ArbyH

Are GLD and SLV Legitimate Investment Vehicles?

So it appears that the very same companies that take predominately short positions in precious metals then try to syphon off real demand for the physical metals, by creating ETFs which may or may not buy the metals. A fox in the hen house for certain.

The current powers that be will do everything in their power to keep gold/silver from being seen as traditional money, which it is. They will manipulate scarce commodity real gold/silver prices downward by shorting the commodity using unlimited printable paper money in paper markets. That is the only game they can play to try to prop up the dollar and maintain their advantage - smoke and mirrors.

Why do you suppose that most of the bailout money is unaccountable in a giant furball of finance? Is one reason that the banking minions (goldman sachs, etc.) acted on the government's behalf shorting gold and silver to prop up the dollar, and lost money as a result and want to be made whole? Would the secrecy of this allow the Federal Reserve to blackmail the government to secure more power? Are these billions upon billions of dollars sitting there waiting for a collapse, so that elite banking interests can buy up assets into whatever game comes next, thereby securing their own perpetual power for generations?

When some country suggests the game changes to non-dollar oil trade the US will go to war to continue the game. ie. Iraq & Iran oil bourse.
When an equal power calls BS then the game will change and the US will be in deep chaos to scramble for a new game, but no one will want to play a rigged game... and the USA could fall hard. China knows this and they are buying 80 billion in gold. Has China's communist central planning commission ever done anything other than look out for China? They know they have been caught up in the banker's game and are working to come out on top. The Chinese are good people.

The international banking scheme (Bilderberg) will be fine having planned many many years in advance for every eventuality, every war, every rise, and every fall. A shift from Trilateralist thought to New World Order thought and populaces would be screaming for a one world government and one world currency to come save them. Central planning at a whole new level with the banking powers at the helm.
Governments will go to any length to preserve themselves, control the populace, and maintain order. That is what makes them so dangerous. Today's veteran patriot could easily become tomorrow’s dissident. Elite Gated communities takes on a whole new level and meaning as well.

If you bought ETF gold you are just trading in dollars in and out to the paper market gold price. You don't own gold. Federal Reserve Notes are not scarce, they print them by the trillions, but gold and silver is a precious metal and real money, and all governments know it.
I own gold and silver, for the same reason governments do: Wealth autonomy to transition into whatever comes.

BTW: The Federal Reserve System is the biggest scam ever created in the history of man. They are not authorized by the Constitution of the USA. They are a privately owned quasi-government institution that acts independently of government. You pay interest to them on every Federal Reserve Note (dollar) ever created.

Will a 'Silver Bullet' Finally Kill the Metal Manipulators?

Good points Roger,

Let me trend analysis further: The government could outlaw private metal ownership to make their game and currency exclusive. The populace tows the line for fear of detention and forfeiture of assets.
A government desiring to control a populace could use RFIDs, sensors, and data mining to monitor and control all community aspects of life from financial, medical, world-wide-web, and personal movement access or denial. With an RFID a good conforming citizen can be on the grid for ease and convenience in shopping and travel, even personal safety with an activated alarm.
That safety alarm is a double edged sword because it is a GPS beacon locator, and if for any reason a person were wanted they could be found. To be off the same RFID grid would deny you financial, medical, world-wide-web, and travel abilities.

"You want to be a good citizen don't you? Isn't it the best way to control the borders and immigration, and reduce medical and financial costs? Your personal file will help you get employment. Things will be better for you and your children."
"You work at ___ and you pay goes to ___. Your whole life is tied to our grid. Either you are with us you are against us. So how is it going to be Mr. Jones? No, well how about we shove it up your rear end and you better like it...understand?"



On Jun 05 12:20 AM rogerk2 wrote:

> Remember, the "good" repositories like CEF have at least 95% of their
> inventory in physical form and maybe up to 5% in certificates, essentially
> IOU's. The "bad" repositories don't tell you how much they have in
> physical or in certificates, and they certainly don't let auditors
> in to count bars. Fort Knox hasn't had an audit since 1955. They
> won't even let the Congressional Bedget Office know how much physical
> they actually have left.
>
> My guess is the bullion banks and central banks have maybe 5-10%
> in physical and 90-95% in certificate IOUs. They can make lots of
> money "loaning" these IOUs to to an ETF that needs to show inventory
> or a speculator for a short sale. Consequently, almost all of the
> daily volume you see in precious metals is the going price for the
> IOUs, not the real price of the physical metal. The banks won't give
> you physical delivery; you have to buy from a dealer.
>
> What's happening is the same thing as when they switched off the
> gold standard. The govt confiscated privately owned gold and issued
> "promisory notes," basically IOUs. If the manipulation starts to
> unravel, the govts of the world will do the same thing again. You
> won't see them break the banks, just the little guys.

Will a 'Silver Bullet' Finally Kill the Metal Manipulators?

Who knows for certain how much subterfuge is hidden beneath this giant fur ball of unaccountable finance and redistribution of wealth called a bailout. The Fed, banking interest, and perhaps even Wall Street could have been made whole from losses resulting from acting under government direction. Things like shorting the gold and silver market to strengthen and preserve the dollar's utilization. You can bet there is an oil game present as well. Uncovering all the little ways it was done will be an adventure for years to come.

Jeff seems to have hit on a well hidden and dastardly masterminded method:
In order to ultimately keep metal prices suppressed - set up a precious metal ETF to siphon off physical demand for that metal; The ETF only buys the minimum reserves required; The ETF market reported values paper track the market, while the excess paper assets are used to short the same metal market.

Jeff can you give us ETFs that are not in the swindle mode? Perhaps CEF? I seem to recall they were audited. Either way though, as you point out, if one of them is turned out as a swindle, then they will all become the pariah.

Yellowbeard points out that the bluff will be called at the highest levels in order to upset the applecart. Countries moving away from passively keeping their own currency weak, for trade advantages, to an aggressive bugger thy neighbor’s currency.
Recently, Germany wants its custodial gold back from the USA. Lets see how that plays out.
The Sec of Treasury went hat in hand to the Chinese, while the President may have been seeking to buy gold from the Saudis.
Pres. Obama’s empathetic speech to the Moslem world was struck right on the humanistic chord, and showed brilliance and clarity of mind. When you live in a small yard it just doesn’t pay to run around kicking hornets’nests.

Ron Paul has the correct thought, position, and path on most issues.