Mostly: Classical

[basserdan]

European Central Banks Late on Gold Sales

By Jon A. Nones
08 Aug 2006 at 08:18 PM EDT

St. LOUIS (ResourceInvestor.com) -- The 15 central banks within the European Gold Agreement (EGA) have sold only 331 tonnes, 169 tonnes short of the 500-tonne limit. With less than two months to go in the EGA year, what does this mean for the gold market?

There are two possibilities as to what could happen next, according to a report in the Q2 2006 edition of The Hedge Book by Mitsui Global Precious Metals, Haliburton Mineral Services and Virtual Metals Research & Consulting. The signatory central banks are either going to have to speed up the pace of their sales substantially or simply end the year short.

Matthew Turner, commodities analyst with Virtual Metals, and author of the report, told Resource Investor today that it is unlikely they’ll hit the limit.

Continued at:
http://www.resourceinvestor.com/pebble.asp?relid=22484