The result of that huge paper gold sale was that at just the time when a possible US Government debt default would send investors in a panic rush to the safety of buying gold, instead, the price plunged $30 an ounce to a three-month low of $1,259.60 an ounce. Market insiders believe the reason was direct market manipulation.
"UBS gold trader Art Cashin echoed the suspicion: “…if that happens once it could be an accident of technology, or it could be a simple error. But when it happens five times over a period of months, it does raise questions. Is it being done purposefully?…Is somebody trying to influence the market?”
That “someone” market sources believe is the Obama White House, in league with the Federal Reserve and key Wall Street banks that would be ruined were gold to really rise."
"In March 1988, five months after the worst one-day stock market plunge in history, President Ronald Reagan signed Executive Order 12631.
Order 12631 created the Working Group on Financial Markets, known on Wall Street as the “Plunge Protection Team” because its job was to prevent any future unexpected financial market panic selloff or “plunge.”
The group is headed by the US Treasury Secretary and includes the chairman of the Federal Reserve, the head of the Securities & Exchange Commission, and the head of the Commodity Futures Trading Commission (CFTC) which is responsible for monitoring derivatives trading on exchanges.
Numerous times since 1988, reports have surfaced of secret interventions by the Plunge Protection Team to prevent a market panic selloff that could threaten the role of the US dollar.