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AGORACOM WIRE - WEDNESDAY MAY 30TH, 2012

GOLDEN HOPE MINES (TSXV:GNH) Confirms High Grade Intersection of 64.1 g/t Au (Gold) over 1m Read More

The screen metallic analysis returned 82 g/t Au for an average grade of 93.5 g/t Au.
Two additional fire assays on the original pulp done prior to the screen metallic analyses returned 0.22 g/t Au and 0.12 g/t Au for an average fire assay grade of 0.41 g/t Au. The weighted average of all the fire assays and screen metallic assays from this 1-metre section in hole BD2011-184 is 64.1 g/t Au.

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CONTINENTAL ENERGY Geothermal Energy Project Receives US$ 11.5 Million Grant Read More * Client

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Message: Is excess funds good or bad for the economy? Part 1

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Tim Major

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Is excess funds good or bad for the economy? Part 1

posted on Oct 23, 08 11:35AM

Most of the banks keep US reserves in order to avoid a run on the banks. Much of the foreign exchange reserve management has to do with government policy on monetary exchange policy. The exchange rate policy unlike US or Canada which are fully convertible, many nations follow fixed exchange rates for example Middle Eastern countries, or they money could be pegged against a basket of currencies which China follows and many other countries in the world. Based on the trading partners the weightage of the basket is determined. Yet another popular way is partially convertible or government intervention.

The 1997 Asian crises taught the importance of having reserves to stabilize in case of flight of foreign capital. Running up to the boom seen past several years central banks and the finance ministers have focused on managing this risk and mitigating it to a large extent. The accumulation of US Dollars by central bankers in Asia, Middle East and Russia has been the largest the world has ever seen. This accumulation led to sovereign wealth funds.