Gold: Always believe in…

Recent hikes in the price of gold must have Gordon Brown cradling his head in his hands. The former Chancellor masterminded the sale of half of Britain’s gold reserve from 1999, for reasons that some suspected were more political than economic (the latter is rarely well informed by the former). Since then the price has rocketed, and the loss of profit from the sale is estimated at around £3 billion. Still, if he needs it that badly, the Americans have plenty of it laying about, and not always where you’d expect.

New York Times metro reporter Sam Roberts stumbled into an unmarked gold repository while attempting to change some currency. It is (or perhaps now, was) across from the New York Public Library on West 39th Street, with just five security cameras providing a clue to the contents, estimated at around $4 billion in gold bullion. Just about enough to cover that loss. Perhaps this is why Mr Brown has been mending fences by insisting that he is the Americans’ best friend, rather than the French? Probably not. Given the state of the dollar, the U.S. would seem unlikely to unload any bullion at a cut-price rate.