With an eerie calmness in global markets, even with the continued chaos in Washington, today a man who has been trading major markets for over four decades told King World News, “Western manipulators are going to be crushed by the growing tidal wave of physical gold demand.” He also spoke about the incredible and historic events which are now taking place. Below is what James Turk had to say in this powerful interview.
Turk: “The level of complacency at the moment, Eric, is astonishing. The budget fight in Washington has now rolled into a debt ceiling fight, and the market repercussions have, so far, been unbelievably mild when considering what is at stake here, which is the solvency of the US government and the future of the dollar….
“This point really came home to me when I was listening this weekend to the two interviews KWN posted withAndrew Maguire and Art Cashin. They are excellent. Each interview was so insightful and full of information that I listened to each one twice.
Maguire used the term “synthetic supply,” which I think very accurately describes what is impacting the gold market. His conclusion was that all of this selling of paper derivatives, aimed at trying to keep a lid on the gold price, “doesn’t change the bullish fundamentals at all,” with which I wholeheartedly agree.
What we are seeing today is a lot like what happened in the 1960s. Back then, the US government dishoarded over 12,000 tons of gold from Ft. Knox in order to keep the price at $35 per ounce, which was an exceptionally low price, even when measured with the purchasing power of a 1960s dollar.
But all of that dishoarding did not change gold’s underlying fundamentals. The supply of gold dumped on the market was soaked up because so much paper money was being created. Buying this gold was an easy decision by those who understood gold because they recognized that it was very undervalued.
Read the full article at KING WORLD NEWS