Per the AP, it's now fallen 6 straight weeks, and is 8% below where it was on October 4.
Why is gold losing its appeal?
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Why Gold Is On Its Longest Losing Streak in 8 Years
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Posted 06 January 2013 - 01:31 PM
Well ..Yes .. this is a bit mysterious ... IF ... such is true .
Considering that Gold according to Basel III from now on can be counted at 100 % market value
This .. when Banks and Financial Institutions have to increase their Collateral as we speak mainly consisting of Gouvernment Bonds earning historically LOW interest ,
This interest has no way to go except UP , thereby ...
with just a Small increase of interest eroding the value of Bonds as collateral
.. pulling the carpet away ..under these banking institutions ..
If I was a banker ... i surely would take a hard look at .. what KIND of collateral my institution holds
and GOLD ..may not be so unattractive.. even at much higher price ... .
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