China accused US and EU of supressing gold price

In a recently released US embassy wikileaks cable, China accused US and EU of suppressing gold prices.

The China Radio International sponsored newspaper World News Journal (Shijie Xinwenbao)(04/28):

 "According to China's National Foreign Exchanges Administration China 's gold reserves have recently increased. Currently, the majority of its gold reserves have been located in the U.S. and European countries. The U.S. and Europe have always suppressed the rising price of gold. They intend to weaken gold's function as an international reserve currency. They don't want to see other countries turning to gold reserves instead of the U.S. dollar or Euro.
Therefore, suppressing the price of gold is very beneficial for the U.S. in maintaining the U.S. dollar's role as the international reserve currency. China's increased gold reserves will thus act as a model and lead other countries towards reserving more gold. Large gold reserves are also beneficial in promoting the internationalization of the RMB."

This clearly goes to show that suppression of gold and silver prices is not just a fantasy of conspiracy theorists and that it`s in fact the true opinion of major players on world stage such as China. Russia also holds similar views.

Source: http://cables.mrkva.eu/cable.php?id=204405

All these developments that are gradually coming to light are extremely bullish signs for gold and silver.

Is media worshipping fake gurus? Nouriel Roubini`s case might present affirmative answer

Nouriel Roubini aka Dr. Doom is well known in the mainstream media circles as "the one who predicted 2008 economic crisis" as this would represent some huge credentials and credibility. There were many others like for eg Ron Paul who predicted the crisis and don`t take the credit they rightfully deserve. Let me give you a few names of people who besides this Dr. Doom predicted the 2008 crisis just as well if not better: Ron Paul, Peter Schiff, John Paulson, Jim Rogers.

However mainstream media doesn`t like or doesn`t want to highlight the so many times when their guru sweethearts are dead wrong.
Back in 2009, a while after the Jedi Master Dr. Doom made the economic crash prediction, he also made this extremely bold and confident statement about gold price:

“Maybe it will reach $1,100 or so but $1,500 or $2,000 is nonsense,” Roubini said. Source here.

Now in 2011, 2 years after we have gold sitting above $1,800 and poised to break the $2,000 barrier.

Back in 2009, Rogers openly contradicted Roubini, saying that Roubini`s idea of "gold bubble" is nonsense.

Now looking back in retrospect; should we stop listening to Roubini aka Dr.Doom!? Or should we at least take his statements with a lot of salt and not view him as the oracle that he`s(obviously) not.

I`ll leave you with some quality entertainment in the company of Dr. Doom.
Enjoy! :)

Gold and silver action yesterday - artificial action of margin calls

What we`ve seen yesterday in gold and silver was artificial action of margin calls in other asset classes, not much justification any other way.

Today we`ve seen gold&silver resume their natural upward trend which perfectly fits current environment.

Sharon calls it like it is. Perhaps one of the few voices on CNBC who do that.