Slow Central Bank Sales to Head to Third Central Bank Gold Agreement

Source:

The Virtual Metals Research Consulting Group (VM Group) estimates that total central bank gold sales under the second Central Bank Gold Agreement (CBGA II) are likely to reach only 360t - 140t lower than the 500t permitted for the year and the lowest seen during the CBGA's nine years of operation.

London based metals analysts, VM Group, says a shortfall in central bank gold sales expected to continue during the last year of CBGA II, suggests continued slow central bank gold sales regulated under a probable third Central Bank Gold Agreement.

The Virtual Metals Research Consulting Group (VM Group) estimates that total central bank gold sales under the second Central Bank Gold Agreement (CBGA II) are likely to reach only 360t - 140t lower than the 500t permitted for the year and the lowest seen during the CBGA's nine years of operation.

This had major implications for the 2008/9 final year of CBGA II, as one of the countries with stated sales plans, Switzerland, will have finished its programme and another, the Netherlands, appeared to have done so. That left France, Germany, Sweden and Austria as potential gold sellers.

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