Crunch Point – Quote of the week

Respected analyst Lawrence Williams had this to say this week. (If you haven’t already – check out the graph here for context)

“With the overall trend of gold accumulations by China and India together continuing to rise alongside incomes and middle class growth, we have to be getting pretty near the crunch point at which there is a serious shortage of available physical gold - some think we are there already. Whether gold prices can be controlled at current levels under these circumstances will become increasingly difficult. And with China in particular seeking to tie down more gold supplies through Chinese company acquisitions of, and major stakes in, other gold producers outside their own country and creating gold-positive initiatives like its proposed $16 billion 'Silk Road Gold Fund', it's hard to see the gold price being held down within its current trading range much into the future.”