A Connection Between IMF Gold Sale Proposals and the Loch Ness Monster?

Wednesday, April 09, 2008

Gold prices correctly shrugged off the announcement of the International Monetary Fund (IMF) that wants to sell 403.3 tons of gold, worth some $11 billion, to cover annual losses of $400 million. While this transaction appears arithmetically strange from the outset, the idea is not exactly new. Like the Loch Ness monster IMF gold sales have been a reliable page filler in the past couple of years.
A Google search for "IMF gold sales 2007" lists 77,100 documents and leads to Doug Casey's treatment of yesteryear's idea of the IMF. Casey could simply copy his 2007 item into this year's list of columns and he would not have missed any important beat. As in 2008 the IMF proposed a drawn out sale of 400 tons of gold in 2007 too.
The long story does not stop here. Combining the same search terms with the year 2006 yields 63,700 documents on the issue. This time Julian D.W. Phillips leads the pack with a story on the IMF's attitude towards gold.
The same search in 2005 calls up 50,100 files.
Going back one more year I came across more headlines on the same issue.
The idea to sell off some IMF gold is still older though. According to Peter George's article at gold-eagle.com such official rumours could be heard in 1999 for the first time.
As these gold sale proposals always come between February and April of each year and every year brought new rumours about Nessie too I am sure rocket scientists not busy anymore calculating CDS prices can come up with a mathematical model that will - based on past experience - find a connection between rumours on IMF gold sales and sightings of Nessie. Let me know!


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