gold as collateral, page-3

Interesting bit of news about London's gold price fixing panel and the exit of Deutsche bank, allegedly due to fear of litigation following ongoing regulatory investigation into the panel's mechanism in finding a benchmark valuation.

May be if gold trading can clean up its act then gold can get back to doing what it does best - a store of value - and be a form of collateral in various global transactions.


"Gold Fix Demise May Free Gold’s Price To Rise


Now that there are significant regulatory and litigation spotlights on the Fixings, there is a real possibility that it may signal the beginning of the end for this historic price discovery process.

How this would affect gold and silver prices is not known, however, if there is found to be any basis to the price manipulation allegations, the removal of such manipulation would be expected to allow gold and silver prices to move to higher, to more natural price levels."

Ref: http://news.goldseek.com/GoldSeek/1398859260.php