"We looked into the abyss if the gold price rose further. A further rise would have taken down one or several trading houses, which might have taken down all the rest in their wake. Therefore at any price, at any cost, the central banks had to quell the gold price, manage it."Sir Eddie George, Governor Bank of England 1993-2003
And I think they have been desperately attempting to cover up the consequences of their poor decision making in in bailing out the speculative interests of their banking cronies for the past sixteen years, while digging the hole in which they found themselves ever deeper.
The expected FOMC slam on the metals happened this morning with the news that new unemployment claims were much lower than expected.
That the economic news this morning also showed *zero* growth in personal income was ignored.
Jobs without living wages. Is this like making bricks without straw?
May is an active month for silver, but not for gold.
So we saw a spike for silver in the delivery report from yesterday as May becomes the silver front month.
I have included that report below. As a reminder, although the number of ounces is large, the volumes moving around the warehouses are also larger than gold.
Still, I wonder what the wiseguys will do if silver ever becomes in short supply, since the central banks do not hold any, and the US long ago depleted its strategic supply.
What happens when there is a run on the bullion banks again?
Excess leverage on supply constrained assets. Ain't it a bitch?
