You should email your local newspaper... and I'm sure they will get a big laugh out of it.
"any chance of a goldbug class action suit against the federal reserve, for aiding in conspiracy to disrupt free market forces? I know, we'd lose the case, but we'd get the press."
The only press you'd get would be:"and some naive investors believe that we participated in a conspiracy to cover the feds inability to support markets by spot gold manipulation."
This conspiracy about GOLD being controlled by the US FED, CB'S or big international Banks is bull. No proof has ever been given, anywhere. Consider this. IF LTCM and others where pushing the price down, and holding it down, than any other SMART hedge fund could jump on and break that downward pressure. Yet CB have been selling all along. WHY? Cause the assets are non performing, and nolonger required. Most ECB's need to meet debt requirements, and thus need to sell GOLD. Certain lenders now see an ending of sales in Jan 99, so they wish to divests their allocation of gold lending. Merrill and UBS may have lent out to much to the wrong people, but that comes from failure on their part to require proper capital requirements.
People still think that many of the oil producers artifically keep prices high, and thus gas prices high. But as of late we can see that that is pure bunk too? It is primarily those whom own gold, or gold shares that fall for this sort of conspiracy on gold. But when I owned Barrick last year, I knew of these conspiracies. But I never concidered them true... and still don't. Show me 1 ounce of proof, that's all I ask. Don't think you can ever. And that is why there are so mnay people that never take the oppurtunity to sell, and that is why they have stagnate earnings. Some day soon, you'll wake up to find a totally demontarized gold, and you holding none performing gold shares that are tied to such currencies as the Indian Rupees, and not the USD, EMU, or GBP.
Gold shares, should be traded and never horded.
With all the bad Karma going around in the world, why is it that gold is performing so badly. "Gold-bugs" say: conspiracy, the gold trader says: economical growth! If deflation is/was the most pronounced economical trend going, and the US FED starts pumping, than you are still 6-8 months away from any inflation showing. And in between comes GROWTH! If as inflation hits 2.5%, you can still expect the US FED to raise rates. Either way, gold can be mitigated by monetary policies.
But hey, let's promote the conspiracy... that's what SI is for. Maybe you can explain why the ABX and the XAU was up Friday, and NEM down {I've hinted to it earlier this week}? |
