0 votes

Goldman Tells Its "Special" Clients To Sell Gold Even As It Raises Its Price Target On The Shiny Metal

A week ago Goldman raised its price target on gold to $1,300/ounce, an action which, judging by the firm's historical record of putting its clients' interest in its rightful last place, led us to be skeptical: "The report will likely result in a brief pop in spot as the idiot money rushes into the latest Goldman trap. Alas, it also means that GS is now offloading. Be very wary of market dynamics over the next month."

Today we realize our skepticism was perfectly justified: in the latest Perspectives from Goldman Sachs Asset Management (intended FOR BROKER-DEALER, FINANCIAL INSTITUTION, OR INSTITUTIONAL INVESTOR USE ONLY. NOT FOR DISTRIBUTION TO CLIENTS OR THE GENERAL PUBLIC), in addition to summarizing all the other recent actions presented by the firm's key departments, way in the back, in very small print when discussing commodities, the letter author notes:

"Shifted our stance on gold after years of being long; see gold as vulnerable to Central Bank inactivity in the face of rising deflation risk."

Once again, those who bet that Goldman does precisely the opposite of what it tells clients to do, win.

Report below:


Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.

peter schiff

has mentioned the gold to dow ratio before.

and if i recall, we have not reached the narrowest ratio yet.

we have reached 1:8, but 1:5 has been hit in the past.

if you look at an updated chart:


I placing a high probability for the following (high probability is better then 50%)

- gold has not peaked yet
- the market probably has another major retracement due

a 1:5 ratio would require gold to be $1500 and dow @ 7500.

the other thing i noticed about the chart is that once gold peaks, there's some time to adjust.


ratio has been hit several times in crisis.

Napolitano: "We need Ron Paul now!"

APMEX is pushing the Goldman Price Target

to sell more gold.

Two analysts from Goldman Sachs predicted that gold may rally to $1,300.00 an ounce! Visit our blog now for more information http://apmex.wordpress.com/5 minutes ago

Follow me on Twitter for breaking news from a libertarian perspective


Oh goodie!

Another big buying opportunity coming up!

Thomas Jefferson: “Indeed, I tremble for my country when I reflect that God is just, that His justice cannot sleep forever."

Viva La Revolucion!

Or is it threeverse psychology?

Have they finally figured out their reputation is so sullied that they have to say what they DO want to get people to do the opposite? I mean, for the folks with Gold Mansachs to divest would be like them cutting off a Gold Mansach...
Fortunately, I make my decisions based on what I know to be true and make every effort to make the most right decision available. Gold Mansachs never enters the equation at all.

Truth exists, and it deserves to be cherished.

Trade gold for palladium.

A four legged table is sturdier than a two legged one.
Palladium, platinum, gold and silver.
More important, buy tools, lots of tools.
During the gold rush of the 19th century, those selling shovels got more gold.

How is it a four-legged table

How is it a four-legged table if it's all concentrated in precious metals (and presumably tools)?

At least some level of diversification would be wise. Each person's attitudes regarding stocks, bonds, cash, foreign currencies, property, weapons and ammo, dry goods, etc. may vary.

Fair Enough Name For a Table:

"How is it a four-legged table?"

It has four legs to stand.
One may call it a precious metal table.

Some referred to Marilyn Monroe's (aka: Norma Jean) million dollar legs that she used to stand. Her handlers paid for an insurance policy to draw even more attention to her legs. Though she tragically died, did her handlers profit from insurance without a leg to stand on?

How about commissioning Paul Revere, Silversmith and Founding Father to hand craft some curvaceous table legs out of silver. Now that is using your investment!

By the way, "The Hessians are coming!" cried Paul Revere. Or did he say, "The Redcoats are coming!"? Or was it really, "The British are coming!"? Did Henry Wadsworth Longfellow complete the story in his poem? What about the other guy riding not toward Lexington/Concord with Revere; what happened when John Dawes headed out to warn Dorchester/Quincy patriots that midnight?

Disclaimer: Mark Twain (1835-1910-To be continued) is unlicensed. His river pilot's license went delinquent in 1862. Caution advised. Daily Paul

Good article.

Same story with Goldman Sachs and the mortgage backed securities market.

I really don't pay much

I really don't pay much attention to any of this, If you are investing for your families long term future, land and metals are your only choices, everything else is gambling.

Met Many a Drunken Riverboat Gambler & Gold Digger

Owners of Banks follow rules they write. Use math that allows them privileges beyond most imagination. They mystically loan legal tender into existence.

It takes a special kind of banker to own a bank, that is turn owns The Fed! a bank cartel

  • Loan himself @ 0.25% interest
  • Turn around and loan it out to the US Government @ 4%.
  • Or perhaps a homeowner @ 4.5%
  • Or perhaps a credit card holder @ north of 20%
  • Or perhaps buy something/anything of value
  • Then have us wax on about how clever these bankers are
  • While we pay their debts
  • "Alice-in-Wonderland" had no idea what was to come....
  • Meet your Banker-in-Law, well dressed and feed, nice manners

Had little use or respect for drunken Riverboat Gamblers. But they did make for good story telling. Usually they lost their own money.

As for gold digging miners, I never saw men work harder nor drink faster then those with gold fever. To a man, they would walk back to their tent in a drunken stupor... broke. Only to do it again in a few days after their head cleared and the bad taste wore off. Usually, they lost their own diggings. Now the rules are created by banks. Seems it sums up to: heads they win; tales, you lose. Perhaps it is worse if you plunge into the details.

Goldman: Your Banker-in-Law, believe them or not. They keep what they win. You pay debt they create.
The Fed: Loaning You Blind, since 1913.


Disclaimer: Mark Twain (1835-1910-To be continued) is unlicensed. His river pilot's license went delinquent in 1862. Caution advised. Daily Paul





Reminds me of this

How Goldman secretly bet on the U.S. housing crash


Follow me on Twitter for breaking news from a libertarian perspective


I am sure that Goldman is up to it's old tricks again, or I ..

should say they have never stopped. Goldman and JP Morgan have been manipulating Gold, and Silver for a long time. I hope they drop the price down again, it will be a good time to buy more when that dip comes, but mine is physical gold, paper gold is junk.

bump for discussion

it is always good to watch the snake in the grass.

Prepare & Share the Message of Freedom through Positive-Peaceful-Activism.