hmmm....

[Jay]

snip:
Okay, so if you are China and Russia and you are working hard to undermine the dollar, how do you get prepared for the fiat currency crisis that your hard work will eventually create?

You guessed it. You hoard gold and other precious metals.

And that is exactly what China and Russia has been doing.

A recent MarketWatch article detailed the massive hoarding of gold that Russia has been doing....

I can’t imagine it means anything cheerful that Vladimir Putin, the Russian czar, is stockpiling gold as fast as he can get his hands on it.

According to the World Gold Council, Russia has more than doubled its gold reserves in the past five years. Putin has taken advantage of the financial crisis to build the world’s fifth-biggest gold pile in a handful of years, and is buying about half a billion dollars’ worth every month.

http://theeconomiccollapseblog.com/...utting-the-legs-out-from-under-the-u-s-dollar

 

[ancona]

If China says it has eleven hundred tons, I think is't safe to say that they have three or four times that much. They buy up nearly all of their domestic production and have done so for a very long time. I would hazard to guess that they may have nearly as much as we claim we have at West Point, New York and Fort Knox.

There are some who claim that Russia and China are secretly setting up to launch a gold backed currency in an effort to strip the United States of our fragile hegemony.

 

[DCFusor]

Well, with everyone in a race to the bottom on ALL fiat (not just FRNs) then yeah, you get "real" things now - PMs are one such thing, Kyle Bass mentioned a few other "real" assets that produce income as well.

Don't know whether or how they admit it to themselves, but their only hope to avoid a reset and some nasty legal precedents (debt jubilees or principal cram downs) is to make fiat so worthless that the zillions of bucks of debt is easy to pay off in nominal terms.

Which I find funny - it amounts to the same thing. If you're gonna cut the buck in half, so make it twice as easy to pay back the debts - then writing down the principle amount results in exactly the same value proposition - other than the legal precedents involved. And perhaps hopes that no one notices that we, the lenders in general, are the ones getting hosed, since the nominal still looks good....and most people don't understand the underlying issues. "Hey, my 201k went back up" and they're happy even if it didn't really go up in purchasing power.

 

[DoChenRollingBearing]

Don't forget to add INDIA (whether they admit it or not) to the gold accumulators, at least according to the Italians...

 

[white&yellow999]

I just read this article on infowars yesterday about Putin (Russia) and China buying hoards of gold on Infowars. Most of us were relativly informed about this already, so it wasnt too shocking.

http://www.infowars.com/double-down-vladimirs-putin-billions-into-gold-in-anticipation-of-global-upheaval/

In the last seven months alone the People’s Republic of China has added more gold to their reserves – over 500 tons – than the entire holdings of the European Central Bank. They aren’t alone.

Russia’s President Vladimir Putin has been aggresively investing into the precious metal over the last five years – spending some $500 million monthly as he diversifies his country’s assets out of Dollars and Euros. Currently, 9% of Russia’s reserves are held in gold.