German Bundesbank to repatriate gold from NY and Paris
Germany is taking back 100% of its gold from the French. The express rational being that Germany does not need gold in Paris for FOREX exchange since both, Germany and France, are on the same currency, the EURO. Amazing how it takes more than ten years of European Union for the Germans to figure this out.
As for the New York Fed holdings of German gold, a lessor percentage of its holdings will be shipped back to Germany. I dare say that the Federal Reserve demanded gold on deposit to backstop those trillions in EURO SWAPS. Bernanke testified before congress that if the Europeans did not repay those "unlimited" EURO SWAPS that the European's gold would be confiscated as good collateral.
The amount of German gold held at the Bank of England, will remain unchanged.
The barbarous relic is once again seen as source of "CONfidence" in government by the Germans. And, gold is also seen as a hedge against US dollar losing its reserve status to the Chinese reminbi according to the pundits. As the old saying goes, "He who has the most gold rules."
See the Press Release posted on the bank's website.