Business | General
Retailers in UAE take a hit as gold prices drop
Lull in demand for gold as the price of the yellow metal plunge further
Further details should have been provided to explain the background of the gold price dropping. The global PHYSICAL INVENTORY of precious metals was being drained and this was reaching dangerous levels. In simple terms – there is insufficient metal on stock to satisfy investor demand for physical gold. In 3 months of 2013, 230+ tons of physical gold was demanded by investors who before had ETF’s (= gold on paper). In February 2013, over 110 tons on physical gold was demanded by these paper-holders. Look at the gold inventory drain at the COMEX, the situation is near critical levels. The fall in gold price is due to a desperate manipulation of news because the gold and silver markets were many times recently poised to make a substantial upwards move - at a time when physical metal inventory was at dangerously low levels. What is happening now is the Western Governments along with the IMF world bank are so cornered that they are using every last straw in order to try and contain a gold price movement that would be so powerful that it would confirm to the world what is going on - a complete LOSS OF CONFIDENCE in the paper-based fiat monetary system. Gold is the catalyst that if unleashed right now would bring down the banking system. Manipulation is pushing the gold price down to show the public that paper-based money, not gold or silver, controls their financial destiny. Best to buy precious metals now or sit back and ride it out. I do pity the gold dealers and sellers who bought high and have to keep their doors open for business and sell at a loss. Please support the merchants in the gold souk by keeping your buying offers fair!
Louie Tedesco, Dubai, United Arab Emirates
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