-- Published: Sunday, 19 November 2017 | Print | Disqus
Dear Friend of GATA and Gold:
Last night Zero Hedge called attention to Friday's column by Gillian Tett of the Financial Times, to which GATA also had called attention --
-- in which Tett speculated, as many in the gold sector have done, that the futures market being planned in bitcoin by CME Group would tend to suppress the cryptocurrency's price.
Of course the use of futures markets to suppress gold and commodity prices has been one of GATA's themes for a long time, and a theme of the British economist Peter Warburton for even longer:
So Zero Hedge concluded its post last night by suggesting that Tett now pursue the gold price suppression angle, noting that GATA has been urging just that on the FT for quite a while.
Zero Hedge wrotes: "According to the Reserve Bank of India's estimate, the ratio of 'paper gold' trading to physical gold trading is 92 to 1, meaning that the price of gold on the screens has almost nothing to do with the buying and selling of physical gold.
"This makes the gold market and, therefore, the gold price something of a mockery. As Zero Hedge has highlighted time after time, the gold price has frequently been subject to waterfall declines, as huge volumes of gold futures are dumped on the market with no regard for price. ...
"Perhaps the FT journalist, Gillian Tett, could write an article on gold, instead of bitcoin, explaining how the price of the former -- a widely viewed indicator of financial risk -- is being suppressed by derivative trading. Indeed, Tett was present at a private dinner in Scott's of Mayfair several years ago when the Gold Anti-Trust Action Committee gave a presentation on exactly the same process she expects to lower the bitcoin price."
Zero Hedge's commentary is headlined "Financial Times: Sell Bitcoin Because the Market Is about to Become 'Civilized'" and it's posted here:
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
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-- Published: Sunday, 19 November 2017 | E-Mail | Print | Source: GoldSeek.com