I did some more digging and found these comments from James Turk on March 15 in which he clarifies that in fact 6000 tons of Gold was not moved out of the States in the 3rd quarter of 2009. Instead the negative flow of funds indicated on the report reflects a simple (yet significant) monetization of SDRs that were issued by the IMF earlier that year. Regardless of the transaction type in question, Turk agrees this is another example of many that confirms his view the Treasury uses SDRs to account for its market interventions (see urls attached for a more detailed explanation.)

Still I am convinced the US must have quietly parted with some substantial quantity of the yellow metal in the 3rd quarter when unusually huge demands for physical Gold were stressing already tight supply lines. Remember this was during a time when 200 tons of IMF Gold was shipped to India, and all the while Hong Kong & Dubai were pulling their physical gold out of London. German and Swiss investors and funds, likewise, also demanded delivery out of the USA. Surely this unexpected and unwelcome squeeze resulted in favours called in to keep the paper system shenanigans alive for a while longer and the States as leader of the Cabal had to bear a large brunt of that "responsibility." Small wonder Gold quickly shot to $1200 around this timeframe as Hedge Funds smelled blood and took advantage of tight supplies.

ESL

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GATA’s James Turk on Rob Kirby’s find Friday…

The Treasury didn't provide anything to the IMF. The IMF creates 'money' out of thin air money in this way just like banks do - it is all accounting entries, which is Falk's point.

New SDRs were created by the IMF in Aug 2009, some of which were allocated to the US. But the Treasury can't spend SDRs, so it needed to turn them into dollars. In other words, the Treasury needed to monetize these SDRs to make them useful to it. So they sent their SDRs to the Fed, which then credited the equivalent amount of dollars in the Treasury's checking account at the Fed. SDRs are turned into US dollar currency the same way the Fed turned the US Gold Reserve into dollar currency. You can see that the SDRs were turned into dollar currency on the Fed's balance sheet.
http://www.federalreserve.gov/releases/h41/20091001/

There was no gold flow resulting from this transaction, but Rob's discovery is significant for another reason. It is another example that confirms my view that the Treasury uses SDRs to account for its market interventions.

http://www.fgmr.com/mystery-of-the-disappearing-sdr-certificates.html

http://www.fgmr.com/accounting-for-the-esfs-gold-swaps.html

Regards
James

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http://harveyorgan.blogspot.com/2010_03_07_archive.html

Rob Kirby discovered this yesterday in searching through countless documents of usa data;