Eric
King: “Dr. Roberts, we have this smash on gold and silver today. Gold down $75
at one point and silver was down $1.75, your thoughts here?”
Dr. Roberts: “This is an
orchestration (the smash in gold). It’s been going on now from the beginning of
April. Brokerage houses told their individual clients the word was out that
hedge funds and institutional investors were going to be dumping gold and that
they should get out in advance.
Then, a couple of days ago, Goldman Sachs announced
there would be further departures from gold. So what they are trying to do is
scare the individual investor out of bullion. Clearly there is something
desperate going on....
“I have assumed from the beginning that it is the
Fed’s concern with the dollar because the dollar is being printed in huge
quantities at the same time that other countries are abandoning the use of the
dollar as international payment.
The exchange value of the dollar is (being)
threatened, and if that collapses the Fed loses control over interest rates.
Then the bond market blows up, the stock market blows up, and the banks that are
too big to fail, fail. So it’s an act of desperation because they’ve got to
establish in people’s minds that the dollar is the only safe place, it is the
only safe haven, not gold, not silver, and not other currencies.
And to help protect this policy they have convinced
or pressured the Japanese to inflate their own currency. The Japanese are now
going to print money like the Fed. They are lobbying the ECB to print more. So
I see this as a dollar protection policy.
...I know where the gold is coming from in the
market, it’s just paper. It’s naked shorts, there is no gold there. If
somebody wanted to take delivery on those contracts nobody would be able to
provide it. I don’t know what the source of the (physical) gold is. Some
people are saying that the actual stocks available for possession are rapidly
declining.”
Eric King: “Going forward, Dr.
Roberts, what do you expect out of all of this? If the gold is coming out of
Western central bank vaults and flowing to the East, the old saying is, ‘So goes
the gold, so goes the power.’”
Dr. Roberts: “Well, I think
the power of the West has already been lost. When you have off-shored your
manufacturing and professional service jobs, you’ve hollowed out your economy.
So gold or no gold, the United States economy has been severely damaged and I
don’t think it can recover.
This gold business (smash in price) is something to
do with the dollar. They are trying to save this Federal Reserve policy of
negative real interest rates. You can’t do that if the dollar loses value
relative to gold because it implies it should be losing value relative to other
currencies.
If the dollar’s exchange value drops, then the price
of imports that come in here (to the US) rise. So you get domestic inflation,
and if you have domestic inflation you can’t have zero interest rates, or
negative real interest rates. So the Fed would lose control and that’s the
basis of this policy.
They are trying to destroy gold as a (safe) haven
from the dollar in order to carry on the Fed’s policy of negative real interest
rates. That is what is driving the illegal policy of selling naked shorts in
order to manipulate a market. If you and I were to do something like this
without the government’s instruction or protection, we would be arrested
(laughter ensues). So the fact that it’s illegal, being done by the
authorities, tells me that they are seriously worried about the dollar.”
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