John Rubino: World suspects manipulation, and bubbles are everywhere


10:53p ET Wednesday, November 29, 2006

Dear Friend of GATA and Gold:

John Rubino, partner with James Turk in authorship of the book "The Coming Collapse of the Dollar," has written two essential essays this week.

The first, "The Whole World Is Watching," describes how market manipulation, derided as crackpot conspiracy theory when GATA began complaining about it in 1999, is now widely suspected and even taken for granted and so is losing effectiveness as it gets found out. You can find this essay at Gold-Eagle here:

Wits Gold: A long-term option on gold


10:13p ET Wednesday, November 29, 2006

Dear Friend of GATA and Gold:

Wits Gold is among GATA's biggest corporate supporters and the Wits Gold story is as dear to GATA as the company is, for the Wits Gold story is gold's own story since GATA's founding in January 1999.

It started with the belief that gold's value was being obscured by surreptitious manipulation of the gold market by financial houses and central banks but that this manipulation would be both defeated by exposure and exhausted by the banks' dishoarding of their gold.

China seen trying to manipulate copper prices down


By Andrew Pasek
Xinhua Finance
via AFX News and
Wednesday, November 29, 2006

BEIJING -- China is keen to bring rising copper prices under control and may take strategic market positions during the end-year lull to help control prices for the metal, Numis Securities said.

"Thin trading on the LME over Christmas could make the market vulnerable to manipulation from key consumers, like the Chinese, who could make a concerted effort to reduce prices in this environment. The danger is that the bulls could decimate anyone who dares to short the market and this threat could keep speculators away," Numis said in a research note.

Mid-tier gold miners are takeover targets, maybe for Billiton


12:44p ET Wednesday, November 29, 2006

Dear Friend of GATA and Gold:

MineWeb's Dorothy Kosich notes research concluding that the mid-tier gold mining sector in politically secure North America is shrinking and causing a rise in valuation of other mid-tier producers around the world, including IAMGOLD, Agnico-Eagle, Eldorado Gold, Centerra Gold, and Yamana Gold, which now are identified as likely targets for takeovers. You can find Kosich's story here:

Barrick won't extend offer for NovaGold past Dec. 6


Barrick Gold Press Release
via Market Wire
Wednesday, November 29, 2006

TORONTO -- Barrick Gold Corp. announced today that Wednesday, December 6, 2006, will be the final expiry date for its US$16 cash offer to acquire the common shares of NovaGold Resources Inc. There will be no further extensions of Barrick's offer.

Barrick's offer is now unconditional. Any and all shares tendered prior to 9 p.m. (Toronto time) on December 6, 2006 will be purchased by Barrick for cash. Payment will be made by December 8, 2006.

World starting to sense that too many dollars are floating around


China's Reserves Spur Policy Debate

By Elaine Kurtenbach
Associated Press
Tuesday, November 28, 2006

Speculation over China's plans for its $1 trillion in foreign reserves is rattling global currency markets, while fueling a lively debate back home over how Beijing should use its unprecedented wealth.

China's central bank, the People's Bank of China, refused comment Tuesday on rumors that Beijing is shifting its foreign reserve holdings away from U.S. Treasuries, speculation that helped push the dollar sharply lower in currency markets Monday.

Now India is talking about diversifying forex into gold


Tarapore for Increasing
Gold Component
in Forex Reserves

From The Indian Express / Financial Express, Mumbai
Wednesday, November 29, 2006

MUMBAI, Nov. 28 -- Underscoring the benefits of diversifying foreign exchange reserves and the uniqueness of a gold component as part of the forex basket, S.S. Tarapore, former deputy governor of the Reserve Bank of India and an economist, has strongly advocated for increasing the proportion of gold in the country’s forex reserve. He was speaking at a conference, "Foreign Exchange Management: The Way Forward," on Tuesday.

Suspicion of manipulation falls on Treasury repo market


The Bond Market's Dirty Secret

A Whiff of Scandal Threatens
Treasury Repurchase Market

By Katie Benner
Fortune magazine
Tuesday, November 28, 2006

Like greenbacks in a mattress, government bonds enjoy a reputation as a fail-safe investment. The integrity of the $4 trillion-plus U.S. Treasury market is essential, because it keeps investors, particularly big foreign players, pumping cash into the debt-laden federal coffers.

Grandich remarks on market manipulation during ROB-TV interview


9:14p ET Tuesday, November 28, 2006

Dear Friend of GATA and Gold:

GATA's great friend Peter Grandich of The Grandich Letter was interviewed for an hour Monday by Jim O'Connell on "Market Call" on Canada's Report on Business Television and in the course of taking viewer questions about particular mining shares repeated his general endorsement of GATA's complaint of manipulation of the gold market. Indeed, Grandich went beyond that and noted manipulation in the general equity and bond markets as well.

Ambrose Evans-Pritchard: Currency controls for Europe not so far-fetched


11:21a ET Tuesday, November 28, 2006

Dear Friend of GATA and Gold:

Ambrose Evans-Pritchard reported in London's Telegraph yesterday that the prospect of currency controls in Europe is a lot greater than imagined. His column is appended here. It may evoke the statement the U.S. Treasury Department gave GATA last year, claiming the power to seize or freeze any assets, not just gold and silver but also ordinary currency and securities, upon the president's proclamation of an emergency: