In addition to the negative comments about Gold in the WSJ and NYT: This evening we were treated to a CNBC visit to the GLD vaults in London. The video shows enormous quantities of gold bars and there is an interview with the "custodian" HSBC in which they talk about never leasing the gold as that would be illegal. This interview is important as there are many that believe GLD is backed by paper gold not physical gold. I think this is the start of a coordinated raid against gold that could result in a substantial price drop over the next week or so. Long term gold will be good but short term traders need to beware. The dollar is also looking stronger this evening - a stronger dollar is required as an antidote to high gold prices.
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesJune 2012 Categories |
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