It is often noted by subscribers of Bill Murphy's LeMetropoleCafe.com website that Simon Constable represents the worst in precious metals market news commentary. Constable's main gig is at TheStreet.com, where he offers summary stories on precious metals trading and occasional "investigative" pieces.
Numerous people have complained that Constable presents gold and silver analysis in a consistent negative frame. For example, last May Peter Grandich informed Constable that no further interviews would be granted. Grandich was frustrated by Constable's lack of journalistic integrity. "I believe my original interview was twisted by him to suit a bearishness and/or dislike he has had for gold ever since he started interviewing me some time ago." (see the May 29, 2007 Grandich "alert" published in PDF format - click here.)
Adrian Douglas at LeMetropoleCafe.com often jokes about his "moron of the year" award for worst precious metals market coverage, with Constable frequently the leading candidate. Upon seeing this, our first reaction was to assume this was rather mean spirited. But Constable's consistent use of bearish framing on almost all of his stories in the least makes it fair to question his assumed journalistic objectivity.
Now, we have the latest gem from Constable: a video story mocking Ron Paul and the Liberty Dollar. It was released on December 21st., 2007. Click here for TheStreet.com site and video.
It's not clear when the video was produced. But for many weeks, Ron Paul liberty dollars have been trading on eBay for over $100, the result of the federal government shutting down the offices of the Liberty Dollar. Constable mocks Paul's stance on the Federal Reserve and then proceeds to try to get a shoe shine, hot dog and other goods and services for a Ron Paul $20 silver coin. At no time does Constable explain that silver is trading at almost $15 per ounce. In the least, we assume the hot dog vendor would have taken the coin assuming he was like any other gruff New Yorker with basic knowledge of getting paid more than his asking price. The fact that average people have no idea what an ounce of silver is worth has nothing to do with Ron Paul and everything to do with why the current bull market in precious metals is going to make the last one look tiny in comparison.
Constable makes no effort to tell his man-on-the-street compatriots that the coin is trading on eBay at over $100. Again, perhaps this was recorded well before the coin's value skyrocketed. We simply don't know. But it's clear that the video was released long after the coin skyrocketed in value, and it's clear that Constable is framing the discussion and presentation of this "investigative reporting" piece to purposely cast a negative light on not only Ron Paul, but the idea of questioning the value of the US dollar, and maybe even the value of silver itself.
Members of LeMetropoleCafe.com have been right all along. While it might be harsh to mock Constable, there can be no doubt that Constable consistently elevates bearish points of view on everything gold and silver.
For readers interested in a constantly updated sampling of news and editorials on precious metals and markets in general, we recommend visiting the "dispatches" page at GATA.com. The page is edited by professional newsman Chris Powell, the Secretary/Treasurer of Gold Anti-Trust Action Committee Inc. and the managing editor of the "Journal Inquirer" in Manchester, Connecticut. Mr. Powell does a wonderful job bringing together important stories that often fail to reach mainstream status. Click here to visit the "dispatches" page.
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ADDENDUM: It has come to our attention TheStreet.com published a Simon Constable article today that just so happens to report exclusively on the 2008 projections of gold bulls. While the timing of the latest article is certainly ironic, we stand by our observations in the above essay. We will let the weight of Mr. Constable's past coverage speak for itself. If he's turning over a new page towards greater objectivity, all the better.
