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Gold & Silver price manipulation BUSTED - thoughts?
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<p>[QUOTE="Small Size, post: 2403620, member: 77924"]One can buy derivatives nominally based on gold - futures, options, etc. - as well as derivatives based on the derivatives. In such a way, a person who has no intention of owning gold can use the multiplier effect to disproportionally affect the price.</p><p><br /></p><p>Market manipulations are as old as markers themselves. Plato once tried to corner the olive oil market in Athens by putting a small down payment on every commercial olive press in the city. The Hunt Brothers tried to corner the silver market in the 1970's by buying futures that together totaled more than the actual silver available on the market, a situation they'd helped along by also buying lots of physical silver. It worked, for a while. Then the government changed the rules and the Hunts had to sell most of their futures contracts.[/QUOTE]</p><p><br /></p>
[QUOTE="Small Size, post: 2403620, member: 77924"]One can buy derivatives nominally based on gold - futures, options, etc. - as well as derivatives based on the derivatives. In such a way, a person who has no intention of owning gold can use the multiplier effect to disproportionally affect the price. Market manipulations are as old as markers themselves. Plato once tried to corner the olive oil market in Athens by putting a small down payment on every commercial olive press in the city. The Hunt Brothers tried to corner the silver market in the 1970's by buying futures that together totaled more than the actual silver available on the market, a situation they'd helped along by also buying lots of physical silver. It worked, for a while. Then the government changed the rules and the Hunts had to sell most of their futures contracts.[/QUOTE]
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Gold & Silver price manipulation BUSTED - thoughts?
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