With the U.S. dollar trading lower once again, today a 50-year market veteran spoke with King World News about why the world is headed for a devastating final climax on the road to collapse. He also discussed major shortages that will rock the silver market.
John Embry: “The gold and silver prices remain under relentless pressure in the paper markets in the short-term but it is important for readers to understand that this has nothing to do with the fundamentals. The suppression continues to be part of a concerted effort by by the bullion banks, who are working as agents for Western central banks….
Continue reading the John Embry interview below…
“I thought that Egon von Greyerz made an excellent point in his recent KWN interview when he stated that mainstream commentators, and most particularly the banks, maintain that ‘gold isn’t going to go up because it’s not currently going up.’ That is exactly the mindset that the powers that be want to establish with the public in order to keep them away from the gold and silver markets and to keep them trapped in increasingly worthless fiat currencies.
The Road To Collapse
However, I think the banks have an even stronger motivation for their anti-gold stance. If gold and silver exploded upward in price, as every legitimate fundamental says they should, the zero-based interest rate scam would be exposed, and bonds in particular would collapse. And given how tenuous large bank balance sheets are currently, this would also lead to some sort of banking collapse. We are certainly headed in that direction and I think it’s unavoidable. But unfortunately they will move heaven and earth in order to forestall the inevitable as long as possible.
Major Shortages Of Physical Silver By The Fall
Thus it was very instructive to hear what Andrew Maguire had to say about the true state of the physical gold market in London. That is the real Achilles heel of the bankers' price suppression efforts, and I believe it will lead to the end of this longstanding manipulation very shortly. Interestingly, what Maguire said confirmed what I have been hearing from other sources in the silver market, where people dealing in physical think that we are heading towards a major shortage by the fall.
Now, I’ve always felt that the suppression of the gold and silver prices would be ended by massive shortfalls in supply in physical markets. These things always take a lot longer than a rational mind would assume, but it most certainly does not invalidate the thesis, and I now think that we are very, very close. This would help to explain the blatant suppressive activities currently occurring in the paper markets as the endgame approaches.
Governments Engaged In Pure Fantasy With Their Phony Economic Releases
Shifting gears, Eric, I have to laugh at the economic numbers being released. It almost seems to be a contest of which country can tell the tallest tale. As an example, the U.S. jobs number on Friday was ludicrous. If there were any net-jobs created in May in the United States I would be surprised. Then the Japanese revised their first quarter GDP number from 2.4 percent to 3.9 percent. This an extremely doubtful occurrence, to put it mildly, in that troubled country.
But the Chinese may take that cake with their ongoing fiction that their economy is growing in the neighborhood of 7 percent. With exports falling, imports collapsing, and massive overcapacity everywhere, China is lucky to be growing at half that rate.
The Devastating Final Climax
All I can say with certainty at this point is that the global economy is decelerating, the bubbles in financial markets are expanding and the final climax of this is going to be ugly. Most investors seem to be oblivious to this reality and I suspect they will pay a massive price for their cognitive dissonance.” ***KWN has also now released the powerful audio interview with Stephen Leeb, where he discusses China's massive gold hoard, what surprises to expect next, and much more, and you can listen to it by CLICKING HERE OR ON THE IMAGE BELOW.
***And KWN has now released the extraordinary audio interview with Andrew Maguire, where he discusses the gold and silver takedown, what surprises to expect next, how much physical gold tonnage has been taken out of the market and much more and you can listen to it by CLICKING HERE OR ON THE IMAGE BELOW.
***ALSO JUST RELEASED: The $60 Trillion Problem And A World That Is Headed For Total Devastation CLICK HERE.
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The audio interviews with Stephen Leeb, Andrew Maguire, Michael Pento, Dr. Paul Craig Roberts, Gerald Celente, Eric Sprott, Robert Arnott, David Stockman, Chris Powell, Rick Rule, Bill Fleckenstein, John Mauldin, Egon von Greyerz, James Turk, Dr. Philippa Malmgren, Marc Faber, Felix Zulauf, John Embry and Rick Santelli are available now and you can listen to them by CLICKING HERE.