"India Finance Minister Begs Citizens To Stop Buying Gold"

[neilgin1]

(I thought that headline was pretty funny, but as evidenced, my sense of whats "funny" is warped, so here's the ZH article:)

While the overnight collapse in precious metals has been notably retraced, the media is unable to take its eyes off the ball that the status quo is shaking focusing on the demise and what that must mean for the future. Well, it seems, the Indian finance minister is very clear. Speaking in New Delhi P. Chidambaram explained his lack of surprise at the increase in gold imports in April (as physical demand exploded amid falling paper prices) adding:

•*CHIDAMBARAM APPEALS TO PEOPLE TO CONTAIN PASSION FOR GOLD, and
•*CHIDAMBARAM: MORE STEPS PLANNED TO CURB GOLD IMPORTS IF NEEDED
So China/Hong Kong is importing near record amounts of the precious metal into reserves and India is not only seeing demand but enough to warrant further government intervention... makes perfect sense that (paper) prices should be falling - or are the planners plans backfiring once again? As we noted here, as long as the price suppression of paper gold prices continues, don't expect any notable changes to these demand trends.


http://www.zerohedge.com/news/2013-05-2 ... uying-gold

[InfleXion]

Plans backfiring? I doubt it. It's a firesale. That's when the power players buy in. They are knocking down the paper price and buying up physical like everybody else. Smash and grab. If they are smart they'll unload the short positions before the physical market trumps paper. JPM could just about break even on the Bear Stearns position at $21. Then again they get free Fed money anyway, so they probably don't care. Maybe the plan is just to suppress until it cannot go on any longer, and just keep throwing money at it to extend and pretend.

[johnbrickner]

Ok, imagine if you would Obama says to the American people "I beg you to stop buying gold!" then some GOBBLEDYGOOK about how it is necessary to keep the recovery going or something like that (no doubt it would be so funny just to see him actually beg the people, I'd wiz myself laughing so hard).

Now I wouldn't bet the farm to buy gold that instant, but half my cattle and hogs . . . the second I got up off the floor.

[Hawkeye]

That's funny. My attitude is becoming "if the government tells me I shouldn't be doing something, that thing is probably what I should be doing."

[scyther]

It is funny, but it's also unfortunate. Stop suppressing demand!

[Sheikh_yer_Bu'Tay]

That's funny. My attitude is becoming "if the government tells me I shouldn't be doing something, that thing is probably what I should be doing."

Exactly.

[InfleXion]

That's funny. My attitude is becoming "if the government tells me I shouldn't be doing something, that thing is probably what I should be doing."

Exactly.

I think Wesley Snipes followed this advice when he didn't pay his taxes

[Hawkeye]

That's funny. My attitude is becoming "if the government tells me I shouldn't be doing something, that thing is probably what I should be doing."

Exactly.

I think Wesley Snipes followed this advice when he didn't pay his taxes

OK. I do pay my taxes, but not before a long period of grumbling and complaining to anyone who will listen.

[Country]

As I recall, India has a currency problem, in which it's government saw its Rupees depreciated as large quantities of GOLD were being purchased with them. GOLD is indiginous to India's culture as a store of value (they've learned the hard way over the centuries). I guess if it was that way here in the US we'd all be looking like this guy: