Starting around 2:00 p.m. in Hong Kong on Wednesday afternoon [1:00 a.m. Eastern Time], and following the sun as the London and New York bullion markets opened and closed, gold managed to add about $11 by 11:00 a.m. in Hong Kong…about 20 hours later on Thursday morning. Silver, following much the same pattern as gold, added 47 cents during the same period of time.

Estimated gold volume totaled 67,299 lots…which included 10,239 switches…as traders rolled over their May contracts into June and other months, rather than stand for delivery on April 30th. This same process is occurring in silver as well. Options expiry on the Comex [in both gold and silver] is tomorrow.

I was not impressed by the fact that the gold shares didn’t hold their gains in the last hour of trading as the Dow sold off. I don’t know if there’s anything to be read into that or not.

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Financial Times reported this morning that according to Niu Dun, China’s deputy agriculture minister, Beijing will distance itself from nations such as Saudi Arabia and South Korea by choosing to depend on its own land for self-sufficiency in grain.  China is the world’s biggest agricultural economy and its largest consumer and producer of cereals.  The growing trend by some to snap up foreign farmland is seen as a response to last year’s spike in agricultural commodity prices and trade restrictions which lead some to question the long term viability of the global food market and to proactively seek alternatives.  For example, Pakistan is now offering 1m acres of farmland, to be protected by a special security force, for lease or sale.  Gulf Arab nations, heavily reliant on food imports, have reportedly expressed interest.

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Per the Financial Times, under a soon-to-be-unfrozen IMF plan, “Kiev will use half of a second $2.8bn (€2.1bn, £1.9bn) tranche to service its budget deficit. The rest will be directed towards traditional currency stabilisation and balance of payment needs.”  Bonds markets reacted well to the news; Ukraine’s 6.58% dollar bonds due 2016 rose on Friday, pushing the yield down 54.4 basis points to 17.162%, the lowest since Oct. 9.

Meanwhile, Pakistan won commitments for $5.28bn in aid over two years from more than 20 countries in order to help stabilize its rapidly fleeting economy (Pakistan’s rupee plunged 22% last year and the benchmark stock index tumbled 58%) and support investment in healthcare, education and infrastructure development.  The Pakistan Donors’ Conference, co-hosted over the weekend by Japan and the IMF in Toyko, also reaffirmed $15bn (€11.5bn, £10.1bn) already committed to existing aid programs.  The new funds come on top

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Karachi-based Habib Bank Ltd., Pakistan’s largest by the number of branches, reported an increase in revenue to 79.7 billion rupees from 60.5 billion rupees in the year ended Dec. 31, as well as a 54% rise in profit after higher lending and rising interest rates.  Shares of the company have risen 21.8% this year.  Pakistan’s central bank raised interest rates four times last year to the highest levels in Asia.  Moreover, lending expanded by just under 20% in 2008, led by demand from energy companies and textile manufacturers, according to CEO Zakir Mahmood.

Pakistan said Friday that it would seek $4 billion in financial assistance, mostly from the World Bank, the Financial Times reported. Pakistan, a nuclear power and neighbor to Afghanistan, is on the verge of bankruptcy and if it does not receive the assistance it requires, the economy could collapse resulting in political upheaval and social unrest. Pakistan has been wracked by inflation, currently running at 25% and its foreign reserves are dwindling. The nation’s currency, the rupee, last week sank to a new low of 84.4 to the dollar and has tumbled more than 33% against the greenback this year. Pakistan’s foreign currency reserves have shrunk to about $4.5 billion, or just six weeks worth of imports, the FT reported. Unchecked political spending and poorly designed tax codes have also contributed to the nation’s economic shortfall. Less than 1% of Pakistan’s population ...