Clive Maund: The golden age of QE and the fiat endgame

7:42 ET Tuesday, February 3, 2015

Dear Friend of GATA and Gold:

In his latest commentary, dated January 29, financial letter writer Clive P. Maund sounds a lot like GATA as he complains about market manipulation.

Maund writes: "A dramatic example of such gargantuan manipulation may be about to play out in the London stock markets. The normal interpretation of the giant pattern forming in the UK FTSE index, which we looked at not long ago, using traditional technical analysis, is that a huge triple top is completing. But the government may be able to avert this outcome by simply doing 'quantitative easing' on a sufficient scale to head this off and force an upside breakout. All they have to do is keep pumping money at a sufficient rate and make sure it reaches those whose task it is to keep the market levitated. This is the 'new paradigm' that we wrote of near the start -- never before have governments had such power to control markets. ...

"The other side of this manipulation coin is that they also have to power to beat down things they don't like, such as gold and silver, by endless waves of naked shorting. But this will work only until the gap between the physical and paper price becomes untenably large. Given the rampant global QE now underway and the resulting destruction of currencies, and that most of the available physical gold in the world has already been bought up by Asian countries, most notably China, their power to beat down the paper price of gold looks spent, and it is starting to rise again, after the onslaught of the past three years."

Maund's commentary is headlined "The Golden Age of QE and the Fiat Endgame" and it's posted at his Internet site, CliveMaund.com, here:

http://www.clivemaund.com/article.php?art_id=3391

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.