It just goes to show you what the Canadian gov’t thinks of one of their leading mining industries. It’s equal to Detroit saying they no longer like cars.
The sale of 21,851 ounces of the gold coins took place in February, the Finance Department said Thursday from Ottawa in a disclosure of the government’s official international reserves. A footnote in the report noted the sale and said that the government still has 77 ounces of the precious metal. The official international reserves round asset valuations to the nearest $1 million, so the value of the remaining gold was set at zero, department spokesman David Barnabe said by e-mail.
The Canadian gov’t are run by shameful people.
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I call bullshit on the amount of gold held by the Canadian Government.
Where the fuck will they get the gold for the Royal Mint to mint Leafs?
Great trade, Canada. Sold to all the shorts over the past month.
Gold continues to be the worthless charm of preppers. You want max value? Rolling purchases of canned tuna fish…. like a boss!
Dummies.
The bottom is now in.
Recall when the Brits dumped all of their gold at the bottom in ’99 (@ about $285.00).
“It’s equal to Detroit saying they no longer like cars.”
More like Detroit saying “Why the fuk we renting garage space to store all these cars we don’t drive.”
Interesting way to think about it. Maybe they are just moving out old inventory. With the amount of gold they have in mines, they could have tons of new gold within the year if they wanted to.
Time will tell whether Canda was wise or stupid here. No one knows the future for sure.
Gordon Brown sold all the Brits gold out at 252.00 his sale marked the bottom…..
Could be that Canada is smarter. Time will tell. I wonder if any country has ever sold all their gold at a top?
Or Canada could be luckier. Maybe smart has not so much to do with it. No one can predict all tops and bottoms in commodities correctly. Except for me LOL. Well, I did predict the bottom in erl.
sorry he got 282… a premium!
https://en.wikipedia.org/wiki/Sale_of_UK_gold_reserves,_1999%E2%80%932002
I’m Canadian and we now have extreme spendaholics at all levels of government. They are salivating at the idea of negative interest rates on our debt, some of our provinces have the highest sub national debt loads in the entire world, and our household debt levels, forget about it. Negative rates are harder to implement with gold/paper/coin currency we can withdraw, all are going away slowly up here.
Brad Wall is the only sane one left in the bunch….for the folks south of the bacon/back bacon line he is the Premier( Governor ~) of Saskatchewan….
Job killer. And vindictive. Not useful in power.
Getting rid of bullion makes sense. Selling coins at bullion prices doesn’t. Normally the coins sell for double the value of the gold.
Long Oil and Short Gold. Going short the Loonie would make total sense.
EWC hmmmm or maybe the EPU or the EWZ or the GXG……..
fly you should write a piece about Mr. McClendon.
Historically the Canadian government has not kept large gold reserves…..piss poor reporting as usual. The death of newspapers has spawned online hacks who try to create headlines that grab eyeballs……oh well…..
TREB said even though supply rose it couldn’t keep with demand. New listings in February were up 8.2 per cent from a year ago.
“The fact that the annual rate of sales growth outstripped the annual rate of new listings growth shows a tightening of market conditions compared to last year,” said the board.
Prices also continue to soar. The board’s home price index was up 11.3 per cent in February from a year ago while the average sale price climbed 14.9 per cent during the period to $685,278.
In the detached category in the city Toronto which soared past a $1 million average price in 2015, the average home is now selling for $1,211,459. Detached home prices in Toronto were up 16.3 per cent from a year ago
http://business.financialpost.com/personal-finance/mortgages-real-estate/toronto-housing-market-is-still-soaring-despite-new-mortgage-rules
They have replaced it with bitumen.
Random Thoughts about the rally in commodities…China is not buying Air Conditioners and Coal Use continues to drop. No increase in demand at all, not even from the Power Grids. This Weekend the Biggies in China come out to vote for the 5 year plan. The Rumor is a 13% increase in Money Supply and a 6.3?% GDP goal. Last year they gave us a 12.3% increase in Money Supply and that didn’t do much at all for their econ data. Speculators are buying up copper/.coal/ore in hopes a BIG INFRASTRUCTURE PLAN will be announced or HOME BUILDING PROGRAM. But OMG the fact that China is closing Zombie State Companies and causing HUGE amounts of people to lose their jobs, makes me think they can’t be all 2009. China seems to be trying to raise cash so they can afford to keep their Yuan looking good to attracted Hot Money again. Just my thoughts, but I am a Bear.
I appreciate your thoughts….
The transmission of Negative Interest Rate Policy is mostly discussed in the context of ‘encouraging’ banks to lend and companies to borrow and spend which will ultimately lead to inflation. But that isn’t the only route. In a negative interest rate world metals get another boost as the cost of holding them vs cash is dramatically reduced. Whilst many see gold as the escape route from negative yielding cash, don’t forget that any old metal will do. As we are escaping negative rates, rather than the end of the world, the requirement to carry your total wealth sewn into the lining of your coat or buried in your garden is also negated. Whether you buy an ounce of gold or a ton of nickel is immaterial.
So I would suggest that the direct path to inflation will be through the rising price of raw materials and as soon as that is sniffed speculative flows will bring it on all the faster.