Re: China will bid on IMF's remaining gold offer, Russian news agency says
posted on
Feb 25, 2010 09:34PM
San Gold Corporation - one of Canada's most exciting new exploration companies and gold producers.
Ali, I will give you the benefit of the doubt and assume that you are not being deliberately obtuse.
You said:
"Deliverator, the only way that you can suppress the price of anything, in the global market place, is by selling what you have, which is a finite process. Eventually you will run out of what you have and as the law of supply and demand would suggust [sic], the price will start to rise once you do."
Now if you look at the price of gold, which has been in a bull market for the better part of the last decade, you might get a glimpse of when the US started running out of gold to lease.
Remember:
http://www.usagold.com/gildedopinion/greenspan-gold.html
On July 24, 1998, Alan Greenspan—a former advocate of the gold dollar and opponent the Federal Reserve he now chaired—uttered one sentence that drew the ire of every goldbug on the face of the Earth: “Central banks stand ready to lease gold in increasing quantities should the price rise.”
Why should a central bank be concerned - even show a passing interest - with the price of gold, any more than they would the price of any other commodity, like lead or zinc? Why would central banks "lease out gold in increasing quantities" if not to attempt to control the price?
After all, there is ample evidence that central banks have participated in this sort of fraud before: