GOLD: Rescue will send Gold to surreal levels (by John Embry)

silverman · 10-16-2008, 06:18 AM

http://www.sprott.com/pdf/investorsdigest/digest.pdf

Selene · 10-25-2008, 12:05 AM

Hi, Silverman,

Hmmm....interesting analysis. Thanks.

I've known of John Embry's work for years - he's very, very good. And for him to invoke Don Coxe - a superb strategist - here.....Wow. These guys are pillars of the orthodox investment crowd with eminent track records. They aren't just "anybody".....

Manipulation in the gold market, they say? It could only make sense if "someone/several" is hoping to buy up all the gold/silver cheaply before the worm turns and the New Currency (whatever that may become) declares itself to be based on gold/silver holdings. And the Embry/Coxe comments do suggest that "someone/several" with a lottsa bucks and savvy are indeed hedging their bets Bigtime.

The only reason I am guessing that a New Currency would be based on precious metals is that - actually, I have been quietly following this topic for a few decades (!) - no one, really, has proposed a better or more workable alternative base measure for the value of money.

Excuse me while I adjust my tin hat......!

Regards,
Selene

Merlyn · 10-25-2008, 01:17 AM

=
=

One possibility is that the price of Gold and others will go down
and then they confiscate / outlaw private ownership of gold
and make everyone sell it at the cheap price and then after
they collect it all then the price of gold will skyrocket.

=
=

Selene · 10-25-2008, 02:06 AM

Hi, Merlyn -

Could happen, as it did in 1933, but back then more gold bullion/coins were held by individuals. A paper U.S. dollar was worth a dollar in gold bullion. Not so today. Since 1971 a paper U.S. dollar is only worth - wait for it - another paper U.S. dollar, not any gold at all.

So most gold is now held in vast amounts by banks, central banks, dealers and truly paranoid Gold Bugs who've been losing money on their holdings since 1989, now worth less than 1% of what they paid for gold back then.

More likely these days, it seems to me, is a concerted attempt to "crash" the price of gold bullion so that all the traders/holders/dealers with long positions will be forced to liquidate at the bottom - taking them out of the game and pooling the actual gold into the hands of a relative few who can trade in their hoarded cash for gold at the low point when no one else has cash to invest. I don't think "they're" particularly concerned about the small investor: you and me.

And then voila! a New Currency emerges from the wreckage - they'll have no choice, we ain't going back to barter here. And that New Currency will be tied to - guess what? At a zillion New Clams per ounce.

My view, anyway.

Cheers,
Selene

firefly · 10-27-2008, 05:06 AM

Sorry to burst your bubbles, but when the currencies have no value, it won't be gold that will rescue us because everything will go digital and they will usher in the verichip (microchip) mark of the beast on the hand to be able to buy or sell. And unless your completely self sufficient you'll be lining up to happily accept the new system. Even if you have no debt and are growing your own food, how will you pay your property taxes without their system.

firefly

10-16-2008, 06:18 AM	#1
silverman Avalon Senior Member Join Date: Sep 2008 Location: Switzerland Posts: 78	GOLD: Rescue will send Gold to surreal levels (by John Embry) http://www.sprott.com/pdf/investorsdigest/digest.pdf

10-25-2008, 12:05 AM	#2
Selene Avalon Senior Member Join Date: Sep 2008 Location: The Music of the Spheres Posts: 16	Re: GOLD: Rescue will send Gold to surreal levels (by John Embry) Hi, Silverman, Hmmm....interesting analysis. Thanks. I've known of John Embry's work for years - he's very, very good. And for him to invoke Don Coxe - a superb strategist - here.....Wow. These guys are pillars of the orthodox investment crowd with eminent track records. They aren't just "anybody"..... Manipulation in the gold market, they say? It could only make sense if "someone/several" is hoping to buy up all the gold/silver cheaply before the worm turns and the New Currency (whatever that may become) declares itself to be based on gold/silver holdings. And the Embry/Coxe comments do suggest that "someone/several" with a lottsa bucks and savvy are indeed hedging their bets Bigtime. The only reason I am guessing that a New Currency would be based on precious metals is that - actually, I have been quietly following this topic for a few decades (!) - no one, really, has proposed a better or more workable alternative base measure for the value of money. Excuse me while I adjust my tin hat......! Regards, Selene

10-25-2008, 01:17 AM	#3
Merlyn Avalon Senior Member Join Date: Sep 2008 Location: Colorado,USA Posts: 108	Re: GOLD: Rescue will send Gold to surreal levels (by John Embry) = = One possibility is that the price of Gold and others will go down and then they confiscate / outlaw private ownership of gold and make everyone sell it at the cheap price and then after they collect it all then the price of gold will skyrocket. = = Last edited by Merlyn; 10-25-2008 at 01:26 AM.

10-25-2008, 02:06 AM	#4
Selene Avalon Senior Member Join Date: Sep 2008 Location: The Music of the Spheres Posts: 16	Re: GOLD: Rescue will send Gold to surreal levels (by John Embry) Hi, Merlyn - Could happen, as it did in 1933, but back then more gold bullion/coins were held by individuals. A paper U.S. dollar was worth a dollar in gold bullion. Not so today. Since 1971 a paper U.S. dollar is only worth - wait for it - another paper U.S. dollar, not any gold at all. So most gold is now held in vast amounts by banks, central banks, dealers and truly paranoid Gold Bugs who've been losing money on their holdings since 1989, now worth less than 1% of what they paid for gold back then. More likely these days, it seems to me, is a concerted attempt to "crash" the price of gold bullion so that all the traders/holders/dealers with long positions will be forced to liquidate at the bottom - taking them out of the game and pooling the actual gold into the hands of a relative few who can trade in their hoarded cash for gold at the low point when no one else has cash to invest. I don't think "they're" particularly concerned about the small investor: you and me. And then voila! a New Currency emerges from the wreckage - they'll have no choice, we ain't going back to barter here. And that New Currency will be tied to - guess what? At a zillion New Clams per ounce. My view, anyway. Cheers, Selene

10-27-2008, 05:06 AM	#5
firefly Avalon Senior Member Join Date: Sep 2008 Location: Byron Bay Australia Posts: 79	Re: GOLD: Rescue will send Gold to surreal levels (by John Embry) Sorry to burst your bubbles, but when the currencies have no value, it won't be gold that will rescue us because everything will go digital and they will usher in the verichip (microchip) mark of the beast on the hand to be able to buy or sell. And unless your completely self sufficient you'll be lining up to happily accept the new system. Even if you have no debt and are growing your own food, how will you pay your property taxes without their system. firefly