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Quaintance and Brodsky: Imperial Constraint
9:40p ET Sunday, April 20, 2013
Dear Friend of GATA and Gold:
In their April letter, Lee Quaintance and Paul Brodsky of QB Asset Management in New York argue that the industrial world's financial system has pretty much detached itself from the real economy, that public policy is merely transferring wealth to favored from disfavored groups rather than fostering growth, and that the recent sensational developments in the paper gold market are fairly questioned.
In that respect, Quaintance and Brodsky write: "Does it matter that total Comex gold futures sales on April 12 and 15 were 12 percent more than total annual gold production? Are we looking for shadowy gold conspiracies where none exist? Are gold's 15 minutes (13 years) of fame finally over with the recent pullback of paper gold, or do the nut-jobs in tin-foil hats have it right? Anything's possible, but it also should not go unnoticed that Kim Kardashian's baby bump receives more accurate critical analysis than the forces behind secular global wealth positioning (not tactical financial asset market flows) and gold's relevance in it."
Anticipating greater inflation, or at least greater recognition of inflation, Quaintance and Brodsky make the case for gold ownership and ownership of gold mining companies. They write: "The bid for physical gold since 2000 has not been from dedicated financial asset investors in the West. It has been from global producers of human and scarce natural resources, and from global savers seeking to protect their purchasing power from expected and manifest central bank fiat currency dilution. It is seen by them as a store of purchasing power value, not as a speculation. Exchanging fiat currencies for physical gold today is exchanging currency used as media of exchange for the object against which that media is being devalued, and that may someday be more formally devalued by monetary authorities."
The QB Asset Management letter is titled "Imperial Constraint" and with the company's kind permission is posted at GATA's Internet site here:
http://www.gata.org/files/QBAMCOImperialConstraint.pdf
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
How to profit in the new year with silver --
and which stocks to buy now
Future Money Trends is offering a special 16-page silver report with our forecast for 2013 that includes profiles of nine companies and technical analysis of their stock performance. Six of the companies have market capitalizations of less than $800 million and one company has a market cap of only $30 million. The most exciting of these companies will begin production in a few weeks and has a market cap of just $150 million.
Half of all proceeds from the sale of this report will be donated to the Gold Anti-Trust Action Committee to support its efforts exposing manipulation and fraud in the gold and silver markets.
To learn about this report, please visit:
http://www.futuremoneytrends.com/index.php?option=com_content&id=376&tmp...
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GoldMoney Reduces Storage and Exchange Fees
From April 1 GoldMoney will be reducing by a third its storage fees on gold stored at all VIA MAT vaults to just 0.12 percent per year and halving the cost of storing silver with VIA MAT Switzerland to bring it in line with GoldMoney's silver storage fees at other vault locations: 0.49 percent per year as the standard fee and 0.39 percent per year for more than 50,000 ounces of silver. In addition, GoldMoney's minimum storage fee will be reduced to only 0.001 grams per month for gold, platinum, and palladium, and 0.001 ounces per month for silver. In April GoldMoney also will be simplifying and reducing its metal-to-metal exchange fees. For the full details of these significant fee reductions, please visit:
http://www.goldmoney.com/lower-fees-overview?gmrefcode=gata
