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Pacific Group’s Bill Kaye: Gold Plunge was an Operation by FedRes & Big Banks!

Don't you see the Illuminist pyramid and Satanic capstone on your dollar bill?

Don’t you see the Illuminist pyramid and Satanic capstone on your dollar bill?

  • Pacific Group’s Bill Kaye: Gold plunge was an operation by Fed, big banks! 
    by cpowell, http://www.gata.org/ 
    Dear Friend of GATA and Gold:
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    April’s abrupt plunge in the gold price was an operation of the Federal Reserve and major banks to protect the Fed’s “quantitative easing” and paper gold shorts that can’t deliver the metal they have sold, Pacific Group founder and fund manager William S. Kaye writes in the May market letter of Pacific Group’s Greater Asian Hedge Fund.
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    Kaye, who in January announced his fund’s commitment to a major purchase of gold –
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    http://www.gata.org/node/12150 
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    – adds that gold exchange-traded funds are being used to manipulate the gold price and essentially are being looted by the banks that are short the metal. He expects paper gold to default this year and the gold price to be reset upward.
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    By Pacific Group’s kind permission, Kaye’s letter is posted at GATA’s Internet site here: http://www.gata.org/files/PacificGroupLetter-05-10-2013.pdf 
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    CHRIS POWELL, Secretary/Treasurer Gold Anti-Trust Action Committee Inc.
    ==================================================
    The takedown of gold in April was an eight standard deviation event. The reason I note this is statistically eight standard deviation events simply don’t occur. The crash in 1987 in the US equity market and the similar crash in Hong Kong in 1997 were 3-4 standard deviation events. In over three decades of investing in markets I’ve witnessed major moves in various asset classes but nothing remotely close to eight standard deviations.
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    So the crash in the paper gold market last month was not only financially painful but extraordinary. Something this unusual bears scrutiny. I’ve spent a great deal of effort piecing the story together so we can manage our risks better and develop more profitable trading strategies.

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    In April, your Fund as well as other large holders of gold were victims of a massive criminal conspiracy. The conspirators were the major banks (aka Banksters) and the Federal Reserve System of the USA, another institution we believe to be entirely corrupt. The same Banksters who rigged LIBOR and created financial products designed to fail so they could loot their customers (Muppets) had a private meeting with President Obama on or about April 10. Fourteen of the world’s biggest banks got together with the President privately to discuss something important. Insofar as I know no public transcript has ever been made available. In the immediate aftermath of this meeting gold got slammed on April 12 and April 15. It has since rebounded from it’s worst levels but remains suppressed below 1500. On the day of the crash an order to sell short 400 tons of gold suddenly appeared on the COMEX. This is an enormous amount of gold and is totally unprecedented. The market panicked as hedge funds joined the party to slam a market that could now go only in one direction. Goldman Sachs reportedly entered the order but they don’t own 400 tons of deliverable gold bullion. To put things in perspective, the COMEX reported the total eligible gold in all their warehouses around this time to be only about 6.1 million ounces (190 tons). So who could enter such an order? Who could get access if needed to this quantity of eligible gold? Who has sufficient financial backing to take on this magnitude of risk? The only entity in my judgment that ticks all these boxes is the Federal Reserve. The Fed can digitally create as much money as it wants and doesn’t need to be concerned with risk (it’s not their money).
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    read more!

end

May 13, 2013 - Posted by | Economics | , , , , , , , ,

1 Comment

  1. […] Pacific Group’s Bill Kaye: Gold Plunge was an Operation by FedRes & Big Banks! […]

    Pingback by Gangster State America — State of Globe | May 13, 2013


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