GOLD & SILVER
Silver open interest fell 593 contracts to 108,698.
Last week one ECB central bank sold 22 million euros of gold or 1.37 tons.
On Wednesday, our sources tell us there was no less than six central bank sellers and leasers in the market along with the naked shorts. The Bank of Japan and the US Treasury pounded the yen. We saw a close at 120.76, -.68 after it ventured down to 121. The Fed and Treasury want the world safe for the yen carry trade, so they will put all those leveraged funds into the US stock market and drive it higher. That is so people will forget the carnage and failure in Iraq and Afghanistan. It is called misdirection or psywar. The euro fell .0073 to $1.3515, the pound fell .0091 to $1.9764; the Canadian dollar fell .38 to 90.63 and the dollar index closed back up above 82. They bombed the precious metal stocks as well. The 2-year Treasury yield was 4.73% and the 10’s were 4.71%. Oil was off $0.64 to $62.53, gas up $0.03 to $2.33 and natural gas was up $0.06 to $7.92. The Dow was up 104 to 13,488 on terrible housing starts and future permits’ news. S&P rose 117 and Nasdaq 233 Dow points.
Gold fell $12.60 to $660.10 and silver fell $0.36 to $12.83. Gold open interest rose 1,702 contracts to 408,936. On Tuesday, the big Tocom shorts increased their shorts by 1,671 contracts to 98,474. Goldman X(increased its shorts by 280 to 20,535 contracts. The same group reduced silver shorts by 284 contracts to 5,921. The XAU fell 1.35 to 136.15 and the HUI fell 3.95 to 325.44.
Friday finally was a solid day for gold, silver and commodities. Gold ended the day up $4.50 at $660.60 and silver rose $0.13 to $12.89. In the June gold contract gold was up $4.80 to $662.00, silver rose $0.12 to $13.00 and copper overcame early losses to tack on $0.02 to $3.32. There is no question gold does not want to go lower and the only reason gold faltered was that the central banks did lots of selling.
You use these corrections to make new buys. Gold open interest fell 2,803 contracts to 402,600. Silver open interest dropped 58 to 110,298 contracts. The move by China to raise interest rates and increase reserves means a strong yuan; higher export prices and higher US inflation. This is excellent for gold, silver and commodities. The large Tocom shorts on Thursday increased their shorts again by 6,645 to total 107,558. The same group increased their net silver short by 137 contracts to net 6,172. Goldman increased 1,608 gold contracts to total 22,995. It’s of interest that Harmony Gold spent A$75.8 million buying back forward gold contracts. This is Africa’s third largest producer. In US funds that is $62.4 million. The contract covered 230,000 ounces of gold to be sold at $425.69 an ounce. What a group of geniuses.
The Illuminati
not only wants to suppress the gold price, but they want to erase gold from the human mind.
They truly want to label in the public’s mind that gold is a barbaric relic. They want gold eliminated in total. They want a world currency without competition.
On Thursday, 8.6 tons of gold was sold by GLD or 16.6 tons in two days or 31.6 tons over the month. This is shorting with no up tick at its finest. This is the enemy doing this. Do not buy into the gold and silver ETF’s, you are just cutting your own throat. 
SATURDAY, MAY 19, 2007
THE INTERNATIONAL FORECASTER