NEW YORK/LONDON (Reuters) Sept. 25 — The U.S Mint told dealers Thursday it again was temporarily suspending salesof American Buffalo 24-karat gold one-ounce bullioncoins.
In mid-August, a shortage of American Eagle one-ounce gold coins due to “unprecedented” demand had forced the U.S. Mint to temporarily suspendsales of the popular coins.
Coin dealers in North America have reported a surge in buying of bullion coins and other gold products as troubles in the financial markets prompted peopleto seek a safe haven in precious metals.
Looking ahead, gold should draw support from physicaldemand in the world’s largest consumer India, which is approaching its traditional wedding and festival season.
Also on the agenda is the end of the fourth year of the Central Bank Gold Agreement Friday.
The World Gold Council said last month around 319tonnes of gold have been sold so far by the EuropeanCentral Banks that signed the agreement, out of a quota of 500 tonnes allowed in each year.
“It will be interesting to see how much of the allocation has been taken,” Moore said. “It looks as if it could befully taken up.”
While that news may temporarily faze the market, it is unlikely to do any lasting damage to confidence in gold’s ability to weather the financial and economic storms.
A measure of investor interest in gold is the recordholdings in SPDR Gold Trust, the world’s largestgold-backed exchange-traded fund, which on Sept. 23 hita record 724.94 tonnes.
SPDR has seen its holdings increase by 18 percent, or more than 100 tonnes, since Sept. 15.
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Dear Larry: I have read your report on devaluing the currencies of the world? I am still a bit confused as to how this will affect asset prices, such as houses, land, stocks, commodities, silver, and of course gold? Also, if this
were to happen, how would workers pay be affected and at what rate would it be? Also, how would it affect the loans and savings if any people have outstanding? Your senerio is very interesting, but I hesitate to get very excited about it. You seem to
know quite alot about the precious minerals and natural resources, but how relialistic is it to beleive that world leaders and economist would adapt a plan such as this? Thanks very much, Looking forward to a reply, Jeffrey W.