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Why Did Gold Recover More than $53 an Ounce in Yesterday’s Markets?
Consider this blatant, and what I consider to be deliberate, deception of this UK Telegraph article, in which journalist Nick Squires reports that newly appointed Pope Francis blamed “free market capitalism” for the economic tyranny spreading across the globe today. Upon reading this, I thought to myself, “Well, we may have yet another religious leader with influence over millions that has no clue as to how the global banking system operates and consequently is going to mislead millions into adopting the belief that free-market capitalism (a market theory that is not practiced by any country in the world), and not the global banking system and bankers, are responsible for conditions of global economic misery.” But my second thought was, "Did the Pope really say what Nick Squires said he stated?"
Whether you are religious or not, it is undeniable that the Pope’s public statements have an incredible amount of influence over people. However, religion aside, the key point I want to make is that people in extremely influential positions must be very careful to spread truth instead of falling victim to banker propaganda. In fact, Pope Francis’s alleged statements sounded eerily similar to the disinformation favored by former Federal Reserve Chairman Alan Greenspan, who also blamed free markets and the lack of “regulation” for spreading global economic misery instead of the true source - fractional reserve banking and Central Banks.
However the truth to Greenspan’s massive banker propaganda is that the idea of a Central Bank, an authoritarian entity that centralizes the control of a nation’s credit and reports to no one but its owners, is 1 of the 10 major planks of Communism. Therefore, the very existence of a Central Bank means that no free markets can co-exist at the same time. Greenspan further deceived the people by blaming a lack of “regulation” as the central cause of our current global economic crisis, thereby implying that Central Banks should be granted more power to “regulate” the financial markets. However, most people that read Greenspan’s statements don’t understand that Central Banks never “regulate” capital markets, but only manipulate capital markets for their own benefit and to the detriment of the nation’s people. Only people that understand Greenspan’s propaganda understood that when he used the word “regulate”, one should instead substitute the word “manipulate” to understand the truth.
What does this have to do with being able to grasp the real reasons behind falling and rising gold and silver prices in the past month? Stick with me for a second and I will arrive at this point in just a moment. As I always do whenever I read something in the mainstream media, I decided to perform my own fact-checking, questioned the objectivity of Nick Squires, and went directly to the source of Nick’s article – the transcript of the Pope’s speech. The below is what the Pope REALLY stated versus the Telegraph’s lies that the Pope had blamed “free market capitalism” for the proliferation of economic tyranny worldwide:
“Certain pathologies are increasing, with their psychological consequences; fear and desperation grip the hearts of many people, even in the so-called rich countries; the joy of life is diminishing; indecency and violence are on the rise; poverty is becoming more and more evident. People have to struggle to live and, frequently, to live in an undignified way. One cause of this situation, in my opinion, is in the our relationship with money, and our acceptance of its power over ourselves and our society. Consequently the financial crisis which we are experiencing makes us forget that its ultimate origin is to be found in a profound human crisis. In the denial of the primacy of human beings! We have created new idols. The worship of the golden calf of old has found a new and heartless image in the cult of money and the dictatorship of an economy which is faceless and lacking any truly humane goal…While the income of a minority is increasing exponentially, that of the majority is crumbling. This imbalance results from ideologies which uphold the absolute autonomy of markets and financial speculation, and thus deny the right of control to States, which are themselves charged with providing for the common good.”
Nowhere in the Pope’s speech does he blame free market capitalism for conditions of economic tyranny as Mr. Squires reported. Instead, the Pope referred to “the absolute autonomy of markets and financial speculation” as to blame, but he never referred to these markets as “free” nor did he ever refer to these markets as “capitalistic”. The reality today, of course, is that every major global capital market is unfair, rigged and manipulated by Central Banks and their participant commercial banks. The deduction that the Pope meant “free market Capitalism” in his reference to “markets” and “financial speculation” was one entirely conjured up out of thin air by Squires. That said, I absolutely disagree with the Pope that the right of control should be granted to the State, as the natural equilibrium of the State is to gravitate towards tyranny and the disenfranchisement of the people. Power should be granted to the people instead through the re-establishment of free markets, but this is an argument for a different day. Still, Squires absolutely misled people in his article by implying that the Pope blamed "free market capitalism" for our current plague of economic tyranny, when the Pope clearly blames the immorality of those that control markets and engage in the "manipulation and subjection of people."
So now to gold and silver. Just as one can never trust the mainstream media to report any truth about the real reasons behind the rapidly growing economic suffering of people all over the world, one can never trust the mainstream media to report any truth about gold and silver markets as well. This is the point of this article. If you develop your beliefs about gold and silver by sourcing mainstream media news, everything you believe about gold and silver will always be wrong.
Here is a portion of the text from a Reuters article released early yesterday, with an obvious anti-gold bias filled with many lies: “Gold fell on Tuesday for the eighth of nine sessions, hurt by a firm dollar and persistent outflows from exchange-traded funds, pointing to more downside pressure on the metal…Gold has been hit by a shift in investments into higher-yielding equities as fears grew that the U.S. Federal Reserve could soon end its bullion-friendly bond buying program…‘We can still see some selling pressure this morning. We don't see too much physical demand from the market,’ said Peter Fung, head of dealing at Wing Fung Precious Metals in Hong Kong.” Let’s count the lies in that article:
(1) A firm dollar? Nope. The USD is projecting the illusion of rising because it merely is falling less rapidly than two other major fiat rubbish currencies it is measured against, the Yen and the Euro. Since we know the US Federal Reserve is still creating massive amounts of USD out of thin air, we know that in reality, the USD is merely devaluing less quickly than other major fiat currencies at the present time.
(2) Shift in investments to equities? By whom? Middle Eastern and Asian physical markets have been on fire as of late, and there is a huge rush to unload dollars for hard assets right now.
(3) Not much physical demand for gold right now in Hong Kong? Really? Then why were net flows from Hong Kong to China of physical gold a massive 223 tonnes in March, well over twice the amount from the previous March. Furthermore, as I noted in my interview with Max Keiser several weeks ago, physical gold buying in Hong Kong has exploded as bankers have artificially discounted gold prices. Haywood Cheung, president of the Hong Kong Gold & Silver Exchange Society, stated, "In terms of [physical gold buying] volume, I haven't seen this gold rush for over 20 years. Older members who have been in the business for 50 years haven't seen such a thing."
Thus, the Reuter’s article emphatically reinforces the modus operandus of the mainstream media to spread banker propaganda and the fact that you must seek out alternative media if you want to know the truth, especially in regards to financial matters and the true origins of our current global economic crisis. Consider that when I released my article "Why the Western Banking Cartel’s Gold and Silver Price Slam Will Backfire" to another mass media distribution outlet, Outbrain, in which I disclosed the facts about this current gold and silver banking cartel-initiated and artificial price slam, Outbrain refused to distribute my article for the following reason, even though tens of thousands of other news sites found enough interest and factual content in the article to link to it.
“Unfortunately, we can’t accept and amplify your content across our publisher sites. We’ve had a several complaints about this category/type of content from our audiences, editors and publishers.” - Outbrain
I might have thought that perhaps this was one isolated case, but when Outbrain rejected another one of our articles about bitcoins for distribution that thousands of internet news sites again chose to link to, you may conclude for yourselves if Outbrain is just another mass media distribution site that has an agenda other than spreading truthful financial news. Given this pattern, we're quite sure that if GATA ever attempted to use Outbrain, that every one of their articles would likewise be rejected, even though they are the first organization to publicly speak out against banker manipulation of gold prices of which I am aware, and their documented accusations that were once accused of being "conspiracies" have now long been vindicated as fact.
Articles about gold and bitcoin, rejected for distribution from Outbrain, but distributed by thousands of other news sites
In any event, an individual that seeks out banking truth will never receive the truth about the real source of this massive and intensifying global economic crisis (Central Banks and the fractional reserve banking system) if his only source of information is the mainstream media. One needs to source alternative media news sources if one ever wishes to understand the truth about this monetary crisis and the reasons for gold and silver’s enormous volatile movements as of late. Gold and silver’s recent price fall has zero to do with, as the above Reuter’s article claims, fears that the US Federal Reserve may end its “bullion-friendly bond buying program” or a lack of physical gold and silver purchases.
Gold and silver’s recent price fall occurred not because either precious metal was “overbought”, not because of a “stronger US dollar”, and not because the Federal Reserve may stop intervening in the Treasury bond market and stop artificially propping up the US treasury market. Gold and silver’s recent price fall was 100% created by artificial banker manipulation of bogus paper derivative markets as I’ve explained in the article above. Furthermore, the price surge yesterday in gold (from a low just above $1340 in Asia to a close above $1395) and silver (closed about 8% higher than its low in Asia yesterday) yesterday was simply due to the fact that gold and silver remain in a strong bull market due to the race of competing Central Banks across the world to devalue their fiat currencies, and in the process, bankrupt the wealth of their citizens. Yesterday’s large surge higher in the paper gold and silver markets was merely a counter-movement to the recent massive banking cartel manipulation and an attempt of paper prices to meet the real and considerably higher physical prices. Though gold and silver paper prices are likely to remain choppy and volatile in the short-term, this will not change the fact that physical gold and physical silver markets remain in a strong bull market. Any continuing volatility in paper gold and paper silver prices will also not change the fact that very significant premiums will continue to exist for real physical silver and gold over their paper prices.
For information about the real reasons behind gold and silver’s paper price volatility over the last several weeks, reference the below articles:
"Indisputable Proof Paper Gold Markets are Massively Manipulated"
Why the Western Banking Cartel’s Gold and Silver Price Slam Will Backfire
About the author: JS Kim is the Founder and Managing Director of SmartKnowledgeU, a fiercely independent research & consulting firm that focuses on the best ways to buy gold and buy silver as well as the provision of information about banking manipulation of paper gold and paper silver prices that allows investors to make rational, intelligent decisions versus irrational ones driven by emotion. For those that believe JS to be a gold and silver permabull, our clients were instructed to sell out of an Ultra Short Silver ETF we employed as a hedge at an average price of $85.53 a share in yesterday's markets, right before silver rocketed higher and the ETF plunged to $75.50. We will continue to hedge further volatility with new hedges as necessary.
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re:
I trust a Jesuit almost as far as I can throw him...
Hmmm... Not convinced that deception in MSM is news... That said...
Premiums have been steadily dropping in th PMs markets since the initial mania brought about the free fall paper market manipulation a few weeks ago... All the while I continue to see article after article stating the bottom is in and the market I poised for a massive turn around...
Well the downward pressure on premiums... A drop of about 40 percent would suggest to me that stockpiles are building again... Where the physical is coming from who knows...
I am not convinced anyone really understands the the markets, or the geopolitical backdrop against which they play out...
But I am convinced of the immoral and criminal nature of said markets...
I will stay on the sidelines stockpiled in bullion, butter and bullets, until such time as some symbolence of morality/reality returns. Between now and then things are going to get ugly...
It is funny to see the outright lies in the media. They so badly want gold to crash. The fact is it is at the same price to money supply ratio it was at in 1999 at the very bottom of the gold market and during the top of the stock market bubble, 11.8%. $1400 is the new $250. This ratio is a flashing red sign that stocks are once again in a bubble while gold is once again a massive steal.
I always read these 'they're LYING to you about PMs!' articles, and suspect the author's ulterior motive is to capitalize on a price spike/hike.
It isn't to enlighten the teaming masses: if they're still onboard with status quo, they're already lost. It's not to enlighten readers here: we already understand this as well as you.
I'd prefer that the price of this barbaric relic dipped to single digits. Articles like these do not support or further that.
I say to you sir: "Great article. Nailed it. Now Shh!"
Please link to the UK Telegraph article, so we can trash the fool in the comments.
Sorry. Forgot the link but I've now provided the link in the article as well as here. http://www.telegraph.co.uk/news/religion/the-pope/10061700/Pope-Francis-...
More than expecting that any trash-talk comments will get nixed. That's the nature of MSM / propaganda blogs. Thanks for providing anyhow
Thanks :)
People are all over him in the comments. There are a few idiots there as well though.
thanks. I like this passage "Unchecked capitalism had created “a new, invisible, and at times virtual, tyranny”, said the former Cardinal Jorge Bergoglio."
can't wait until the new pope starts asking questions of why in the US the prison-industrial complex is so... profitable - it fits with this comment of his
Never thought I'd see the day when I'd swing the heavies of my squadron round to form square around thee "Citizen" Ghordius... no one will be calling you thick-headed on my watch!
but you've been at the top of your game here today Marchal! So much persuasive percussion to the cannonblasts from your massed artillery ... that even you opponent here had the sense to retreat in good order... and leave you the field! You've won the day... all on your own.
To your health... and continued accomplishment! Magnifique!
how many banks does the pope own?? the pope is in this TBTF up to his papal cap.
are you so old that you somehow still think it's the 16th Century? Goldman and Deutsche Bank have robbed blind countless catholic institutions like monasteries all over the world, for example. with derivative scams similar to the ones used with Greece and countless municipalities
you might want to revise your TBTF and TPTB definitions, than the Vatican definitely isn't a big player anymore - against it's will, I should note
Oh, how much gold and silver sifted from foreign lands still resides in the Vatican?
That being said I mostly support the words of this pope in this one instance.
Ghordius,
"Goldman and Deutsche Bank have robbed blind countless catholic institutions like monasteries all over the world, for example. with derivative scams similar to the ones used with Greece and countless municipalities"
You are right. There is no honor between thieves.
who hung the vatican banker from that bridge?
Roberto Calvi: officially it was a suicide but he had his plane ticket to Nassau in his back pocket. Some think his stash is still in the Bahamas. Banco Ambrosiano Bahamas LTD. ..Funny thing is that the bridge was the Black friers Brigde in London and the Black Friers have their head quarters in Ambrose Street....is this a signature?
my best sources hint at the London "mafia" - not the financial one, I should add before I get misunderstood. imho most probably because he embezzled a customer that was laundering racketeering money through his account
nothing new there, except that Bankitalia, Deutsche Bank and the Vatican just a short while ago were fighting because of some ATMs services
note, though, that the Vatican is clearly the less powerful of the three mentioned
the Morgue participated in that little imbroglio as well, ja?
did it? not aware of that - it does not fit my mental map of where they have their tentacles but of course possible. link appreciated
from the horse's mouth:
http://uk.reuters.com/article/2012/03/19/uk-vatican-bank-idUKBRE82I0P820120319
different scandal it seems. the timing of both does seem a bit too coninkidinky given the events that followed, tho i admittedly have my tinfoil screwed on too tight usually and see patterns where none exist ;~)
blatant... deliberate...deception(s) ...(on) UK Telegraph article(s) ? I'd never, ever thought this possible/s
On. UK. Press? No.... Impossibru!
Just two years ago, the Vatican was calling for a global financial authority. Meet the new pope. Same as the old pope...
oh, what the hell, in for a penny, in for a pound. about the original article's comment:
"I absolutely disagree with the Pope that the right of control should be granted to the State, as the natural equilibrium of the State is to gravitate towards tyranny and the disenfranchisement of the people. Power should be granted to the people instead through the re-establishment of free markets"
ok, ok, so the old: government gravitates to tyranny argument, deregulate markets and we'll have free markets (feel free to see it as a strawman)
Is this true? were the US stock markets regulated, unfree and in particular not manipulated, in 1929? was the first round of globalization headed by the British Empire a pure and holy showcase of lack of regulation paired with free and fair markets?
to put it in the other direction, if we have utterly free and unregulated markets, is then not my right to corner whatever I want to corner, and screw the industries and people who watch amazed at what I'm doing?
face it, it was megabankers that lobbied for deregulation of the financial world in the name of free markets
face it, every time deregulation forces win, prices start to swing up and down thanks to superior market power fuelled by financialization
face it, you have been led astray by nice sounding theories - including soundbites like "power should be granted to the people..."
every sound market has a bloody policemen and a bloody judge - and rules - start to grant concessions for those who ask for "free" markets and watch how what the really want is to get rid of the rules, the judge and the policemen
the guys asking for free markets are those who want the rules-free markets. In monopoly it's called the "Get Out Of Prison" card
as the honorable Corzine could testify: they have the rules-free markets
Ghord, I feel your frustration, you know it should work more regs more rules - better honest markets, it's not fair but human nature determines the out come..and in todays world angels are just as rare as virgins in hollywood.
I'm not asking for moar rules. I'm asking for less rules. For example the old rules that made megabanks and their tentacles-called-hedgefunds effectively illegal and impossible
ghordius, you write so well and keep my interest as your posts are some of the best on ZH. but sadly like the 2nd amendment here in america, so few from the EU understand a person who loves freedom over all comforts, the state can only do one thing for me, stay the fuck away.
So explain this to me like I was an european:
How about child sex labor - is that also an eroded freedom that should be restored?
you are too kind. look, all I ask is one thing: when they are trying to sell you "free markets", remember the old adages, including: "what's in for those who ask"? last time we all heard "deregulate!" and "free financial markets!" we got... the megabanks
up voted your last post, I understand that point only too well, live well we will counter punch here on ZH in the future, as long as the New Tyler's allow me (never say jews policy)
what do you expect? the Vatican to spell it out? perhaps with a huge banner over St. Peter with the words "End the Fed" on it? Or "Restrain Wall Street"? If you would read the original article to the end, you'd reach the part that reads like this:
"Pope Benedict XVI has repeatedly called for an “intervention” by governments to tame financial markets and has emphasized the need to restore a fragile global economic system that is hurting poorest people the hardest."
“The global financial crisis showed the fragility of the current economic system and of the institutions associated with it,” the pope said in April.
He said the crisis had also demonstrated “the mistake of continuing to think that the market is able to regulate itself without public intervention.”
meanwhile hedgefunds and commodities traders will soon again jack the prices of wheat and other foodstuff that make the livehood for billions up and down in order to generate some profits - as they are doing with PMs...
sorry, either I misunderstand you or you don't realize that the pope is sounding like an older, more diplomatic Tyler Durden (without the fashionable "ironic" nihilism, of course)
ghord, market and public intervention>>we got gov intervention in spades, but seems the angels in charge are
co- opted, so much for your public intervention. remember libor you thick headed eurocrat.
"the angels in charge are coopted" - there is a name for that: corruption. read below or explain why you call me eurocrat
over the years you and I have taken differing stands on the STATE vs individual rights, I think by now you would have understood yourself better. you post as a statist, but you don't mean it?
I'm not a convinced "statist" in the same way as I think that a bit of salt keeps you alive and too much of it kills you. in fact, in any discussion between anarchists and statists (have many friends of both convictions) I usually ask: "how much?"
Islam calls for 20% of (voluntary) contribution to the community - what I would call 20% "statism". The older Christendom called for 10% for the church (which was often paired with 10% for the local baron, I should add), so both religions have asked for limited government, imho
I ask little things from "statism": do little, do it right, do it with the funds at your disposal, and don't go to war unnecessarily
seen this way I'm a zero-point-three "statist" with a penchant for few, clear rules (laws), but willing to move in any territory that does it for 0.4 - if it's done better
the day anarchists set up a functioning territory for 0.0 (or, imho more likely 0.1) I will consider moving there
damn, how to respond to one who has so much at his fingertips, always impressed. perhaps I am from the old america where we had a vast wilderness to escape to, where anarchy and freedom reached a peak and now much like a modern western movie the hero sees he is no longer relevant in a world run by money masters.
this manipulation is ongoing and is the norm. what we have is spot plus premium as the new ly established benchmark of price discovery. premiums, hmmm sounds like a manipultion in of itself. when does this shit ever end?
all i am seeing is manipulation to lower lows and lower highs(phys following paper). so, i guess by buying these dips maybe we will get in at or near the bottom soon? I mean who would have thunk 1375 and 22.25 one month ago.
is the great capitulation coming soon? or is this a gradual bottoming process...
dry powder IS awaiting some kind of a market signal saying "we are there"...
Pope Francis from Argentina loves to see the entire human race living in a fu-king misery and suffering like the place he just came from.
PS
I would like to know where all these billions and billions dollars swindled from poor and illiterate go.