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This is a reply to one of my protagonists on the gold boards. The bullish signals on this resource stocks had started some weeks ago and after a 20 year decline of values we may now see issues of supply and demand takeover.

'Goldi I said that you should wait til' early next week. Herewith the first snippet that I was waiting for (I hate insider info)!

At the moment December Comex gold is trading at
$275.70 up $5.90 and has traded up to $277.

Washington - Dow Jones - Sept 26

Fifteen European central banks led by the European
Central Bank Sunday pledged to not enter the market
as a seller of gold with the exception of sales that
have previously been decided.

In a joint statement issued by the central banks, they
said "gold will remain an important element of global
monetary reserves."

The gold sales already decided will be achieved through a concerted program of sales over the next five years, said the banks.

Annual sales won't exceed about 400 metric tons and
total sales over the period won't exceed 2,000 tonnes.

THE SIGNATORIES TO THE AGREEMENT HAVE ALSO AGREED NOT
TO EXPAND THE GOLD LEASINGS AND THE USE OF GOLD
FUTURES AND OPTIONS OVER THIS PERIOD.

Switzerland and England are included.

European Central Bank President Wim Duisenberg also
said the central banks agreed to the 400 metric ton
annual ceiling because it was an amount that wouldn't
disturb the market and that he thought the market
could absorb such a sale.

"The current situation is characterized by uncertainty
an that uncertainty by itself led to a lot of volatility and a downward trend in the gold price." Duisenberg said.

He said central banks want to see stability in the
market, but he also said they're "not trying to
prop up the gold market."

Nonetheless, Duisenberg indicated his expectations
for a bullish reaction to the announcement: "I
think the gold market will interpret the ceiling
as being less than they feared...End

READ AND WEEP!'
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