TAYLOR: And yet the paper price for gold has been declining.

MCHUGH: Yes, and there is some manipulation going on there or what you would call government manipulation or market manipulation from other sources than government. They try to keep the price of gold down because they want people to continue to turn to the fiat currencies like the dollar and the Euro. What happens is, as people lose confidence in those currencies, they are going to look to gold as real money. At some point here, gold’s value increases as these fiat currencies get shakier and shakier and central banks hyper inflate more and more volume of them. The central banks don’t want gold’s value to increase at all. Their whole strategy is to preserve the dollar, preserve the fiat currency system to keep the bankers in power and control.

They need to keep the lid on gold, but at some point, supply and demand forces, fear, and the break up of the financial system will drive people to what has traditionally been, for thousands of years, real money, which is gold and silver.

Hg

President-elect Obama during this AM's press conference reiterated his determination to police more effectively the equities and commodities beats, meting out the manipulative and corrupt.

The Crimex would be an excellent starting point.

As they say at military court tribunals, "March the guilty ba$tard$ in!"

During his Q and A he repeated the word "confidence" at least a dozen times. (During a session in Nevada last nite several Americans expressed their sincere sympathy for Obama's Presidency, considering the (and I quote) "complete mess he has inherited!"

IMHO, the tools left at his (Obama's) disposal by the Bush administration are very primitive at best leaving the doors open for a "moon walk" by the Gold/Silver duo followed closely by any and all equities related to them both!

"Time is of the essence!"

"Buy low- - - sell hi!"

May "Lady Luck" be with you!

RUF