Very nice essay. All this stuff is based on the paper gold market (gold ETF whose name I forgot) that’s much more volatile than delivered physical. The Fed’s job is to turn those people into day traders or bankrupt them (most likely both). The ETF gold market has little resemblence to reality where I went last Sunday. Plenty of physical lying around but no firesale prices, just people ordering more physical.
JPM and the Fed are very happy to see thousands of gold and silver longs get get cleaned out in the last few days. This will tamp down the PMs markets for a while partly beacuse people have lost big and are out of betting money
Did JPM and The Fed have a hand in this route? Yes, it would not have been as bad without them. JPM has special trading programs (algorithms) that amplify downward trends/panics in gold and silver. JPM is the Feds agent here. JPM “owns” the NY Fed or let’s just say it has lots of influence on the NY Fed money machine
Latest best rumor (truth?) being there is a tunnel inbetween the JPM and NY Fed Reserve subterranean gold vaults. The ones in that Die Hard movie