If a person from the local Television station was doing “Man on the Street” interviews with a camera crew and he asked you to tell him the price of gold what would you say? I would have to be honest and tell him that I have no idea what today’s gold prices could possibly be. I do know a little about gold, like it is the purest form of money and cannot be devalued by Governments like the American dollar can be devalued.
Twice a day, a group of bankers in London meet and decide to announce the current gold spot to the world. They make the announcement by telephone and the rest of the world makes their investment decisions based on that announcement. The five banks involved in making this twice daily decision are World Heavyweights in the banking industry. I know you have heard of most if not all of them, including Barclays Capital, Deutsche Bank HSBC Scotia-Mocatta and Societe Generale. I believe that all of these banks have a presence in America, too. I’m pretty sure the last time I was in New York City we took a cab down Wall Street and saw signs for all of these.