|Boy do you need to do some research and dig into history. DeBeers controlled the Diamond market for close to 100 years. That was a single company.|
GS works on the bequest of the USA government. The US government has a vested interest in controlling the price of gold. What gives GS a great amount of power is they get to play with the system and are in a position where they can not lose. I read the contracts between the Government and GS years back. GS is immune to loses when it trades on behalf of the Government. The magic tool that is used is " paper gold" which is not gold at all but represents gold that most likely does not exist and shorting. Back in the Reagon era there was limits placed on how much you could hold in the way of Silver. NO LIMITS ON HOW MUCH YOU COULD SHORT. This law is still in effect.
When Beare Sterns went titters they had a huge short position in Silver. Legally that position needed to be covered when the company was taken over. Never happened. The short position was removed from the books, it ceased to exist. Rules exist but are broken when it suits certain parties. Same kind of thing goes on with Gold. The rules state that you can only short what exists, what is stored. Problem is all that paper Gold does not exist. Compound that with the fact that several storage facilities in the States have not allowed independent verification of the storage of their reserves since the 1960s.
Got to ask yourself why Germany is not getting their tons of gold back when they requested it, but have been told to wait by the USA government.
So at this time GS can diddle with the price of gold. You are correct in thinking that there will come a point when they will be unable to do so. China is attempting to set up an independent system for storage and verification. But the control of the price has been going on for over 100 years. It is still going on and will do so for awhile yet. No reason to think otherwise.