more "gossip" on the QE front:AAPThe Australian dollar has...

more "gossip" on the QE front:

AAP

The Australian dollar has fallen close to 91 US cents after a member of the US Federal Reserve board of governors suggested American stimulus measures could be eased from September.

At 0700 AEST, the local unit was trading at 91.15 US cents, down from 92.62 cents on Friday.

Four hours earlier, it reached 91.13 US cents for the first time since late August 2010, after US Fed governor Jeremy Stein told a Council on Foreign Relations audience in New York that quantitative easing could be tapered from September.

"That got the market running more than anything else on Friday night and that pushed up the US dollar," Westpac New Zealand senior market strategist Imre Speizer said.

"He's a newer guy to the voting committee. We got a new name dropping the September word in there."

The Australian dollar, in turn, took a hit as traders re-assessed what a winding back of the US Fed's $US85 billion-a-month bond buying program would mean for the supply of the US currency.

"It's pushing up the US dollar, that's why the Aussie is falling," Mr Speizer said.




I take that to also mean more pain for POG - see what the markets will make of it

Still a fair whack of paper gold to be gotten rid of - so unfortunately see no reason for POG not to hit 1150 before a poss recovery - but no longer making any predictions