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overnments, main banks, gold banks, and commercial banks to control the silver value throughout a crisis "'It is difficult to understand,' mentioned one New York-based gold banker." Number, it's easy at all to comprehend in the situation of the need of authorities, main banks, gold banks, and the gold price to be suppressed by commercial banks throughout a crisis. * * * By Jack Farchy Financial Times, London Thursday, December 7, 2011 http://www.ft.com/intl/cms/s/0/93885...44feabdc0.html A rush for money by European banks in a little-watched part of the silver market has accelerated this week, showing the continuing shortage of buck financing despite a co-ordinated treatment in the market by the world's greatest central banks. Gold sellers stated that banks -- based mostly in France and Italy -- have been earnestly financing silver on the market as a swap for pounds previously week. The dash has pressed gold rental prices -- the implied rate of interest for financing gold on the market as a swap for dollars -- to record levels, based on Thomson Reuters information. The one-month gold rental rate fell to a of -0.57 per cent on Tuesday, indicating that the bank financing gold for just one month would need to pay to do this, at an rate of 0.57 per cent. ... Mail remains below... "People are financing silver out to boost dollars," said one elderly materials bank. Edel Tully, gold and silver expert at UBS, mentioned banks were "looking to offload steel possibly for balance-sheet causes or financing, or both." Large bullion-dealing banks simply take silver on deposit from the selection of clients such as for instance central banks, traders, and other commercial banks. as the eurozone debt crisis has caused increasing stresses in the money financing industry Although they frequently give out a number of that silver around the end of regular reporting intervals to lessen their debts, the techniques have now been extraordinarily remarkable in recent months. Banks don't, nevertheless, give almost all their silver and a number of it's kept in they are precluded by accounts from using it for trading. The run to switch gold for money started in September, when one-month rental prices dropped as little as -0.48 percent. Traders informed that few if any banks were prone to get the published prices simply because they have now been manipulated recently with a widespread reluctance among gold banks to get gold for dollars. Bankers said they certainly were amazed to see such large financing soon after the Federal Reserve and other central banks introduced steps to help ease buck liquidity to the economic climate. "It is difficult to understand," mentioned one New York-based gold bank. "This was not designed to occur with the money exchange lines in place." The silver rental price reduced somewhat in the aftermath of Tuesday's European Central Bank annoucement that 34 banks acquired $50.7 billion in three-month money financing. One-month prices were as credit attention, at -0.52 percent came ultimately back, based on Ms. Tully. http://www.gata.org/node/10746