Has the US government been supressing the price of gold?
Have European countries been supressing the price of gold?
While many have been watching the fiasco in silver with JP Morgan, UBS, the CFTC and others involved in paper shorts, GATA (Gold Anti Trust Action Committee) has been investigating in to the price manipulation of gold. Going as far as suing the FED, US Treasury and others in 2002 concerning the subject. Read all about that here;
Precious Metals being priced at these levels is not in the best interest of any government in the world, until now…
Depending on how you look at things, the price of gold and silver, au mainly is not really going up in value, rather maintaining buying power for those that invest in it with fiat paper currency. A good gauge for that is a man’s business suit. Throughout history, a working man could buy a nice suit for 1 oz. of gold…. and that fact still holds true to this day. Keep in mind, I’m speaking of a nice quality tailored suit, not a department store special.
With metals priced up here, it only makes the lack of confidence evident that the system has in the US$ as the reserve currency. So what makes things different now?
Preparedness…. no one was expecting the crash of 2008, not one country was prepared for a financial earthquake of that magnitude. This time around however, countries have had three years and counting to prepare for the next downfall, which is inevitable and looming.
Just about every country out there worth anything has become a net buyer of gold. Physcal precious metals exchanges have been popping up around the globe.. China, Australia…. new freeports in Shanghai, which has almost reached capacity, UBS and others are building out, adding to the storage volume needed for more gold…..
Although I’m not a fan of wee kee leeks…. I really feel there are certain things we do not need to know to live. I always compared it to my childhood… I never really cared, or even considered the monthly living costs such as rent, power, nor the cost of my toys for that matter….yet I was a happy child. Point being… there are certain details to a system that one does not need to know to grow, and I really feel wee kee leeks is inundating a number of individuals that can not comprehend correctly, which could have an opposite negative effect.
With that being said, the reason for this writing today is based on a diplomatic cable recently released by wee kee leeks. The cable shows China’s belief that the US and Europe have been surpressing the price of gold to discourage it’s use as a reserve currency…
Here are a couple excerpts from the article… be sure to click the link below to read it in it’s entirety.
“The minutes suggest that officials from the G-10 governments and their central banks were, in fact, conspired to synchronize their policies to affect the gold market.”
“explained that U.S. gold belongs to the Treasury. However, the Treasury had issued gold certificates to the Reserve Banks, and so gold also appears on the Federal Reserve balance sheet,”