"Gold was closer to centre stage in international policy thinking in 1980, where as now, it is almost irrelevant"
You're still thinking $US is the centre of the Universe. Gold is, IMO, trying to be put off centre stage by the FED, starting, first with Volcker's push in interest rates you mention in #1, and later by Greenspan's "change of heart", defence of LTCM in 1998, (which I've mentioned in more details a couple of times over the years). And continued since.
But the truth is, it's the US$ which is not as relevant as it was. On the world stage, gold is very relevant. China reportedly purchased over 2kts last year (and I, for one, believe in this reporting). Russia, Vietnam and several more countries are purchasing what Westerners are selling at these low prices. More and more world trade is being conducted without the use of the $US, (China, Iran, Turkey, Russia), bypassing the decreasing use and value of the $us. (Intended)
So, to me, as Eastern wealth and trade is becoming more important, you're point is only valid from a Western point of view, not a world view.
As an aside, generally speaking in recent months, except when gold has been hit hard during quiet times for most effect, POG has tended to rise in Asian hours and slapped down in NYMEX hours. In the last month's, or so, rise, the opposite appears to be happening. (Today's jobs exception). I've wondered if the Asians are trying to keep the price down so they can buy more physical?
As a further thought, you mention Volcker's high push of interest rates in the early 80's, last week I attempted to do some research on this rate rise. I was trying to get a handle on how it progressed, in terms of rhetoric and deeds. I thought I'd see what Volcker said first and what he did. Decided to try NY Times Archieves.
In that search Volcker was mentioned 562 times, starting from his graduation in 1960. Intermittently till '69 when mentioned 11 times and a further 7 in '71 when an advisor to Nixon's ' F... the French, no more gold'. Then intermittently again till he become Fed Chairman in '79, and proceeded to smash POG by raising interest rates to century highs, as you mention. The next couple of years was where I was interested in, his thinking, doing and talking. Well guess what, between 79 on his 'coronation' (2 mentions) there are no further archievable mentions till '82 (1) and then 9 in 83 when the worst was in
and rates peaked. From then he was mentioned an av of 60 times or so in the next 4 years till his end of tenure.
What's it all mean? I don't know, but surely as Fed chair there must have been reports on his doings and sayings in these first 4 years of his Chairmanship. Thought I'd mention that as I found it astounding.
Whilst I'm here, Goldbugs. Maund is one of the few analysts, that, IMO, dishes out the good and the bad. Not always right, but attempts to be honest. These could be worrying.
