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Jeff Clark, Senior Editor, Casey’s Gold & Resource Report

You likely heard that the Central Bank Gold Agreement was extended by the signatory banks last month. This is the agreement where central banks around the world agree to limit sales and to do so in an orderly fashion so as to not disrupt prices.

While most writers focused on the fact that the agreement set a lower limit (400 tonnes per year, down from 500) – clearly a bullish indicator – I think there’s a more obvious fact many are overlooking that’s even more bullish.

In the first two 5-year agreements, CBGA signatories sold 4,000 tonnes of gold, or approximately 141 million ounces. This is an incredible amount of gold to dump on the market; it’s equivalent to almost two entire years of global production. Based on an average gold selling price over those 10 years of $600, this equals approximately $84.6 billion of gold.

This amount of sales should’ve had a hugely depres

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