Tuesday, October 04, 2011
GOLD $700 AN OUNCE; SHORT SELLING; US-UK ATTACKS ON EUROPE
A. "Gold could drop to $700 an ounce."
Gold is currently around $1,671 per ounce.
(Gold bugs beware - the bubble is finally bursting)
According to Mark Williams, of Boston University’s School of Management:
"The last bull market for gold ended in 1980, when prices fell by 60 per cent.
"For 20 years after, owning gold was dead money.
"In 2011, the bubble is popping again."
B. At Global research, on 29 September 2011, Ellen Brown has written:
Financial Warfare: "Sheared by the Shorts". How Short Sellers Fleece Investors
"Why did gold and silver stocks just get hammered, at a time when commodities are considered a safe haven against widespread global uncertainty?
"The answer, according to Bill Murphy’s newsletter LeMetropoleCafe.com, is that the sector has been the target of massive short selling...
"A bear raid is the practice of targeting a stock or other asset for take-down, either for quick profits or for corporate takeover...
"When Lehman Brothers went bankrupt in September 2008, some analysts thought the investment firm’s condition was no worse than its competitors’.
"What brought it down was not undercapitalization but a massive bear raid on 9-11 of that year, when its stock price dropped by 41% in a single day...
"When done on a large enough scale, short selling can force prices down, allowing assets to be picked up very cheaply.
"Another Great Depression is the short seller’s dream, as a trader recently admitted on a BBC interview.
"His candor was unusual, but his attitude is characteristic of a business that is all about making money, regardless of the damage done to real companies contributing real goods and services to the economy..."
C. Dr. Webster G. Tarpley, at Global Research, 3 October 2011, has written:
Europe Must Fight Back Against US-UK Speculative Attacks
According to Webster Tarpley:
1. The US and UK are carrying out economic warfare against the Eurozone.
2. The problems of the Eurozone are being axaggerated.
3. The aim is to divert attention away from the problems of the USA and UK.
4. "London and New York are exporting their own derivatives depression into the EU, using credit default swaps, corrupt credit ratings agencies, and their entire panoply of financial dirty tricks."
5. The USA and UK want to be able to buy up assets in the Eurozone at bargain-basement prices.
6. The Anglo Americans want to destroy the Euro.
"The dollar is now so weak and unstable that it can only survive through the downfall of all the alternative currencies."
7. "If the speculation persists, certain forms of capital controls and exchange controls would be in order."
8. What Europe Must Do
A. Liquidate Zombie Banks; End Too Big to Fail.
About a dozen of the top European money center banks are clearly insolvent.
They must be subjected to bankruptcy proceedings, and their derivatives wiped out.
B. 1% Euro-Tobin on All Financial Transactions.
A 1% Euro-Tobin will serve to subdue speculation in general, and particularly to bridle the activities of the hedge funds.
C. Universal Cancellation/Freeze of Derivative Debts.
D. The most dangerous kinds of derivatives need to be permanently prohibited.
E. Raid the Ratings Agencies — Reports have surfaced in the United States that credit ratings agencies have engaged in insider trading by giving speculators advance notice of their attacks on US Treasury bonds.
F. Debt Moratoria Now for Crisis Economies.
Countries, like Greece, Portugal, and Ireland need to declare an immediate, unilateral, and total debt moratorium on all international financial debt.
G. Europeanize The European Central Bank.
The ECB must be taken permanently out of the control of secret cliques of unelected and unaccountable bankers and subjected to the democratic control of representative political institutions.
H. €1 Trillion For Infrastructure.
I. 40 Million New Productive Jobs for Full Employment.
J. End Afghanistan, Libya, Kosovo, and Other Military Meddling.
Foster a development community of sovereign states which would embrace Europe, Russia, Africa, the Middle East, and other parts of the world.