First of all the person that started this rumor doesn’t have his facts in order.

At EverBank, we hold our “pooled” accounts at the Perth Mint in Australia. I reviewed the legal stuff and here’s what I found… The Perth Mint runs by a strict set of guidelines and policies: they do NOT sell metals short. They do NOT use derivatives. They do NOT lend clients’ metals to other entities that may have short positions.

For every ounce of metal they sell to clients, they MUST purchase a corresponding ounce in the marketplace.

Hope that helps everyone understand the “pooled” accounts better…

So… Today, we’ll see the color of the latest Fed meeting (FOMC) minutes… And pending home sales. It will be interesting to see if the Fed gives a “true” recognition of inflation pressures, or if they will give it the old college try of “we see growth and inflation risks to be balanced”.

Pending Home Sales are expected to fall 1%, continuing the downtrend in place since 2005.

The price of oil hit $109 this morning… So much for all those that were calling for a falling price of oil a month ago! Inflation is all around us, but yet… Our central bank does nothing… Absolutely nothing, say it again!

Currencies today 4/8/08: A$ .9270, kiwi .7945, C$ .9880, euro 1.5750, sterling 1.9680, Swiss .9895, ISK 72.75, rand 5.0650, SEK 5.9525, forint 161.45, zloty 2.20, koruna 15.90, yen 102.20, baht 31.70, sing 1.38, HKD 7.79, INR 40, China 7, pesos 10.55, BRL 1.7025, dollar index 72.04, Oil $109, Silver $17.98, and Gold… $919.93

That’s it for today… I’m seeing some euro selling as I get ready to hit the send button… Probably the sterling weakness pulling the euro down right now. Chris Gaffney, Mr. Marathon, will have the conn on the Pfennig the remainder of the week, as I head to St. Pete tomorrow. I’ll be back on Monday. I speak twice on in St. Pete, and I haven’t even begun to work on my second presentation. UGH! Hey! I’ve still got today, right? HA! Oh well… Gotta get this train out of the station! I hope you have a Terrific Tuesday!

P.S. To get The Daily Reckoning sent directly to your inbox, sign up for our free email newsletter, or if you prefer to use RSS, subscribe to the Daily Reckoning RSS feed.

Editor’s Note: Chuck Butler is the senior vice president of EverBank World Markets. He oversees the trading desk and operations for over 12,000 individual and corporate clients, both in the United States and abroad, who look to EverBank for FDIC-insured World Currency Deposit Accounts, and Single-Currency and Index CDs .

Pages: 1 2

Pages: 1 2