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Mar 27, 2009

GATA Dispatches: "Concentrated shorts proven to suppress gold and silver."

Submitted by cpowell on 06:06PM ET Friday, March 27, 2009. Section: Daily Dispatches 9:05p ET Friday, March 27, 2009Dear Friend of GATA and Gold (and Silver):GATA Board of Directors member Adrian Douglas, editor of the Market Force Analysis letter (, has combined data from the U.S. Commodity Futures Trading Commission and the Office of the Comptroller of the Currency to show that the suppression of the prices of gold and silver in the last several years correlates exactly with the growing concentration of the short positions held by two U.S. banks, JPMorgan Chase and HSBC. Short of the official admissions of the gold price suppression scheme collected and published by GATA over the years, Douglas' report is probably the best proof yet, and certainly the most detailed. Douglas' report is titled "Pirates of the COMEX" and you can find it in PDF format at GATA's Internet site here:'s supporters may be wearying of our many similar requests, but only persistence pays off, so we ask you to print copies of Douglas' report and send them -- by regular mail, not e-mail, which is ignored -- to your U.S. senators and representatives with a covering letter requesting an explanation as to why nothing is being done to stop this market manipulation. For our friends outside the United States, please send copies with similar letters to your own national legislators.CHRIS POWELL, Secretary/TreasurerGold Anti-Trust Action Committee Inc.
* * *Help keep GATA goingGATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:
http://www.gata.orgTo contribute to GATA, please visit: GATAinfo@gata.orgGold Anti-Trust Action Committee7 Villa Louisa RoadManchester, Connecticut06043-7541 USA

From The Desk Of Nick Nicolaas: "Crisis & Opportunity"

The following is a transcript of Nick Nicolaas email, just received by FGC BOLSA - FGC FINANCIAL MARKETS:

From the Desk of Nick Nicolaas (FDNN) #71
March 27, 2009
Doug Casey's Research Crisis & Opportunity Summit

Dear Friends

I had the pleasure to attend the Casey Research Crisis & Opportunity Summit in Las Vegas last weekend March 20 – 22, 2009. This was not only a pleasure - - it was an education! Over time Casey Research has accurately predicted the current crisis making headlines today and therefore I try my best to attend every one of Casey's conferences. Yes, my friends, the financial world has changed forever and is changing as I write this so, the more I can educate myself to - - - what will the future bring - - - the better off I am as an investor. The repeated message at the Conference was we have a serious problem and there is much more pain to come. However, there were those at the Conference, Like John Mauldin a prolific writer and financial expert ( who said: Yes, we have a serious problem but - - - this too shall pass and - - - with the North American entrepreneurial spirit and know how coupled with tenacity - - - we will rise (like the “phoenix from the ashes”) and we will prevail once again! Here are excerpts from some of the presentations: 1) The guest dinner speaker on Saturday evening was Robert Friedland, Executive Chairman of Ivanhoe Mines and he summed it all up by repeated saying all through his dinner speech: “The Situation is Hopeless - - - Not Serious”. This repeated statement is where we are at today and points out that with crisis comes opportunity for those that will look over the horizon rather than looking at the horizon. He also said that one problem was that the policy of the powers to be, are not allowing the entrepreneurial spirit to flourish. Importantly, he pointed out that since you were not getting any interest on your money that the preferred investment should be in the hard assets i.e. Copper, Gold, Silver, Coal, Oil & Gas and other Base Metals. 2) Peter Schiff, President & Chief Global Strategist, Euro Pacific Capital, a broker dealer, asked: “Why are we bailing out all those firms and why are we not letting them go bankrupt?” - - - and he pointed out that all this financial engineering was starting to play havoc including Obama's deficits that are even more irresponsible. “The Government is standing in the way of a turnaround and they are trying to micro-manage everything from Washington. What is required is that we have to invest all that borrowed money properly and what are the Feds doing – they are buying bonds and treasuries. There is an opera still ahead, but one thing is certain, the pin had been pricked in the bubble. The strength of the US Dollar is only for now - - - but it will go into a free fall. The Government will continue to panic, we need prices to fall but what is going to happen is that we are going to have higher prices, which at the moment, are artificially held back. The Government has created an inflationary depression.” “Plan financially for the worst i.e. the collapse in the US Dollar. If you are in cash you may be able to dodge the bullet.” 3) Frank Trotter, President of EverBank Direct, questioned when the second wave of the tsunami was going to hit. He said that housing is not an investment, but it is a utility and he expected that there probably was another 20 to 30% downside to go. With regard housing being a utility he pointed out that the price of a 1975 house was $150,000 and by 2005 it was worth $840,000 and therefore, even without inflation, housing was not a very good return on investment. 4) Simon Black, (not his real name) Senior editor of Casey Research's “Without Borders” who has a dual background in intelligence and investing, pointed out that although we like to think that we have the best medical care in the world, there are many countries who have many times better care. He suggested that in Panama very good medical care was available and the country was very solid economically and as a bonus there is a low cost life style with low crime - - - in other words, not a bad country to live in. 5) Frank Holmes, CEO and Chief Investment Officer of U.S. Global Investors Inc., said that there will be a great demand for commodities by the E-7 countries (Brazil, China, India, Indonesia, Mexico, Russia and Pakistan). He also pointed out that the multi-billion dollar infrastructure stimulus package by China would include a lot of commodities such as steel, copper, zinc and other metals in the stimulus package than in the Us for example because the cost component of salaries in the package would be much less in China tan in the US. 6) Doug Casey ( who is widely respected as one of the preeminent authorities on “rational speculation” especially in the high-potential natural resource industry spoke at length and I will try and paraphrase some of his comments here: - Nobody is calling for a bottom in stocks anymore. - The bottom will not be there until 12% dividends can be had. - Taxes, regulation, inflation are enemy #1. – The US Government is completely “on tilt”, they are throwing around trillions. - You may not like the doom and gloom scenario, but reality is reality, the country is not only financially bankrupt but also morally bankrupt. - The US is going to default on its debt through inflation. - Obama has a really high IQ but is unable to foresee the consequences of his actions. – 9 trillion dollars deficit that's divided by 300,000 million about $30,000 per person and all that money is directed to the State (“Statetism”). – Government is the Predator and you are the Prey. – Yes, I pay taxes in this country but it is for the same reason that I give my wallet to the average mugger at gunpoint. Doug went on and on and - - - as always - - - I really enjoyed his philosophical musings and insights and I would like to write more here. However, I am under a deadline and have to file this FDNN letter. There were many more free-thinking speakers at the Casey Summit who all have clarity of thought and vision, who base their opinions on thorough research, critical thinking, and fact-based analysis and I will write a bit more about them over time but - - - I have to go : -) Please note that I will write my FDNN Alert #57 next weekwhich will zero in on “The Martin Armstrong Economic Confidence Model & Turn-around Date of Monday April 20, 2009”.
Therefore and - - - as always - - Stay Tuned!!

Nick L. Nicolaas
Mining Interactive "Ahead of the Pack"

GATA Dispatches:"GATA and gold price suppression make it into the London Times"

Submitted by cpowell on 05:23PM ET Friday, March 27, 2009. Section: Daily Dispatches Is There Any Gold Inside Fort Knox, the World's Most Secure Vault?By Chris AyresThe Times, LondonSaturday, March 28, 2009 is said to be the most impregnable vault on Earth: built out of granite, sealed behind a 22-tonne door, located on a US military base, and watched over day and night by army units with tanks, heavy artillery, and Apache helicopter gunships at their disposal. Since its construction in 1937 the treasures locked inside Fort Knox have included the US Declaration of Independence, the Gettysburg Address, three volumes of the Gutenberg Bible, and Magna Carta. For several prominent investors and at least one senior US congressman it is not the security of the facility in Kentucky that is a cause of concern: It is the matter of how much gold remains stored there -- and who owns it. They are worried that no independent auditors appear to have had access to the reported $137 billion (L96 billion) stockpile of brick-shaped gold bars in Fort Knox since the era of President Eisenhower. After the risky trading activities at supposedly safe institutions such as AIG they want to be reassured that the gold reserves are still the exclusive property of the US and have not been used to fund risky transactions. In other words, they want to be certain that the bullion has not been rendered as valueless as if a real-life Goldfinger had stolen it. "It has been several decades since the gold in Fort Knox was independently audited or properly accounted for," said Ron Paul, the Texas congressman and former Republican presidential candidate, in an e-mail interview with The Times. "The American people deserve to know the truth." Mr Paul has so far attracted 21 co-sponsors for a bill to conduct an independent audit of the Federal Reserve System -- including its claims to Fort Knox gold -- but an organisation named the Gold Anti-Trust Action Committee (GATA) is taking a different approach. It has hired the Virginia law firm William J. Olson, PC, to test President Obama's promise to bring "an unprecedented level of openness" to the Government and next month it will file several freedom-of-information requests for a full disclosure of US gold ownership and trading activities. "We're taking the President at his word," said Chris Powell of GATA. "If you go online you can find out how to build a nuclear weapon but you won't find any detailed records on central bank gold reserves." A month after President Nixon resigned over the Watergate affair, Congress demanded to inspect the contents of Fort Knox but the trip to Kentucky was dismissed by critics as a photo opportunity. Three years earlier Mr Nixon brought an end to the gold standard when France and Switzerland demanded to redeem their dollar holdings for gold amid the soaring cost of the Vietnam War. Many gold investors suspect that the US has periodically attempted to flood the market with Fort Knox gold to keep prices low and the dollar high -- perhaps through international swap agreements with other central banks -- but facts remain scarce and the US Treasury denies that any such meddling has gone on for at least the past decade. Pressure for more openness is mounting after the collapse of the global banking system and renewed interest in a return to the simpler era of the gold standard -- a subject that is likely to be raised at the G20 summit next week. China and Russia are calling for the creation of a new world reserve currency amid fears that the Federal Reserve's quantitative easing policy -- essentially printing money -- might cause hyperinflation, then collapse. A spokesman for the US Treasury told The Times that US gold holdings are audited every year by the Department of Treasury's Office of Inspector General. He confirmed that although independent auditors oversee the process they are not given access to the Fort Knox vault. The website of the US Mint says that the 147.3 million troy ounces of gold in Fort Knox "is held as an asset of the US." It does not elaborate.
* * *Help keep GATA goingGATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:
http://www.gata.orgTo contribute to GATA, please visit: GATAinfo@gata.orgGold Anti-Trust Action Committee Alerts: "THE INFLUENCE GAME: 7 big banks"

THE INFLUENCE GAME: 7 big banks seek monopoly.

To read full story, click HERE Alerts: Banks stocks fall...

Bank stocks fall as CEOs indicate problems linger.

To read full story, click HERE

Nick Nicolaas From Mining Interactive... News

Nick Nicolaas from Mining Interactive has sent us the latest post of Adam Hamilton in his weekly Zeal Intelligence Newsletter on the Mining interactive Website

To read full coverage of article , click HERE

Two trending markets revisited and analyzed for you

Last week I watched a video analysis of the S&P and Crude Oil markets. The technical analysis was right on at the time, but those markets have changed quite a bit in the last few days. The S&P had a huge rally and Crude seemed to steady out, so what’s the new analysis? Glad you asked!
Below are two free videos, one on Crude Oil and one on the S&P, that gives us an indepth technical look into these markets. Again the videos are free and very informatitive:

S&P Video Analysis: To view it, click HERE.

Crude Oil Projections: To view it, click HERE

Fernando Guzmán Cavero Alerts: "Streets Retreats Following Rally"

Stocks pare week's gains after consumer income and spending report; Obama meets with bankers.

To read full coverage of this analysis, click HERE