Gold And Silver: Can Their Values Be Manipulate? Naked Short-Selling

Gold And Silver: Can Their Values Be Manipulate? Naked Short-Selling

Naked short selling can be regarded as the selling of shares which do not exist. This trading is illegal in many countries. Because in this trading, a person trades with the shares which are not physically present in the market. The ordinary traders acquire stock to confirm that t can be bought by someone else, and then they sell it short. We can say that naked shorting can be called a small pressure on the stock, which is greater than tradeable shares in the market.

Gold manipulation is done to control the price of gold in Financial markets. The traders do it because they want to control the financial market according to their business. It sometimes brings about a minor change in the market, but it doesn’t deviate the prices to a larger extent. The US defines gold manipulation as a way to trick investors by artificially controlling the market prices.

A particular belief is common among market investors that gold prices are manipulated downwards. But some also believe that they are manipulated in a particular order which is systematic. As again, the concept of gold trading involves a change of narratives. Many people say that some central bankers hold the precious metals under their control, while some say that those banks use inclination frequencies, data systems, and derivatives that are naked shorts to control the prices of gold. The problem of paper gold vs. physical gold also arose at this time, but firstly this theory made sense as the central banks retained the price of gold the same for several decades, but many banks were fined for influencing the prices of gold.

 

Silver manipulation is also done to control the prices of silver in the financial markets. Many people accused bullion banks of silver manipulation through naked short selling, and their purpose was to bring down the values of silver. They used to buy the bullion, which was not owned by the seller. It was borrowed then they took advantage of the price decline of silver but sometimes, the seller failed to provide the silver to the buyer

.

When the accuses of silver manipulation increased, then statistics of the 2000s were analyzed. The analysis revealed that such allegations are just based on false assumptions. So when the price of silver was suppressed, that resulted from evil intriguers because they used naked shorts to decline the price of silver. This decline resulted in the demolition of many businesses because many investors saved their investments in silver. But when it faced an upheaval, there was no manipulation because true market forces were working to regain the price of silver. The influence on the prices was short-lived. Furthermore, all the attempts to decline the silver price in international markets prove to be productive because the decline in the price of silver increased its demand. The demand led to upward pressure on the price of silver. The price of silver increased and came to normal .

Share to Social Media

Share on facebook
Share on telegram
Share on twitter
Share on linkedin
Share on pinterest
Share on reddit
Share on whatsapp

Recent News

Hot stories

Join Our Newsletter