need to go to the market and buy it and the price could be a lot higher well according to the world gold council central banks have been buying increasing amounts of gold recently do you think we are why do you think this is despite the fact that central bankers are openly hostile sicko. well they might be openly hostile but privately they know that they need to own it you know i think that they're trying to keep this system going to have system going but they have to know that it's going to come to an end some day and they want to make sure they have as much gold as possible when it does you know whoever has the most gold when the music stops is going to win and i think a lot of these emerging markets know that better than any of the central banks because they are swimming in paper reserves and they barely have any gold and so they really need to take any opportunity they can to try to convert what could be worthless paper into very valuable gold and markets of this year j.p. morgan as settled a k.o.i. case was dismissed the class action lawsuit against a few morgan h.s.b.c. allies they were su

ceo of the world gold trust services managing director of investment for gold for the world gold councilng? >> yeah, he said similar things twice in the past. >> he said stuff about the stock market that was so wrong that this makes me want to buy gold. there are still people that think -- that the move from, you know, it was 800 and went back to 300 for years and then went to 2,000 almost. >> yeah, 1,900. just according to the roubini piece-up, we know the gold market is broadly diversified, the story here that we put out in our recent report is the continued demand for the physical metal in a selloff in the financial markets. he's been wrong a couple of times in the past. >> yeah. >> the gold market has rallied. >> the global geopolitical risk seemed to be less than they were a couple of years ago, right? that's not a good thing for gold. >> well, that's i think only one of the reasons that people are buying gold. we can't forget that the gold market globally is dominated by jewelry sales. >> it is. >> that's more discretionary spend than it is worry about geopolitical risk. we see inv

the world gold council sent me a chart. your car, imagine the price of gold and a lot of lines, charts, etc. the bottom line is this. the world gold council admits this is a large pull back in history. there have been pull backs that have been not as severe but close. do you think this is still a bullish trend for gold? >> i do and i gave you the reasons i think that are important is that both the monetary fiscal government policies around the world and, two, is demand. so you have gdp per capita for china and england, which is 40% of the world's population slowing down. you will cierre demand slowdown along with the government in india trying to do any sort of demand. what we are seeing is a very positive limitation is buying being bought all over the world. people are taking delivery of gold coins and bouillon. that's unleveraged. most of the futures market is leveraged. >> frank holmes, a real pleasure. thank you very much, frank. i know it's early. see you soon. >>> coming up, is your e-mail in box out of control? never

that's what people say around the world, and, in fact, if you look at the data, according to the world gold councilm until now, there's $84 bbllion in assets in ten years, and the same period of time, they bought gold 270 billion more than 3-to-1, so people are voting with their money. dennis: right, when i buy say $14,000 worth of gold, ten of these babies right here, do i keep that hidden in the living room for when the apocalypse comes or keep at your company? >> you have title, you don't want us to keep it. there's various ways to store it, and we have aces access to this on ebay. it's unprecedented this a company like ebay officers this in realtime prices on the website so there's a trusted source of a place to go to buy it so they know they get it. that's the partnership that we have. dennis: my late grandfather was a gold bug, bought gold in the incredible 1990s bull market, not a rich man at all. i have another friend with gold and bought $350,000 worth of it, you know, ten years ago, and it's worth over a million dollars in a safe deposit box. let's say a nuclear dirty bomb goes off, and h

increased the tax on bouillon and the curb, a record current account dif set at a time when the world's gold council which we had on yesterday predicts an all-time high for quarterly demand for -- the guy was telling us, do not discount jewelry. don't act like that -- it's not all about epfs and central banks. >> yeah. jewelry. >> which i'm trying to bring back. after behind the candleabra. >> i want to see you come up with a bunch of -- i'm going to let you wear -- >> you can pay the rent. you can always sell it. matt damon ended up, when he needed some money -- i think it was for coke, actually. have you seen it yet? >> no, i haven't seen the movie. it's not matt damon -- he's playing a role. >> that wasn't -- identities they're not in love? >> it's just for the audience. >> what? >> you can't just let it hang out that that matt damon -- >> so they were acting. thank you, andrew. they were aqua man. thank you. >> the other story of the morning that joe was alluding to, al gore and others making lots of comments including the "new york times" op-ed page. i don't know if you saw what they said. >> t

their long positions by 9%, increased their short positions by 7% and on the other hand the world gold councile of a voracious appetite during the second quarter. imports could be 300 to 400 ton, the gold council says. it's almost two different markets on there. >> on that point given that we're seeing a lot of interest in buyers in china. how much importance do you place on that generally? >> think -- that's indicative of the gold market whereas, you know, and i don't know enough about, you know, the deposit receipts and stuff like that, but the gold futures and the etfs are more trading based on the flows of futures and things rather than demand for the physical gold, and a lot of that has to do with almost an overtrading of it so that the physical can't actually account for all of the positions that are on. >> right. right. all right. lou green, thank you, sir, for your thoughts on that this morning and it seems like we could have quite a ways high tore go for people to start believing this move. perhaps you thought subprime was a thing of the past and rick santelli would advise you to thin