Rob Kirby: The thin edge of the hedge

11:49p ET Monday, September 21, 2009

Dear Friend of GATA and Gold:

In commentary posted tonight at Jim Puplava's Financial Sense Internet site, Rob Kirby of Kirby Analytics in Toronto, a consultant to GATA, wonders aloud about just where Barrick Gold is going to get the gold it needs to close the gold loans the company recently announced plans to close. Of course GATA long has suggested that what have been publicized as central bank gold sales may be only cash settlement of leases of gold that cannot be recovered without exploding the gold price. That is, central banks don't want their gold back but rather want the gold price down, suppressing the gold price being the true purpose of gold leases and sales, likely including the supposed imminent sale of gold by the International Monetary Fund -- which, in fact, despite the tiresome years of publicity, has no gold of its own, just a tenuous claim on the gold reserves of its members. (See http://www.gata.org/node/6242.)

Kirby's commentary is headlined "The Thin Edge of the Hedge" and you can find it at Financial Sense here:

http://www.financialsense.com/Market/kirby/2009/0921.html

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

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