Members of Angela Merkel’s CDU party, as well as junior coalition partner FDP are suggesting that Spain and Italy should tap into their gold reserves in order to balance their debt issues. It is clear that they are unhappy with the massive buying of Italian and Spanish bonds by the ECB. There is fear in Germany that these bonds will eventually transferred to the EFSF (bailout fund) – putting the weight on German taxpayers. Financial Times Deutschaland reports about this. It is quoted here, with one member saying that gold should be used as collateral for the ECB: Meanwhile, economist Frank Schäffler, the liberal FDP, the junior partner of the German government considered “necessary” for states to sell part of its debt and deposit gold from its reserves in the European Central Bank (ECB) as collateral. The massive bond buying managed to lower Spanish yields to 5%, a level unseen for a long time. Italy’s yields are not much higher. The ECB doesn’t necessarily have to transfer the bonds to the EFSF – this doens’t necessarily have to be a transfer union. It can be QE. The ECB has rejected quantitative easing – euro printing, even though it will best work in Europe, and not in the US at this time. EUR/USD is stable in range (1.4220 to 14282). All eyes are not in Europe at the moment, but in the US, awaiting Ben Bernanke and seeking any QE3 – that probably won’t come. This may be a good time to sell gold. Prices in dollars are above $1700, and also in other currencies, gold is at record highs. For more coverage on gold and oil, see Trading NRG. Yohay Elam Yohay Elam Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts. Yohay's Google Profile View All Post By Yohay Elam Forex News Today: Daily Trading News share Read Next GBP/USD Loses Support As British Riots Widen Yohay Elam 11 years Members of Angela Merkel's CDU party, as well as junior coalition partner FDP are suggesting that Spain and Italy should tap into their gold reserves in order to balance their debt issues. It is clear that they are unhappy with the massive buying of Italian and Spanish bonds by the ECB. There is fear in Germany that these bonds will eventually transferred to the EFSF (bailout fund) - putting the weight on German taxpayers. Financial Times Deutschaland reports about this. It is quoted here, with one member saying that gold should be used as collateral for the ECB: Meanwhile, economist… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.