Money manager Eric Sprott says, “The central banks’ gold is likely gone with no realistic chance of getting it back.” Don’t expect this revelation to get any coverage by the mainstream media. In an interview with Bloomberg last week, Sprott’s analysis was met with words such as “gold bug” and “conspiracy theory.” Sprott answers that sort of disrespect by saying, “We’ve had so many conspiracies, I don’t know why anyone would think this was unusual.” To back up his point, he named “LIBOR, electricity markets in California and the Madoff” scandals. Sprott’s analysis shows a “flat supply” and at least a “2,500 ton net increase in gold demand” since 2000. “Where’s all the gold coming from?” asks Sprott. He says Western central banks “. . . keep supplying this market with product in order to keep the price down so nobody knows how vulnerable the situation is.” Sprott, who manages nearly $10 billion in assets, boldly proclaims, “We have a shortage of gold.” Join Greg Hunter as he goes One-on-One with Eric Sprott of Sprott Asset Management.

 

  1. In the immortal words, uttered by Al Capone in Congressional testimony; ‘You got nothin’ …’

    There’s nothing in those ‘Treasury’ and bank vaults of any real consequence … even a damned laundry ticket has more real ‘value’ than their digitized claims. And, THIS is what’s ‘backing’ the entire planet’s banknote scheme! It was ‘defense’ of a willful fiat ‘price’ on gold that’s brought us to this juncture. I pray that when the governments and bankers hit the proverbial ‘canyon floor’, that the indescribable stupidity of that hubris isn’t lost on them. NO good in the markets can be ‘fixed’ … ESPECIALLY money.

    • Yes the central banks are selling/leasing their gold, but the other huge huge source of gold coming onto the market is undoubtably gold from GLD. Jeff Nielson makes the stunning revelation that GLD holdings -with HSBC as the custodian- are roughly the size of COMEX gold shorts, the largest COMEX gold short being …… HSBC.
      As long as investors are stupid enough to keep buying GLD, then they are providing the funds for banks to suppress gold. What an ingenious crime.

    • Exactly! Digital currencies aren’t tangible so whenever I use my debit card, the dealer can charge me twice by asking me to use my card twice for the same item. Also with cash, you can always have access to it and all dealers accept it and if there’s an EMP attack in North America, then all digital currencies will be gone!

  2. When Eric Sprott can talk about it… I’d love to hear from him the process in which he typically takes physical delivery.  Ie: How many armored trucks or freight trucks are involved, delivery timelines, how many days/weeks notice are required to schedule shipments with the carrier companies, etc.  I’ve never heard anything about the logistics of sourcing large quantities of refined metals.

    Also: I expect Eric King to interview Eric Sprott in the coming weeks after the quiet period is lifted… and we’ll probably find out how bad the silver delivery process really is in this “tight” market.  Last time it was many many months ….

  3. The central banks’ golds are gone because they are selling their physical gold so that they will be able to keep the physical gold’s price down but this won’t work forever because the Asian countries are buying up all the golds in the market. The central banks won’t be getting them back because the Asians will keep them to protect themselves against inflation.

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