Banker Manipulation Of Gold Prices
Despite the dramatic fall in gold prices from Friday's high of around $930 an ounce to today's current low of $830, sales of actual physical gold continues to trade for anything up to $300 over spot price, proving again that official COMEX gold future numbers are completely divorced from reality and banker manipulation is rife.
Panic buying of physical gold has gripped Europe as consumers fear their savings accounts are no longer safe in light of numerous bank failures, prompting dealers to run dry on gold bullion which in turn is driving up premiums.
Since buyers are finding it near impossible to get gold bullion from recognized dealers, many are turning to Ebay where auctions for one ounce Krugerrands and Maple Leafs are fetching anything up to £150 ($260) over spot price.
Over the weekend, when gold was around £500 an ounce, a Krugerrand went for £645.75. A one ounce bullion bar, with nearly 3 days of the auction still to run, has already attracted a bid of £670 - a whopping $336 above current spot price, despite the fact that bars are usually subject to lower premiums than gold coins.
(ARTICLE CONTINUES BELOW)
Respected bullion dealers who charge lower premiums because they are able to buy gold in bulk are still slapping customers with $150+ premiums - and judging by the continued dearth of one ounce coins such as the American Eagle and the Austrian Philharmonica - people are perfectly willing to pay the exorbitant premiums.
The true value of gold is what people are prepared to pay to obtain it, and judging by that criteria, the actual value of gold is currently around $1,100 an ounce based on a conservative estimate.
The official spot price of gold is currently around $830, but this merely represents a rush by investors to sell their paper contracts in search of liquidity and as a means of jumping back on the stocks and shares bandwagon.
Numerous fund managers and top investors like Jim Rogers are now predicting that global central banks' insistence on printing their way out of economic turmoil is setting the stage for a hyperinflationary holocaust, a knock-on effect of which will be gold's acceleration towards $2,000.
But as many have pointed out, gold price manipulation is rife as central banks desperately attempt to stem the flight from paper currencies into gold, a process that anecdotal evidence strongly suggests is happening across Europe at an alarming pace.
Copyright © Global Matrix Enterprises 2001-2008. All rights reserved. Legal Notice.