You can still watch ROB-TV interview with Sprott Asset Management''s John Embry

Section:

9:50p ET Thursday, August 12, 2004

Dear Friend of GATA and Gold:

A GATA supporter in Canada, Mark Webber, has
provided an excellent account of the remarks
made this week on Report on Business Television
in Canada by our hero John Embry, president of
Sprott Asset Management and manager of its
gold fund. Webber's account is appended.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

* * *

SUMMARY OF JOHN EMBRY'S
REMARKS ON ROB-TV

By Mark Webber

Here is a summary of Sprott Asset Management
President John Embry's remarks on ROB-TV in
Canada this week:

There is no mystery why gold is stuck under $400.

The gold market is being heavily played with by the
authorities. Gold must be held under $400 because
it is a barometer of inflation. The central banks do
not want to see a higher gold price, given all of the
implications this would have for interest rates given
the necessity of printing more money for currency
debasement.

Gold is being pressured by the authorities so as
not to let any inflationary problems be revealed. One
reliable indicator has been removed.

Today we are operating in an allegedly free market,
which of course it isn't. This is just a replay of the
early 1970s with the London Gold Pool. We all know
how that ended and it will end the same way this
time, with gold going up dramatically.

The U.S. economy is going to roll over badly after the
presidential election. The economic recovery is dead.
The rollover has already started. Debt accumulation
is a problem that is going to show its ugly side soon.

Federal Reserve Board Chairman Alan Greenspan is
between a rock and a hard place.

If the Democratic presidential nominee, John Kerry,
is elected, things will get worse faster because he has
been making noises about paying down the deficit,
which is just not possible without breaking the camel's
back. Greenspan's only option is to pray that he can
turn the situation around and keep it going as long as
he can and that the debt load doesn't overcome the
United States.

The U.S. dollar is a disaster waiting to happen -- and
it will happen. The junior gold-mining companies are
extremely oversold and will reward quite handsomely
with their leverage when gold rises to where it is
heading. Geopolitical concerns, energy price shocks,
the U.S. triple deficits, and a slowing of the buying
of U.S. Treasuries are not good for the U.S. economy.

Embry expects that $500 gold is coming but perhaps
not until 2005. Sprott's Precious Metals Fund holds
13 percent of its assets in silver bullion because
Embry is confident in silver's price appreciation
potential. He thinks that $10 silver is a given and
that anything under that is a steal. He also believes
that the gold correction, especially in the juniors, is
about 90 percent over. They've been beat up the worst
and are a bargain at these prices.

His top picks were Orezone Resources, Southwestern
Resources, and Newmont Mining.

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NEWS AND ANALYSIS

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http://www.depression2.tv

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http://www.minersmanual.com/minernews.html

http://www.a1-guide-to-gold-investments.com/euro-vs-dollar.html

http://www.goldcolony.com

http://www.miningstocks.com

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http://www.freemarketnews.com

http://www.321gold.com

http://www.SilverSeek.com

http://www.investmentrarities.com

http://www.kuik.com/KH/KH.html
(Korelin Business Report -- audio)

http://www.plata.com.mx/plata/home.htm
(In Spanish)
http://www.plata.com.mx/plata/plata/english.htm
(In English)

Subscription site:

http://www.lemetropolecafe.com/

http://www.hsletter.com

Eagle Ranch discussion site:

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Ted Butler silver commentary archive:

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----------------------------------------------------

COIN AND PRECIOUS METALS DEALERS
WHO HAVE SUPPORTED GATA
AND BEEN RECOMMENDED
BY OUR MEMBERS

Blanchard & Co. Inc.
909 Poydras St., Suite 1900
New Orleans, Louisiana 70112
888-413-4653
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Centennial Precious Metals
3033 East 1st Ave., Suite 403
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www.USAGold.com
Michael Kosares, Proprietor
US (800) 869-5115
Canada 1-800-294-9462
European Union 00-800-2760-2760
Australia 0011-800-2760-2760
cpm@usagold.com

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222 South 5th St.
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www.ColoradoGold.com
Don Stott, Proprietor
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Gold@gwe.net

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Box 11296
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Harvey Gordin, President
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Greg Westgaard, Sales Manager
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Kitco
178 West Service Road
Champlain, N.Y. 12919
Toll Free:1-877-775-4826
Fax: 518-298-3457
and
620 Cathcart, Suite 900
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Canada
Toll-free:1-800-363-7053
Fax: 514-875-6484
http://www.kitco.com

Lee Certified Coins
P.O. Box 1045
454 Daniel Webster Highway
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www.certifiedcoins.com
Ed Lee, Proprietor
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3015 Ottawa Ave. South
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1-800-822-8080 / 952-929-1129
fax: 952-925-0143
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Contacts: David Schectman,
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Missouri Coin Co.
11742 Manchester Road
St. Louis, MO 63131-4614
info@mocoin.com
314-965-9797
1-800-280-9797
http://www.mocoin.com

Resource Consultants Inc.
6139 South Rural Road
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Tempe, Arizona 85283-2929
Pat Gorman, Proprietor
1-800-494-4149, 480-820-5877
Metalguys@aol.com

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15018 North Tatum Blvd.
Phoenix, Arizona 85032
http://www.swissamerica.com
Dr. Fred I. Goldstein, Senior Broker
1-800-BUY-COIN
FiGoldstein@swissamerica.com

----------------------------------------------------

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