Maguire - Goldman & Media Full Of Sh*t When It Comes To GoldToday the man who was the original London metals market whistleblower takes King World News readers on a trip down the rabbit hole of propaganda and outright lies made to the public which are emanating from the mainstream media, Goldman Sachs, and other major banking institutions. Below is what London metals trader Andrew Maguire had to say in Part II of a powerful series of interviews that have now been released.Maguire:
“The slow, steady backfilling conditions in gold make it really difficult for the Fed to halt gold’s rise. And it really forces the bullion banks, who act on their (the Fed’s) behalf to retrench higher, not lower as they would wish.
The banks are not going to throw physical (gold) into the market to depress prices because they don’t have any. They are too busy trying to source immediately deliverable bullion to meet the existing delivery requests....
“All they have left when a physically driven rally drives the price higher is to scaremonger and repeatedly call gold lower, while the funds and investors are still conditioned to expect gold to crash as we approach each technical stair step higher. They are trying to scare out the longs to create a self-fulfilling script.
... Although Goldman Sachs’ silence is almost deafening now on the $200 rise, it’s interesting to see a continuing array of negative spins being put out on the gold rally. And we’ve seen this all the way up from the $1,180 low. This week we tested highly vulnerable short-stops that would have been uncovered above the $1,400 level.
Directly after the so-called ‘bullish’ Non-Farm Payroll Report, almost immediately Reuters happened to report that ‘China was selling gold.’ Pretty quick assumption. It’s almost as if the statement was pre-loaded and ready to go on any slightly bullish economic news. But selling gold? Where did that come from, Eric? That’s a joke. But headlines are all that matter to the algorithms, who, within milliseconds, act.
This is the kind of ‘management’ the bullion banks are now reduced to. In disseminating this misinformation, they were obviously trying to make the connection between a lower discounted gold premium in Shanghai being sufficient evidence that there was not only a lack of physical demand, but that China was selling. Anyone close to the wholesale market would know that this statement (from Reuters) was patently false.
... Shanghai deliveries continue to be extremely strong. The current discount in Shanghai gold is down primarily due to a weak Dollar/CNY (yuan) cross. The difference between a 6.07 exchange rate (6.07 yuan for 1 U.S. dollar), which we saw in January, vs. the 6.228 exchange rate we saw today as Shanghai closed, makes a $30 an ounce difference (in terms of the gold price).
So instead of a $3.80 discount that we saw this morning, it would effectively have been, from a Chinese perspective, close to a $30 premium (for gold). That’s bullish. The Chinese retail buyer couldn’t care less what the dollar price of gold is. And as far as the PBOC (People’s Bank of China), with a 500 year view on gold, and not a one minute bar (chart) view, they (simply) want to unload their dollars without disrupting the markets. How fast they can exchange their dollars for gold is really the only question.”
The information above was just a small portion of what Maguire had to say in his extraordinary audio interview
Click here for the .mp3 of Andrew Maguire's Interview