The implementation of the ‘Volcker Rule’ over the next two years will, in theory, prevent the big banks dealing in gold and silver for their own speculative purposes.
Author: Lawrence Williams
Posted: Thursday , 12 Dec 2013
LONDON (MINEWEB) -
Much has been made, particularly by the gold and silver bulls, of High Frequency Trading (HFT) by the mega banks like JP Morgan and Goldman Sachs as the possible (or probable) reason for some of the big take-downs in the respective metals prices which seem to have been occurring with increasing frequency over the past two years.
Trading patterns have been illogical with huge selling orders of paper metal into the futures markets, usually at a time of day when markets are thin, thus driving prices down enormously, and prompting even more stop loss sales from algorithmic computer trading programs ...