Who is Manipulating Gold?

On 20^th October 2025 when December gold reached its all-time high of US$ 4,398 per ounce, many investors and technical analysts thought that the metal had become overbought, having risen from US$ 3,475.50 per ounce on 29^th August 2025. A gain of 26.5% in less than 2 months. This indeed had been a stellar performance, and one from which a technical correction could be expected.

However, the plethora of comments that suddenly started appearing on You Tube and other multimedia channels, forecasting a crash in the price of gold by up to 40% in a short period (One such comment purportedly from Warren Buffet) seemed out of place in the current climate. Many knowledgeable commentators on Warren Buffet even stated that his 30-minute video was AI generated, and that he should sue those who used his name and image for their own purposes.

In addition to the comments, certain market analysts said that between 20^th and 21^st October 2025 institutional customers sold 5 million ounces of paper gold at a time when the market was very illiquid and would be subject to volatile movements, with the sole purpose of depressing the price as much and as quickly as possible. They then bought back physical gold at the lower prices.

Why would governments want to manipulate gold prices?

A constantly rising gold price tends to signal that all is not right with an economy or with inflation within the economy, so some Governments are incentivized to try to keep gold prices as low as possible. A lower gold price tends to increase confidence in fiat currencies, lower inflationary expectations, support the national currency and bolster the financial system.

Why would banks want to manipulate gold prices?

Historically, several Banks have taken large short position in precious metals with a view to profiting from a closure of the positions at a much lower price. By making gold more volatile or less attractive, Banks encourage Companies and Individuals to keep their money in interest bearing deposit accounts; one of the primary sources of profitability for Banks.

It has been apparent for some time that vested interests are trying to manipulate the precious metals markets (mainly gold and silver) in order to benefit from price movements generated by comments that are widely distributed. However, in this article we try to read between all the hypes to find out what is really going on!!!!

We are in the midst of a once in a lifetime global shift in sentiment, whereby everyone should be a holder of at least some gold!

Several years ago, Western Governments got together and decided to punish Russia for its invasion of Ukraine. They did this by freezing US$ 300-350 Billion of Russian Assets held in Dollars and Euros outside of Russia.

The Russian Government scratched its head for a number of months and then spoke to other Foreign Governments who had also been scratching their heads for a slightly shorter period.

They all suddenly realised that if any Government did something which was not approved by the US or other Western Governments, their foreign assets (currency, bonds etc) could be frozen and even sequestrated, and they would not be able to do a thing about it.

According to the US Department of Treasury in June 2025, Brazil owned 208 billion of US Treasuries, India owned 239 billion, and China owned 785 billion. So, the BRICS Nations alone could have a minimum of US$ 1.232 Trillion frozen by the US government if they ‘misbehaved’. This amount excludes other assets such as currencies and bank deposits, and non-US$ denominated assets held outside of the relative Domestic Market.

BRICS and other Nations now see the folly of investing in the World’s Reserve Currency assets and other European assets. They are divesting themselves of US Treasuries and

have decided they need to replace them with gold instead. When gold is held domestically there is no counterparty risk, and it usually acts as a store of value because of the finite nature of its reserves. By doing this, BRICS are merely accelerating the demise of the US$ which has been losing its value for some time whilst gold has been rising. In the first half of 2025 the US$ had one of its biggest losses since 1973 with the Dollar Index falling by 11%.

Paradoxically, the above actions by BRICS and other Nations who wish to reduce their exposure to the US Dollar, are influencing the thinking of US politicians and financial figures. There is now talk that the US Government is considering backing a portion of the US$ currency with gold, and there have also been rumors that gold backed US Treasuries may be introduced in 2026 as a means of reassuring World investors that the mountain of US debt can be repaid over time and is partially gold backed.

Finally, the World Gold Council in their Central Bank Gold Reserves Survey 2025 shows that Central Banks have accumulated 1,000 tonnes of gold in each of the last three years, up significantly from the 400-500 tonnes average during the preceding ten years. 95% of respondents believe that, globally, Central Bank gold reserves will increase in the next twelve months. The majority of respondents (73% in fact) see Central Bank gold reserves increasing in the next 5 years.

Current headlines pulled off You Tube as at 4^th November 2025 show the following:

1. We are days away from US$ 333 per ounce silver. 4^th November price was US$ 47.62 per ounce. (Metal sense and Money sense)

2. Andy Schectmans gold and silver warning. ‘This isn’t a correction it’s a trigger’.

3. Silver will go crazy. 500% silver price explosion incoming. (Silver News Daily)

4. They just declared war. Central Bank’s long-awaited strategy for gold and silver leaked. (Gold Rush Reporter)

5. 20,000 US$ per ounce gold price warning. The Fed is about to change gold and silver prices for ever. (Metal Sense and Money Sense)

As you can see the Hype is still all over the Internet, but we hope you have been given a different perspective and some food for thought about what is likely to happen in the near and long term.

Happy Hoarding!!