BYOB – Be Your Own (Central) Bank

This week the Financial Times reported that there has been an indication by the EC, in the European Commission study of joint bonds,that gold may well be used as collateral for these bonds.

‘In order to “enhance” the guarantees on the eurobonds, the draft says, governments could provide collateral, including “gold reserves which are largely in excess of needs in most EU countries”.’

Further, last week the World Gold Council reported that Central Banks continued to increase their gold purchases in the last quarter.

Mind the Counter Party. Especially on route to gold and silver.

Mind the Counter-Party. Especially on route to gold and silver. The failure of MF Global and Jon Corzine’s behemoth of a futures brokerage is a sharp reminder of the exposure investors and market participants have to their counter-parties. The rising to a head of problems in the Eurozone have brought renewed rises in LIBOR, the [...]