Gold Prices - Kept Artificially Low

in #news7 years ago

Gold Prices - Kept Artificially Low
Know the Truth About Gold Manipulation


Photo credit: Sprout Money

Protect What You Have

People want to earn money and then find ways to protect that wealth from being degraded by inflation, monetary system manipulation and government theft in the form of taxation.

The United States Dollar has lost 95% of its value in the last 100 years due to government produced inflation. This inflation is necessary to continue with the centrally planned Kenysian Economy and this will never end. So holding on to your dollar bills is guaranteed to result in a loss of purchasing power, every single day.

Wall Street


Photo Credit: New York Post

The average annualized total return for the Standard and Poor's (S&P) Index, which represents the Top 500 companies traded on the New York Stock Exchange, is 9.8% in the last 90 years.

In only six years, between 1928 and 2016, did this index of companies all finish higher than 5% and 10% respectively.

When one accounts for inflation and paying capital gains tax of 15% on any earnings, the profit picture is even bleaker.

People will always return from Las Vegas and brag about how much they "Won", never about losing the rent and the children's milk money. Wall Street is the same, some people get lucky or are professional players who tend to win more than they lose.


Photo Credit: Business Insider

While individuals make-up 33% of all stock owners, the vast majority of stock are owned by pension funds, mutual funds, banks, brokerage firms and charitable trusts. These entities deploy armies of analysts, lawyers, brokers and managers to maximize their investments. The common man simply can not compete with these insiders.

Real Gold vs. Fake Gold


Photo Credit: twikicia

The total value of all Gold mined on Planet Earth to date is around $7.5 Trillion Dollars. Estimates of the total amount of Gold do vary between 140,000 to 170,000 metric tonnes.

We do know that a total of 32,825 metric tonnes is held in vaults by the IMF and all Central banks, with the United States holding the most gold at around 8,133 metric tonnes.

In contrast, over $10 Trillion (With a "T") of Paper Gold Certificates were traded in 2016, up by 50% compared to the previous year.

Exchanges like Comex will list 202,000 ounces of gold in the “registered” / deliverable accounts of the Comex vault custodians. However, some trading days, Gold futures can account for 41,900,000 ounces of paper gold or over 200 to 1 of "Paper Gold" vs. Real Gold compared to what is actually being traded. Other exchanges could be better off worse than Comex.

Comex can never actually deliver on all of the contracts it has, as they simply lack the physical Gold to do so. Therefore the "Paper Gold" market is 100% fraudulent. These markets exist to provide traders and investor with another trading commodity to profit from and they are therefore not real investments.

In the event of a crisis, Congress, the Executive Branch or the Federal Reserve Bank will simply change the rules to prevent the exchanges from collapsing under their own fraud. This was done in the 1980's to stop the Hunt Brothers from taking delivery of physical Silver, which would have bankrupted Comex and other global exchanges.

Cure for Depression


Photo Credit: xconomy

All of this phony paper Gold (and Silver) allows people to "Feel" as if their investment portfolio is diversified, when it really is not. Owning paper Gold is easy and convenient, as it can be bought and sold with your laptop, with no need for storage facilities, shipping charges or physical security.

The effect of this is pretty obvious, the price of real Gold is depressed and held to artificially low levels, perhaps 200 times lower than the real value. After all, if you need more paper Gold, just print more paper certificates. Just like the U.S. Dollar, their is no limit to how many you can create.

In the event of a currency collapse or other serious financial crisis, physical Gold with have value and paper Gold will be worthless. The lesson here is very simple, if you can't hold it, in your hands, you don't really own it.

Reality Strikes


Photo Credit: Wimp

When (not if) the next financial crisis hits, will you be ready or will your assets simply vanish into thin air. One Presidential Executive Order or e-mail can simply close stock markets, freeze exchanges and shut down ATM machines while you are sleeping.

Will you be reduced to trading your wife's Gold jewelry for food like people do today in Venezuela?

A lot of very smart people recommend that you have 80% of your savings in physical Gold and 20% in cryptocurrencies, like Bitcoin.

If you need to flee and "Get out of Dodge", a hardware wallet or a paper wallet (or Brain Wallet) of Bitcoin can be easily transported across international borders undetected, whereas undeclared (or perhaps now illegal) physical Gold is going to get confiscated and perhaps land you in jail.

You do have a valid passport???

If you have any questions, don't hesitate to ask. And if you liked this post please VOTE UP, RESTEEM, COMMENT and FOLLOW @clearshado for more Insightful Commentary in Support of Liberty and Freedom, Natural Rights, Alt Currency, Preparedness, Survival & Guns.

References:

CNBC - S&P Average Return

http://www.cnbc.com/2017/06/18/the-sp-500-has-already-met-its-average-return-for-a-full-year.html

Gold Returns

http://awealthofcommonsense.com/2015/07/a-history-of-gold-returns/

Business insider - Stock Ownership Percentages

http://www.businessinsider.com/stock-market-ownership-2015-1

Heartland Precious Metals

http://heartlandpreciousmetals.com/new-record-comex-paper-leverage-ratio-go-paper/

Gold by the Numbers

http://www.numbersleuth.org/worlds-gold/

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