Feb 07

Venezuela Prepares To Liquidate Its Remaining Gold Holdings To Pay Coming Debt Maturities:

Last Thursday when we recounted the story of how Venezuela is now literally flying in paper money (using three dozen cargo Boeing 747s), we wrote that “Venezuela’s hyperinflation, already tentatively estimated at 720%, will likely add on a few (hundred) zeroes by this time next year. It is also quite likely that Venezuela the country, as we know it now, will no longer exist because once any nation is swept up in hyperinflationary rapids two things occur like clockwork: social uprisings and political coups.

But before it gets there, Venezuela’s president Maduro will be busy liquidating the nation’s roughly $12 billion in gold reserves, which his late predecessor fought hard in 2011 to repatriate back to Caracas. Sadly that gold was never meant to stay in Venezuela after all.

And sure enough, just a day later, Reuters writes that Venezuela’s central bank has begun negotiations with the suddenly troubled Deutsche Bank to carry out gold swaps “to improve the liquidity of its foreign reserves as it faces heavy debt payments this year”, payments which it won’t be able to fund unless it manages to “liquify” its gold. Continue reading »

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Feb 04

Meet The World Leader Who Stole His Citizens’ Gold:

Even before his coronation in 1626, King Charles I of England was almost bankrupt.

His predecessors King James and Queen Elizabeth had run the royal treasury down to almost nothing.

Costly war and military folly had taken its toll. The crown had simply wasted far too much money, and brought in too little.

To make matters worse, King Charles was constantly at odds with parliament. Continue reading »

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Feb 03

GOLD-BARS

GOLD – It’s Time to Pay Attention:

The last time I shared my thoughts on gold, a subject I had previously wrote about constantly, was all the way back in July of last year. That post was titled, 4 Mainstream Media Articles Mocking Gold That Should Make You Think. Here’s an excerpt: Continue reading »

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Feb 03

Goldbarren

The Coming Revaluation of Gold:

The current melt-down of the world’s debt bubble is likely to continue in the course of the next months. The secular trend to expansion of credit has morphed into contraction and liquidation. It is my opinion that the new trend is now established and no action by any of the Central Banks (CB) that issue reserve currencies will do anything at all to reverse that trend.

Sandeep Jaitly thinks that the desperate reserve-issuing CBs – the US Fed, the ECB, the Bank of England and the Japanese CB – may resort to programs of QEP, by which he means “Quantitative Easing for the People”. This quantitative easing will mean putting money into the hands of the populations by rebates on taxes, invented make-work schemes or any other excuse to furnish the people with the famous “helicopter money”, to get them to spend. Continue reading »

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Feb 01

FYI.


The End Of Plan A: The Big Reset & $8000 Gold:

Willem Middlekoop, author of The Big Reset – The War On Gold And The Financial Endgame, believes the current international monetary system has entered its last term and is up for a reset. Having predicted the collapse of the real estate market in 2006, (while Ben Bernanke didn’t), Middlekoop asks (rhetorically) -can the global credit expansion ‘experiment’ from 2002 – 2008, which Bernanke completely underestimated, be compared to the global QE ‘experiment’ from 2008 – present? – the answer is worrisome. In the following must-see interview with Grant Williams, he shares his thoughts on the future of the global monetary system and why the revaluation of Gold is inevitable

Middlekoop predicts the real estate crash in 2006… (ensure English Subtitles – Closed Captions – are enabled)

Bernanke did not… (stunning!!) Continue reading »

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Jan 28

Update on Bundesbank Gold Repatriation 2015:

Deutsche Bundesbank has just released a progress report on its gold bar repatriation programme for 2015 – “Frankfurt becomes Bundesbank’s largest gold storage location“.

During the calendar year to December 2015, the Bundesbank claims to
have transported 210 tonnes of gold back to Frankfurt, moving circa 110
tonnes from Paris to Frankfurt, and just under 100 tonnes from New York
to Frankfurt. Continue reading »

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Jan 26

comex gold coverage ratio

Something Snapped At The Comex:

There had been an eerie silence at the Comex in recent weeks, where after registered gold tumbled to a record 120K ounces in early December nothing much had changed, an in fact the total amount of physical deliverable aka “registered” gold, had stayed practically unchanged at 275K ounces all throughout January.

Until today, when in the latest update from the Comex vault, we learn that a whopping 201,345 ounces of Registered gold had been de-warranted at the owner’s request, and shifted into the Eligible category, reducing the total mount of Comex Registered gold by 73%, from 275K to just 74K overnight. Continue reading »

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Jan 25

oil-gold


Comparisons To 2008 Spark Gold’s Fear Trade:

Plunging oil prices, rising market volatility, surging global debt—it’s all beginning to remind some investors of 2008. Earlier this month, billionaire former hedge fund manager George Soros warned of an impending financial crisis similar to the last major one, which sent shockwaves throughout global markets.      

I’ve already shared with you the fact that gold has historically had a low correlation with equities. This point is worth reiterating: When equities have zigged, gold has zagged. And with volatility high in global markets right now, many investors are choosing to rotate a portion of their portfolios into the precious metal.

This was the advice of my friend Marc Faber, who recently warned investors in his influential “Gloom, Boom & Doom Report” newsletter that global stocks could fall an additional 40 percent on mounting liquidity and debt problems. In the event such a crisis occurs, Marc says, investing in gold—which, again, has been shown to be inversely correlated with stocks—might be one way to protect one’s wealth.

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Jan 22

GoldNugget

Central Planners Freaking Out about Discussion of Gold’s Role:

Sound money issues make for good politics these days. The leading Republican candidates have all suggested reforms to our monetary system. The topic is popping up in debates as well as interviews. Predictably, Fed worshipers and proponents of central planning everywhere are snickering and trotting out the usual responses.

Michael Hiltzik, with the Los Angeles Times, recently published a column titled “The Worst Idea in the Presidential Debate: a Return to the Gold Standard.” He thinks “a return to the gold-standard would be so not right that it’s not even wrong.” It’s another way of saying the idea is so bad it defies analysis. Nevertheless, he tries anyway. Continue reading »

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Jan 18

What Crisis Is The Gold/Oil Ratio Predicting This Time?:

The number of barrels of oil that a single ounce of gold can buy has never, ever been higher.

oil-gold

For the last 30 years, when the ratio of gold-to-oil spikes, something systemically serious occurs globally (as opposed to the usual bullshit “this is transitory” statements).

So what happens next?

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Jan 16

weimar-hyperinflation

Hyperinflation-Weimar

Source

Strange Currency V2

The World’s Most Famous Case of Hyperinflation (Part 1)

The Money Project is an ongoing collaboration between Visual Capitalist and Texas Precious Metals that seeks to use intuitive visualizations to explore the origins, nature, and use of money.

The Great War ended on the 11th hour of November 11th, 1918, when the signed armistice came into effect.

Though this peace would signal the end of the war, it would also help lead to a series of further destruction: this time the destruction of wealth and savings.

The world’s most famous hyperinflation event, which took place in Germany from 1921 and 1924, was a financial calamity that led millions of people to have their savings erased.

The Treaty of Versailles

Five years after the assassination of Archduke Franz Ferdinand, the Treaty of Versailles was signed, officially ending the state of war between Germany and the Allies.

The terms of the agreement, which were essentially forced upon Germany, made the country:

  1. Accept blame for the war
  2. Agree to pay £6.6 billion in reparations (equal to $442 billion in USD today)
  3. Forfeit territory in Europe as well as its colonies
  4. Forbid Germany to have submarines or an air force, as well as a limited army and navy
  5. Accept the Rhineland, a strategic area bordering France and other countries, to be fully demilitarized.

“I believe that the campaign for securing out of Germany the general costs of the war was one of the most serious acts of political unwisdom for which our statesmen have ever been responsible.”
– John Maynard Keynes, representative of the British Treasury

Keynes believed the sums being asked of Germany in reparations were many times more than it was possible for Germany to pay. He thought that this could create large amounts of instability with the global financial system.

The Catalysts

1. Germany had suspended the Mark’s convertibility into gold at the beginning of war.

This created two separate versions of the same currency:

Goldmark: The Goldmark refers to the version on the gold standard, with 2790 Mark equal to 1 kg of pure gold. This meant: 1 USD = 4 Goldmarks, £1 = 20.43 Goldmarks

Papiermark: The Papiermark refers to the version printed on paper. These were used to finance the war.
In fear that Germany would run the printing presses, the Allies specified that reparations must be paid in the Goldmarks and raw materials of equivalent value.

2. Heavy Debt

Even before reparations, Germany was already in significant debt. The country had borrowed heavily during the war with expectations that it would be won, leaving the losers repay the loans.

Adding together previous debts with the reparations, debt exceeded Germany’s GDP.

3. Inability to Pay

The burden of payments was high. The country’s economy had been damaged by the war, and the loss of Germany’s richest farmland (West Prussia) and the Saar coalfields did not help either.

Foreign speculators began to lose confidence in Germany’s ability to pay, and started betting against the Mark.

Foreign banks and businesses expected increasingly large amounts of German money in exchange for their own currency. It became very expensive for Germany to buy food and raw materials from other countries.

Germany began mass printing bank notes to buy foreign currency, which was in turn used to pay reparations.

4. Invasion of The Ruhr

After multiple defaults on payments of coal and timber, the Reparation Commission voted to occupy Germany’s most important industrial lands (The Ruhr) to enforce the payment of reparations.

French and Belgian troops invaded in January 1923 and began The Occupation of The Ruhr.

German authorities promoted the spirit of passive resistance, and told workers to “do nothing” to help the invaders. In other words, The Ruhr was in a general strike, and income from one of Germany’s most important industrial areas was gone.

On top of that, more and more banknotes had to be printed to pay striking workers.

Hyperinflation

Just two calendar years after the end of the war, the Papiermark was worth 10% of its original value. By the end of 1923, it took 1 trillion Papiermarks to buy a single Goldmark.

All cash savings had lost their value, and the prudent German middleclass savers were inexplicably punished.
Learn about the effects of German hyperinflation, how it was curtailed, and about other famous hyperinflations in Part 2 (released sometime the week of Jan 18-22, 2016).

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Jan 15

Hillary-Clinton

‘We Came, We Saw, He Died’ – Revisiting the Incredible Disaster That Is Libya


Declassified Emails Reveal NATO Killed Gaddafi to Stop Libyan Creation of Gold-Backed Currency:

Washington, D.C. –  In spite of French-led U.N. Security Council Resolution 1973 creating a no-fly zone over Libya with the express intent of protecting civilians, one of the over 3,000 new Hillary Clinton emails released by the State Department on New Year’s Eve, contain damning evidence of Western nations using NATO as a tool to topple Libyan leader Muammar al-Gaddafi. The NATO overthrow was not for the protection of the people, but instead it was to thwart Gaddafi’s attempt to create a gold-backed African currency to compete with the Western central banking monopoly.

The emails indicate the French-led NATO military initiative in Libya was also driven by a desire to gain access to a greater share of Libyan oil production, and to undermine a long term plan by Gaddafi to supplant France as the dominant power in the Francophone Africa region.

The April 2011 email, sent to the Secretary of State Hillary by unofficial adviser and longtime Clinton confidante Sidney Blumenthal with the subject line “France’s client and Qaddafi’s gold,” reveals predatory Western intentions. Continue reading »

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Jan 11

“… except high quality bonds.”

High quality bonds?

rofl

When the real collapse happens “Bunds and Treasuries” will be everything but safe.

I recommend to own physical gold and silver to protect your assets.


keep calm and sell everything

RBS cries ‘sell everything’ as deflationary crisis nears (Telegraph):

Clients told to seek safety of Bunds and Treasuries. ‘This is about return of capital, not return on capital. In a crowded hall, exit doors are small’

By Ambrose Evans-Pritchard

RBS has advised clients to brace for a “cataclysmic year” and a global deflationary crisis, warning that major stock markets could fall by a fifth and oil may plummet to $16 a barrel.

The bank’s credit team said markets are flashing stress alerts akin to the turbulent months before the Lehman crisis in 2008. “Sell everything except high quality bonds. This is about return of capital, not return on capital. In a crowded hall, exit doors are small,” it said in a client note. Continue reading »

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Jan 10

China FX teller_0

Meanwhile In Shanghai Residents Form Lines To Sell Yuan, Buy Dollars:

Ming Pao, the most influential Chinese newspaper in Hong Kong, reports that Shanghai residents are lining up at local banks to sell Yuan for Dollars over fears of even more Yuan devaluation.

* * *

gold-currency-crisis-china-edition

This Is What Gold Does In A Currency Crisis, China Edition:

As China’s leaders figure out that pegging the yuan to the dollar while quintupling their debt in five years was a colossal mistake, they are, apparently, concluding that the only way out is a sudden, sharp currency devaluation…

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Jan 08

China’s Largest Bank Is Mystery Buyer Of Massive 1,500 Ton Gold Vault In London

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Jan 08

Jim Willie: This Will Be the Trigger for the Big Banks to Explode:

The low oil price is the signal of the dying dollar.

 Sub $30 Oil – When this happens, big banks explode

“The reset has begun, the plug has been pulled. Americans and US and western press watch the dollar and say it’s strong. I watch the oil price and say the dollar’s dead.

After ’71 when the gold standard was broke, called the Bretton Woods Accord, what replaced the gold standard but the de facto petrodollar standard? Continue reading »

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Jan 06

A Disturbing Warning From UBS: “Buy Gold” Because A 30% Bear Market Is Coming:

As Wall Street axioms (Santa rally, January effect, as goes January etc.) are rapidly falling by the wayside at the start of 2016, following a chaotic but return-less 2015, the UBS analysts who correctly forecast last year’s volatility are out with their forecast for 2016. It’s simple – Sell Stocks, Buy Gold… expect a Fed u-turn.

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Jan 05

J.P. Morgan

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Jan 02

On The Trail Of Dubai’s Stolen Gold: A Robbed Client Breaks The Silence, And A Fascinating Detail Emerges:

On Christmas Day, 2015, we told our readers the fascinating tale about the Turkish-Iranian gold smuggling ring – perhaps the biggest and most brazen in history, one which lasted for years, which saw billions in gold transported out of Turkey and into Iran to allow Tehran to circumvent the western financial sanctions using gold as a medium for bater, and which was all made possible thanks to the tiny Emirate of Dubai.

What made this particular instance of gold smuggling especially memorable is that it reached to the very political top in both Turkey, and Iran, and Dubai. Continue reading »

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Jan 02

goldfinger

Gold’s Timeless Truth:

One should not be concerned about a gold price measured by the standing suspect monetary regime. The value placed on Gold in terms of fiat currency solely backed by the good faith and credit of bankrupt Governments whose Central Banks are counterfeiting paper money is only as viable as the presiding monetary authorities legitimately maintaining their credibility and supremacy over time.

The inevitable failure of the western world’s financial system will leave gold as the only veritable store of value still standing.  After the caapital and economic breakdown befalls, the trust between the nations tied to the previous monetary order will have been irrevocably shattered.  Gold then emerges as the essential and only long standing common denominator between sovereign States that no longer value each others’ previously accepted paper obligations, having been entirely discredited, which hitherto had facilitated the exchange of goods and services between them. Continue reading »

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Dec 28

This Is What Gold Does In A Currency Crisis, Canadian Edition:

Along with the currencies of most other commodity-exporting countries, the Canadian dollar has been in near-freefall lately.

20151227_CAD2_0

Gold, meanwhile, has been sucked down with the rest of the commodities complex, falling hard since 2013. But only in US dollars. For Canadians, with their weak domestic currency, gold has been behaving just fine. It’s up 17% in C$ terms over the past two years and looks ready to rally from here:

20151227_CAD1_0

Protection from currency trouble is why people own it, and why in the vast majority of places it’s owners are very happy. Continue reading »

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Dec 27

goldae.jpg

The Mystery Of Dubai’s Vaporized Gold: The Plot Thickens:

Earlier this week, we told a fascinating story about an unprecedented, multi-year smuggling ring involving Turkey, Iran, and Dubai (as well as China, Russia and countless other nations) which saw corruption reaching to the very top of the political and financial establishment: from president Erdogan in Turkey, to one of Turkey’s richest people, Iran-born Riza Sarraf, to Sheikh Sultan Bin Khalifa Al Nahyan, the son of the ruler of Abu Dhabi and one of the world’s richest people. The smuggled object in question was gold, billions of dollars worth of gold. Continue reading »

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Dec 25

goldae.jpg

Exclusive: “And It’s Gone… It’s All Gone” – The One Gold Scandal That Goes To The Very Top:

Long before Turkey was flagrantly arming and funding the CIA-created “terrorist organization” known as ISIS, there was another, far more elaborate way in which Turkey was flaunting international sanctions against an ostracized state – in this case Iran – which involved an epic gold smuggling triangle of Hollywood-thriller proportions, all made possible thanks to the United Arab Emirate city of Dubai.

Best known known for its luxury shopping, ultramodern architecture including the world’s tallest building, a lively nightlife scene, and a facade of openness and decorum, what Dubai is less known for is its unprecedented seedy underbelly of corruption and untouched criminality among the handful of billionaire oligarchs, princes, sheiks and sultans, who quietly dominate the local (and global) power and financial structure.

But first, a little history. Continue reading »

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Dec 17

Gold-Nugget

Gold Analyst Warns: “There Are About 325 Paper Ounces For Every Physical Ounce Backing It”:

Back in September Zero Hedge reported that something snapped in the COMEX market and all indicators suggest there was a relentless outflow in registered gold. At that time there were about 202,054 ounces of gold available for delivery. To put that into perspective, Craig Hemke of TF Metals Report points out that just earlier this year there were nearly one million registered ounces available.

What this likely means is that someone, somewhere is requesting that their paper holdings be converted into deliverable physical gold. All the while many a mainstream pundit has declared that gold is nothing but a relic of times past. Yet, despite its purported unpopularity, since the last time the COMEX snapped in September even more registered gold has disappeared. Continue reading »

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Dec 17

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Dec 17

Want to find the Nazi gold (and all the gold that is about to disappear from China in the not too distant future)?

Just have to audit the Rothschild vaults … for the very first time in history!

Hitler, Stalin, Roosevelt and Churchill were all Freemasons and all of them were Rothschild puppets.

WW2 has been a staged event.


Search For Fabled Nazi Gold Train Is A Bust: “There May Be A Tunnel…But There Is No Train”

 

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Dec 15

Soren-Pind-Refugees

Denmark to confiscate gold, jewelry, and other valuables from refugees:

It started on December 8, 1931.

Germany was in a world of pain at the time. They were still financially debilitated from having to make reparation payments after losing World War I, and had just barely recovered from one of the worst bouts of hyperinflation in recorded history.

By the early 1930s, the onset of the Great Depression had taken hold in Germany, driving the government to desperation once again. Continue reading »

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Dec 09

H/t reader squodgy:

“Bitcoin Terror DISINFORMATION BRAINWASHING”


Wired has allegedly found elusive Bitcoin creator “Satoshi Nakamoto” in Australia…and less than 24 hours later he’s being raided by the Australian Federal Police. Sadly, given the attempts by the MSM and governments around the world to link the P2P economy to terror, mayhem and criminality, this is hardly surprising. Join me in today’s thought for the day as we explore the demonisation of P2P and why the powers that shouldn’t be are afraid of freedom…terrible freedom!

SHOW NOTES:
Bitcoin’s Creator Satoshi Nakamoto Is Probably This Unknown Australian Genius

Bitcoin creator identified by Wired has Australian home raided

Group claims Bitcoin may have been used to fund Paris terrorist attacks

European Commission to Assess Bitcoin’s Role in Terrorist Financing

Bitcoin, Paris and Terrorism: What the Media Got Wrong

Bitcoin Report: ISIS Utilizing Digital Currency to Fund Terror Operations, Conceal Cash

California shooters borrowed $28,000 before attack: source

Meet The Peer 2 Peer Lending Website That Funded The San Bernardino Shooters

Solutions: The Peer-to-Peer Economy (Transcript)

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Dec 05

Gold-bar

Gold-Backed Ruble, Yuan to Trigger Global De-Dollarization:

A gold-backed ruble and gold-backed yuan could start a ‘snowball exit’ from dollar F. William Engdahl notes, adding that it will diminish America’s ability to use the reserve dollar role to finance Washington’s perpetual overseas wars.

 The irony of the situation is that the central banks of China, Russia, Brazil and other countries “diametrically opposed” to US foreign policy course are forced to stockpile dollars in the form of “safe” US Treasury debt in order to protect their economies, American-German researcher, historian and strategic risk consultant F. William Engdahl stresses. Continue reading »

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Dec 03

Ht/reader squodgy:

“This is a good video showing how the Economy of USA really is.”

Yes, a good video indeed.


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