8/14/2019 Gold $6400 STOP PRESS - Supplement - Why the Gold Dropped?

http://slidepdf.com/reader/full/gold-6400-stop-press-supplement-why-the-gold-dropped 1/1

Supplement to Article - Gold $6400, Silver $ 80

STOP PRESS by Kalidas Dec 7, 2009 Attention Readers:Recent correction is the welcome Buy opportunity. The correction was engineered on wrongnotions as under:

1. 

On Friday, Japan started buying dollar to weaken the Yen from 86 + level. Dollar strengthenedas result against Yen initially.2.  By coincidence, job numbers also came out. There was still a loss, but less than negative was

treated as positive, and $ strength against Yen was treated as signs of bullish overtones fordollar.

3.  Meanwhile, Bank of America stated that it would reply TARP funds to the extent of $ 45billions. No one knows the source of such funding. This was again taken as sign of recovery.

4.  As result, the $ index was up, gold down and Yen also down. This was triangular action. Themoney released did not go to Dow or NASDAQ or bonds.

5.  Early correction on Monday due to margin calls was expected. Once it is played out, the pricesshould begin to recover. $1135 was the strongest point from where the rally started.

6.  Meanwhile, the Giethner wanted to play a step further. He mentioned that Citigroup would

repay TARP money of $ 45 billions but he wanted to sell the Citigroup equity at about $ 6billion profit.a.  What is the source of $ 45 billions, no one knows the source. To earn $ 45 billions, one

has to raise lending by $ 9 trillions (presuming they make 0.5% spread). Citi is not giving loans even for $450 millions, where is the question of giving fresh loans of $ 9trillions?

b.  Treasury Secretary Geithner mentioned about State making profit of $ 6 billions onCitigroup stock sale. What he DID NOT mention was that the state was on the verge of losing $ 306 billions of worthless debt guaranteed by US government at the behest of Hank Paulson and Jeff Bernanke. So gain $ 6 billions, lose $ 306 billions – a giant holeof $ 300 billions is not shown to the Senators, Congressmen, Public, Media andInvestors.

i.  Same worthless debt of $ 306 billions was bought by the same broker who hadinside info.

ii.  It was bought for pennies from the market, and after the US government guarantee was arranged, the”default status debts” were given AAA status andsold in the market at filthy profit.

iii.  The said broker made billions of dollars of profits when other counterpartswere still losing.

iv.  The said broker then announced charity of $ 500 millions later.c.  The media is broadcasting what the Administration and leading stock broker wants.

Most of the business channels Anchors and their Assistants have worked for that broker. They also interview the same brokers from time to time.

d.  Lie, Lie and Lie - is what we get today almost in every media. The media has been

hyping recovery by seeing all negative signs as positive signs. If jobs lost are less, theyconsider signs of recovery; they consider “lost jobs” as lagging signs of recovery. If that was so, why same media did not give “sale” call when the employment was at its peak.

7.  Nothing has changed. The economy is still in shamble. Once the margin calls on gold’s Fridayplunge dies down, the Gold will start booming again. It is a question of one or two days.

8.  If you are convinced of the above analysis, treat the fall as golden buy opportunity for gold. It also applies to Silver.