Why gold has been taken down?

There’s no mystery about why gold has been taken down and it doesn’t involve free market forces. The reasons are quite straightforward: JP Morgan leads a pack of insolvent, zombie banks in using taxpayer money to create gigantic, naked short COMEX positions in gold and silver to skew the real market and thus artificially drive their prices lower. In the past month, their short positions are bigger and more blatant than ever.

Among the reasons this is done is to make their fiat-money trashcash look better by comparison, and to keep investors mired in their trash-cash investments. Being utterly hollowed out and run by wall street cronies, USG regulatory bodies like the CFTC and SEC sit back and do nothing to stop the blatant market rigging. This is just how things are done now here in the brave new world of Bushobama.

But its always darkest just before dawn. The insolvent zombie banks will eventually die the death they so richly deserve. Their longterm manipulation of gold and silver is well documented and well understood by those in the know. Go to GATA.org to learn about it. And be more aware when trying to analyze the volatility of the price of gold and silver.

Folks would be nuts not to use the recent lower prices to establish physical metal AND Miner share positions. Those of us who’ve adopted this strategy haven’t done it to get rich, we’ve done it (as a matter of urgency) to diversify part of our holdings out of paper-based investments. In light of everything we’ve seen since last Fall, who’d think it prudent to be 100% in that garbage? The dollar will soon find its true value, and so will the investments based on any Western currency. It’s simple: only an idiot will have all their eggs in that basket. Sleep better in 2010: don’t be one of them.

From Dec. 31th

GATA has just filed suit vs. the Fed for their leading role in the price manipulation scheme of the Gold Cartel. Here’s a press release with embedded links:

GATA Sues Federal Reserve to Disclose
Gold Market Intervention Records
Wednesday, December 30, 2009

http://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_v

The Gold Anti-Trust Action Committee Inc. today brought suit against the U.S. Federal Reserve Board, seeking a court order for disclosure of the central bank’s records of its surreptitious market intervention to suppress the monetary metal’s price.
The suit was filed in U.S. District Court for the District of Columbia and targets Fed records involving gold swaps, exchanges of gold with foreign financial institutions.

In a letter dated September 17 this year to GATA’s law firm, William J. Olson P.C. of Vienna, Virginia, (www.lawandfreedom.com) Fed Board of Governors member Kevin M. Warsh acknowledged that the Fed has gold swap agreements with foreign banks but insisted that such documents remain secret:

http://www.gata.org/files/GATAFedResponse-09-17-2009.pdf

The lawsuit follows two years of GATA’s efforts to obtain from the Federal Reserve and the U.S. Treasury Department a candid accounting of the U.S. government’s involvement in the gold market. These efforts parallel those of U.S. Rep. Ron Paul, R-Texas, who long has been proposing legislation to audit the Fed. The Fed has been criticized for secrecy in its massive intervention in the markets over the last year, and Paul’s legislation recently was approved by the U.S. House of Representatives.

Ed Caccia
Ardsley, NY

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• Why does the business media insist on casting a blind eye on what is obvious?
• Gold Price Up On Speculation, Not Real Demand and Supply
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