April 9, 2013
The U.S. government is influencing the price of gold to prop up its currency and bond markets, John Embry, Sprott Asset Management’s chief strategist tells BNN.
“The U.S. government, to protect their currency and their bond market, has been actively involved through proxies – the bullion banks primarily – and holding the gold price back,” John Embry tells BNN.
Embry notes that since bullion hit a record high above $1,900 US in August 2011, it has reversed more than 17 percent for no clear reason. Gold was trading at around $1,568 US an ounce in New York on Monday.
“The background news has been gold friendly. There is nothing in the news that says you should be selling your gold. Consequently there is this unseen hand in the market that has been forcing the gold and the silver price for that matter lower.”