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Kitco Attempts Corporate Suicide

Published 02/13/2015, 02:53 AM

Already on the "avoid" list for many gold investors and traders, the latest from Canadian metals dealer Kitco will leaving you shaking your head in disbelief.

Actually, I just stumbled upon this article a few moments ago. I stopped by Yahoo to check my email and, as I scrolled down the "news" headlines, this caught my eye:

"Metals exec: 25% of physical gold buyers are crazy"

I figured that this story was good for a laugh so I went ahead and clicked it. And what did I find? Yes, there is a "metals exec" quoted in the story and the guy in question works for...

...wait for it...

KITCO!

The same Canadian metals firm that employed the permabear Jon Nadler all through the previous bull market for gold. The same Canadian metals firm that made headlines after being alleged as a tax fraud in 2011 and 2013. The same Canadian metals firm that gleefully reported Jeffrey Christian's smears of Andrew Maguire and GATA.

Yep, that Kitco.

So what, exactly, did this "metals executive" from Kitco allege? From the story:

"A lot of people who buy bits of physical gold aren't looking to make a bracelet or ring. They buy gold because they believe disaster is imminent.

These investors are convinced gold will spike to $10,000 an ounce (it's currently around $1,225) when the U.S. government implodes, said Peter Hug, an executive at metals retailer Kitco.
Hug calls these people "crazies" and says they form a substantial amount of the U.S. physical gold market -- at least 25%."

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Nothing quite like insulting 25% of your customer base, huh Pete? (I'm still shaking my head at the arrogance of this guy.)

Anyway, you can read the entire article here.

You'll notice that there's at least some balance provided by Peter Schiff and, for the most part, the article isn't the usual mainstream media hack job that you might have expected. Regardless, the question remains...Why on earth would anyone do business with a company that so utterly disrespects its customers, particularly when so many other options are available?

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