Just been alerted by a reader that the document below might be a fake. I will take a look. Zerohedge is widely quoted and Matt Taibbi cites them as the blog to which he owes his Goldman bashing. I’ve had my doubts about that attribution, and I expressed them. I tried to go back and look at when Zerohedge began posting but it’s not clear when their archives begin.

My fault for not checking this myself.

Of course, it matters little to proving any gold conspiracy theory, since there are so many other statements that can do that. But it’s an interesting document and I’d like to find out if indeed it’s authentic. I will follow up on this in a fresh post.

Zerohedge has a copy of a declassified telegram to the Secretary of State in 1968 that seems to reveal market manipulation by something called the “reshuffle club” (today’s plunge protection team?)

Zerohedge: “A recently declassified telegram to the Secretary of State sent in 1968, has some very distrubring [sic] revelations to gold “conspiracy theorists” who believe there could be an international arrangement to maintain a control over gold prices in the international arena. This is especially true as the G-20 meets currently in Pittsburgh behind closed doors. Could gold be one of the issues discussed?

We particularly bring readers’ attention to paragraph 13 in the telegram below, which present some troubling revelations (emphasis ours):

QUOTE: “If we want to have a chance to remain the masters of gold an international agreement on the rules of the game as outlined above seems to be a matter of urgency. We would fool ourselves in thinking that we have time enough to wait and see how the S.D.R.’s will develop. In fact, the challenge really seems to be to achieve by international agreement within a very short period of time what otherwise could only have been the outcome of a gradual development of many years.”