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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: long-gone who wrote (37841)	7/27/1999 12:34:00 AM
From: PaulM	Read Replies (1) \| Respond to of 116796

Hi Richard. Some Gold History Which Helps Understand "Manipulation" Today "Goldsmith's receipts....many London merchants would deposit their gold in the secure storage rooms of the city's goldsmiths for safekeeping; the goldsmiths would give receipts for the deposits....Eventually, people were using the receipts among themselves, trading them for goods and services....Fractional reserves. The goldsmiths (like modern-day bankers) began to lend their depositors' gold. This lending had implications: At any one time, there would not be enough gold to cover all of those deposit slips...." james-harvey-stout.com P.S. People who think gold is being manipulated may be getting overly bogged down in derivatives. History shows that an entirely "spot" market can be inflated (until the bank run).

To: long-gone who wrote (37841)	7/27/1999 12:38:00 AM
From: PaulM	Respond to of 116796

Compare with The Gold Market: Part 2 by J Orlin Grabbe "Gold accounts at a bullion house may be allocated or unallocated. The unallocated account is most typical. One holds on deposit a specific number of ounces of gold, but these ounces of gold are not identified with any individual physical gold bars. These unallocated accounts may or may not bear interest.... All clearing accounts are unallocated accounts...." "Most gold trading takes place by paper transfers between unallocated accounts. Bookkeeping entries avoid the transactions costs and security risks of moving the actual metal...clearing members clear their net trades with one another through their gold accounts at the Bank of England, as well as by physical gold transfers." aci.net Might this provide some insight into what's happening?

To: long-gone who wrote (37841)	7/27/1999 12:40:00 AM
From: PaulM	Respond to of 116796

Still More...."Bullion Dealers: Spin Meisters of the Gold Market" gold-eagle.com

To: long-gone who wrote (37841)	7/27/1999 12:49:00 AM
From: PaulM	Respond to of 116796

Compare With the Better Business Bureau's Gold Investments Guidelines "HOW SOME DEALERS OPERATE ...A current popular mode of operation involves agreements for deferred delivery of gold and silver. [A] recent bankruptcy proceedings of a Florida precious metals dealer involving claims...most of whom were deferred delivery buyers of gold or silver.... .... ...the deferred delivery plan works like this: a company offers the public gold (or silver) at or below "spot"....Customers...are promised delivery within a specified time...When the delivery date nears, expectant buyers may be offered a 1.5% to 2.5% per month return...if they will put off taking delivery of their gold.... "In the recent Florida bankruptcy, thousands of investors chose to leave their gold with the firm...." bosbbb.org