- Dear Friend of GATA and Gold:
- The U.S. Mint has suspended sales of American Eagle gold
coins and is refusing orders from dealers, two coin and bullion dealers
- The mint's suspension of gold coin sales follows its
tight rationing of sales of silver eagle coins, begun in May, when sales
to the public were terminated and sales to the mint's 13 authorized dealers
were tightly limited.
- Word of the mint's suspension of gold coin sales came
from the American Precious Metals Exchange in Edmond, Oklahoma, (<http://apmexdealer.blogspot.com/2008/08/news-alert-us-mint-suspends-sales-of.htmlhttp
and from Centennial Precious Metals in Denver, Colorado.
- The suspension is overwhelming evidence that the futures
contract price of gold on the commodities exchanges is substantially below
the physical market price and that, indeed, the commodities exchanges are
being used as GATA long has maintained -- as part of a massive scheme of
manipulation of the precious metals, currency, and bond markets.
- Michael Kosares, proprietor of Centennial Precious Metals
and host of its Internet bulletin board, the USAGold Forum
- (<http://www.usagold.com/cpmforum /http://www.usagold.com/cpmforum/),
- "The U.S. Mint buys direct from the refiners, and
this suspension of gold eagle sales may be an indication that the supply
line is already backing up, or that the mint expects that it will back
up for the rest of the year. I wonder who would give up physical metal
at these prices and under these circumstances except distressed sellers.
The central banks are in a hunker-down mode as far as I can determine,
and it's the mines that supply the refiners. So if the mint, which buys
from the refiners, is having a difficult time locating metal, what does
that tell you? I keep saying that we may get a surprising rubber-band effect
later in the year when the pre-holiday/festival season kicks off in September/October.
It may happen sooner. One of our indicators of approaching a bottom in
gold is how many calls Centennial Precious Metals gets from our U.S.-based
Indian clientele. Here's a quote from my office's report to me at the end
of the day today: 'Today was a good day. ... There must have been an Indian
convention where someone was handing out USAGold business cards.' That
may give you a clue as to thinking in India proper and probably the rest
of the Asian rim."
- That is, through their agents the bullion banks the Western
central banks, desperate to prop up a corrupt and totteringt financial
system, have put gold so much on sale that even the U.S. Mint can't find
any now. The price reported from the commodities markets is a fiction --
a scary one, perhaps, but a fiction no less.
- You can strike a blow at the market riggers who are defrauding
the world -- just buy a little real metal The dealers listed at the bottom
right of this dispatch will be glad to help you do it.
- CHRIS POWELL, Secretary/Treasurer Gold Anti-Trust Action
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- Contact GATA