This (European) morning at CNBC they dedicated some time to Gold and no surprise we got a bearish recommendation. Charlie Morris of HSBC Asset Management told us that the increase in Gold had been mainly dollar-driven and was about to fizzle out.

I am sure we will be getting more coordinated efforts by the bullion banks to bash gold the coming days and possibly a decision on the sale of IMF gold may be the centerpiece of those efforts. Now most people expect the Chinese to jump in to buy this IMF sale, but assuming this IMF gold will mainly have to come from European Central Banks vaults, I can imagine there is one other Central Bank eager to get hold of this Gold: the Federal Reserve Bank. How they will do it, I don't know, but I don't think they will let that Gold be drained to China that easily.