Kitco yesterday quoted a "senior market strategist" expressing cluelessness about the recent lethargy of the gold price. The report was headlined "Gold Price Has 'Every Reason in the World to Rally'; Why Isn't It?" and it can be found here:
https://www.kitco.com/news/2019-11-22/Gold-pr...eason-in-the...
From the Kitco report:
"'Gold is not looking great. It's got every reason to rally in the world and it can't right now. That's a problem,' RJO Futures senior market strategist Phillip Streible told Kitco News on Friday. 'The Federal Reserve cut rates three times this year. It is a race to the bottom globally with central banks. The Fed is embarking on somewhat of a QE with this repo rate. You have protests going on everywhere. In Iran they burnt down the central bank. In Lebanon there is a run on the banks. And Hong Kong protests are escalating.'"
Was it really possible for them not to be aware of central bank intervention in the monetary metals and currency markets? Have they really never come across the monthly gold swaps and derivatives undertaken by the Bank for International Settlements, or the CME Group's Central Bank Incentive Program for central banks surreptitiously trading futures contracts on U.S. exchanges?
Have they never noticed the many admissions made by central bankers about these interventions when they have thought that only their colleagues were paying attention?
Have they ever tried putting to central banks and governments a critical question about such interventions?
What sort of market "strategy" takes no account of them?
Or should Kitco's audience simply be grateful for the acknowledgment that there's something odd about the gold "market" and forgive the "analyst" and his interviewer for lacking the courage to go any farther?
