China Made Large Gold Purchase

My guesses were not to far off, the lows got further then I expected, but who have the crystal ball.

I been buying in smaller increments for the past month when it dropped, but others believe that there maybe another big drop before moving back up, if there is another big drop I am seriously doubting now.

I got the info on another website and looked it up as you did. If China is buying a lot of gold, then I consider it useful information. News that Asia was buying a lot played a big part in the last run to $1900 in my opinion. I'm not writing the news. Just trying to be helpful to anyone trading at these levels. Thank you for the link. Also, it will be interesting to see if this purchase is reported by US Financial News channels tomorrow. A good indicator of the validity of this report would be to see a bottom in gold around $1600 followed by a quick recovery.

All of the reports from Europe today regarding the"BIG PLAN" is that nothing was really done(of course,that is not really a surprise)so it will be interesting to see how the markets react in the morning. There is more and more hinting that the US is going to have to step up in a big way to help with bailouts. If that happens,I think PMs will explode.

, Junior.

In point of fact, we will be doing rather well if we can save ourselves from our own stupidity. It's still up in the air as to whether or not we can. I believe that it is possible but have not seen a single positive sign that we WILL. I'm basically an optimistic person, so it takes quite a bit to discourage me. Still, the politicians seem intent on doing so. :-/

As to China buying gold... of course they are. Unlike Uncle Ben, the Chinese KNOW that gold and silver are money. They absolutely want to diversify their holdings out of US dollars and US debt instruments. They are vastly overloaded with both of these and are seeking ways to get out of it while they can still recover some value. It would be very interesting to see a list of the things that China has purchased with US dollars in the last year or so. I am sure that it would be most illuminating.

Let me think this one out. We borrow from China to help finance our debt. Then we turn around and send them a check for foreign aid. However we still have to make payments on the loan.

So are my tax dollars helping China to buy more gold?

I have to give China credit they are a heck of a lot smarter than we are to figure this one out.

Right Junior!

We have more problems to take care here than sticking our nose into other foreign affairs.

Junior here thinks Iran is deploying Nuclear Weapons on U.S. mainland soon, nice propaganda. Once you figure out that your leaders are paid off, by special interests, you'll see the true reality of the situation. For a certain amount, anyone can be bought. The U.S. leaders are bummed out because Iraq and Iran are old pals, Iraq basically hates us anyways, and that's that, as does Pakistan, Afghanistan, ahh, the list just goes on, hate, bad guys, more hate, and more bad guys, it will never, ever end, because that is the nature of the beast that resides in the back of peoples minds.