Saved
tuurdemeester's Archive on Aug 22, 2006
Description
Central Banks hold 32,000 tons of gold in reserve; this is little changed since the 1980s. Usually, they have policies regarding what percentage of their currency float is held in gold. Global gold production is about 2,500 tons per year. The gold held by central banks is worth double the 20 year average. If Central Banks decide to lighten up on gold by just 10%, it will flood the market with an 18 month supply. There are currently strict limits on the selling of gold by major CBs to maintain price stability.