Posted May 25th, 2015 at 1:11 PM (CST) by Greg Hunter & filed under USAWatchdog.com.

Greg Hunter’s USAWatchdog.com

Dear CIGAs,

Bill Murphy, Chairman of GATA (Gold Anti-Trust Action Committee), says precious metal prices have been relentlessly rigged by central banks and governments. Murphy contends, “If gold were to just to have kept pace with inflation, forget all the QE, it would be double what it is today. That’s how artificially low the price of gold is today, and also silver. Once they lose control of silver, it will go from $22 to $100 per ounce very fast.”

Murphy claims that one reason precious metal prices are suppressed is central banks are afraid of what Murphy calls “a derivative nightmare” touched off by a rising gold and silver prices. Murphy explains, “We saw some of this before in 2008. There is counter-party risk all over the place, and it could set off like a nuclear reaction where there is one default after another. Derivatives have exploded to $250 trillion, or just pick a number. They don’t know what the outcome could be if they start getting this kind of reaction. So, they are maniacal in trying to keep the gold and silver prices in line.”

Murphy goes on to point out, “Silver is the only market that in which the authorities have not found wrongdoing in a market they have been investigating–the only one after a five year investigation. It is bizarre how that could happen. All this evidence we have collected is like a murder trial. If you were sitting on a jury . . . and looked at all the evidence, you would say guilty beyond a reasonable doubt. People don’t want to go there because we (GATA) are taking on all the money and power in the world.”

The U.S. Justice Department has recently granted UBS immunity in a criminal investigation of “manipulation of, or fraud in” the gold and silver markets. Why a serious Justice Department investigation now? Murphy says, “I am so skeptical after all these years, and it’s a question of where they go with this. If they are just talking about the gold fix itself—big deal. The ramification of how they are interfering with the markets all the time is the real issue. Why are they doing this now? Well, probably because it is so obvious, and they have been doing it in so many other markets they feel compelled to do something, so they are going here. . . . This is going to effect a lot of people, if I am correct, when this market blows up. Maybe they see something coming with allocated accounts and the gold isn’t there. . . . They know it’s coming, and maybe they are trying to preempt something here so they don’t look so bad.”

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