News: Russia Grows Gold, Fx Purchases by 600%.
Breaking News: Russia Grows Gold, Fx Purchases by 600%.
Sell season repealed?
(GoldFix News)— Gold is up $20 this morning. This is likely the reason. Today Tass News reported a significant increase in Russian Gold buying for its next fiscal month. This could trigger the biggest seasonal rush into Gold ever
Russia is set to spend $1.9 billion on foreign currency and gold purchases between September 6 and October 4, according to the country's Finance Ministry. The daily allocation will be 8.2 billion rubles, or $92 million.
In total, the ministry will allocate 172.9 billion rubles ($1.9 billion) under Russia's fiscal rule. The purchases will run over the next month, with consistent daily transactions. For context, in the previous period from August 7 to September 5, the Ministry had earmarked 24.65 billion rubles for similar purchases, with daily buying set at 1.12 billion rubles.
The increase is significant on multiple levels, not the least of which is the coming BRICS summit hosted by Russia this year from October 20th to Oct 22nd. See: BRICS Gold (and Silver!) Launch Date is October 2024 for more
Other coincident factors include the largest short portion held by Bullion Bank swap dealers of all time which ostensibly makes the banks vulnerable to rallies in Gold Price.
Biggest Bullion Bank Short market share ever
This announcement, if fulfilled will certainly have an effect on the price of gold headed into the BRICS event as well as the runup to the US Presidential election. If the historical storm between September and October is weathered, it could be the the biggest “Buy Season” ever.
See: Analysis- Biggest “Buy Season” Ever: for more
Continues here including full Tass story
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