Monday, April 22, 2013

Dr. Paul Craig Roberts on the gold nosedive

Former Assistant of the US Treasury, Dr. Paul Craig Roberts agrees with my postulate about gold - the FED with Goldman at the forefront are artificially pushing gold down as hard as they can in order to shake out individual investors and presumably gather up what gold they can. 
This is an orchestration (the smash in gold). It’s been going on now from the beginning of April. Brokerage houses told their individual clients the word was out that hedge funds and institutional investors were going to be dumping gold and that they should get out in advance.

Then, a couple of days ago, Goldman Sachs announced there would be further departures from gold. So what they are trying to do is scare the individual investor out of bullion. Clearly there is something desperate going on…
Dr. Roberts goes on to say that most of the selling is really naked short selling - paper gold backed by nothing. 
…I know where the gold is coming from in the market, it’s just paper. It’s naked shorts, there is no gold there. If somebody wanted to take delivery on those contracts nobody would be able to provide it. I don’t know what the source of the (physical) gold is. Some people are saying that the actual stocks available for possession are rapidly declining.

Read the whole thing, it's interesting and has a link to an audio interview.

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