Central banks have expressed interest in joining the London Bullion Market
Association, which pretty much runs the London gold market, according to a
report by the LBMA's chief executive officer in the May edition of its
newsletter, The Alchemist.
Summarizing developments with the association's membership committee, LBMA
Chief Executive Ruth Crowell writes: "The committee continues to review
a growing number of membership applications, which demonstrates the growing
relevancy and diversity of the association. Two new mining companies have
joined the ranks of the association. The LBMA welcomes other producers to
join and have a voice in the London market. Another demonstration of the
diverse reach of the association is the recent interest expressed by some central
banks."
Crowell's report was called to GATA's attention today by our consultant, gold
researcher Ronan Manly. It appears on Page 24 of The Alchemist, which is
posted in PDF format at GATA's Internet site here:
http://www.gata.org/files/LBMAAlchemist-May2005.pdf
In a statement to the Bank of England's Fair and Effective Market Review
Committee in January --
http://www.gata.org/node/15241
-- Crowell wrote that "the role of the central banks in the bullion
market may preclude 'total' transparency, at least at public level," so
presumably the more central banks are directly involved with the LBMA, the
less transparent the London gold market will become.
Will the LBMA and the central banks that join it even announce the new
memberships? Would such an announcement, confirming the surreptitious
involvement in the gold market by central banks, be reported by mainstream
financial news organizations? Would any gold market analyst, financial
journalist, or gold mining company executive wonder, aloud or just to
himself, what central banks are doing in the gold market and what objectives
they are pursuing? Would any of them try actually putting a question
about it to a central bank?
Or are central banks and their agent bullion banks supremely confident
that all those people will obediently avert their gaze and that the rigging
of the gold market will remain an open secret that simply cannot be discussed
in polite company?
All GATA can do is keep compiling and clamoring about the documentation of
central bank rigging of the gold market and other markets --
http://www.gata.org/taxonomy/term/21
-- and note that the emperor wears no clothes.
If you're inclined to support GATA's work, please visit:
http://www.gata.org/node/16
