Sinclair – Full-Blown Panic As People Ask “Where Is The Gold?”
April 24, 2013
Today legendary trader Jim Sinclair warned King World News about the full-blown panic that has erupted in both the financial world, and the gold market as well, as people ask, “Where is the gold?” Below is what Sinclair, who was once called on by former Fed Chairman Paul Volcker to assist during a Wall Street crisis, had to say in this remarkable interview.
Sinclair: “People have to understand what the motivation was for the recent takedown in the gold price. It was so well organized, strategized, and executed by the gold banks, in unison, even though it has had the unintended consequence of creating a massive and worldwide buying frenzy in the physical gold market.
There is a comparison that is obvious today because I was very involved in the $1 billion loan which had to be made at the time that the Hunt’s positions went into default (in 1980). This was at a time when Bache & Company, and Merrill Lynch were rumored to be at least on the fence, if not entirely insolvent.
You have to understand that back in 1980 when gold had risen to $887.50, and silver traded above $51 an ounce, the financial world was in a full-blown panic and many people firmly believed the dollar was going into oblivion.