Adam Taggart: Gold's regular morning mugging
12:09p ET Wednesday, February 20, 2013
Dear Friend of GATA and Gold:
Adam Taggart, colleague of market analyst Chris Martenson at the Peak Prosperity Internet site, today notes with some wonderfully annotated charts what he calls "Gold's Regular Morning Mugging" on the New York Commodities Exchange.
Of course this mugging was noted long ago by GATA consultant Dimitri Speck and the late GATA board member Adrian Douglas, who found that despite its great run up over the last decade gold almost always has gone down during Western market hours --
-- and Taggart draws conclusions similar to theirs.
"It's hard to swallow that these charts are evidence of a free and efficient market," Taggart writes. "Otherwise, a pattern this predictable would be quickly removed as traders and HFT algos piled in to a 'sure' bet.
"Instead, this is behavior one would expect to see if powerful interests wanted to suppress the price of gold: Hit the price hard and early at the start of the trading week to prevent the price from building upward momentum, as well as to make capital think twice before entering the gold market.
"Who is doing this selling at the market open? Is it TBTF ("too big to fail") banks making profit on large short positions? Is it the Fed, through proxies, keeping the gold price contained so as not to signal how badly QE is devaluing the dollar? Allegations swarm across the Internet that it's one of these -- or both. But we don't know for certain. The exchanges don't make that information available to the public.
"But while these charts are not enough evidence to prove that the gold price is being manipulated, they sure exhibit the symptoms one would expect to see if it is. So the big question is: If the precious metals market is being manipulated, is it wise to be in it?"
Taggart answers the question in the remainder of his commentary, "Gold's Regular Morning Mugging," posted at Peak Prosperity here:
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
Get the real story about the precious metals
from the Sprott Precious Metals Round Table
Now you don't have to travel to attend a financial conference to hear Sprott Asset Management's precious metals experts -- Eric Sprott, Rick Rule, and John Embry. They'll be holding a round-table discussion via the Internet at 2 p.m. ET Tuesday, February 12, and you can be part of it. Among their topics:
-- Why are precious metals such a compelling investment opportunity?
-- Why are non-G7 central banks buying gold? Do Western central banks have any left?
-- Why are investors buying as much silver as gold in dollar terms? What does this mean for the price of silver?
-- Is the growing supply deficit of platinum and palladium going to push their prices higher?
To register for this Internet conference and participate from the comfort of your own home or office, please visit:
Join GATA here:
California Resource Investment Conference
Saturday-Sunday, February 23-24, 2013
Hyatt Regency Indian Wells Resort and Spa
Palm Desert, California
* * *
Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006:
Or by purchasing a colorful GATA T-shirt:
Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009:
Help keep GATA going
GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:
To contribute to GATA, please visit:
Opinion Around the World Is Changing
in Favor of Gold -- Find Out Why
When Deutschebank calls gold "good money" and paper "bad money". ...
When the president of the German central bank, the Bundesbank, pays tribute to gold as "a timeless classic". ...
When a leading member of the policy committee of the People's Bank of China calls the gold standard "an excellent monetary system". ...
When a CNN reporter writes in The China Post that the "gold commission" plank in the 2012 Republican platform will "reverberate around the world". ...
When the Subcommittee on Domestic Monetary Policy of the U.S. House of Representatives twice called on economist, historian, and gold standard advocate Lewis E. Lehrman to testify. ...
World opinion is changing in favor of gold.
How can you learn why and what it will mean to you?
Read the newly updated and expanded edition of Lehrman's book, "The True Gold Standard."
Financial journalist James Grant says of "The True Gold Standard": "If you have ever wondered how the world can get from here to there -- from the chaos of depreciating paper to a convertible currency worthy of our children and our grandchildren -- wonder no more. The answer, brilliantly expounded, is between these covers. America has long needed a modern Alexander Hamilton. In Lewis E. Lehrman she has finally found him."
To buy a copy of "The True Gold Standard," please visit: