In one scene in the James Bond film "Goldfinger", the gold-intoxicated villain - the film's namesake - watches delightedly as a laser inches closer to a gold-topped table to which Bond is tied at the ankles and wrists. Before bidding farewell, Goldfinger leaves Bond with this thought:
"This is gold Mr. Bond. All my life I have been in love with its color, its brilliance, its divine eminence."
i give the author credit for liking Goldfinger, but that's about it. according to the exhaustive research done by gata, more than half of the central banks' 33,000 tons has already been sold, and some of the rest has been leased out or otherwise encumbered. the evidence is piling up as 90% coin melt shows up around the world that the bankers are scraping the bottom of the barrel. in reality, the annual difference between supply and demand for gold is a deficit of at least 1,000 tons per year.
further, that article makes no destinction between the different central banks, as though they were all one monolithic entity. if the united states or western countries decided to sell their gold reserves, the chinese, japanese, russians, saudis, and any other country that is stuck with more greenbacks than it wants would gladly dump their us dollars for gold bullion. we see this every time the imf threatens to sell its gold. they announce gold sales from time to time, but they haven't actually sold any in a very long time, because they know gold is worth a lot more than $900.
what we are seeing is an ongoing transfer of wealth from west to east, and central bank gold sales would only accelerate the process.
