Big push for the public's scrap gold
posted on
Oct 08, 2008 07:20PM
Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.
Within the past two months or so in our area of nothern California we have been bombarded with newspaper advertisements to buy our gold jewelry for cash as well as on TV. The advertisers basically say, "turn your old gold jewelry into cash."
Now tonight on ABC they are reporting gold parties being opeated similiar to tupper-ware parties. You bring in your old jewelry, it gets weighed and you walk out with cash. The reported advertised slogan for the parties is make use of, "your own personal gold mine."
Where are these people coming from all of a sudden and where were they when gold was targeting the 1000 level and traded past it for the first time? Has something changed? One thing has changed, gold lease rates have skyrocketed and central banks are growing more and more hesitant concerning lending out their gold and may now be considering restocking their vaults.
How many tons of gold will this well orchestrated campaign bring in? Who is behind it? Why all of a sudden? These transactions are far more ligitimate because they are dealing in physical gold not like the buyers of the Crimex gold contracts. I know indirectly of a person some years ago that wanted to take delivery of a 100 ounce gold contract from CRIMEX and was given so much trouble by the Exchange he just gave up and sold. I think that without an independent auditors assessment that the gold is really there, I would consider it non-existant. That would explain the resistance of the Exchange to balk at delivery instructions.
Could some gold shorts be this desperate to cover? If this is true, it doesn't speak highly of the gold that is suppose to held in custody behind the Crimex gold contracts or possibly, what is no longer at Fort Knox, West Point or the New York Federal Reserve?
And then another thought comes up: Is the US Treasury behind this campaign? Well, if they were, we most certainly wouldn't find out about it until way after the fact, if at all.
The real scary thought is, what happens when the supply flow of the public's jewelry gold runs its course? Is confiscation of the bullion coins next for Americans if the Treasury is involved? And then another question comes to mind, is the Treasury intercepting refinery gold and silver to account for the massive shortages of these metals for the bullion coins? Does the unprecedented demand that the U.S. Mint speaks of include the Treasury?
And then a final thought: what would be smarter if there were a rush to acquire gold by the Treasury from the public, to confiscate gold bullion first or to first acquire all the scrap gold from the unknowing public?
Relating to the precious metal shares, who is buying them all? Concerning ECU, my gut feeling is the Chinese are currently and have been acquiring them for the past few months. Who lets the PM naked shorts murder the public? Is the Treasury part of this secret buying effort at low prices following behind in the footsteps of their illegal short selling foot soldiers or are they part of a bigger scheme? Is there a Canadian law that prevents share ownership by a foreign country's treasury?
It has been my humble opinion for many months the whole negative atmosphere of theft from the public originates from way high up. For information purposes, the government of the Roman Empire owned all of the producing gold properties. Will history repeat itself in the US? Will the middle class and the more unfortunate poorer citizens be turned into serfs someday in the US?
One thing is quite apparent, the system is coming unglued at accelerated speed and the end solution can only be GOLD, as it has always been. Silver will continue to benefit along with gold. With the melting away of the US Constitution our future is no longer secure. Canadian ownership for Americans in well managed junior PM shares that have proven resources along with adequate cash may be one of their last hopes before things get totally out of control here.
Dersperate men will always employ desperate acts to stay in power.