It’s not uncommon for the large Wall Street banks to combine in shorting
an entire years supply of minded silver in a single day.The same goes for
Endless paper printing getting funneled to Wall Street has destroyed all
real price discovery. Capitalism fails to work when once section of people
are allowed to get access to free money at 0% rates then speculate on real
commodities.Not only do they get access to that $1 interest free USD but
they are allowed to create $9 more out of thin air in which to trade.
Companies like J.P. Morgan as reported by Bloomberg have been fined for
“Wash trades” where they are caught red-handed in manipulating markets.
Whats that mean for Gold? It means we don’t know the real price of
gold…until their is absolutely no physical gold for sale..any any price.
China is not stupid. As the West plays game with price manipulation they
continue to buy. Month after month…year after year….the purchased quantities
In May, imports by China from Hong Kong jumped sixfold to 75,635.7 kilograms
(75.6 metric tons) from a year earlier, Hong Kong government data showed.
The nation “remains the most important player on the global gold market,”
Commerzbank AG said in a report. The dollar fell from a five-week high
against a basket of currencies, boosting the appeal of the metal as an
alternative investment. “Higher physical demand in China is good news for
the market,” Sterling Smith, a commodity analyst at Citigroup Inc.’s
institutional client group in Chicago, said in a telephone interview.
“The mildly weak dollar is also positive.”
The World Gold Council has forecast that China will top India this year
as the world’s largestconsumer because rising incomes will bolster demand.