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Will gold price drop? IMF sells "On Market"

So, after a lot of noise about who would buy the remaining 191 tons of IMF gold, it is announced that it will be sold, in "...a phased way..." "...avoiding market disruption...." Those, like China and Russia, who made a lot of hints at wanting to buy, will still be given a second chance as the IMF also state that "...While the period set aside exclusively for official sales is now over, the IMF remains ready to respond to interest in gold from official holders...."

This is the IMF statement.
http://www.imf.org/external/pubs/ft/survey/so/2010/NEW021710A.htm

Personally, I think the first thing we will know of the sales, is when the IMF announce the sales are completed.
Keep an eye on the price all the same, could be a price dip, but don't get overexcited.

Comments

  • tradetime
    tradetime Posts: 3,200 Forumite
    The IMF is a red herring, in so much as whilst it could cause some minor speed bumps in the price chart for gold, it is not the 300lb gorilla in the room. The real disruption, somewhat ironically are likely to be the "investors" who have piled on board, coupled with Joe Public who "heard" it was some magic road to riches.
    Hope for the best.....Plan for the worst!

    "Never in the history of the world has there been a situation so bad that the government can't make it worse." Unknown
  • Asheron
    Asheron Posts: 1,229 Forumite
    I would love to buy some tungsten filled gold bars!
    As an investor, you know that any kind of investment opportunity has its risks, and investing in Stocks or Precious Metals is highly speculative. All of the content I post is for informational purposes only.
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