Gold is always viewed as "safe" in turbulent times in currency markets.
It's like playing "tick" or bulldogs and having a safe area everyone runs to.
Commodities.
Gordon Brown sold 55% of the UK's gold reserves (after advertising the fact two months before, so short-sellers got in on the act and price was rock bottom) has cost UK taxpayers almost £7 billion !!!!!!!!!!!
Between 1999 and 2002, Mr Brown ordered the sale of almost 400 tons of the gold reserves when the price was at a 20-year low
He ignored warnings from Goldman-Sachs on this too.
* OH and expect fireworks to come on this yet!!!
The Treasury has been officially censured by the Information Commissioner over its attempts to block the release of information about the gold sales.
Following a series of freedom of information requests from The Daily Telegraph over the past four years, the Information Commissioner has ordered the Treasury to release some details. The Treasury must publish the information demanded within 35 calendar days by the end of April 2010.
Ed Balls, who was the Schools Secretary, Ed Miliband, was the Climate Change Secretary, and Baroness Vadera, another former minister, were all close aides to the chancellor during the relevant period.
*The price of gold has quadrupled since Gordon Brown sold more than half of Britains reserves.
*The Treasury pre-announced its plans to sell 395 tons of the 715 tons held by the Bank of England, which caused prices to fall.
*The bullion was sold in 17 auctions between 1999 and 2002, with dealers paying between $256 and $296 an ounce. Since then, the price has increased rapidly. 23/03/2010, it stood at $1,100 an ounce.
*The taxpayer lost an estimated £7 billion, twice the amount lost when Britain left the Exchange Rate Mechanism in 1992.
*The proceeds from the sales were invested in dollars, euros and yen. In recent years, most other countries have begun buying gold again in large quantities.
