Gold futures, i.e. paper gold, hits an 8 month low today even as Greek and EU turmoil intensifies and poor global economic numbers continue to be reported. In honest markets this simply cannot happen but when we have unregulated futures markets being manipulated by banks like JP Morgan etc. there is no longer a barometer in which to gauge market direction. Gold last reported a.m. is $1145.30 and silver is $15.09
Mining companies are feeling the strain of negative returns as, Barrick Gold Corp., the world’s largest producer of metal is said to be considering the sale of mines as it attempts to raise $3 billion this year to reduce its $12.9 billion debt. Mines cannot continue producing gold and silver at a loss.
All markets are manipulated including gold and silver as witnessed by legal actions over the past several years against banks that have resulted only in slap on the wrist fines. The “Big Six” U.S. banks see these paltry fines as an accepted cost of doing business expense.
Just recently, JP Morgan, Citigroup and Royal Bank of Scotland were fined 2.5 billion and plead guilty to violating antitrust laws in a settlement with the U.S. Justice Department. Not to be outdone, Bank of America, Wells Fargo and Goldman Sachs see their share of fines as well.
The Federal Reserve owns Washington and Wall Street and JP Morgan “is” the Fed. The Morgan empire has been directing Washington, the Fed, Wall Street, along with U.S. political and economic policies since 1913. The bank also directs the Bank of England, World Bank, International Monetary Fund and the Bank for International Settlements. Still wondering why markets have become lairs for thieves?
As reported yesterday, Greek politicians betrayed their country and citizens by voting Yes to EU measures that essentially hand the title to Greece over to EU bankers. This deal is a “paper tiger” waiting to explode for both Greece and the EU. Unfortunately, it’s going to get a lot worse for Greek citizens already facing an unemployment rate of 25 percent.
German Finance Minister, Schaeuble has emphatically stated, “There will be no Greek haircut“, amid calls by the ECB and IMF for Greek debt cut.
Mr. Schaeuble told a closed door meeting of parliament’s Budget Committee in Berlin that European rules don’t allow a cut in the face value of Greek sovereign debt.
Greek politicians spent their country into insolvency and left the carnage for Greek citizens to deal with. For some reason, this reminds us of the Washington business model.
We have a ringside seat to see what eventually happens to a nation that dies on perpetual debt. The U.S. will be no different as long as Washington remains on the same drunken economic course. We are in desperate need of another Andrew Jackson and John F. Kennedy.
There’s still time to protect our wealth with physical gold and silver, available at below production costs. There’s no need to be victimized by stock markets when insurance is available.
Give us a call at 1-800-577-3195 ext. #1.
Gold Goliath is not your typical gold dealer.