Dan, if the CB are looking at gold to rise (slowly or not, does not really matter) to increase their reserves, is not one of the direct impacts a creeping general inflation in the economy in general?
I have stated a number of times that IMTO, long before the 1999 Washington Agreement , there was the Breton woods agreement, which, once more, IMTO, the CB decided , secretly" and over a long period of time, to disconnect the world monetary base from a single commodity, after an appropriate readjustment (for instance to "pay for WWII"). I still think that this basic philosophy is in place despite the "caveat" in the Washington Agreement that "gold is an important element of monetary reserves".
Zeev
News 
Market Data 
Discover 
