As of 8:14 PST Friday gold spot hit $1,319.30 up $19.00.
A weakened dollar, short covering, emerging market tremors and less than desired U.S. economic data are attributing factors to the rise.
From November 2013 thru the first week in January the Fed and its bullion bankers were successful in holding gold in the $1,200 to $1,250 range by shorting futures. The reality investors are facing worldwide regardless of Fed attempts to quote “stimulate” the economy is fracturing continues.
The Fed has backed itself into a corner and maybe it’s where they want to be. Maybe they are ready to pull the plug on the whole system, who knows. Can you imagine what would happen to Wall Street and world economies should the Fed decide to completely pull the plug on quantitative easing? We can only speculate as to what their next move will be.
The world knows that the Fed and its bullion bankers have continually shorted gold markets in attempt to strengthen the U.S. dollar. Unfortunately selling paper gold in the futures markets is a two edged sword. If purchasers don’t ask for delivery of physical gold they will never know it didn’t actually exist and the seller escapes unharmed. On the other hand, China, Asia and Germany called their hand and are demanding physical delivery for gold, that doesn’t exist.
If the Fed were to be honest for once and tell the world its business practices are fraudulent, currencies would falter, especially the U.S. dollar. Gold on the other hand would be in immediate short supply and prices would escalate rapidly. The Fed will never admit to what has taken place but rest assured they are ready to cast blame on someone else at any needed moment.
The Fed will continue in its efforts to manipulate the markets and minimize their risks as our system of debt eventually implodes.
Gold Goliath is not your typical gold dealer.