Investors were briefly panicked yesterday when the Yahoo Finance website indicated that gold had soared to over $3400 dollars an ounce, an instant jump of 175 per cent. Possible reasons for the shocking spike ranged from a simple mistake to a secret signal being communicated to insiders as to where the commodity was really heading.
Just after 11am eastern time, the Yahoo Finance website gold graph indicated that the precious metal had jumped from $1235.60 an ounce to a whopping $3401.50 an ounce in the space of minutes. The commodity then quickly returned to its previous level almost immediately.
The only event that could precede such a massive and instantaneous jump in gold would have to be something on the scale of a nuclear war or a sudden and total collapse of the U.S. dollar.
Since the apparent glitch was only registered on the Yahoo website, many have attributed it to an in-house error. But that didn’t stop financial forums raging with speculation as to whether the snafu wasn’t some kind of hidden message being put out to insiders as to when gold will really hit such a level.
“This is one of those secret messages to traders in the know that tell the brokers when gold will be at a certain level,” claimed a Kitco forum member.
Indeed, numerous investment analysts speculated last year that gold was heading towards the $3500 range as a result of a deflationary collapse of the U.S. economy.
“Did it really do that, and I wonder if someone knew and cashed in bigtime only to re-invest it after it dropped back down. If they did, they made some major moola!,” commented a poster at DailyPaul.com.
Was this a ‘tell’ to let insiders know that gold is about to soar? Or was it nothing more meaningful than a technical glitch?