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A chat with author of The Power of Gold

Section: Daily Dispatches

Copyright 2000 /
Not to be reproduced without permission

By Bill Murphy
September 30, 2000

Spot gold $274, down $2
Spot silver $4.87, down 5 cents

The evidence that there is a conspiracy to hold down
the price of gold could not be more clear. It also
could not be more clear that this conspiracy has begun
to fall apart. Ironically, the effort to suppress the
price of gold has intensified, but behind the scenes,
the air smells of putrefaction, of decay and demise.

The word quot;conspiracyquot; probably conjures more emotion
and derision than any other I can think of. The
traditionalists and mainstreamers often associate the
word with kooksville. Yet a conspiracy is only two or
more people or entities getting together privately to
attain a desired result. When put that way, there is
nothing dramatic or emotionally charged when describing
the gold manipulation.

To some degree what we are talking about is semantics.
But unfortunately what the gold cabal is doing with its
gold price suppression is more serious than a polite
discussion about bureaucratic maneuvers, market
smoothing, or interventions. What we have here is
criminal fraud, lies, and a malicious intent to harm
many individuals, countries, and gold companies around
the world.

This should not be sugar-coated or presented in a way
that suggests there is some greater good here. That is
what the Communists did. That is how they behaved. They
said they knew best what was good for the people.
Meanwhile, they were skimming off the goodies for

When the gold scandal is exposed, people are going to
jail. The inevitable class-action lawsuits against some
bullion banks and negligent gold producers may be
unprecedented. The rise in the price of gold may cause
certain bullion banks or gold miners to go under. There
will certainly be concern of a systemic risk problem in
world finance.

All of this because a group of bullion banks and part
of the U.S. government (with the aid of the British
government) wantonly decided to destroy a free market
to suit their own plans.

One or two entities could not have pulled the gold
scheme off for such a long time. I suggest that the
manipulation of gold began in earnest after Robert
Rubin left Goldman Sachs to become U.S. treasury
secretary. I have two years' worth of commentary in the
libraries at that name those
who were brought into the conspiracy to hold down the
price of gold.

When the price of gold explodes, the cry will be: quot;How
did this happen?quot; It will cause much distress and there
will be a witch hunt to determine who were the
perpetrators of the disinformation and fraud that
benefited the rich bullion banking crowd. With great
pleasure I will hand over the Midas du Metropole diary
of the scandal to prosecutors and investigators. (By
the way, there are three copies of this diary, all
stored in different locations.)

There is no point rehashing the voluminous evidence
collected over the past two years that proves that the
gold market is manipulated. In murder cases in the
United States, the prosecutor need not have an
eyewitness to convict the accused. He must prove only
that the evidence removes all doubt that the crime was
committed by the accused. In this case, the evidence is
enough that a jury would send the accused to the
electric chair if it were a capital case.

Whatever the fate of the manipulators may be, it cannot
be harsh enough.

I have suggested in the past that the gold price would
explode when the gold cartel loses control, and that
there several outside market events that could force
their retreat. They include a collapse of the dollar, a
skyrocketing oil price, a credit crunch accompanied by
contraction of bank loans, including gold, or a stock
market debacle.

The action of gold over the past week was quite telling
as to the extent of the gold cartel's worries. A week
ago Friday during the euro currency intervention, gold
shot up $6, only to be beaten back down that day by
Chase Bank and Co. It rallied again at the beginning of
this past week, only to be substantially battered the
past two days -- even though the euro did not budge and
the dollar weakened. In the end, the gold price is now
only a couple of dollars higher than it was before the
euro intervention. The weakening of the dollar had
little short-term effect on the gold price.

The gold big picture is even more telling. One year ago
today the price of gold was headed for the moon with
bullion dealers and some gold producing companies in
panic. Since then the gold cartel has taken the price
right back down to only a few dollars higher than it
was when the Washington Agreement was announced.

Free markets just don't act like this -- over and over
and over.

What has confounded some in the GATA camp is why the
cabal is keeping the price of gold so low. Too much
gold is being consumed too cheaply. Demand for gold
increases in gold-devouring India and in the Far East
as the price retreats. Gold companies are shutting down
mines because of the low price; some are being ruined.
The result is that gold supply is decreasing, making
the manipulation that much more difficult.

There is only one answer we always come up with: They
are that desperate and afraid that even a rally up to
$290 now, amid this fragile stock market, might attract
so much new investment demand that they could lose
control of gold as they did last year.

That loss of control could send gold up to not $337 per
ounce but to $437 or $537. GATA knows that Bank of
England chief Eddie George and friends were panicked a
year ago and thought gold was headed for $400 even then
-- at the height of the gold-buying frenzy. They know
from that experience that they may not be able to stop
it next time.

One more year has passed, one more year of coming up
with 1,500 tonnes of gold supply to fill the
natural/supply demand deficit -- the amount needed to
keep the price from rising.

Promises, promises, promises that gold will fly some
day. Great, but WHEN, you all say. I don't have that
answer except to point out that the day is drawing
nearer. Let us examine some of the evidence of that.

The over valued U.S. stock market is reeling. The tech
wreck forecasted by Frank Veneroso for this fall is
here already. The dot-com bust is here. I understand
that Business Week will feature a story about an
Internet company depression that is on the way. Dot-com
companies, such as Priceline, are routinely selling for
10 percent of what they fetched at their peaks. Big-cap
tech companies, such as Apple, lose half their market
cap overnight.

The Plunge Protection Team will surely pull out all the
stops to turn this market around, but they will have to
fight deteriorating fundamentals. It is not only the
high-tech news that has to disturb stock bulls....

* * *

Washington, Sept. 29 (Bloomberg) -- U.S. consumer
spending rose faster than incomes in August for the
second straight month, pushing the savings rate to a
record low and suggesting the economy grew more than
expected in the quarter ending tomorrow.

quot;We have plenty of income to spend, and we are spending
all of it and more,' said Joel L. Naroff, president of
Naroff Economic Advisors Inc. in Holland, Pennsylvania.
quot;It doesn't look as if consumers have put their wallets

* * *

Consumer saving in August went to -.4 percent, an all-
time U.S. low. Where are the funds to cushion a severe
stock market break? In the 401-K, that is where!

On top of that, the inflation news is worsening. The
prices paid component of the Chicago Purchasers Report
showed a jump on Friday to 66.7 from 58.6. The numbers
out of Germany were just as bad. The U.S. Bureau of
Labor Statistics is caught underplaying the real
inflation numbers. Evidence mounts that senior citizens
have been cheated out of retirement income. More and
more economists, such as No. 1 U.S. economist Ed Hyman
of ISI, are focusing on inflation concerns.

The public has been conditioned by Wall Street and the
cutesy pundits on TV that the stock market will always
come back, that buying the dip will always work, to not
fear dips in the stock market. There are many new
investors and 30-year-old money managers who have no
concept of real market fear, no concept of going to
sell stocks and finding no bids.

No need to dwell on this. The handwriting is on the
wall -- as in Wall Street.

Back to the gold cartel's fear. One can go back and
review a gold chart of this past summer. In every case,
after a one-day gold rally, or during that same day,
the price was taken lower to negate any momentum. Free
markets do not trade 100 percent of the time the same
way. This tells me how scared the gold cabal is of the
fragile stock market, in addition to its fears of
dollar collapse. Gold is used by many as a barometer of
financial market health. The gold cartel is
pathetically trying to continue to foster the illusion
that all is well. Their slip is showing.

That slip is showing so badly now that they have gone
to manipulating the oil market too by releasing oil
from the U.S. strategic reserves. The oil price in the
United States sank $7 to $8 from $38 to right above
$30. Our camp thinks the oil descent was a temporary
knee-jerk one and that the price is headed right back
up again. That can only heighten inflation fears, which
in turn will heighten fears of future earnings warnings
and perceptions that the stock market is headed lower.

To enhance this thinking, note the following oil wire
stories that Dr. X sent me last night:

* * *

Strategic Reserve Release May Have Backfired

WASHINGTON, Sept 29 (Reuters via --
Analysts say the release of U.S. emergency stockpiles
may have backfired, as lower crude and product prices
have made it more profitable to ship heating oil
barrels to Europe. Traders in the U.S. Gulf Coast and
New York hubs have already reported half a dozen
cargoes being loaded for export since Washington's
announcement on Friday.

quot;The administration shot themselves in the foot,quot; said
Tom Knight, analyst at Redmeteor, an Internet energy
trading company.

quot;They've increased the incentive to export our heating
oil when we should be building inventories here,quot; he

* * *

Consumers Face Natural Gas Price Shock

By Joseph Silha

NEW YORK, Sept. 29 (Reuters) -- As politicians fret
over high home heating oil costs, the price of natural
gas has been steadily climbing to record levels and is
likely to deliver an even bigger shock to consumers
this winter, industry analysts warn.

While the Clinton administration prepares to release
oil from strategic stockpiles to dampen high prices and
consumer anger, hardly a voice has been raised about
recent price spikes in gas, used to heat more than half
the homes in the nation.

Only about 10 million homes in the U.S. are heated with
oil, while some 56 million use gas.

On the New York Mercantile Exchange (NYMEX) this week,
natural gas futures prices topped $5.40 per million
British thermal units, a new record high and more than
double last year's levels. And few analysts see any
relief in sight.

quot;The gas situation is going to be very tight this
winter. Six dollars on NYMEX is very probable and seven
dollars is not out of the question. And if we get a
cold winter, prices could go significantly higher than
that,quot; said Kyle Cooper, energy analyst at Salomon
Smith Barney in Houston.

Utilities, looking to head off the coming backlash,
have warned customers to expect the worst.

* * *

I have mentioned in the past to be very careful about
believing what Arab nations or OPEC nations say
publicly about oil. From experience I can tell you that
reality may be very different that what is put out for
consumption by the public and the politicians.

Dr. X, who has a vast knowledge about the oil market,
has this to say about the next wire story:

quot;This is interesting. Read it carefully. This is
typically Arabic. They are supposedly saying they won't
disrupt supplies ... but it could happen!!

quot;The veiled threat is there that 'if sanctions are not
lifted and we don't have spare parts ... well, then
it's not our fault.'

quot;This cannot be taken as quot;we will not cut supplies.quot;

Iraq Will Not Hold Back Oil From World Market

BAGHDAD, Sept 29 (Reuters via -- Iraqi
President Saddam Hussein's deputy says Baghdad will not
hold back its crude from the world oil market but a
lack of spare parts was pressuring its production

quot;We are not going to hold back oil supplies,' Vice
President Taha Yassin Ramadan said. quot;Iraq is not an
opportunist ... Iraq has never held back oil supplies
under any circumstances as long as it has the abilityquot;
to keep pumping.

Ramadan said it would not be in Iraq's interests to
hold back its U.N.-monitored oil exports, which amount
to almost 5 percent of international trade in crude.
But he added, in reference to Iraq's lack of spare
parts: quot;If it is out of our control, I think there is
possible worry in this field of withholding the

Some traders had worried that Iraq might disrupt the
oil market by stopping or slowing its crude exports if
a Kuwaiti claim for Gulf War compensation went through
this week without any gesture toward Baghdad.

But fears receded after the five permanent U.N.
Security Council powers, in approving a Kuwaiti claim
for $15.9 billion in compensation from Iraq, agreed to
reduce the rate of reparations Baghdad pays for its
1990 invasion of Kuwait.

* * *

Cold weather will soon be upon the Northern Hemisphere.
Energy prices are headed much higher when the first
cold blast of winter cold is felt. If the winter is
cold enough, there could be an energy crisis, a panic.
That panic could easily spread to the bullion dealers
fearing an assault on their gold short positions.

As if the state of affairs in the stock and energy
markets is not bad enough, the almighty overvalued
dollar has topped out too. The prestige of the United
States, European Central Bank, and Japanese central
banks over their concerted intervention is on the line.
They have to make sure it works. Indicative as to the
future direction of the euro is the fact that it failed
to decline when the Danes opted not to join the
European Monetary Union.

When it comes to the dollar and gold, the Gold Anti-
Trust Action Committee now has solid evidence to back
up our claims that the Germans know what the United
States has been up to in the financial markets and that
they are very unhappy campers about U.S. shenanigans.
Perhaps they are the designated spokesman for other
countries in Europe?

GATA cannot stress enough that we believe the recent
stories coming out of Germany's foremost newspaper,
Frankfurter Algemeine, are very significant. First
there were the two extraordinary stories about GATA and
our Gold Derivative Banking Crisis report. The FAZ
featured what GATA has been saying for almost two years
now, without any dissenting views, going so far as
mentioning U.S. government involvement, naming specific
bullion banks, while highlighting that it was to the
detriment of poor gold producing countries Newspaper
people know this goes against Reporting 101 and the
basics learned in college. Someone had a message to
deliver that was not to be clouded by adverse views.

Then this past Thursday's most extraordinary story from
the same paper. To review the wire release on that

* * *

US Hedge Fund Knew Before G7 Forex Intervention: Paper

FRANKFURT, Sept. 28 (Dow Jones) -- The European Central
Bank's intention to intervene in the foreign exchange
market, together with the U.S. Federal Reserve, the
Bank of Japan and other central banks of the Group of
Seven leading industrial countries, was known several
hours ahead of the operation, market participants in
Frankfurt said, German daily Frankfurter Allgemeine
Zeitung reported Thursday.

According to the paper, a leak in one of the central
banks outside the euro zone prompted Citibank, a unit
of Citigroup Inc., on behalf of a U.S. hedge fund to
start buying euros early Friday. The euro rose to
slightly above $0.86 in early European trade Friday.

Citibank's subsequent sale of euros was preventing the
euro from rising more than slightly above $0.90 during
the intervention that started around 1100 GMT,
Frankfurt banking sources said, according to the paper.
The euro subsequently rose to $0.9040 before falling
back to the mid-$0.88s.

Banking sources attributed the leak to a possible
connection between the hedge fund, Citibank and the
Fed, FAZ said. Robert Rubin, former U.S. Treasury
Secretary, is currently Citigroup's co-chairman.

* * *

Naturally, this story was barely mentioned in the U.S.
press. What you could find in yesterday's U.S. press
were only denials by Citibank.

I have not spoken to one person who read the FAZ
stories about GATA who believes that this release did
not have significant meaning. Of greatest importance is
that it was the FAZ that exposed what happened. The FAZ
story about Citibank said that the euro story had been
market talk for days. If it was known all over, why is
the FAZ doing the exposing? Robert Rubin is mentioned
throughout GATA's GDBC report. Why was he singled out
in this story? Citibank Co-Chairman Sandy Weill was not

The big story here is not the insider trading, which is
bad enough. It is that the United States is acting
overtly against the interests of the Europeans as to
the euro and gold, and they have been caught red-
handed. GATA has learned through confidential sources
the identity of the hedge fund. This fund made enough
money on the upside with the advance information to
blast the euro as it rose above 90 -- most likely under
pre-ordained instructions. Who knows what other help
the fund had and whom they brought in? What GATA does
know is that this hedge fund has been associated in the
past as having on the largest hedge fund gold carry
trade of all and has flourished over the past several
years while Hall of Famers Tiger and Soros have gone
down the tubes.

What must have the Germans incensed is that they know
what the Rubin-orchestrated cabal has done to gold,
thereby devaluing a major German financial asset. That
was bad enough. Then, right before the Danish vote,
when the Europeans want some confidence in the euro to
develop, Rubin's name shows up again to stop a euro
advance, using the same conspiratorial methods as in
gold; the old wink and a nod and a little help from his
friends. Yes, a conspiracy to halt the euro's quick
advance. That is why Rubin was mentioned in the FAZ
story, as was the U.S. government, as was a bullion
dealer (Citibank) and a big client, WYZ Capital. Those
are four names. All we needed was two.

This is scandalous tale or a quot;scurrilousquot; one (as it
was called on CNBC in Europe). This outrageous abuse of
power, which has plagued the gold market for years,
will not be revealed to the U.S. public by the
censoring U.S. press. Not now, anyway. But when the
entire scandal breaks, they will have no choice. It
will not be pretty.

As a result of the scandal of Citibank (bullion dealer)
and Rubin, the Europeans must pull out all the stops to
get the euro higher; their prestige and confidence in
the euro, which are critical, are on the line. Whether
they will use the gold card to enhance the euro remains
to be seen. They may have no choice after this latest

A weak stock market, a strong oil market, and a weaker
dollar can only strengthen reasons to own gold and
invest in gold shares. Any or all these reasons have to
affect those financial institutions that have lent gold
out. Will they get it back?

The supply of gold coming out of the mines has started
to contract, maybe even sharply. Just on Friday alone
these stories were published....

* * *

Dayton Mining shuts down
Chilean mine over low gold prices

VANCOUVER, Sept. 29 (Canadian Press) -- Dayton Mining
Corp. is suspending operations at its Andacollo mine in
Chile because of weak gold prices and lower than
expected production from the operation.

Company president Bill Myckatyn said Friday the move
quot;is the best alternative available in the short to
medium term.quot; quot;We are mining a low-grade deposit in an
environment of record low gold prices,quot; he said in a
release. quot;By stopping mining and crushing now and
conserving our equipment and resources we will be in
the best position to restart operations when economic
circumstances improve.quot;

About 250 workers will be affected by the move.

* * *

Glamis Gold Ltd. Suspends Underground Mining at Dee

RENO, Nev., Sept. 29 (Business Wire) -- Glamis Gold
Ltd. announced today that underground mining at its
100-percent-owned Dee mine, located 25 miles north of
Carlin, Nev., will be suspended in late November.

Scheduled open pit mining will be completed by year-
end. Mine closure and reclamation activities will
continue into 2001 utilizing funds previously set aside
for this purpose. In connection with this decision, the
Company will take a write-down of $4.3 million in the
third quarter and mine reserves will be reduced by
approximately 140,000 contained ounces.

Higher than expected mining costs and continued low
gold prices have resulted in losses at Dee this year.
With the scheduled completion of the open pit
operations at year-end, the underground operation is
not able to stand on its own. For all of 2000, the
Company now expects to produce 60,000 ounces of gold at
Dee at a total cash cost of approximately $304 per
ounce. These results will negatively affect Glamis'
overall production and cost projections for the year,
with the Company now expecting total production of
229,000 ounces of gold in 2000 at an average total cash
cost of approximately $217 per ounce.

* * *

Decisions to shut down gold mines are accelerating. The
price of gold will probably have to rise over $100 per
ounce and stay there for the mine closures to abate.

We also know that certain well-known hedged gold
producers are delivering into their forward positions,
further reducing gold supply, rather than rolling over
their forward sales.

And while gold supply is headed lower, gold demand
remains firm around the world because of the low

Meanwhile the financial markets appear to be headed
toward alarming turmoil.

We are now full circle, back to conspiracy again, and I
am not going to hold back. This nonsense has gone on
too long and is hurting too many. The gold industry is
either full of the dummest CEOs, the most nave, the
most evil, the most brainwashed, most confused, or the
most cowardly in the world.

Gold producers back institutions like the World Gold
Council and Gold Institute that do nothing but hinder
the truth and understanding by the public of what is
really going on regarding gold.

The World Gold Council sponsors a report about
derivatives from Jessica Cross, who is married to
bureaucrat John Cross, the No. 2 man at the central
bank of South Africa. Ms. Cross used to work for
bullion dealer apologist Gold Fields Mineral Services
Limited (GFMS), a gold industry statistical

During Cross' gathering of information for this report,
she told a New York bullion dealer that as of last
December she had already found 6,000 tonnes of borrowed
gold. Martin Pringle, who works for the World Gold
Council, coincidentally used that exact number in a
presentation at this year's Australian Gold Conference.
Poor Martin; that was way prior to the Cross report and
he had not been told yet that the official number had
to be fudged down to accommodate GFMS. Amazingly,
months later and after the GATA flap with GFMS at the
Paris Gold Conference, Cross' gold loan number turns
out to be only 5,230 tonnes, which just happens to
correspond to the number that GFMS has produced.

Cross, the WGC, and GFMS -- those are three people or
entities conspiring to come up with the same number. No
doubt a duck and a some sort of conspiracy to tone down
the gold loans and derivative numbers as much as
possible to accommodate bullion dealers and the
influential overly hedged gold producers that know the
fix is in.

In her report, Cross states that the Bank for
International Settlements' gold derivative numbers are
transactional, not positional. If they were the latter,
she writes, it would be quot;alarming.quot; Well, Ms. Cross,
the BIS told a well known New York senior portfolio
manager that GATA and Reg Howe were correct, not you --
the BIS data IS positional.

Ms. Cross has then gone on to say publicly (this week
to the press, who were looking for commentary about the
one-year anniversary of the Washington Agreement) that
hedgers have changed hedging strategies, favoring the
more quot;vanillaquot; hedge programs versus the more quot;exoticquot;
ones that used more derivatives.

She is a complete hypocrite and a fraud. If that were
the case, then why did the gold derivatives explode on
the books of three bullion banks that GATA has charged
are part of the gold cartel? One more time: Morgan's
went from $18 billion to $38 billion, Chase Bank's from
$11 billion to $33 billion, and Deutsche Bank's from
$15 billion to $60 billion. And gold derivatives also
increased more than 100 percent at Citibank. That
completely contradicts what Ms. Cross is telling the

At other bullion banks, ones that are probably not part
of the gold cartel, the derivatives have remained
constant or have decreased. She refuses to explain that
dichotomy either.

Cross, GFMS, and the World Gold Council refuse to
engage in a serious debate over our differences. What
are they afraid of?

What they are willing to do is to bash the GATA camp in
print as they did in another FAZ story. Gold producers
say nothing about any of this. They prefer to see their
mines close down, the share prices sink, disinformation
spread, and their industry go into oblivion. Their
pitiful mantra has to be quot;don't rock the boat,quot; even it
means the boat will sink, even if the truth is staring
them in the face.

When told of the Cross report, a well-known North
American gold producer CEO and a WGC member told a
member of that this report was
done at arm's length from the WGC. Naturally, he had
not bothered to read her bogus report, nor did he
realize that the WGC is presenting the report in press
releases as its own.

The World Gold Council and Gold Fields Mineral Services
have been at odds over the years about their
supply/demand numbers. That is, until GATA came along.
Now the gold cabal has them circling the wagons.

GATA has claimed for a long time that GFMS is nothing
more than a bullion dealer apologist. The following
press report supports GATA's contentions....

* * *

Scotiabank eyes stake in gold-hedging Internet site

By Allan Robinson
Mining Reporter
Friday, September 29, 2000

TORONTO -- Bank of Nova Scotia is one of two banks
planning to take a stake in an Internet service that
will specialize in evaluating gold hedging strategies,
an official with the Web site says.

The bank's metals trading arm, ScotiaMocatta, and
Societe Generale SA of France are the first two banks
to invest in GoldRisk Ltd., said Paul Walker, its chief
executive officer. Negotiations are under way with
other banks active in gold trading.

GoldRisk puts a value on the gold hedging strategies
used by mining companies, banks, hedge funds and
commodity traders. Subscribers to will
gain access to data, such as the average gold lease
rates, which is the cost of borrowing gold, obtained
from various participating banks.

The system will allow mining companies to stress-test
their trading positions by evaluating the risks of
their option strategies given changes to the price of
gold and lease rates.

A recent study commissioned by the World Gold Council
estimates the gold derivative market at the end of 1999
involved the lending and swapping of about 5,230 tonnes
of gold. Gold is trading at about $276 (U.S.) an ounce.

New accounting rules in the United States require gold
mining companies to regularly report the current value
of their hedge trading positions.

Next week, the Australian Gold Council will reveal
rules that require gold producers to disclose
sufficient information to allow analysts to value their
hedge positions, Greg Barns, its chief executive
officer, told a gold seminar in Toronto yesterday.

GoldRisk said it intends to start with a gold valuation
service, and plans to expand into valuing silver,
platinum and palladium.

The company is controlled by London-based Gold Fields
Mineral Services Ltd., a precious metals consulting
group, and Brady Ltd.

* * *

Both banks are bullion dealers! Need I say much more?

The cozy sad-sack gold industry is convening in Denver
at the annual Denver Gold Group Conference. Last year
GATA supporters all over the world, led by famed
novelist Arthur Haley, bombed gold executives attendees
it with our quot;Tora! Tora! Tora!quot; surprised fax attack at
7 a.m., urging hedgers to lift their forward sales.

This year GATA supporters attending the conference
tried to have Reg Howe or me be there to present our
views of the gold market. They were told by the Denver
Gold Group that we were unsuitable for the conference.

I couldn't care less about going. Most of those showing
up are on salaries. I'm not. Time is money. I am tired
of wasting my time on these people. The gold industry
is hopeless.

GATA will win the day, not because of them but in spite
of them. We have found the enemy. Lo and behold, part
of the enemy is the gold industry itself. For every
advance GATA makes with the press and Congress, they
shoot us down. As a consequence, gold is mired at a
price $25 lower than it was at last year's conference.
Rodney Dangerfield gets more respect than the attendees
at this conference. The latest from the press about
these derided and lost souls....

* * *

Denver Gold show to convene on survival of the fittest

By Scott Anderson

DENVER, Sept 29 (Reuters) -- The world's biggest gold
miners will play a version of ``Survivor' next week
when they meet for the annual Denver gold industry

And with the price of gold hovering at depressing
levels and little indication of improvement any time
soon, the gold show, which starting Sunday brings
together the biggest gold players from around the
world, will prove to be a display of the survival of
the fittest.

In quot;Survivor,quot; a reality-based TV show which became a
runaway hit, 16 contestants were put on a Malaysian
island and had to survive the elements -- as well as
banishment votes from their fellow castaways -- until
one winner emerged.

quot;The mood will be quite sober,quot; said Chad Williams, a
mining analyst at TD Securities in Toronto, of the gold
show. quot;The longer term downtrend in gold has not been
broken, even though we had some good news at this time
last year. And in the shorter term, seasonally, it is
now usually a good time for gold, but it's been a
really hard time here for it to get some legs.quot;

* * *

GATA is like a doctor who has found a malignant cancer.
The gold industry would rather go into denial of the
cause of the cancer and play the survivor game than
acknowledge what is really going on and go for a cure.

That is their disdainful and curious choice. The good
news is that outside market events are numbering the
days of the gold cabal and low gold prices. Each day
the ticking of the gold time bomb grows louder. The
Germans have let the cat out of the bag. They know a
conspiracy when they see one and they want the world to
know about it. The new derivative disclosure accounting
rules will also help expose the gold cartel's nefarious
activities and expose the potential danger to the
banking system.

In the end, they will all be found out. The paper trail
is there. Investigation after investigation, subpoena
after subpoena will take care of that. Today it is
fashionable to be quiet about the manipulation of gold.
Tomorrow, when gold explodes, the canaries will be

An even bigger story will be will be the answer to the
question of how so many different parties could be co-
opted into hiding the truth. Harsh criticism must go to
most of the mainstream U.S. press, which has refused to
mention GATA or to print anything that goes against the
interests of the bullion banks, the money crowd, and
the power elite. It is censorship of the most perverse

The only good that I can see coming out of this
omnipresent hiding of the truth is that it will be
exposed, and that may change shameful journalistic
standards that now prevail. For sure, history is in the
making. The word quot;conspiracyquot; will take on a different,
more profound light. Some things will never be the same