Is the gold price manipulated? Dr. Marc Faber says I hope so .... for your sake!
I often get asked about any possible manipulation of the gold and silver prices by central banks, bullion banks, etc. Frankly, I don’t know if the gold price is being manipulated or not. What I do know, is that I agree with Dr. Marc Faber on this issue. The Agora Financial folks caught up with him on Friday April 23rd. Here’s what they had to say:
“Faber also has a few things to say about the relentless swirl of rumors about how shadowy powers are suppressing the gold price.
Namely, that if the rumors are true, that’s just one more argument to accumulate metal.
"If you have manipulation to keep the price down, it eventually goes ballistic. So all the people that are bitching about the manipulation of silver and gold should be happy that it is manipulated, because it still gives them an opportunity to buy it at a depressed price.”
Dr. Faber also has an incredible track record and I would consider him to be the greatest macro oriented market timer that I know. He told his clients to get out of stocks two weeks before the 1987 crash. He told his clients to get back into stocks and ride it comfortably until the end of 1999. He told his clients to get into natural resources and precious metals in early 2001, back into stocks in 2003 and more precious metals. On 3/15/2007, he told his clients to expect HUGE losses if they stayed in stocks.
See a pattern? He is an incredible market timer. He also predicted in April of 2006 that we would see $6,000 per ounce gold by 2016. That is his gold price prediction. He also just informed the folks at MoneyNews the following:
"When I'm looking at all these characters in government, I want to own physical gold". So if he is saying that there is possibly manipulation and to get in NOW and buy gold before it is no longer at a depressed price – take that advice – buy gold! Also, remember that if it IS being manipulated, it still has quadrupled in price via market forces and true gold demand in nine years anyway!