May 31, 2017

We Have A Reverse Bubble In Gold

Big banks simply pursue their own self-interest and certainly Wall Street does not want the price of gold going up they want the price of stocks going up, they want the price of bonds going up that's where they generate all their fees so they have a vested interest in being negative gold. 

But it's also a kind of a self-perpetuating prophecy if they keep selling into the rallies and you have so much gold that trades in paper markets where it's not real, you have people buying gold from people who don't even have it and they're selling gold they don't own to people who don't want it but you have this huge paper market and there's a lot of selling pressure there. 

But I think ultimately the price of gold is going way up and the fact that maybe it's suppressed maybe it's intentional maybe it's just a result of people pursuing what they think is right but all bubbles are like that. You had bubbles in the dot-coms, you had bubbles in the housing market. 

This is almost like a reverse bubble in gold. We have a bubble in fiat currencies, we have a bubble in the US Dollar and when that bubble pops, those currencies are going to crash and you're going to see the collapse in the price of gold because the price of gold rising will be the collapse of the fiat currencies.

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