Can anyone with a modicum of knowledge of the derivatives market explain to me why JP Morgan seems to be always linked to gold shorting.
Firstly I need to be set straight on what exactly shorting gold entails. I think I know, I just want to confirm from someone who can explain it in laymens terms.
Secondly, if JP Morgan really are involved in the price manipulation of gold why is it always to drive the price of gold down. Why not the other way. Aren't they cutting themselves out of one half of the derivatives market. Why can't they drive it down to satisfy their put options, then drive it up to satisfy call options. If they are the ones doing the driving it shouldn't matter which way the price of gold goes as long as they write the contracts before making a move on the price.
