Gold’s Great Escape: Chris Powell on the Collapse of Price Suppression

In a timely episode of the Money Metals podcast, host Mike Maharrey sat down with veteran journalist and Gold Anti-Trust Action Committee (GATA) co-founder Chris Powell to discuss gold's historic surge past $3,000 an ounce and what it signals about the global monetary system. 

The conversation offered deep insight into decades-long gold market manipulation, shifting central bank behavior, and the potential ramifications of a long-awaited Fort Knox audit.

(Interview Starts Around the 6:04 Mark)

A Milestone for Gold—and a Cracking Facade?

As of March 2025, gold has crossed the $3,000 per ounce threshold, a milestone that Chris Powell calls “a lovely start.” 

Reflecting on his early days in gold activism—when the metal traded at just $250 per ounce in 1998–1999—Powell believes the recent surge is a result of central banks losing their grip on the decades-old system of gold price suppression.

Notably, the latest $500 gain—from $2,500 to $3,000—took just 210 days. That pace is extraordinarily fast compared to the historical average of nearly 1,000 days per $500 increment. 

Powell interprets this as a sign that gold price controls are unraveling: “The speed here indicates that central bank rigging of the market is falling apart pretty fast.”

The Split Among Central Banks

A central theme of the interview is the growing divide between Western and emerging-market central banks. Powell argues that while Western central banks—especially the U.S. Federal Reserve—historically colluded to suppress gold prices through leasing and swaps, many emerging economies are breaking ranks.

“There’s speculation that central banks now need a higher gold price,” said Powell, referencing analysts Paul Brodsky and Lee Quaintance, who 15 years ago suggested that gold suppression was only a temporary strategy to redistribute gold reserves before a revaluation.

Powell highlights that emerging markets like China, India, and Poland are aggressively buying gold. Over the past three years, central banks have reported net purchases exceeding 1,000 metric tons per year—double the typical annual average of 500 tons. 

But that’s just the official number. China and Saudi Arabia have reportedly bought large quantities off the books, bypassing IMF reporting standards.

Gold: A Return to Monetary Sovereignty

Quoting Poland’s central bank governor—whose goal is to hold at least 20% of reserves in gold—Powell argues that gold is being re-monetized globally. “It’s money without counterparty risk,” he said. “It guarantees national sovereignty and liberty.”

Powell dismisses the claim that there isn’t “enough gold” to support modern economies: “At a higher price, gold can support any economy. You don’t need to back every unit of currency—just enough to balance trade deficits.”

Fort Knox, Audits, and the IMF Cover-Up

Touching on recent buzz about auditing the U.S. gold reserves, Powell emphasized that the real issue isn’t whether the 8,133 tons of gold supposedly in Fort Knox, the Denver Mint, and West Point actually exist—it’s whether those holdings are unencumbered.

Powell referenced a letter from the Federal Reserve acknowledging gold swap records with foreign banks, as well as a secret March 1999 IMF report. 

That report explicitly warned that disclosing how much central bank gold is on loan would be “market-sensitive” and could destabilize currency markets—so the IMF allowed member nations to combine physical and leased gold in a single reporting number.

“If you show the world how little unencumbered gold is really out there,” Powell warned, “you’ll explode the currency markets.”

Why Manipulated Markets Still Matter to Investors

Powell addressed a common concern: if the market is rigged, why invest in gold at all?

Despite manipulation, gold has outperformed most assets over the long term. “Take a 20- to 40-year view,” he said. “Gold has done just fine.” Plus, gold has the unique advantage of being real, tangible money that cannot be devalued overnight—unlike fiat currencies.

Crypto and Market Control

Powell expressed skepticism about U.S. plans to hold crypto reserves, viewing it as a potential move to control digital assets in the same way gold has been managed.

 “I can’t see it, I can’t touch it, and I don’t trust what I can’t understand,” he said. “If the power goes out, your crypto is gone. Gold buried in your backyard will still be there.”

GATA’s Work: Follow the Documentation

Powell encouraged listeners to explore the evidence themselves at GATA.org, where years of documentation on gold market rigging and central bank policy are available. 

The organization, Gold Antitrust Action Committee Inc. (EIN: 06-1537205 | Bolton, Connecticut, United States), recognized as a 501(c)(3) nonprofit, publishes a free daily newsletter and welcomes tax-deductible donations.

Conclusion

As gold surges to all-time highs and geopolitical shifts fracture the old monetary order, Powell believes we’re witnessing the early stages of a broader return to sound money. Whether investors choose to act on that signal—or wait for the next chapter in the gold saga—is the $3,000 question.

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