LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

GoldSeek.com to Launch New Website
By: GoldSeek.com

Is Gold Price Action Warning Of Imminent Monetary Collapse Part 2?
By: Hubert Moolman

Gold and Silver Are Just Getting Started
By: Frank Holmes, US Funds

Silver Makes High Wave Candle at Target – Here’s What to Expect…
By: Clive Maund

Gold Blows Through Upside Resistance - The Chase Is On
By: Avi Gilburt

U.S. Mint To Reduce Gold & Silver Eagle Production Over The Next 12-18 Months
By: Steve St. Angelo, SRSrocco Report

Gold's sharp rise throws Financial Times into an erroneous sulk
By: Chris Powell, GATA

Precious Metals Update Video: Gold's unusual strength
By: Ira Epstein

Asian Metals Market Update: July-29-2020
By: Chintan Karnani, Insignia Consultants

Gold's rise is a 'mystery' because journalism always fails to pursue it
By: Chris Powell, GATA

 
Search

GoldSeek Web

 
Gartman calls GATA 'always' bullish on gold but mining industry disagrees

By: Chris Powell

 -- Published: Wednesday, 26 December 2018 | Print  | Disqus 

Dear Friend of GATA and Gold:

Thanks to GATA's old friend, gold market analyst John Brimelow, publisher of Brimelow's Gold Jottings letter, for calling attention to Dennis Gartman's comments about GATA in today's edition of The Gartman Letter:

"The major news over the weekend is from GATA, a group that in the past has found fault with The Gartman Letter on an all-too-regular basis over the years for there are times when we've been bearish of gold and GATA is always, always bullish. Even when we are bullish of gold, we are never bullish enough to satisfy the men and women at GATA.

"That said, on GATA's website it is being reported that Russian buying of gold is swiftly approaching actual international purchases, for heretofore the buying by the reserve bank has always been done as the bank has bought domestic production. If this is true -- and as yet we cannot confirm that it is true -- then this is really quite supportive of gold in the long and the short term and shall serve to spur us to be longer of gold than we are already. Certainly it does not spur us to being less long of it. At least, certainly that."

Gartman's comments can use some clarification.

First, of course, the report that the Bank of Russia's gold purchases seem about to overtake the country's domestic production must be credited to Bullion Star gold researcher Ronan Manly:

http://www.gata.org/node/18719

GATA can take credit only for helping to support and publicize Manly's work, which long has been heroic.

Second, Gartman misconstrues whatever criticism GATA has directed at him over the years. That criticism is not for being insufficiently bullish about gold. To the contrary, GATA is largely indifferent to price predictions for the monetary metal.

Rather, Gartman, like many other market analysts, has disappointed GATA over the years for not candidly acknowledging central bank intervention against the gold price, though his letter in the last couple of years has done better in that respect.

Further, GATA is not really "always, always" bullish on gold in the conventional sense.

Rather, GATA has noted the huge naked short position in gold that has been carried by central banks, using bullion banks as intermediaries and using outright sales, swaps, and leases so that each ounce of real metal in the central banking and bullion banking system is supporting scores of investor claims against it, perhaps as many as a hundred claims.

This inflation of the supposed supply of investment gold has been the mechanism by which central banks have kept the gold price far below the true rate of inflation in the world and thus have crippled a competitor to their currencies and particularly a competitor to the world reserve currency, the U.S. dollar.

Evidence of this abounds. For example:

-- Federal Reserve Chairman Alan Greenspan's testimony to Congress in 1998 that the purpose of gold leasing by central banks is price suppression:

https://www.federalreserve.gov/boarddocs/testimony/1998/19980724.htm

-- The secret March 1999 report of the staff of the International Monetary Fund affirming that central banks conceal their gold swaps and leases to facilitate their surreptitious intervention in the gold and currency markets:

http://www.gata.org/node/12016

-- The admission in 2005 by William S. White, chief of the monetary and economic department of the Bank for International Settlements, that a primary purpose of central bank cooperation is "the provision of international credits and joint efforts to influence asset prices (especially gold and foreign exchange) in circumstances where this might be thought useful":

http://www.gata.org/node/4279

-- The heavy involvement of the BIS in gold leasing, which is confirmed, if largely concealed, by the bank's monthly statements of account:

http://www.gata.org/node/18669

-- The many admissions by government-controlled news organizations in China that Western governments rig the gold price:

http://www.gata.org/node/10380

http://www.gata.org/node/10416

-- And the documentation in the archives of the U.S. State Department showing that driving gold out of the world financial system to protect the dollar is longstanding U.S. policy:

http://www.gata.org/node/13310

In a fractional-reserve gold banking system as overstretched as this, the upward potential for the gold price is enormous. But the central bank and government power arrayed in supporting that system is also enormous, and for cautioning investors about it, GATA is typically ostracized from the gold-bullish crowd, dominated as it is by mining companies that are interested mainly in building their shareholder base and getting their share prices up. Thus GATA is often perceived as having a bearish influence on the gold price, if not as being actually bearish itself.

If GATA was really perceived as "always, always" bullish on gold, it wouldn't increasingly be excluded from conferences that, in part, aim to sell mining shares to investors. If gold mining companies wanted to break the price-suppression policy of governments, they might support GATA, help spread its message, and protest the policy to their government representatives. They don't precisely because they consider GATA not bullish enough on gold.

Anyway, GATA is grateful to Gartman for mentioning the organization in his letter from time to time, and maybe this explanation will correct his misapprehension about us.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

* * *

Help keep GATA going:

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

http://www.gata.org

To contribute to GATA, please visit:

http://www.gata.org/node/16

 


| Digg This Article
 -- Published: Wednesday, 26 December 2018 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.