Gold And Silver Higher As ECB Intervenes In Markets – Currency And Euro Debasement Accelerates
From Gold Core
There has been massive intervention by the ECB in the Spanish and Italian bond markets. 10 year yields have plummeted by more than 12% from above 6% to 5.27% and 5.34% respectively.
Other peripheral bond markets have fallen but Portuguese and Irish yields are only slightly lower. 5 year CDS have also fallen sharply for Spanish and Italian debt but falls in other markets were slighter and the cost to ensure French debt increased by 7 basis points.
There is increasing talk of a French downgrade and some are wondering why the UK has not been downgraded.
Gold is up 2.6% in euro terms to nearly EUR 1,200/oz which is not a ringing endorsement of the ECB’s intervention.
Non debase-able silver has surged nearly 4% and is back just below $40/oz.