Paul Volcker: Gold Was the Enemy
“Gold was the enemy to me because that was a speculative vehicle while I was trying to hold the system together. [The speculators] were on the other side.”
Then and now, the gold price is viewed as the inverse price of the confidence in the system. If gold is high, it usually means something is amiss. In Volcker’s time, the high inflation and budget deficits of the 70s propelled gold from a low of $35 before 1970 to a high of $668 in 1980.
The Fed must keep the dollar strong even as the economy weakens and US gets deeper into the war in Syria. So the mythical rate hike must always be kept imminent..."
at http://investmentwatchblog.com/with-zipr-nirp-and-infinite-qe-gold-and-silver-should-be-much-higher-infinite-manipulation-by-the-fed-takes-full-credit-for-low-gold-and-silver-prices/
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