Michael Kosares of USA Gold – a Denver-based precious metals coin and bullion dealer – has written a must-read essay about the Fed’s war on the price of gold. Without question, the war has intensified amid rising doubts globally about the use of the dollar as the reserve currency. Not only has this war on gold intensified, it has become blatantly obvious to anyone with more than one brain cell in their head.
Please take the time read this in its entirety – it’s not long but it’s full of insight:
I can’t remember the exact quote but when I used to trade and Mr. Volcker was Fed chairman, he said something like ‘gold is my enemy, I’m always watching what gold is doing’, we need to think why he made a statement like that. If you’re a central banker or one of the congressmen or senators, watch what gold is doing because this is a no-confidence vote in fiscal and dollar policy. – Rick Santelli, CNBC
Here’s the rest: So How Goes The War On Gold?
There’s just no telling how much longer the Fed and its agent bullion banks can keep using paper to manipulate the price of gold and silver, but I believe the end is getting close. When the demand for deliverable physical gold/silver overruns the enormous paper short interest, the move up will redefine shock and awe.