Gold, Silver & Aussie$ bounce on Central Bank currency trashing

Gold, Silver and particularly the little Aussie battler have moved higher in overnight trade as a cabal of central banks announced they will create some more fiat currency in their back office and pump it into some banks that you wouldn't trust to manage a bag of minties.

From The Herald Sun:

THE world's top central banks have sprung into action to help cash-strapped banks, while the EU acknowledged it has 10 days in which to fix a crisis threatening a global financial meltdown.

The central banks of the eurozone, the United States, Japan, Switzerland, Canada and Britain collectively announced a giant shot in the arm with "liquidity support to the global financial system".

Stocks and the euro each surged on the move, intended to restore some confidence on markets wearied by the failure of leaders to act decisively to a crisis that French Foreign Minister Alain Juppe warned risks destroying Europe and a return to conflicts on the continent.

Many banks are being squeezed by the weight of downgraded government debt bonds in their books and have been finding it difficult to borrow from one another. This has raised pressure to reduce lending to businesses that would choke off economic growth.

The central banks said they would make funds available to banks at lower interest rates until February 2013 in order to "mitigate the effects of such strains on the supply of credit to households and businesses"......read on