Responding to the documentation just disgorged by Deutsche Bank in federal court in New York, Doug Pollitt of investment house Pollitt & Co. in Toronto today declares victory for the "tinfoil hat crowd" in the contest over manipulation of the monetary metals markets.
But more important, Pollitt chides the gold mining industry for playing saps for the banks that buy and rig the price of the industry's product.
"The organizations the gold mining industry depends upon to market its metal did not have their clients' best interests in mind," Pollitt writes. "This may still be the case. Perhaps a gold mining company (or two) will read this note and if they do, by the time they are done, they may well think that there may be a better way to get their product into the hands of the people who want it. ...
"Gold is down $200 in five weeks and some equities are back where they started from. Yet the sector's survival instinct remains difficult to discern. Maybe they don't feel ... that they can do anything about it. Maybe price-taker mentality is burned into their collective brain. N.M. Rothschild's walked away from the fix in 2004. After almost a hundred years of operation, maybe it is time the gold producers showed a bit of pride and did so too."
With Pollitt's kind permission his letter is posted at GATA's internet site here --
http://www.gata.org/files/PollittMarketLetter-Dec2016.pdf
-- where gold mining company investors who are not yet completely demoralized might obtain copies to bludgeon company chief executives with.
