Thread: Is gold running out?

Re: Rumors on the floor…ETF GLD has busted Comex... GOLD PRICE SET TO GO PARABOLICabout 2.3 million ozs of gld has been drawn down since that USA Gold forum post of yesterday morning. One would have to assume the situation is even more critical for the comex now. hence Dan norcinis ellipitical call for the funds to avoid gld and put their money in gold futures instead... Someone on the precious metals board posted a similiar Jim sinclair assault on gld as well. It wasn't dated but todays norcini statement is enough anyways. THAT THERE IS A SHORTAGE OF THE PHYSICAL GOLD SUPPLY OUT THERE HAS BEEN THE CONSENSUS FOR SOME TIME IN THE GOLD COMMUNITY.... The gld draw downs if they continue could bring this supply shortfall to a head real quick. hence the comex is under threat rumors. hence the gata hit piece on gold this week and the dan norcini one and the redredging at the very least of jim sinclairs negative commentary on gld....

AND YES IF GLD TRIGGERS A PHYSICAL GOLD SHORTAGE IT WILL HAVE TO CLOSE DOWN ITS PURCHASING OPERATIONS BECAUSE IT CANNOT GET ACCESS TO TO THE GOLD TO MEET ANY NEW BUYERS DEMANDS..

and the comex paper trading platform would seize up as per the rumors huh? ????

here is the cytek post again: and remember only about 350,000 ozs of new gold are available to the market each business day... some of that is hedged gold being returned to the financiers of the hedge to huh?


Rumors on the floor…ETF GLD hast busted Comex...from usa gold farum


Cytek (usagold.com 11February2009; 9:15)
Rumors on the floor…ETF GLD hast busted Comex
Rumors are flying and with everyone taking physical delivery of gold it sounds like the physical supply has been depleted. Has anyone heard this ?
If this is true then the PPT and the JPM’s of the world cannot artificially suppress the POG with contracts. GOLD WILL FLY>>>

Cytek

Read this today.

Has the supply of gold ran out?

^ yeah, like Oil run out last year

gotta love those trader chain letters,

mrsquirrel,

Where is this article from?

Is it a forum? I haven't read this anywhere else, and i read about 8+ newspapers a day.

Originally Posted by Butterfly

^ yeah, like Oil run out last year gotta love those trader chain letters,

I read it on a trading forum, then variations of it on a few other forums.

Then came across another forum, which I've lost just now, try to find it again, that contacted a gold ETF - GLD - and asked them where there gold had come from and some other questions.

Didn't really believe that it's running out.....but....it's interesting to see a panic email/forum post like that appearing, especially after the HBOS rumor one.

SPDR Gold Trust (ETF) A Safe Haven?

Sounds like a bunch of nutters, but still interesting.

Surprising fact of the day:

it is estimated that all the gold in the world would fit into a cube that is only 25m square.

I am not worried about it,
Me and DF are going to go after that lead into gold thing that Merlin was so sure that he had figured out for old King A., but he was a tad off, so with DF engineering expertise we should be able to go into full scale production soon.

well not really soon as they have to get those wide overpass things built both directions across the US first. But say within th next 100 or so years.

Originally Posted by mrsquirrel

Didn't really believe that it's running out.....but....it's interesting to see a panic email/forum post like that appearing, especially after the HBOS rumor one.

it's called stock pushing, it's actually illegal for stocks per SEC rules, it used be very popular in the early days of the Internet. Newsletters, forums are now the new venues for those "frauds" and small speculators to push their recommendations so they can't do the exact opposite. You can bet that as soon as it's going up, they are selling massively what they already have when they paid too much last year. They need a rebound. They should never be taken seriously. Sometimes they get it right though, like a broken clock that is right twice a day.

Originally Posted by mrsquirrel

Sounds like a bunch of nutters, but still interesting.

All those little trader forums are made of nutters, it's not only forum, it's the whole industry littered by nutters. I used to work for traders when I started, I worked on a trading floor. I never saw so many losers and delusional fools in one place, it was amazing. This is when I decided I will never be a floor trader or even a trader. Complete stupid job, even though you can make a lot of money, but also losing a lot of money. A more 90% quit completely ruined, of course you never see those stories.

Remember....you can't eat gold.

maybe not,, but you can buy pussy and you can damn sure eat that..

^ nice quote, I will post that one in your tribute thread

Originally Posted by blackgang

maybe not,, but you can buy pussy and you can damn sure eat that..

Don't have to buy it, just use your charm.

A disturbing (and quite logical) observation by Jim Sinclair is that the gold ETF (ticker symbol GLD) might actually be a bit of a scam. In theory, people who buy a share of GLD own 1/10 of a gold ounce (minus a small maintenance fee) held for them in a vault. Here's a little of what Sinclair wrote on his web site:

"From where did all the gold claimed to be owned by all the gold ETFs come from? Where did funds such as GLD get their additional 45 tons in the last month? We certainly can forget about that gold coming from the Comex. 12 deliveries would stand out like a sore thumb."

"The physical market is so tight that coin minting has all but closed down compared to what it was one year ago. It is hard to accept that the Gold EFTs can buy what the mints can’t."

"A read of the original prospectus removes any thought that the gold is leased, but leaves one to invite probability.That probability is that the claimed gold can only be OTC derivative long positions. If that is so then the financial reliability of the paper stands on the foundation of the balance sheet of the granting counter party to the OTC derivative."

"That would be an investment in the same type of financial instrument (not gold) that one owns gold bullion to protect against."

"I think you own an ETF of derivatives, not of gold!"

"Like so many other surprises of the last two years the Gold ETF shareholder may actually have no gold at all."

Where Do All The Gold ETFs Get Their Bullion From? : Welcome To Jim Sinclair’s MineSet

The only way to own gold is to physically hold it. Thats what I have done and it is now locked away in a safety deposit box and I have the only key.

Bits of paper saying you have gold are just bits of paper, toner and fancy letterheads.

Makes me Laff, I remember 10 yrs ago, the sentiment was firmly against gold.
Reserve banks everywhere, even OZ where telling everyone how worthless Gold was and they were going to dump the reserves on the market.
Pushed the price down even further, All Market manipulation.

Interesting. The daily process output from a South African gold mine is a rather small amount. Went down a mine as a kid & remembered how little gold there was actually for sale, as bars - at the end of it all.