INDIA BUYS 200 TONS OF GOLD ($GLD, $GC_F)
Gold has spiked on the news that Reserve Bank of India bought 200 tons of gold from IMF. On October 26, 2009 we reduced gold allocation to zero in our Multi Asset Global Allocation Model. At that time, we knew that IMF was planning to sell 400 tons of gold. This information was the
Trigger Event in our changing gold allocation to zero. We did contemplate that India, China and Brazil were the likely buyers. At this time, we do not know who is the buyer of the remaining 200 tons and the price paid.
We were of the opinion that the buyer will likely pay around $1020.… Please click here or the title below to read more.
November 3, 2009