Open interest in gold futures and options traded on the Comex typically exceeds supplies held in its warehouses. If the holders of just 5 percent of those contracts opted to take delivery of the metal, there wouldn’t be enough to cover the demand, Bass said.

Why is it I never hear about open interest in oil or wheat or cotton exceeding supply? And why is that no one ever mentions the obvious fact that demand exceeding supply is the very definition of a bull market? Would you prefer that the supply of gold exceeded demand? If not, then what's a reasonable vs unreasonable balance of supply and demand? I don't hear anyone talking about that. As for manipulation, the government manipulates interest rates, money supply, exchange rates, international trade and so forth, so why should gold be any different?

There's a conspiracy here alright. A conspiracy to keep people spinning their wheels over gold manipulation while the greater evil passes unchallenged. What really annoys me though, is that every dollar spent digging up gold is money that could be put to better use, like growing food, drilling for oil, or better yet, developing new sources of clean energy. Seriously, gold miners are among the most antisocial people on the planet. What do they contribute? What do they produce, aside from a hole in the ground surrounded by toxic waste?

ebear