Greetings, Everyone and Welcome to Sunday!

My Apologies for a delayed Writing-Time… we are around 10:50 A.M…. so 17:50 GMT.

We check in on some interesting Rhetoric coming out of The G20 Communique, as the Summit continues in Italy.

 The increasing “Push” of The IMF to be ore of a Participant as The “Global Big Brother Bank” is a bit worrisome for many…

The new Thought of The IMF “To undertake the necessary analytical work to assist us with this process.”… to paraphrase… puts increasing Pressure on The Entity to get more directly involved as a Global Power, instead of continuing to let Individual Countries and their Central Banks handle the Burdens of Solutions to the Global Economy.

This is blatantly clear in the following Statement in The Communique Itself:

  The G20 is ”exploring ways to substantially increase the IMF capacity for concessional lending through the sale of gold or other means, consistent with the new income model, and we encourage the Fund to explore the scope for increased concessionality to low-income countries.”

“Other Means”… an ambiguous Statement at best… perhaps alluding to Outflows concerning The Dollar as the World’s Current Reserve Currency.

Even more “Telling” in my personal View… is the mention of The sale of Gold… as we know The IMF holds massive amounts here as a “Cushion” for The Developing World.

There is “Sentiment Talk” of “Jawboning” Gold Value lower to take some of the Pressure off of Inflationary Concerns.

Of Course, the “Direct Effect” here is Bullishness for The Dollar… but how long can this last?… How long can The Dollar remain strong under the “Weight” of little inherent healthy Value?

This is precisely a Factor for Sell-Off already… the Positive Sentiment is simply not there…

Surely this will have an “Effect of Bleedout” affecting various Sectors including Housing, Lending Practices, Interest Rates, Reserves, and of course, The U.S. Dollar.

Surely The Dollar is feeling all of this “Weight”… and will continue to in The Interim.

We shall see how all of this Plays Out, as more information hits The Newswires.

Please join me in a few Hours after The Sydney Open, as we begin our Week and move forward!

See You Then!