China National Gold Group Corporation, General Manager Sun
Zhaoxue has come out and told the world media that the
U.S. is suppressing the gold price. The reason for America’s
manipulation of gold is to ensure U.S. Dollar dominance on
the world stage. America has by default ended up with the
world’s reserve currency and therefore , get the world to work
for them in exchange for an ever increasing supply of printed
greenbacks. He also went on with an excellent analysis on of
America’s war against Europe and the Euro using their investment
banks. Another good insight from Sun Zhaoxue is that while
major players like Warren Buffet and Goldman Sachs talk about
how they hate gold and forecast price declines they have made
large bets on gold and gold companies.
His comments from the Liujiazui economic forum were as follows:
“The hottest topic at the moment is oil and gold. The ground war
we are seeing around the world is I think war for oil whereas gold
is the currency war. Why? We observe that the integrity was the
driver for US Dollar to become world reserve currency. The US Dollar
and gold decoupling from 1971 caused the US Dollar to depreciate
massively. From 1990 onwards, the Eurozone was in consultation to
form a strong Euro to counter the US Dollar, in order to prevent
the latter from stripping Europe of its wealth. The Euro was born
in 1999, supported by its strong economy and 11,000 tons of gold.
With the birth of the Euro a competitor to the US Dollar was
created, and so the US decided to lay a trap for the Eurozone as
part of the currency war. Some countries in the Eurozone violated
the Eurozone’s norms by issuing bonds. Which entities participated
in the issuance? US investment banks. After the debt was issued, it
was US ratings agencies that struck a blow to the Eurozone by saying
that its economies had problems.
Only gold remains on par with the US Dollar to benefit from the
Eurozone and Euros collapse. This is why the US began to suppress gold
by issuing a statement two months ago that the Eurozone will sell its
gold when it is unable to service its debt, then stating three days
later that the news was false. Furthermore Goldman Sachs made a
forecast for the gold price at the beginning of the year but suddenly
changed its course saying the gold price will fall to $1300. Buffet said
that he would not buy gold even if its price fell to 800USD. Our research
indicates that Buffet made a lot of money from four gold companies.
So his statement is inconsistent with his personal action.
Bernanke’s speech followed, saying that monetary easing will end, that
the US economy is improving. This series of examples shows that the
fall of the gold price is premeditated. So I say that this process
is a genuine currency war.
Many people say that gold is just a beautiful thing. Then we have to
ask the US why they store so much gold but instead of selling gold,
they issue debt to other countries to rescue the financial market.
The US owes Germany so much gold but instead of repaying immediately,
sets a 2020 deadline to return the gold. From this example and process
as well as some typical factors, this is a downright currency war to
maintain US Dollar hegemony by defeating all other currencies.
I shall stop here.