the Chinese currency, is expected to appreciate by some 5 percent to one U.S. dollar for 7.44 yuan, according to a Xinhua Economic Analysis Report released Monday.

The report projected that the pace of RMB appreciation would be faster in the first half of 2007 than in the second half.