GATA GOES FOR GOLD IN ARAB
WORLD
March 1 –
Gold $432.40 down $3.70 – Silver $7.19 down 16 cents
HUGE Development For GATA And Gold
In The Arab World!
A hard
beginning maketh a good ending... John Heywood "The Proverbs of John
Heywood" (1546)
GO GATA!!!
In the last couple of MIDAS
commentaries I have done what I could to insult the mainstream gold world as
much as possible for their ineptness and cowardly approach to dealing with the
blatant manipulation of the gold price. Might as well make it a Trifecta and up
the ante at the same time.
What is so grating is that the
mainstream gold world dolts refuse to acknowledge the obvious modus operandi of
The Gold Cartel. The cabal bums are so organized they repeat their manipulation
techniques over and over again, like the $6 Rule – like taking gold down in the
Access Market IMMEDIATELY after a concerted price-capping effort during the
day.
Last evening Dallas time was a
perfect example. Gold was shoved 80 cents to a buck lower not long after gold closed
on Comex. The dollar then strengthened a tad later on. When I woke up this
morning, the dollar was slightly lower, yet gold had weakened further, called
down $1.40 going into the Comex open.
Contrarily, the S&P futures
contract almost ALWAYS opens higher after a decent sell-off. Even Richard
Russell has noted how the S&P’s are almost always called higher these days
and have been for years now. The Gold Cartel is the one at work suppressing the
price of gold. It is The Working Group on Financial Markets (PPT) who is
propping up the US stock market and influencing its price action.
On that note Goldman Sachs and JP
Morgan Chase pressed bullion right off the bat this morning, however, sizeable
orders from physical market buyers showed up as the price took out $433. After
a brief rally, The Gold Cartel attacked again, following up on their
price-capping selling of the past week, even though both the pound and yen were
modestly higher. Today’s battering had nothing to do with the dollar. It was
all about The Gold Cartel forcing the gold price lower because the euro gave
back a piddling of its recent gains.
Today’s outrageous manipulation is a
classic example of what I have conveyed to Café members for years. The key to
the gold price action is how The Gold Cartel uses the action of the dollar to
rig the price. They go into capping mode on various gold up days in an
organized un-American fashion, and in violation of all the US anti-trust laws.
Then, they simultaneously strike to take the price lower when the word goes out
from cabal headquarters to do so. Gold has traded this way for years. Can it be
any more obvious? If you can’t see what is going on here, you couldn’t have the
brainpower of a gnat or a "grapefruit." Perhaps I am being too kind? Meanwhile,
the fact that commodity prices have gone berserk is completely ignored by the
dullards in the mainstream gold world. PRICE ACTION MAKES MARKET COMMENTARY.
Seems not much matters anymore to US financial markets. US deficits, crummy
dollar, soaring real inflation, etc. What does matter is spin and market
manipulation.
Gold and silver traded like heavy
stones sinking in water the entire trading session. Rallies were non-existent.
Only cash market pricing, as gold sank towards $430, saved the day. The gold
open interest rose, as fully expected, to 287,801, up a sizeable 4271 lots.
This reflects spec buying and Gold Cartel selling to cap the price, as brought
to your attention by MIDAS yesterday. Spec longs who bought after Tuesday
morning’s limit up day gold pop are now all losers.
The silver open interest fell by
3584 contracts to 101,630 as specs ran for the hills, as did mega long Morgan
Stanley. No surprise there either.
The CRB rose once again, this time a
mere .26 to 305.26, even though crude oil, beans, gold, and silver were lower.
Once upon a time, pre-Gold Cartel and its price manipulation scheme, this chart
would have had gold and silver rocketing:
April CRB
http://futures.tradingcharts.com/chart/RB/45The bonds
continued their dipsy-doodle, falling another 6/32 to 112 29/32.
The dollar
recouped modestly, rising .29 to 82.80 and the euro fell .57 to 131.16. The yen
bucked the trend for the day and rose to 104.32.
The John Brimelow Report
Heavy Turkish buying; Heavy selling by ???
Tuesday, March 01, 2005
Indian
ex-duty premiums : $6.18, PM $6.03, with world
gold at $434.50 both times. Comfortable for legal imports. The Reserve Bank has
been actively repressing the rupee, regrettably, from the point of view of
gold’s friends.
Turkish
imports for February, posted this morning on the Istanbul Gold Exchange’s
website, were huge. At 29.411 tonnes, they were the third highest in the 9 2/3
years the Exchange records, despite $US weighted average prices, according the
Exchange, being the 4th highest. February imports were 11.7% up on
January and 35% above Feb ’04: $US gold was down 0.3% and up 4.7% respectively.
Turkish Lira prices were -3.2% and +2%.
No doubt
this quantity reflects a powerful response to the effort to break gold down in
the first week of the month: but overall it is clear that the propensity of the
Middle East to import gold has shifted. No wonder gold refused to break $400.
The ECB reported
today that two subordinate Central Banks sold gold last week (a third bought
coin); the net proceeds were E99Mm. This suggests about 9.4 tonnes, the highest
this year. At an estimated 31.7 tonnes, the ECB zone sales in February are
about equal to Turkey’s imports.
With world
gold showing no resilience this morning, ("…spot gold was well offered by
dealers" – Mitsubishi) TOCOM essentially stepped out of the market. On
volume only equal to 13,014 Comex (-57%) open interest was static (up 338
Comex); the active contract was down 11 yen and world gold went out $1.60 below
NY. (Yesterday NY traded 47,718 lots; open interest jumped another 4,271 lots –
13.28 tonnes.)
Yesterday,
according to ScotiaMocatta, gold
"436.10/436.60
in New York and made a steady climb...A new high for 2005 (437.90/438.40) was
posted before drifting back off on local selling. Selling from overseas sources
then started to weigh on the market causing a sell off…"
The net
effect of this was that it took over 13 tonnes of net buying to raise the gold
price $1.50. In the past four business days, Comex has added 15,570 contracts
of open interest (48.7 tonnes) to add $3.10 to the April contract... Plainly,
there is a large seller about.
The
Gartman Letter has noticed this:
"…there
was selling yesterday at $437-438 which proved quite formidable; however,
rather than direct gold selling we suspect this was simply profit taking
correlative with the strength in the US dollar…. We look for short term support
at the $431.50-433.00 level today and we doubt that that support shall be
broken."
Profit
taking, of course, would reduce, not increase, open interest. As Mitsui-Sydney
ingenuously remarked this morning:
"…offshore
buying meant gold was firm all day, pressuring resistance & some good size
traded. Overnight it was pretty similar, however the flows were lighter. The
question now is, with so much pressure being applied to the topside, what is
holding gold back?"
Gold seems
to be back in the 2001-2004 mode, with successive levels being ferociously defended,
but eventually being overcome by rising physical offtake. That is what the
Turkish data implies. From that perspective, the key development in gold this
year has been the loss of downward momentum developed by the Great Liquidation
of January.
The noted
gold bear joins with a number of commentators – Gartman, Don Hays, various
Neoconservative political writers, to proclaim peace is breaking out in the
Middle East. This observation seems fashionable – or popular - at present. I
doubt he is naive enough to believe it.
JB
CARTEL
CAPITULATION WATCH
As usual
the US stock market rebounded after a spanking. The DOW recouped most of
yesterday’s losses, gaining 64 to 10,830. The DOG did better, jumping 19 to
2071. Liquidity is the name of the game. At some point reality is going to set
in and this market is going to come hurtling down. Hard to know what will be
the catalyst and when, however, it is coming. Denial and spin only goes so far.
With inflation and interest rates on the rise, corporate profits are going to
be squeezed. The rigging of the gold price to mask the true inflation barometer
in the US will only go so far in this environment.
Platts:
New York
(Platts)--1Mar2005/351 pm EST/2051 GMT
Analysts were at a loss to
explain the decline in gold, even as Iraqui violence escalated…
–END-
These
analysts need to sign up for a www.LeMetropoleCafe.com
membership. It would prevent them from remaining clueless.
US
economic news:
09:59 Jan.
Construction Spending reported 0.7% vs. consensus 0.4%
Prior reading revised to 1.2% from 1.1%.
* * * * *
10:00 Feb.
ISM Prices Paid reported 65.5 vs. consensus 67.5
Prior reading 69.
* * * * *
Feb. ISM Manufacturing reported 55.3 vs. consensus 56.9
Prior reading was 56.4.
* * * * *
Bill:
I figure I can do Moskow one better! If they can spin, so
can we....
News Alert
February 28, 2005
AP NEWS (Houston)
Renowned commodity trader Dan Norcini stunned the investing
world today when he asserted that elephants roost in trees. Norcini, famed for
his sometimes bewildering comments, confidently claimed that he had seen a
dozen elephants sitting in the tops of the water oak trees surrounding his
estate. So assured was he, that investors all around the world are now questioning
whether he might be true.
"Norcini
is one strange bird," quipped a pit trader in the S&P, "but he is
a smart guy and anything he says has to be given thoughtful
consideration."
News Alert
March 1, 2005
AP NEWS (Houston)- UPDATE
There has
been a rash of sightings of elephants roosting in trees that has left
authorities shaken and dazed.
"Calls
are coming out of the woodwork," commented a deputy sheriff who is a
member of a special task force created to handle the sightings.
The
unusual development began after a famous commodity trader, Dan Norcini,
announced that he has seen the elephants with his own eyes. While Norcini was
not available for further comment, his attorney, Talkem N. TU. Anything, with
the law firm of Doowey, Cheatum and Howe, stated that his client is completely
convinced of the matter and has no reason to fabricate such a story.
End
More from
Houston's Dan Norcini:
Bill;
We keep getting more and more of these reports detailing the
squeeze that manufacturers are under as a result of rising input costs.
Here's
another one, this time its Caterpillar. You had to wonder when they would
finally cry, "Uncle," and hike costs. This is precisely the kind of
thing one should expect to see accompany a rising CRB index and why I believe
the deflation proponents will be proven wrong. Anyone who deals in steel knows
all too well what I am talking about. It is a component in so many different
manufactured goods that it is almost pointless to even attempt to list them -
automobiles, heavy equipment, construction products, military equipment and
armament, etc...
All one
has to do is to simply think about the rising costs associated with soaring
base metal prices and plastics which have their source in crude oil to realize
that Caterpillar is not the exception; they are the rule and a sign of things
to come.
It is also
the very reason why the deliberately deceitful comments made by Greenspan,
Bernanke and other various Fed governors such as the one I sent you earlier
from Moskow are so patently absurd.
To assert,
as they have so brazenly done, in the face of a rising CRB index and a soaring
PPI (even in spite of its inadequacy) that inflation is "well
anchored" or "contained" and that the CPI is not reflecting any
pass through to end users by manufactures should strain the credulity of even
the most ignorant of analysts. Yet, that is exactly what we do not see - on the
contrary, we see the stupid lemmings swallowing the the purple Kool-Aid and
parroting the official sector line that inflation is simply not a threat.
"How do we know that?", they confidently assert. "Why just look
at the price of gold. If it were a serious threat, gold would be reacting
violently upward." Meanwhile they shovel the yellow stuff into the market
as fast as they can find it in an attempt to meet the voracious demand and try
to keep it from exploding upward to reflect reality.
Maybe we
should pass on some advice to our friend Dennis Gartman and ask him to do
himself and his hedge fund clients a favor by putting down the Kool-Aid long
enough to let the cobwebs clear from his mind. That and some fresh air might
bring him to his senses.
Dan
The REALLY
big news of the day came out of Dubai – not only for GATA but the entire gold
world. Read on and and I will comment why below:
Hello
Bill,
we had the chance for a short shake hands at the New Orleans
Investment conference 2 years ago. Attached is a study about the planned
unified GCC currency and gold, which I wrote for the Gulf Research Council, in
case it is interesting for you.
All the best from Dubai, Eckart
Dr. Eckart Woertz
Vice President Fixed Income and
Structured Products
CFC Securities Limited
P.O. Box 2260
4/F Al Attar Business Tower
Sheikh Zayed Road
Dubai, UAE
The Role
of Gold in the Unified GCC Currency
The
manipulation of the gold market since the Nineties
Various
studies have come to the conclusion that gold is severely underpriced. They
expect a gold price of at least USD 700; some estimates even reach USD 1500 and
more. The chosen approaches are manifold and include comparisons between the
gold price and money supply (M3), long term ratios of the gold price with oil
and stock markets, supply and demand figures in the gold market or the
39- See
Al-Alkim, op.cit., chapter 3-6.
40- Ugo
Fasano and Zubair Iqbal, "Common Currency. GCC Countries Face Fundamental
Choices as they head for Monetary Union," Finance and Development 39,
no. 4 (December 2002), available under www.imf.org/
external/pubs/ft/fandd/2002/12/fasano.htm, p. 2.
______________
hypothetical
amount of gold needed for a reintroduction of a gold cover clause. 41 Although
the liquidity driven stock market frenzy and serious currency crisis in some
emerging markets (Mexico, Asia, Russia) supported the US dollar in the 1990s
and thus reduced the attractiveness of gold, the sell off in gold between 1996
and 2001 that propelled it below USD 260 is highly suspicious, as it happened
during a time of increasing supply deficits in the gold market. This has led a
number of distinguished experts who are affiliated with the Gold Antitrust
Action Committee (GATA) 42 to assume that Western central and commercial banks
have manipulated the gold market since the middle of the 1990s in order to
defend the paper dollar standard. Such interference is quite reminiscent of the
gold market interventions in the sixties during the establishment of the Gold
Pool. The evidence collected encompasses comparisons between different kind of
statistics and issuers, historical probabilities and standard deviations as
well as anecdotal material about more or less obvious efforts to suppress the
gold price. While this is not the place to discuss the material in great
detail,43 it is important to be aware of the basic argument and its
implications for the future gold price, should the paper dollar standard
deteriorate further.
Based on
2000 figures, Frank Venoroso challenges the official statistics of Gold Fields
Mineral Services (GFMS) and the World Gold Council (WGC) and assumes that
annual mine
______________________
41- Van
Eeden, op. cit.; Tim Wood, "Gold-oil link all but dead in 2004,"
(August 10, 2004): www.mineweb.net /sections/energy/oilgold.htm; H. Reginald
Howe, "Dow/Gold Ratio=1 at 3000$: Don’t Laugh!," under
www.goldensextant.com/ commentary5.html; Frank Veneroso, "Facts, Evidents
and Logical Inference. A Presentation on Gold/ Supply/ Demand, Gold Derivatives
and Gold Loans," (May 2001): www.gata.org/fv.pdf; Bill Fox, op. cit., p.
18.
42- GATA
was founded in 1999, see. www.gata.org.
43- Frank
Veneroso, Reginald H. Howe, Mike Bolser and James Turk have conducted the most
important studies so far. For a thorough compilation, see John Embry and Andrew
Hepburn, "Not Free and Not Fair. The Long-Term Manipulation of the Gold
Price," Sprott Asset Management Special Report, August 2004 under: www.sprott.com.
production
(2,568 t), scrap supply (602 t) and official central bank sales under the
Washington Agreement of 1999 (400 t) are only partly covering an estimated
world wide demand of 4,844t. Venoroso thinks that the supply gap of about 1,274
t and the supply gaps of preceding years have been closed by leased central
bank gold. That leads him to the breathtaking thesis that instead of the
officially acknowledged 5,000 t on lease and swap arrangements, up to 16,000 t
of a total of 28,000 t may have actually left the vaults of central banks.
Venoroso points out that the gold carry trade that started in the 1980s
gradually went out of hand. Thereby, central banks are leasing gold to the
commercial banks for a low leasing rate of about 1%. The commercial banks sell
the gold in the market and invest the proceeds in higher yielding assets like
treasuries, thereby earning a nice spread. As the commercial banks now have a
delivery risk of physical gold to the central bank, they can hedge themselves
against a gold price rise by going long on the derivative markets. Mining
companies, proprietaries trading desks and hedge funds have taken the short
side of these trades. Thus, on a limited base of physical gold, a gargantuan
mountain of derivatives has developed. And this mountain continues to grow,
although mining companies have reduced their hedges dramatically in recent
years.44 To put it in a nutshell, the gold still exists in the books of central
banks as receivables, and on the books of hedge funds and commercial banks as
liabilities. But the actual physical gold itself has long left the vaults and
now hangs around the necks of the women of the world. These women are the
"ultimate longs" in the market while the banking system stays out in
the rain with a gigantic derivative short position of up to 16,000 t.
___________________________
44- It is
estimated that the notional value of derivative "paper gold" is 10
times higher than yearly physical production and nearly as high as all official
sector gold. H. Reginald Howe, "Gold or Dross? Political Derivatives in
Campaign 2000," August 2000, www.goldensextant.com/campaign
2000.html#anchor48727 and Howe, "Hitting the Iceberg," December 20,
2003, www.goldensextant.com/ commentary 26.html#anchor25233.
At current
prices, it is inconceivable that this short position could be covered. A much
higher gold price would be needed. This, in turn, would not only seriously hurt
the profits of the banking system but would also endanger the already ailing
paper dollar whose liquidity is fuelling the US and world economy alike. This
is why Veneroso, Embry and others assume that an official sector of central and
commercial banks has started to manage the gold price at least since the plight
of the LTCM hedge fund in 1998, which purportedly held a huge short-position in
gold. Occurring trading patterns suggest that apart from lending physical gold
into the market, the gold price is suppressed by derivative short selling and
spread trading. Similar accusations exist in the case of silver.45
This
management will ultimately fail, as the supply gap will increase rather than
decrease.46 Gold production is expected to decline significantly in coming
years as mining companies reduced their investments in new projects during the
last decade of suppressed prices. As a mining project needs 5-8 years to mature
to production, this will not change anytime soon. Groundbreaking new
technologies that could raise the output drastically like the discovery of cyanidation
in 1887 are not likely. And epochal new discoveries like those in USA,
Australia and South Africa in the 19th century47 can also not be expected, as
nowadays such terra
______________________
45- The
case for silver is even more compelling, as there exists a supply gap since the
beginning of the eighties and there are no central bank reserves. Silver the
"poor man’s gold", played a role in monetary systems until the 19th
century and is also an important raw material in the electronic industry. Its
long-term historic ratio to gold is 1:15, which is way above the current 1:60
and could even lead to steeper rises in price than gold. It remains to be seen
if it could regain monetary importance during the unfolding crisis of the paper
dollar standard, but as its use is not exclusively monetary we leave it aside
here. For the manipulation story of silver, see the various articles of Ted
Butler on www.investmentrarities.com/tbarchives. html. For silver as an
investment case, see Marion Butler, "The Case for Silver," October
19, 1999: www.goldeagle.com/editorials_99/mbutler101899.html and various
articles on www.silver-investor.com .
46- Rhona O’Connell, "Gold demand growth outstrips
production," November 25, 2004, www.mineweb.net/
sections/gold_silver/393445.htm .
47- See
Peter L. Bernstein, The Power of Gold…, op.cit., pp. 219-238.
incognita
of mining does not longer exist. On the demand side, Western investment demand
has not even kicked in yet like it did in the 1970s, while retail demand in
important markets like India, Arabia and Asia remains stable or is even rising
despite augmented gold prices. Additionally, other central banks than the
Western ones are actually buyers (e.g. China, Russia, Argentina), as they need
to diversify their dangerously one-sided currency reserves.48 That is
especially true for China, which is sitting on a huge pile of USD 500 billion
in currency reserves, while officially having gold reserves of only 1.6% of
that amount (Table 3). Actually there are repeated rumours that in recent years
China may have bought more than the 200 t that it officially acknowledges, and
the reopening of the Shanghai gold market in 2001 after over fifty years of
closure may not be accidental. Finally, Japan has announced that it may
purchase gold as well, in order to diversify its similarly one-sided currency
reserves (USD 800 BN).
The likely
outcome is the current manipulation scheme of the gold price will fail like the
Gold Pool in the sixties. Once it fails, it will be highly difficult and
expensive to accumulate a gold reserve. This is especially true for central
banks that have low gold reserves like those in the GCC countries.
Shrewd
women and unprepared Central Banks: Private and official gold holdings in the
GCC countries…
To read this special gold report in its entirety, go to:
-END-
Why is
this SUCH A BIG DEAL?
*The last
market manipulation paragraph says it all.
*This report
is now circulating all over the Arab world to the right people, including the
Middle East Arab central bankers, the sheiks, the money manager advisors, etc.
*The
report acknowledges GATA is correct in our basic assertions.
*This
report enhances GATA’s credibility enormously and ranks right up there with the
Sprott Report (http://www.gata.org/SprottPressRelease.html) and the
Russian central bank paper (http://www.gata.org/RCBTakesNote.html) read at
the LBMA conference last June.
*The
report is also a HOME RUN for GATA as far as Gold Rush 21 (www.GoldRush21.com) is
concerned. One of the goals of GR 21 is to get the word out to the investment
world re GATA’s assertions, especially that half the central bank gold is no
longer there. Once the investment world understands GATA is RIGHT and we know
what we are talking about, there will be a rush for gold like never seen
before. This distinguished paper will go a long way to assist GATA achieving
this objective, which in turn, will help make YOU a fortune.
*Most
importantly, this revealing document by Dr. Woertz details reasons for the
wealthy Arabs and their institutions to load their gold boat NOW. This WILL
have a major impact as far as the gold price is concerned in the weeks and
months to come. John Brimelow reports above on the "huge" gold demand
emanating out of Turkey, which represents Arab gold demand. Wait until they
read this report. With $50 to $60 oil, they have money to burn.
OK, are
you happy with what happened to gold and silver today? Are you happy with what
your gold shares are doing? Are you happy you are being fleeced day after day
by a bunch of crooks? If not, DO SOMETHING ABOUT IT. Shame on you if you have
not called up the gold company CEO’s to urge them to attend Gold Rush 21 –
especially the majors. The more shareholders these CEOs hear from, the more
likely it is they will consider attending. This paper ought to make it a lot
easier for you to persuade them why they should be there. Please send them all
a copy, even if by email. This is a MUST read for every gold company CEO. Make
sure to call them back in a week and ask them their opinion of what is offered
regarding the gold price manipulation in the paper and to back up their own
opinions should they differ.
You might also let them know that Tami Matsufuji, President
of Jipangu and Japan's "Mr.Gold," is coming all the way from Tokyo to
Dawson City in the Yukon to attend Gold Rush 21. What could be their excuse for
not coming?
You can
sit there and moan and groan about what The Gold Cartel elitists are doing to
you, or effect a CHANGE. Up to you.Not only is the gold demand news positive
coming from the Arab world, it continues to build in India also:
Yellow
Metal to be Traded in Paper Form
Business Standard, Mumbai
Tuesday, March 01, 2005
http://www.business-standard.com/smartinvestor/storypage.php?
chklogin=N&autono=182101&lselect=1&leftnm=lmnu6&leftindx=6
The Union
finance minister today announced that the Securities Exchange Board of India
(Sebi) and the Reserve Bank of India (RBI) would work out the modalities for
mutual funds to float gold-backed units which would be traded on exchanges.
These Gold Exchange Traded Funds (GETFs) will enable
households to buy and sell gold in units for as little as Rs 100.
In fact, it was Benchmark Mutual Fund which first mooted a
scheme of this sort around three years back but the idea did not find favour
with RBI, as it felt that the prices of gold could be manipulated and it would
destabilise the market. Sebi, incidentally, did not have any problems with the
scheme.
Exchange-traded gold funds are a step in the direction of
real estate funds and other commodity-backed funds.
Ashutosh Bishnoi, chief marketing officer at UTI Mutual
Fund, said, "The necessary mechanism for this has to be put in place. The
first step in this direction should be to securitise gold as an asset since the
funds cannot hold them in physical form."..
-END-
Rhody on
leasing:
Hi
Bill,
Gold lease rates are still in backwardation,
but only in the very near term. The
rate curve is still relatively elevated and flat suggesting continued leasing
activity at above average levels.
Silver
near term rates dropped by 25% from .20% to .15%, as did two and three month
terms by .04%. Leased silver is not the source of spot silver price weakness
today.
Regards, Rhody.
http://www.kitco.com/market/lfrate.html
This next report on gold is one of the most worthless I have
ever read. Most of the commentary is bullish, yet concludes gold is heading
back to $350. What garbage. I only bring it to your attention because it is
circulating all over and I was asked to comment.
World
economy: Commodities - Our forecast for gold
COUNTRY
BRIEFING
FROM THE ECONOMIST INTELLIGENCE UNIT
..In 2005
the gold price will on average rise by 6% along with a continuing weakening of
the US dollar against the euro. Although much of these gains will be reversed
in 2006, gold will maintain a US$400/oz plus price range. Over the medium to
longer term, the gold price is expected to fall back to trade around US$350/oz,
just below its long-run average price…
Full report
http://www.viewswire.com/index.asp?layout=display_article&doc_id=1348077934
Compare that piece of junk to that
of the paper by Dr. Eckart Woertz in Dubai.
Anecdotal input on gold demand
coming from Joe and Jane in Canada:
Dear Bill, I just want to tell you
how much I enjoyed Monday's Midas, the best and most encouraging in recent
memory. I was especially reassured as I bought some DROOY below a buck on Friday
not completely sure at the time but glad I did in hindsight. Word is getting
around my cousin who is the food and beverage manager at the Barrie country
club tells me that precious metals are being talked about. Also I was at the
local Chrysler dealership and came across a plumbing customer of mine, a
retired successful furniture store owner who told me in passing to invest in
Gold, wow that really made my day, this guy has a network of equal peers and a
daughter who is a federal member of parliament in Ottawa. Yes Bill, I believe
our patience will pay off soon and I am looking forward to the greatest
investment opportunity (especially Silver) in the history of mankind.
Sincerely grateful, Kim.
The gold shares fell as is to be
expected. The XAU lost 1.71 to 97.20 and the HUI gave up 4.80 to 210.52, barely
holding 210 support with a 209.97 low.
HUI
http://bigcharts.marketwatch.com/quickchart/quickchart.asp?symb=hui&sid=0&o_symb=hui&freq=1&time=8
The Gold Cartel is making life
miserable for us gold bulls. While their market rigging is often noticeable,
rarely has their price-capping manipulation been THIS obvious for so many days
in a row. Clearly, the cabal is petrified of the price of gold moving higher
when inflation in the US is so rampant. Short-term anything can happen to the
prices of gold and silver. However, the die is cast. The market manipulating
bums are on a short lease:
*with commodity prices on a scamper
and likely to continue to be on one for months to come.
*and with the worldwide demand for physical gold so stout and becoming more so
as each week goes by.
The prices of gold and silver are
going MUCH higher.
GATA BE IN IT TO WIN IT!
MIDAS
Appendix
Early
feedback on the gold report by Dr. Eckart Woertz:
Bill,
I just read March 1st Midas. The Woertz paper is absolutely sensational. I have
lived in various countries in the Middle East for 12 years in total. What
people have to realize is that gold in the Middle East is part of the culture.
When you go to the shopping districts (Souks) there are rows and rows of shops
selling gold. Their windows are completely yellow with the gold jewelry on
display. Middle Easterners buy gold like Westerners buy electronic gadgets…gold
is bought as presents, wedding dowries, investment, a pick-me-up purchase when
feeling blue etc. You do not have to educate ANYONE in the Middle East as to
how valuable gold is. Even the guy who sweeps the street hankers after gold. In
the West you have a hard job convincing people that a brick of gold is a hell
of a lot better to have than a flat screen TV or gaggle of Google shares. This
report will not be mocked by the Arab press, or joked about on Arab websites as
“conspiratorial propaganda.” This will fall on fertile ground. This is like
Robert Mundell writing a paper saying “buy Google! it is going to a million
dollars per share.” No one would hesitate because that just fits into the
mindset of what an investment should look like. John Embry’s superb piece “Not
Free, Not Fair” was like throwing a Molotov Cocktail into a huge stockpile of
asbestos. This piece by Woertz will be like throwing a Molatov Cocktail into a
store of dynamite.
I have just marked March 1st on my
calendar as an historical day in this unfolding bull market.
Cheers,
Adrian
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