Are U.S. and China Together on Gold?
Source: GoldSeek, Rick Ackerman (12/17/09)
"Why would anyone think China is less qualified than the U.S. for pulling off a performance in price suppression where gold is concerned?"
While many precious metals bulls insisted for months that China is gold and silver's greatest ally, we saw firsthand last week how capable the Chinese are of pulling a rabbit out of a hat when needed. Much finger wagging for gold's recent price decline has been directed towards those dastardly Americans. This time, the gold bull's disdain had to do with the recent U.S. jobs report on December 4. Yes, the numbers—which are unquestionably fabricated—impacted precious metal markets. Nevertheless, those gold bulls who use the adage of "see no evil, hear no evil, speak no evil," where China is concerned are fooling themselves. . .
A full two days ahead of the jobs report, Chinese officials called gold's recent surge a "speculative frenzy." Yet, the jobs data bears the brunt of the blame. China had nothing whatsoever to do with this? Since when did they become our friend? Furthermore, how do we know the U.S. and China didn't act in unison here? A little of the "I'll-scratch-your back, you-scratch-mine," thing between old friends.
Damned Lies and Statistics
Phony jobs report or not, who in their right mind believes statistics coming out of the U.S. to begin with? Perhaps those who frequent tractor pulls and WWE wrestling events are so naive. Maybe even Middle America. But then, they're not typically the ones buying gold, are they?
Big government is big government, and while China and the U.S. clearly have their differences, they also have a responsibility to coexist and cooperate wherever possible, even though what we read in the papers and see on television often appears to dispute that. Why would anyone think China is any less qualified than the