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Old 04-29-2012, 04:46 PM   #81
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@ PMBug #74,

Hey, Syria! Sell your gold cheap to me!
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Old 05-10-2012, 07:31 AM   #82
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Quote :
An Iranian trade delegation to India has sealed deals to buy shipments of rice, sugar and soybean from the South Asian country, as part of a plan for Tehran to use such pacts with India to get around U.S. financial sanctions on its oil shipments.

India has been unable to pay in full for Iranian oil imports because tightened U.S. sanctions have made it difficult to access U.S. dollars for transactions with Iran. Instead, Iran has agreed to accept payment in Indian rupees and sent a trade delegation to India this week to look for goods to buy with the money it earns. ...
http://online.wsj.com/article/SB1000...googlenews_wsj

India isn't kowtowing to American demands.
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Old 05-10-2012, 07:49 AM   #83
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Originally Posted by PMBug View Post:
http://online.wsj.com/article/SB1000...googlenews_wsj

India isn't kowtowing to American demands.
Everyone wave goodbye to the world reserve status of the USD!

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Old 06-01-2012, 01:05 PM   #84
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Yesterday’s big news as far as gold was concerned was a Telegraph report stating that Germany could be about to get into the “cash for gold” business in a big way. Angela Merkel is said to be increasingly favourable to the idea of countries pooling a portion of their sovereign debt into a redemption fund, with the eurozone then taking on a collective obligation to honour this debt. Member states would be obliged to pledge gold and currency reserves as collateral in case they are unable to make good on their obligations.

This so-called “European Redemption Pact” gets around German courts' constitutional objections to “Eurobonds”. It would also allow PIIGS governments to in effect share “Germany’s credit card”, thus lowering borrowing costs in the eurozone periphery and so taking the pressure off of embattled governments in Spain, Greece, Italy and elsewhere. And a big plus point as far as Germany is concerned is that this is no free lunch: if countries cannot honour their commitments, then they will lose their collateral.

But of course, things are never as simple as that. The fly in the ointment here is the always-emotive subject of gold, with many in southern Europe sure to object to the idea of pledging their gold to such a venture. Italy’s sovereign gold reserves stand at 2,451 tonnes – worth €98 billion as of March – while France sits on a hoard of 2,435 tonnes, and Portugal 383 tonnes (Portugal actually owns around 72 tonnes more then the European Union’s second largest economy, the United Kingdom). Having thus far resisted pressure to sell gold in order to shore up state finances, many in these countries will no doubt be wary of this EU take on a “cash for gold” shopping mall kiosk.

This idea bears close attention. If it looks like taking off, it will be yet another indicator that gold is slowly but surely re-entering the financial calculations of governments around the world.
http://www.goldmoney.com/gold-resear...ollateral.html
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Old 06-01-2012, 03:59 PM   #85
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Quote :
Japan and China will start direct currency trading this week, Tokyo said Tuesday, the first time Beijing has let a major unit other than the dollar swap with the yuan.

The move, which will scrap the greenback as an intermediary unit, comes as China introduces measures as part of a long-term goal of internationalizing its currency to rival the dollar.

The two-way trade will also be allowed to move in a wider range than the narrow band at which the dollar and yuan change hands, Dow Jones Newswires and the Nikkei business daily reported.

China will set a daily rate based on dealer quotes with trade allowed to move within a 3% band above or below that rate, the reports said, compared with a 1% band fixed to yuan-dollar trading.
...
http://www.japantoday.com/smartphone...ding-on-friday
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Old 06-13-2012, 08:08 AM   #86
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Kazakhstan's central bank plans to boost the share of gold in its gold and foreign currency reserves to 20 percent from 14-15 percent, deputy bank chairman Bisengali Tadzhiyakov said on Wednesday.

Tadzhiyakov, who gave no time frame for the move, said last week Kazakhstan planned to buy 22 tonnes of gold from local producers, which at that time he estimated would boost the share of the metal to 15 percent from about 12 percent.

"We will buy from Kazzinc corporation 20 tonnes (of gold) in 2012, and a further 4.5 tonnes from Kazakhmys," he told journalists on Wednesday, reading out updated figures from his report prepared for presentation in parliament.

"The total volume is 24.5 tonnes."
...
More: http://www.mineweb.com/mineweb/view/...3199&sn=Detail
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Old 06-22-2012, 08:40 AM   #87
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You might recall back in March the BRICS were making a lot of headlines. At the recently convened G20 meeting in Mexico, Brazil and China continued pushing the ball forward:
Quote :
Brazil and China will sign an agreement in the coming weeks to swap as much as $30 billion in their two currencies, Brazil Finance Minister Guido Mantega said.

The currency swap, worth 60 billion reais or 190 billion yuan, will be the first step in a broader agreement with Russia, India and South Africa to allow members of the so-called BRICS group of emerging markets to pool resources to better weather the global financial crisis, Mantega told reporters yesterday in Rio de Janeiro.

The agreement, which was discussed this week by leaders of the BRICS at a Group of 20 summit in Mexico, marks another step in a deepening trade between the world’s two largest emerging markets. China overtook the U.S. in recent years to become Brazil’s biggest trading partner, though Mantega said yesterday that the $76 billion in bilateral commerce last year, 17 percent of Brazil’s total, is just the beginning.
...
http://www.bloomberg.com/news/2012-0...d-soon-1-.html
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Old 06-28-2012, 08:12 AM   #88
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Quote :
SANTIAGO, June 26 (Xinhua) -- China and Chile agreed Tuesday to upgrade their bilateral ties to a strategic partnership, and double trade in three years.

Chinese Premier Wen Jiabao and Chilean President Sebastian Pinera announced Tuesday the establishment of China-Chile strategic partnership and the completion of negotiations on investment-related supplementary deals to a bilateral free trade agreement.
...
Meanwhile, Wen suggested that the two sides launch currency swaps and expand settlement in China's renminbi.
...
http://news.xinhuanet.com/english/ch..._123334167.htm
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Old 07-02-2012, 08:52 AM   #89
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...man, Chinese are not asleep at the wheel.. Meanwhile, US & Europe are beating around the bushes with sabre rattling and Euro Summits.. good luck to us, westerners..

IT seems like HEmingway said when asked how one goes bankrupt, "first it is gradually, and then suddenly". Seems like we are entering accelerated phase this year.
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Old 07-08-2012, 07:59 AM   #90
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Australia is seeking to deepen trading between the local dollar and the yuan as demand for commodities drives exports to China to record highs.

The yuan's internationalisation “is clearly in the interests of Australian businesses and the broader Australian economy,” Treasurer Wayne Swan, who will co-host a forum on the matter in Hong Kong next week, said today in a statement. “Both governments are very keen to see us deepen and broaden this important market.”
...
http://www.smh.com.au/business/marke...#ixzz1zrf1lCwR
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Old 07-08-2012, 09:25 AM   #91
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This is really a race for China. They desperately need to use those dollar denominated assets to buy things while they still have value. They are hyper aware that the USA is and will continue to debase our dollar, because in reality it is our only avenue out of debt. We have amassed far too much debt to ever pay back, so it's kind of like the game "hot potatoe" with these treasuries. I expect to see stealth accumulation of hard assets such as PM's, oil reserves, gas, etc. China knows that when we go out, they go out in an even bigger ball of flames, since their people are much closer to desperation than Americans. We're talking about hundreds of millions of Chinese who in the last decade or so, have been lifted out of a life as poor dirt farmer to one of being able to actually afford meat, and when that is suddenly taken away, all hell will break loose as those millions of people demand that something be done.
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Old 09-10-2012, 07:07 AM   #92
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... In July, Chinese gold imports from HK, after two months of declines, have picked up once more and hit a 3-month high of 75.8 tons. While it is notable that this number is double the 38.1 tons imported a year prior, and that year-to-date imports are now a record 458.6 tons, well over four times greater than the seven month total in 2011 which was 103.9 tons, ...

... the deputy director of the Chinese central bank, the PBOC, said overnight at a conference in Xiamen. What he said is that the financial crisis has shaken confidence in the U.S. dollar. We knew that. What he added is that the sound performance of China’s economy during the crisis boosted demand for yuan. This was also more or less known, although with the Yuan peg it is somewhat difficult to determine objectively. It is what he said last that is most important: "The financial crisis that started in 2008 has provided China with a good opportunity to promote the yuan as a global currency."
...
http://www.zerohedge.com/news/name-n...l-ecb-holdings
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Old 09-21-2012, 10:54 AM   #93
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Guido Mantega, Brazil’s finance minister, has warned that the U.S. Federal Reserve’s “protectionist” move to roll out more quantitative easing will reignite the currency wars with potentially drastic consequences for the rest of the world.

“It has to be understood that there are consequences,” Mr. Mantega told the Financial Times in an interview on Thursday.

The Fed’s QE3 program would “only have a marginal benefit [in the U.S.] as there is already no lack of liquidity . . . and that liquidity is not going into production.”

He said it was instead depressing the dollar and aimed at boosting U.S. exports.

As finance minister under President Dilma Rousseff and former president Luiz Inácio Lula da Silva, Mr. Mantega has watched Brazil’s economy move from confident boom to near-stagnation this year.

He cited Japan’s decision this week to expand its own QE program, coming on the heels of the Fed’s decision to launch further QE last week, as evidence of growing global tensions. “That’s a currency war,” he said.
...
http://www.cnbc.com/id/49114571
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Old 09-23-2012, 08:49 AM   #94
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Quote :
...
Deutsche Bank’s report is “Gold: Adjusting for Zero.” It reckons we’re in a situation that is “Zero for growth, yield, velocity and confidence.” It says: “We believe there are nearly zero real options available to global policy-makers. The world needs growth and is willing to go to extraordinary lengths to get it.” It forecasts bluntly that the value of the dollar will plummet in the first half of 2013 to less than a 2,000th of an ounce of gold. It reckons “the growth in supply of fiat currencies such as the USD will remain an important driver.”

That’s just for openers. The report then goes on to assert that gold is misunderstood and doesn’t really belong in the basket of “commodities” used by so many economists. Gold is money, according to the Deutsche Bank. Says it: “We would go further however, and argue that gold could be characterised as ‘good’ money as opposed to ‘bad’ money which would be represented by many of today’s fiat currencies.” It refers to Gresham’s Law and suggests “the undervalued money (good) will leave the country or disappear from circulation into hoards, while the overvalued money (bad) will flood into circulation.”

There follows a discussion that would make Ron Paul blush, though it doesn’t mention the congressman who, with the businessman scholar Lewis Lehrman, has been pushing this issue all these years. Deutsche Bank notes that discussion of the gold standard has become a common theme, a development that “says much about the change in attitudes by investors, many who would have ridiculed the mere mention of such a thing as little as five years ago.” It suggests the talk “perhaps gives a hint as to the desperation of investors.”

In any event, the Deutsche Bank concluded that “[w]hile a gold standard could work,” it remains skeptical that it will be considered. This is owing to what it calls the power of culture. “The world economy has, over the past century, morphed into a highly integrated, government dominated system guided by conventional wisdom (group think),” says the Deutsche Bank. “The self-reliant, individualism of the free market has been left behind in favor of a ‘new age’ of coddled consumerism. Culturally this represents a very powerful force in our view, one which minimizes creative options/solutions to economic impasses.”

* * *

What startles us is that this is being issued by the one of the world’s major banks. It was brought to our attention by James Grant of the Interest Rate Observer, who says when he read it, he could have been knocked over with a feather. For his part, your editor remembers the way gold was dismissed by the then president of the Bundesbank, Karl Otto Poehl, when your editor met with him in Frankfurt. That was a generation ago. When pressed, Herr Poehl suddenly exclaimed that Germany was the second biggest gold holder in the world. It still is, according to one of the many nifty charts in the Deutsche Bank’s “Gold: Adjusting for Zero.” This gives rise to the thought that if America is not going to lead on monetary reform, Germany is in a position to do so. ...
http://www.nysun.com/editorials/germ...tandard/87997/
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Old 10-06-2012, 10:47 AM   #95
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Kitco Erases Evidence of Cartel Silver Raid from Charts
http://www.silverdoctors.com/kitco-e...l-silver-raid/

Probably just an automatic adjustment due to the briefness of the plunge imho.
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Old 10-08-2012, 08:12 AM   #96
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Glitch in the Matrix? They changed something.
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Old 10-08-2012, 11:25 AM   #97
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so, increasing M1 money in Iran, leads to...

OK, here's some example of the "mainstream economy" cognitive dissonance ( from Bussiness Insider article, link below)
Quote :
Dr. Cole told Business Insider that the problem created by Ahmadinejad's policies is one of simple economics:
The increased money supply will cause prices to go up, which will eat away the value of the subsidies, and so forth. So, how you get that extra money that the government has to the people without causing hyperinflation is a really tough problem, because the healthy way for an economy to have more money in it would be an increase in productivity.

But there isn't any increase in productivity, it's just an increase in money coming in from the outside. So, that subsidy policy that Ahmadinejad kind of buying people's votes, and so forth, by giving out money, that has caused this inflation.

Read more: http://www.businessinsider.com/actua...#ixzz28j0OM52Y
...now, replace Ahmadinejad's above with Obama, Romney, Congress and what have you, and all of the sudden, "this time is different", nah???

Why have people be so fecking stooopid???

Good article BTW, worth reading - about unintended consequences, as well...
http://www.businessinsider.com/actually-there-is-no-hyperinflation-in-iran-2012-10
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Old 10-09-2012, 07:12 AM   #98
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The Bank of England published this last December (h/t James Rickards via twitter) arguing for a "NWO" managed global economy:
Quote :
Reform of the International Monetary and Financial System

...
While the missing markets, imperfect information and nominal rigidities frictions can be tackled — at least in part — by actions taken by individual countries, international policy initiatives will also be needed. This is particularly true for the missing markets and imperfect information frictions, where improved FSNs, co-ordinated efforts to close data gaps and international co-operation on the financial regulatory reform agenda should all be encouraged. While international policy initiatives would also be required to tackle international institutional frictions, the feasibility and/or desirability of doing so is unclear, and it may be preferable to focus international co-ordination efforts on other areas.

Although there is much progress that could be made from efforts to deal directly with the frictions, it is unrealistic to expect to eliminate these frictions altogether. It is therefore necessary to develop a mechanism to deal with the externalities that are a consequence of these frictions — a process which will require more active international policy co-ordination. International co-ordination through the G20 Framework for Strong, Sustainable and Balanced Growth is an important attempt to develop such a mechanism. The Framework is designed to identify and resolve policy inconsistencies among systemically important countries, and if it functions as intended, could result in significantly better global outcomes.
...
http://www.bankofengland.co.uk/publi...fs_paper13.pdf

They had this to say about the gold standard era:
Quote :
...
Under the Gold Standard, the money supply was linked to the availability of gold. Countries with current account surpluses accumulated gold, while deficit countries saw their gold stocks diminish. This, in turn, contributed to upward pressure on domestic spending and prices in surplus countries and downward pressure on them in deficit countries, thereby leading to a change in relative outlays and prices that should, eventually, have reduced imbalances. The credibility of countries’ commitments to pursue this passive monetary policy approach was underpinned by the fact that central banks were under little pressure to help minimise unemployment or to pursue other potentially conflicting domestic objectives at the time (Eichengreen (1996)). There was no formal mechanism to force countries to adjust their domestic policies under the Gold Standard. Instead, they did
so out of convention.

Net capital flows tended to be large under the Gold Standard (Chart 1). However, passive domestic monetary policy responses meant that they were not accompanied by large cross-country policy inconsistencies and so did not pose the same threat to global financial stability as those of today. Table A below, which presents a range of summary statistics on the performance of different IMFS regimes, shows for example that the incidence rate of banking and currency crises in the Gold Standard was much lower than in today’s system. Of course these summary statistics should be treated with caution, as the variables included will also have been influenced by a wide range of third factors — such as globalisation, financial liberalisation and regulation.(1)

The direction of net capital flows during the Gold Standard seemed broadly consistent with the efficient allocation of capital across countries. In particular, these imbalances were associated with ‘downhill’ flows of capital from the older, advanced economies in Europe to more productive opportunities in the younger, fast-growing economies in Asia and the Americas (Kenwood and Lougheed (1999)). Further, private sectors played the dominant role in these capital flows, which is consistent with the notion that economic fundamentals were at work.

Overall, the Gold Standard appeared to perform reasonably well against its financial stability and allocative efficiency objectives, while the internal balance objective was of secondary importance. But the effective sacrifice of this latter objective was the undoing of the Gold Standard, as growing recognition of the need to pursue domestic policy objectives (most notably, to respond to rising unemployment) and achieve internal balance eventually undermined the credibility of the restored Gold Standard in the interwar period. Against the backdrop of increasing concern about domestic objectives, political disputes over war reparations meant that central bank co-operation was not forthcoming when Germany faced a banking crisis in 1931, eventually triggering the collapse of the system (Eichengreen (1992)).
...
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Old 10-09-2012, 07:19 AM   #99
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Originally Posted by Forbes :
... what really occurred to contaminate the gold standard’s reputation, keeping it off the policy table for 80 years — longer than even Goldfinger’s ambitions. The contaminating events produced an intellectual trauma that brings economists such as Obama adviser Austan Goolsbee to tweet such nonsensical doggerel as “Roses are red. Violets are pink. Don’t listen to goldbugs. No one cares what they think.”

Goolsbee, along with dogmatic reactionaries such as Paul Krugman, studiously ignore the implications of the utterly damning critique of the fiduciary currency system by The Bank of England last December in its paper titled Reform of the International Financial System. Meanwhile, outside the self-referential Cult of Neo-Keynesianism, in the past two years a dramatic shift in the international elite opinion stream is bringing the gold option back into consideration.
...
More: http://www.forbes.com/sites/ralphben...ing-worldwide/

A lot of interesting references contained in that article. If the subject interests you, it's worth reading for links/references to current drumbeats for ... Tradition!
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Old 10-10-2012, 06:58 AM   #100
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Quote :
Printing Money – Price of Gold – Preservation of Wealth
October 9th, 2012 by admin golds
by Egon von Greyerz – October 2012

1. Worldwide money printing continues unabated

2. Just In 10 years $120 trillion have been printed making global debt $200 trillion

3. World GDP has gone from $32 trillion to $70 trillion 2001-2011

4. Thus $120 trillion debt is required to produce a $38 trillion annual increase in GDP

5. The marginal return on printed money is negative in real terms

6. Thus the world is living on an illusion of paper that people believe is money

7. This illusionary paper wealth will implode in the next few years

8. The initial trigger will be the collapse of the world’s reserve currency – the US dollar

9. The dollar is backed by $120 trillion of US government debt and probably NO gold

10. All currencies will continue their race to the bottom and lose 100% in real terms against gold

11. This will create a worldwide hyperinflationary depression

12. All assets financed by the credit bubble will go down in real terms

13. This includes stocks, bonds, property and paper money of course

14. The financial system is unlikely to survive in its present form

15. The banking system including derivatives has total liabilities of around $1.2 quadrillion

16. With world GDP of $70 trillion, the world is too small to save a financial system which is 17x greater

17. This is why there will be unlimited money printing and hyperinflation

18. The only asset that will maintain its purchasing power is gold Click here for chart

19. Gold has been money for 5,000 years and will continue to be the only currency with integrity

20. Western countries’ 23,000 tons of gold is probably gone. See recent article by Eric Sprott.

21. The consequence is that most of the gold in the banking system is likely to be encumbered

22. This means that Central Banks one day will claim it back against worthless paper gold IOUs

23. Thus gold and all other assets within the banking system involve an unacceptable counterparty risk

24. Gold should be held in physical form and stored outside the banking system
http://www.jsmineset.com/2012/10/09/...ion-of-wealth/

Every time I read a piece from Egon von Greyerz, I see in my minds eye Egon from Ghost Busters warning not to cross the streams:

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