This is an article from yesterday. Jim Sinclair has the exact reaction that I did reading the article. I scratched my head and thought to myself... but this means gold should be going up! Maybe there is a conspiracy?! Nah!

BK.

Gold, Silver Fall as Citigroup Downgrade Sparks Risk Concerns
By Pham-Duy Nguyen

Nov. 19 (Bloomberg) -- Gold and silver fell as a drop in U.S. stocks curbed investments in riskier assets such as commodities.

U.S. equities declined after Goldman Sachs Group Inc. placed a ``sell'' rating on shares of Citigroup Inc., the largest U.S. bank by assets. Japan's currency rose as traders repaid yen- denominated loans that had financed investments in higher- yielding assets. Before today, gold had gained 23 percent this year, reaching a 27-year high of $848 on Nov. 7.

``Risk aversion continues and that hurts all investments, including gold,'' said Leonard Kaplan, president of Prospector Asset Management in Evanston, Illinois. ``Investors are taking huge losses so they're not eager to invest in anything.''

Gold futures for December delivery fell $7.70, or 1 percent, to $779.33 an ounce at 11:49 a.m. on the Comex division of the New York Mercantile Exchange. The price dropped 5.7 percent last week, the most since early March.

Silver futures for December delivery fell 28.5 cents, or 2 percent, to $14.225 an ounce. Before today, the metal climbed 12 percent this year.

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Jim Sinclair’s Commentary

Gold is a product of the dollar and the dollar is a product of the Formula. Risk hurts the dollar, which in turn strengthens Gold. After the disinformation is digested watch Gold break above $850 on its way to $1050. That disinformation is another attempt to draw a negative Gold chart. Gold was up over $7 last US evening until hit this morning by the usual suspects.