Setting the worldwide SPOT price of gold: the method


The SPOT price of gold is set in a created opaque market organization with the central bank community in the lead creating 89 percent of the yearly total market volume through so called gold swaps.

The price discovery scheme for the worldwide SPOT price of gold



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The IMF overlooked more than 3.000 ton gold from 2009 till 2015

19 August 2017

In their annual report 2015 the IMF stated that the world official holdings in gold are 30.506 ton (980.800.000 ounces) as per 2009. This is very remarkable, because in their annual report 2014 the world official holdings in gold were 27.346 ton (879.200.000 ounces). In the annual report 2015 there is no explanation for the difference of 3.160 ton (101.600.000 ounces) with a retrospective effect to 2009.


So in 2015 the official gold holdings 2009 appear to be 3.160 ton higher than before (is 11.6 percent of the total world gold holdings in 2009). It is not only applicable for 2009, but also for 2010 up and till 2014 as follows:

These overlooked tons were added in their annual report 2015 in the specification of the international reserves (appendix 1) retrospective 2009 up to 2014.



IMF Annual Report 2015 the changed figures


IMF Annual Report 2014 the original figures


How the IMF could overlook more than 3.000 ton of gold in the world official holdings of reserve assets is a big question? It is a very substantial difference.

Which country is the owner of the more than 3.000 ton of gold?



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Gold Price Intervention Circuit Diagram and Determinants Intervention Policy

This is an article about abuses in the gold market. It is meant to be for readers, who are well informed and interested in the gold market and monetary items, such as student (central) bankers, politicians, financial analists, supervisors, etc.

Based upon study we (re)constructed the Gold Price Intervention Circuit Diagram. The purpose for the (secret) interventions is the stabilization of the exchange value of the US dollar. There are many actors involved by the interventions vary from politicians, central bankers, institutions like the BIS, IMF and LMBA, Market Makers on the OTC-market (commercial banks), and Clearing Members LPMCL. We call an intervention secret if it has not been reported to market participants at the latest on the day the intervention was carried out by the one or two involved central banks, or not being reported at all.

It is obvious that the central banks within the BIS network handle an intervention policy for the price of gold. We (re)constructed some determinants of the (secret) Intervention Policy on the price of gold by central banks. The interventions set the Spot Price of gold.

The regulatory authorities seem to look away.

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Don’t be fooled: The SDR is designed as a rescue operation for the US dollar

…Triffin dilemma …Loss of confidence in the US dollar…

From the 1960s, there was a widespread concern of the sustainability of the Bretton Woods system of using national currencies as reserve assets. This was most closely associated with the Triffin dilemma, witch predicted a loss of confidence in the gold value of the US dollar as the value of liquid claims on the United States in the form of dollar foreign exchange reserves increased. Triffin argued for the need to choose the rate of global reserve growth collectively rather than allow it to be a by-product of national decisions.


The SDR Substitution Account

…SDR…Away from the dollar…

The IMF created the SDR (Special Drawing Rights) Substitution Account in 1969. The core idea of the SDR is that the SDR Substitution Account Central Banks allows to diversify their existing dollar reserves in a one-time conversion away from the dollar into IMF’s SDR, comprised of the US dollar, European euro, Japanese yen and British pound, in an off-market transaction, so as not to depress the dollar’s exchange rate.


By public introduction careful terminology avoided the label of reserve asset and suggested that the SDR was designed to add to rather than replace existing (dollar) reserves. This was pure cosmetic.


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