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View Full Version : China's immense, and growing, impact on the global gold market



Asheron
13th September 2009, 15:00
There is little doubt that China nowadays has the financial muscle to effectively control the global gold price. The mere sniff of a report that it is taking gold into its official reserves to counteract dollar decline is sufficient to, at the least, stabilise the gold price - and there seems to be little doubt that it is so doing, but at the moment in a manner that is not designed to de-stabilise the dollar or, on the other hand, not to contribute to a quantum leap in the yellow metal's valuation - yet.

http://www.mineweb.com/mineweb/view/mineweb/en/page72068?oid=89018&sn=Detail

ryshay
13th September 2009, 17:05
There is little doubt that China nowadays has the financial muscle to effectively control the global gold price. The mere sniff of a report that it is taking gold into its official reserves to counteract dollar decline is sufficient to, at the least, stabilise the gold price - and there seems to be little doubt that it is so doing, but at the moment in a manner that is not designed to de-stabilise the dollar or, on the other hand, not to contribute to a quantum leap in the yellow metal's valuation - yet.

http://www.mineweb.com/mineweb/view/mineweb/en/page72068?oid=89018&sn=Detail

Here's the million ounce question:

Who will win? The Chinese with their Chinese put on gold/silver prices? Or will the Commerical Banks, with their recently ballooning short positions on gold/silver contracts? Who will win this clash of the titans?