Defining The Gold Cartel - купить в электронном или бумажном виде

According to any dictionary a 'cartel' or 'trust' is a combination of undertakings formed to exercise control over production or distribution, prices, etc. The Gold Cartel is a term coined to refer to such a combination when it controls the price of gold. It includes on the one hand large bullion trading banks, certain central banks, holdings and and on the other the US Government which is backed by the former. Central banks and bullion banks merely do what the US tells them to do. The Cartel was born in the nineteen seventies when and required such alliance.

The short history of the Cartel goes back to the nineteen seventies when the Cartel was founded as a consequence of the end of the gold standard and the result thereof - the soaring gold price. As Paul Volcker, the then chairman of the Federal Reserve, put it the context of that time required and imposed the joint intervention in gold sales. Furthermore, he added that no such action was taken at that time, which was an error. The natural consequences of such failure were the steep rise in the price of gold and the depreciation of the fiat currency.

That was the context that generated the Gold Cartel which nowadays acts as a major player in controlling the price of gold. In addition to that, it backs the fiat currency although its operation is detrimental to the free market of gold. Since the Gold Cartel interferes with the gold market to keep the gold price low, that should be tell-tale of two things. Such interference signals the imminent possibility of a recession; alternatively it could hint at the fact that gold bullion bars may be a useful purchase.

Moreover, the Gold Cartel's maneuvers are a warning that the price of gold will soon be on the rise. Therefore, one should hurry up with the gold bullion bars purchase. As much control the Cartel may exert on the gold price, it can never prevent its ascension. In the end, the gold always wins. What the Cartel members can do is to let gold soar less than it actually does so that the negative effect on the depreciation of the fiat currency is reduced. In other words, instead of letting gold surge by say 16.3%, they restrict its rise only to 15%.

Despite allegedly acting for a common good cause, the Gold Cartel has found two opponents brave enough to defend the free market. Bill Murphy, a financial commentator, and Chris Powell, a Connecticut journalist, joined their forces in 1999 to co-found the Gold Anti-Trust Action Committee. The committee's declared mission is that of countering the Gold Cartel's collusive actions that aim at controlling the price and supply of gold.