Gold Anti-Trust Action Committee - Soros rumor... the six months is almost up!
March 14, 2000
[Start. Bill Murphy talks about GATA activity.]
Statistical probabilities! I wonder what they are that the price of gold
remain so static around $290? Same goes for the fact that we go higher
overseas due to strong gold demand and them get trashed in New York
due to the efforts of the collusion crowd.
The morning line: Hong Kong, March 14 (Reuters) - "Asia spot gold rose
on Tuesday in quiet trading. Gold may try and break $292 today."
New York closing line: Dallas, March 14 lemetropolecafe.com
"While the CRB made new highs today as result of surging corn, wheat and
soybean prices, gold closed lower because the biotechs were routed, the
Nasdaq was down 200, the S& P closed 24 points lower and an inflationary
PPI will probably be announced tomorrow morning, therefore the traders
for the Exchange Stabilization Fund and the U.S. Treasury made sure that
the bullion dealers leaned on the gold price to make sure it closed poorly!
Those bullion dealers include Goldman Sachs, Morgan Stanley and Morgan Bank."
The United States Treasury, and or Fed, is achieving its goal of reducing
gold to a mundane, non-entity market. No Matter what happens, the price
of gold cannot sustain an advance or rarely even mount one of any
significance. The goldilocks economy crowd likes to point to the subdued
price of gold as proof that all is well in U.S. financial land. The Fed
and Treasury have their apologist economists lined up, trotting them out
on the tube to point out that fact on CNBC.
The problem with this gold market ploy is that all is NOT WELL
and that is becoming more apparent by the day as is the manipulation
of the gold market.
The gold market is truly an aggravating bore at the moment. However, I
am out with my megaphone now stating that the recent two spikes up over
the past 4 months are just the tip of the volcano of what is to come.
When a dormant volcano begins to come alive, it starts smoldering
and there are usually small eruptions that portend future eruptions
- often major volcanic explosions.
That is what we have with our gold market.
We have had two recent small eruptions that have been WARNINGS
to the shorts. The next spike up, or VOLCANIC LIKE PRICE EXPLOSION,
is liable to be very swift, violent and come out of nowhere,
just like the last two did.
Fundamentals
The Bank of England will conduct the fifth British gold auction on
March 21 as part of its plan to reduce official gold holdings to
300 tonnes from 715 tonnes.
The Comex gold stocks are rising sharply too, taking a cue from silver.
They now stand at 1,588,364 ounces, up 151,360 ounces today.
Why is this occurring?
No clue!
Perhaps, someone is afraid of a big stopper - meaning someone is going
to take delivery of the April gold contract.
Soros rumor. Word is that George Soros did jump into the gold market
after the Washington agreement was announced late last September,
but was told this was a NONO by U.S. administration officials.
How come we are not surprised?
This would not be the first time this happened as Warren Buffet
(when Chairman of Salomon Brothers) told his Phibro traders to
bail out of their massive silver position in the mid 90's.
Andy Hecht and Jimmy DePiazza were going to try and corner
the silver market and were in the process of doing so when
Buffet got the word to not press the case. The bottom line
was that Phibro might have won the "silver battle,"
but Buffet feared that Salomon might lose the war
in the financial arena by courting administration disfavor.
However, word to us is that Soros told administration officials:
"OK, but you have 6 months to get your act together, then I may
come back in again."
The six months is almost up!
[Start. Heard thru the gatagrapevines]
"Take it for what it's worth."
"It all seems very foggy at the present time ...
but one thing is certain: the oil price strength is here to stay
and it has deeper implications than most of us can imagine."
[End.]
A blow to "Hannibal Lecter" and his "Cannibals" ?????
Rumors were circulating on the Comex floor that apparently Goldman Sachs,
Chase, Deutsche Bank, Morgan Bank and Morgan Stanley were making a stand
to buy the rights for electronic trading on the Comex.
Word late today was that this "Hannibal Cannibal" ploy was defeated.
Word also is that Goldman Sachs is as arrogant as ever in their dealings
with other Comex and Nymex members.
Let Goldman Sachs continue to make enemies. All GATA needs is ONE mole to
give us a bit of "down and dirty" a la Jon Dean and the voices of the
Goldman Sachs prima donnas will all of a sudden have a much higher pitch!
[Start. Heard thru the gatagrapevines]
"Just saw a Bloomberg story today: Trizec Hahn, more problems.
Moody looking to downgrade. They site poor stock performance
and sale of properties could lead company to risky strategy."
Barrick Gold's Chairman, Peter Munk, is the Trizec Hahn's honcho.
Regarding the contributors to Nevada Senator Reid:
"The Las Vegas Review Journal published the list yesterday and it
includes the usual gaming companies (such as Caesars, Boyd Group, etc.)
but here is the whopper: the only notable mining contribution Reid received
came from.....(drum roll) BARRICK GOLD."
Senator Reid from the great mining state of Nevada has not responded
to GATA's overtures for some reason!
[End.]
The gold industry is not only being decimated in Alaska.
[Start. Heard thru the gatagrapevines]
"I live in the Northwest, where mining is a large part of most economies.
Unfortunately, the Hannibal Cannibals are winning the battle and this area
is suffering. With the announcement that Meridian Gold is closing their
Beartrack mine this year, the state of Idaho will no longer have an active
gold mine. That's a drop from the 1995 record of 300,000 ounces of gold
produced in Idaho, to today's gold production of basically nill.
I can assure you that there is not one tax payer in Idaho, that is willing
to sit back and let the government destroy their economies without a fight.
With that said, I would like to say GO GATA! Keep up the good work and let's
expose the colluders and get these economies back on their feet again."
[End.]
More on my trip to Fairbanks, Alaska to speak in behalf of GATA at the
Alaska Miners Association Convention:
It was no walk in the park to get there. Fairbanks is the most Northern
most city in North America. To put Fairbanks in perspective, Winnepeg,
Canada is so far down on the map from Fairbanks, it is like Caracas,
Venezuela to Boston, Massachusetts. After arrival, I was treated to
temperatures of 18 below zero the first night.
Actually, when there is no wind it is not as cold as it sounds,
as it is a dry cold. When that wind blows though (and it does
not often do so in the winter because of the extreme cold),
it is very numbing.
The miner's convention is held in Fairbanks every other year as this
"show and tell" started out in the early 80's being a placer mining show,
but has gradually succumbed to the decline of the placer industry
and increase in the hard rock exploration to become more of a hard rock,
mostly gold, exploration convention. Most of the officers and directors
of the organization are volunteers while members of the organization are
associated with the industry in one form or another - miners, suppliers,
government workers, professors, teachers, students, and the list goes on.
I was struck by the fact how many of the business' of the attendees
were negatively effected by the orchestration of the low gold price.
Fairbanks will become a boom town again when the stranglehold of the
collusion crowd is broken. Fairbanks is the 2nd most significant placer
gold producer of the north country, just after the Klondike and it has
a recorded production of placer gold in the order of 8 million ounces.
It will significantly top the Klondike because it has very significant
hard rock sources of gold as the Fort Knox deposit, located just north
of town, contains a reserve of over 6 million ounces of gold and is
being mined at present by Kinross.
Many of you might like to know that the Alaska Mining Association
is working side by side with the environmentalists.
The speaker at Friday night closing banquet was Craig Gardner
of the Alaska Fish and Game Commission who spoke about the
40-Mile Caribou herd; 40-mile refers to a geographic area
of Alaska in east central portion of the state on the Yukon border.
The area is drained by the 40-mile river which is a tributary of
the Yukon River while the 40-mile is a significant placer gold district.
It was discovered before the Klondike which, in turn, became a prominent
placer gold attraction around 1898 - the Klondike produced about 10 million
ounces of placer gold and has no known significant hard rock source.
Craig Gardner spends much of his time caring for the Caribou herds.
I was very impressed at this healthy interaction between the mining
and environmental crowd. Why is there not more publicity about such
common practicality, decency and common sense?
Before I left Fairbanks, Rich Hughes the Convention Co-Chairman,
took me to see the World Championship Ice Carvings competition
which was ongoing that weekend. The ice carvings were spectacular
and a treat to appreciate. On Saturday night, a group of us took off
for the Alaskan countryside and the Turtle Club in Fox, Alaska;
a restaurant that features scrumptious mega portions of prime rib.
On our way home we gazed up to the heavens to see the aurora borealis
(the northern lights) which are a product of solar radiation passing
thru the magnetic field above the earth's surface; the effect is to
produce a multi-colored light show, mostly green, but in many shades
of color, including yellow, red, pink, blue.
I thoroughly enjoyed being in Fairbanks and meeting so many nice people,
some of which may be very helpful in bringing the manipulation of the
gold market to the attention of the political powerhouses in Alaska.
[End. Bill Murphy talks about GATA activity.]
All the best,
Bill Murphy,
Chairman Gold Anti-Trust Action Committee Inc.(GATA)
gata.org |
