"The oil price dropped to 43.25 and could have contributed to bringing gold back to 448.4.
"It is difficult to prove what the contributing factors are sometimes. It is also possible that Japan/ Germany may have been buying the USD, who knows?" ________________________
Of course, the gold price rose strongly before, even when the oil price sank from 55 to 45 dollars. So the extra 2 dollars fall wouldn't have mattered.
So, I believe that intervention took place as we were getting close to the USD/JPY level of 102 yen. The ECB may have taken part as well.
These guys have a problem because they are sabotaging the US efforts to get the dollar down, to cut the trade and current account deficits and promote exports and employment.
Suffice to say that even at 81-82, the dollar is too high. Should the interventions continue without approval from the US, then the deficits will keep piling up and the USD could be reduced to something far less than 60 cents while it is 82 now.
If the "blockage" becomes really bad then the US can flood the market with dollars and exchange these for yen/Euros. So, the dollar value wil drop and the euro/ JPY values will rise.
Alternatively, enough dollars may have drifted back home and can be used for this purpose.
I believe this is possible but of course the EEC/Japan won't appeciate it.
