Precious Metals and Rigged Markets
The manipulation of the global, gold and silver markets is fact, not merely “suspicion” or the delusions of “conspiracy nuts”. Confirmation of this reality comes in many forms. There is the obvious sham of the world's two, largest “bullion-ETF's”: GLD and SLV. It is most apparent in the silver market, where “official” inventories have tripled, but with 100% of this supposed, “new inventory” being the privately-owned bullion held by SLV. In other words, the more silver which is bought by SLV-holders, the larger that the “official” inventories get (i.e. the amount of silver for sale).
How exactly does that work? I know that when I buy my own, “Silver Maples” that no one can sell that silver out from under me – to the first person who is willing to ante-up the current “spot” price.
Then there are the massive, “short” positions of the bullion banks – the largest such concentrations in the history of commodities trading. Not only does the size of these positions preclude there being any rational justification for them (other than to deliberately depress precious metals prices), but the trading of these positions doesn't even follow basic, profit-maximizing behavior. In other words, at times where gold and/or silver have already been pushed well into “over-sold” territory (and into strong “support” areas), the shorts typically try to continue to push bullion prices lower (and into this strength) through increasing the size of their positions – rather than taking profits (the expected behavior of shorts sitting on big profits), or waiting for other shorts to stick their necks out to push prices through resistance.
The only explanation which covers both the size of these positions and the trading-patterns is that these traders – a handful of “bullion banks”, led by JP Morgan and Barclay's – are engaging in this activity purely to suppress the price of gold and silver.
This is reinforced by the words of Alan Greenspan – both in his younger days and during his tenure as Chairman of the Federal Reserve (see “Young Greenspan and Gold”). Young Greenspan eloquently proclaimed that gold was the only “protection” against the “confiscation of wealth” by the bankers, through the permanent “inflation” which was an inherent part of the bankers' paper/debt empires. He warned that the bankers' “tirades against gold” were specifically because without gold “there is no way to protect savings from confiscation through inflation”.
It should be no surprise that the older Greenspan – who served as the bankers' tool as Fed Chairman – seemed to 'forget' everything he knew about gold. Instead, all the older Greenspan was interested in talking about was how the Fed could manipulate the price of gold, in order to maintain “confidence” in the bogus, banker-paper which they erroneously call “money”. Either through senility (or all the zero's he added to his “net worth”), older Greenspan no longer saw any need for people to “protect” themselves from bankers.
