DZZ could hit $10 next week - State Bank of VIetnam just dump Billion in Gold
and more countries will follow - selling Gold now before its worth half it value come June.
Another reason behind the sharp slide in gold was the speculation that more central banks would sell gold. State Bank of Vietnam sold around 6 tonnes of gold through an auction. As the prices were falling, Exchange Traded Fund also started selling gold to meet the redemption demand. There is speculation that several European countries, including Italy, Portugal, Slovernia, Hungary, maybe under pressure to sell their gold reserves after reports emerged that financially stressed Cyprus may sell some of its gold reserves to raise 400 million euros.
We now have the domino effect set to hit gold as countries watch each other sell gold reserves for badly need cash.