(GATA News) dealers/banks/brokers want Fed to put gold genie back into bottle
Subj: John D. Meyer - An Open Letter to the Gold Mining Community
& Sir Harry Schultz
Date: 10/11/99 11:53:33 PM EST
From: LePatron@LeMetropoleCafe.com
To: dougak
Le Metropole members,
John D. Meyer, GATA Treasurer, has served
commentary at the Matisse Table entitled,"An Open
Letter to the Gold Mining Community."
"Several months have passed since we last wrote to you.
The months have been filled with the bitter and the
sweet. Certainly the Bank of England announcement on
May 7th was a painful period for the gold community.
The reign of terror intensified as June approached
and the bears' siege continued to hold us hostage
throughout the summer. Then on Sunday September
26th the world of gold was stunned by the announcement
of the European central banks. In one dramatic move
the reign of terror was broken. For
GATA it has been a defining moment validating our cause.
The power of the advance has furnished the clearest
evidence to date of how aggressively the
gold market has been manipulated."
Cafe members and internet,
Some public credit is coming my way. I would like you to
know what a time consuming and courageous effort that my
colleagues, John Meyer and Chris Powell, have put into
GATA.
Our credibility grows mightily every day. Much of it is
do to their efforts. We have become lifelong friends as
a result of our trench warfare like battles. They are
great guys and gentlemen of the highest calibre.
They have some company. Sir Harry Schultz, the newsletter
wizard of Switzerland and Monaco, has been one of our
staunchest supporters right from the gitgo. What a class
act he is and, boy, is he ON THE MONEY!
The following is from Sir Harry's latest newsletter.
Gold
Glitters a Gain!
Oh, how sweet it is! After years of immoral & illegal
manipulations by bullion dealers, bullion banks &
bullion brokers, aided bycertain govts, gold broke
loose. The price-fixers haven't given up; they still
don't want a free mkt for gold, but they know they're
in for a battleroyal. There is so much to tell I'm in
the same position as with Y2Kreports. I've got 1000
pages of notes, but limited space, so (as with Y2K)
I'll suggest (below) how U can get more info & how
to keep up on the dailygold in-fighting. It's a very
exciting, bloody battlefield I assure U. Thestage was
being set for a price breakout before the Euro central
banks (CB)made their dramatic announcement that CB's
would freeze/limit gold sales &halt gold loans for 5
yrs. The news ricocheted around the world in minutes
& bullion burst its 20-year shackles. But, as Sunil
Madhok, of UAE, says on gold-eagle.com ,
"The CB's didn't do this to help gold bulls. But
they didn't want the bears slain (so they permitted
some sales). They had no option. Speculators (eg, NY
bullion banks & the anti-gold mafia) were hammering
gold with no regard to the massive supply/demand gap.
If CB'shadn't acted, the imbalances would have proven
catastrophic (in light of the huge short position)."
Pressure was also being brought to bear on Euro govts
by developing gold-producing nations. And GATA was
revealing the illicit tactics of the dealers/bankers.
UK's fluky gold sale was being exposed as a political
favour. Blair was in hot water.
Gold mines who hedged (sold gold forward or bought
puts) heavily, found themselves in trouble, as we forecast,
& we don't bleed for them; we said it was like eating
your young. Some were "forced" into it by bullion
banks who threatened them with lower credit rating
if they didn't. Blackmail! Shows how vicious the
greedy price-fixers are. Ashanti Gold was example.
Gold rose $8, but stock fell $4 same day. Margin
calls killed them, only avoiding bankruptcy, so far,
via the bankers "Red Cross." Goldman Sachs was
Ashanti's "brilliant" dealer who got them short
over their head. Barrick is another over-hedged mine
& stock is under-performing non-hedgers. Stockholders
screaming for true mkt exposure info.
The price-fixers keep feeding the press & producers
misinformation about the size of the gold short
position, hoping to jawbone the price down. Ted
Arnold apparently gets paid for trashing gold, as
he has for years. Other mistaken info (intentional
or otherwise) comes from Chase, Deutsche Bank,
JPMorgan, AIG, Goldman, says Bill Murphy of GATA
(Gold Anti-Trust Assn) who calls this "one of the
great financial scandals of all time." CNBC/CNN give
lots free airtime to gold bad-mouthers, but won't
let Murphy speak. Of course, TV is owned by insiders.
Freedom of the press has always meant freedom for
insiders to press their case. For true stats on gold
mkt, contact John Hathaway at the Toqueville Gold
Fund & Caeser Bryan at Gabelli Gold Fund.
For daily update on the gold war, download free at
popular gold-eagle.com , & subscribe to GATA
website, the attack force for gold freedom at
Lemetropolecafe.com or US fax: 413.528.6903.
Says Fed is biggest worry; the price-fixers want Fed to
intervene; report is they already have, selling gold
futures. But gold genie is out of bottle, & aside from
setbacks, it's unlikely the gold bull mkt can be
stopped. As a chartist I note, basis London PM fix,
a pullback to 289 would be a 50%normal technical
retracement of recent up-swing & a great buy-more spot.
But U'd have to place orders now, not after the event.
Traders hope for pullback to 300-310. One day soon
U'll wake up to a $100 overnight rise, so don't be
naked out. Producer buy-backs are coming. As with
Y2K, I've only used 10% of my notes, so please
access gold fax/web sites. The gold war has barely
begun. We'll win/lose battles, but win the war &
get a free gold price.
PS:
Bill Gates bought 10% of a silver company. Silver will be exploding also.
Harry Schultz
ihsl.com
hsl.mentor@skynet.be
Tel +32 (for Belgium) 16 533 684 --
Fax +32 16 535 777
Postal address: HSL, PO Box 622, CH-1001
Lausanne, Switzerland
12 October 1999
All the best,
Bill Murphy, Chairman
Gold Anti Trust Action (GATA) gata.org
Le Patron, Le Metropole Cafe lemetropolecafe.com |
