abu in a nutshell, page-38

'Re POG, chuk posted: "This doesn't mean gold can't go lower but I wouldn't rely on it going lower because GS tells us it will."

chuk

you took the words right out of my mouth. how can anyone seriously believe any publicly-issued investment advice from GS (or any of their big wall street peers for that matter). in the lead up to the GFC several of these companies have been caught red-handed giving advice (either publicly or privately to retail investors) advising to buy 'x' and then, at their own corporate banking level, taking massive sell or short positions on the same stock/bond/commodity'.

several wall street players were shown to have acted in a shockingly dishonest and unethical manner in the lead up to the GFC. does anyone really believe that these guys have, in any significant way, changed their spots? i can't believe these banks' nerve to hold their heads up now and claim to give honest, impartial investment advice on something as speculative and potentially manipulatable (possibly by themselves) as the future POG. the ethics of the mainstream media, who regularly quote these companies about future POG, can also be questioned imo. they rarely mention the context of the quoted banks' past incorrect forecasts or conflicted investment advice when regurgitating their quotes. alan kohler, of the abc, is a notable exception who deserves praise in bucking this trend.

for the record, i do not hold a strong view as to the future direction of the POG, and this post in no way should be taken as an endorsement of gold or gold stocks as an investment. having said that, i would give no credence to GS,Citibank or any other banskers claims to future POG and i actauallyi find their calls of lower gold prices somewhat comforting ...