forget deflation .. inflation set to soar .., page-218

SP, I think it was Gold Bars here who said bankers like to give the impression that gold is always on “offer”.

In the late 1990’s up to 2001 the commercials (banks) were net long gold on the COMEX. These few banks were happy to take the long side of funds’ short positions. I don’t think anyone said the banks were trying to manipulate prices higher.

The concentration by a couple of banks having 80-90% of the short positions is just a reflection of the consolidation in the banking sector this year isn’t it? Lots of banks that would have been involved in the gold business have gone bust and been taken over by the chosen few.

I agree however that there is intervention to control the rate of gold’s rise. That’s why announcements about IMF gold sales resurface during price spikes etc.

Rowingboat.