Standard Chartered: "Three Factors Will Drive Gold To $5,000"

Tyler Durden's picture

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qussl3's picture

A big bank promoting gold?

What the hell am I supposed to think now?

 

hedgeless_horseman's picture

The Standard Chartered branches in Hong Kong are very good banks to work with if you want to diversify assets to the RMB or Hong Kong Dollars.

There is a branch at Fo Tan, close to the horse track at Sha Tin, so one need not carry one's winnings too far.

http://www.hkjc.com/english/racing/entry.asp

TGR's picture

Standard Chartered is one of the three big-wigs in Hong Kong which print fiat, aka the Hong Kong dollar. I'd trust one of the local well-balanced family-owned banks like BEA (which incidentally has been informing its premier customers of the benefits of gold since 2003/2004) before I would Standard Chartered.

hedgeless_horseman's picture

Standard Chartered endeared themselves to me in the days when, if you were a gwai lo with a business plan and a chinese partner, you could borrow limitless amounts of that fiat on very easy terms.

GetZeeGold's picture

What the hell am I supposed to think now?

 

Dogs and cats...living together in sin. In short....mass hysteria....could be almost Biblical Proportions.

http://www.youtube.com/watch?v=O3ZOKDmorj0

 

Johnson Sandwich's picture

I want to sell a small amount of silver eagles. Does anyone know of a good coin shop in Holland or Sweden? is there a comprehensive list of coinshops in Europe?

thanks in advance!

Temporalist's picture

@ qussl3

"What the hell am I supposed to think now?"

 

That this is still just the beginning.  Don't think they'd be waiting around  for the price to rise more.  Big money is starting to move in why wait on the sidelines?

Michael Victory's picture

 

One reason governments and bullion banks are able to manage the gold markets is their ability to diffuse demand for physical gold. Demand is channeled into non-gold markets that ride the gold price without affecting it. Ex. Comex, ETFs and G shares.

Gold demand is kept away from the market by these and other derivatives.

Recommendation: Keep stackin. 

Full Bit - What is the real price of Gold?

 

DoChenRollingBearing's picture

+++

Everyone with wealth to preserve ought to have between 5% - 20% of their net liquid wealth in gold and other PMs.  And that, of course, would be real physical gold stored near you (preferably not ALL at a safety deposit box at the bank).  Disclosure: I am at 12% or so.

I believe the Standard Chartered price of $5000 is probably a low estimate, especially if we have:

-- hyperinflation

-- 100 x paper claims on gold as there is physical

fofoa.blogspot.com

and my blog, gmail me to get the link, it is under my real name.

jeff montanye's picture

another bullish fact is that china is hardly alone in its high foreign currency reserves/low percent in gold:  japan (#2 in total foreign currency reserves) 3%, saudi arabia (#4) 3%, taiwan (#5) 4.6%, brazil (#6) .5%, south korea (#8) .2%, singapore (#10) 2.5%, thailand (#12) 2.5%.  these "public" figures may be somewhat low but the potential rush to the exit seems compelling. 

 

Cultural Capital's picture

It ain't a rumour...

JW n FL's picture

looks like someone is selling its (Standard) holdings to its customers.

But this could just be for the short term drop that they want to exit before to capitalize on the 20% - 30%?

They like everyone else are killing themselves looking for yeild, and this upcoming price drop could be just what they needed to get year end earnings in order?

achmachat's picture

and today we actually have a real dip!

I used up all my dry powder two months ago, otherwise today would have been an awesome day to load up!

GetZeeGold's picture

 

and today we actually have a real dip!

 

It was a really short one.

 

 

Idiot Savant's picture

Relax, there will be lots of buying opportunities between QE packages - July through ??. I wouldn't be surprised to see sub $1200.00 gold, maybe even lower.

redpill's picture

Doubtful, even if we get some big deflationary swoons with the end of QE2.  Look at the 1 year or 5 year chart.  Gold is on a steady march.  That it has held over $1500 as long as it has signals good consolidation as well.

Silver, on the other hand, is the stomach-lurching roller coaster.  It could move $10 in either direction at the drop of a hat and it wouldn't surprise me.

Cognitive Dissonance's picture

Silver, on the other hand, is the stomach-lurching roller coaster.

May I suggest using Silver for Medicinal purposes to calm that sour stomach.

http://en.wikipedia.org/wiki/Medical_uses_of_silver

DoChenRollingBearing's picture

DCRB's "Death After Midnight"

-- 4 parts berry flavored vodka

-- 1 part the Green Fairy (absinthe)

All straight out of the freezer...

dark pools of soros's picture

or go with the Green Python

2/3 throwback Mountain Dew

1/3 absinthe

some ice, drink slowly at first, faster as the ice melts

redpill's picture

My current favorite is called Ridge Extrait d'Absinthe Verte.  From a little distillery in Montana by the same name.  They grow their own herbs, wonderful stuff.

DoChenRollingBearing's picture

I'll look for it!  Thanks for the suggestion!

redpill's picture

I order it from here: http://www.caddellwilliams.com/catDetail.php?id=10&PHPSESSID=a0b65b01c07...

 

Scroll down to Ridge Distillery, and the one I prefer is listed third.  $60 may seem pricey but for absinthe it's actually very reasonable, and you only drink one ounce at a time, so you get between 20 and 25 glasses out of a bottle.

For more absinthe information, see the Wormwood Society:  www.wormwoodsociety.org

Fat Ass's picture

Redpill, setting aside actual vintage (say, pre-WW1) bottles of absinthe (say, http://www.finestandrarest.com/absinthe.html),

may I recommend simply the "AMER" brand of current production.

You will find it an interesting comparison with your good Montana product mentioned.

You may also want to try any of the small makers today found in Neufchatel in Switzerland (where absinthe originates).

redpill's picture

Oh I've tried them all pretty much, including the vintage.  I collect the stuff :)

 

But "Amer" is actually a category/type of absinthe, characterized by a misguided attempts to market a particular ingredient called thujone.  There are several brands with the word in their name, you'll notice, but I've yet to have one that is particularly special

 

Cognitive Dissonance's picture

On the other hand, that would solve all the makeup issues for the Blue Man Group.

kumquatsunite's picture

Ridiculous! (See: The Princess Bride). Make a quick list of what China needs: fresh water! (lots of it), food (lots of it!), fresh air (lots of it!) and less people. China cannot continue as they've been going along. They built a factory entity in a weird chotchkee world that no longer can afford all those cheap chotchkees. Think about it: 1.3 BILLION people. Gold is at the bottom of the list of what 1.3 billion people need.

When someone starts bantering around 5000 gold, there is a sense of desperation in the air. Someone has bought a lot of gold and they don't like knowing that the gold is going down down down. Mine supply is up and more efficient than ever. And if you knew what I know about gold you would not own any of it. Pretty and shiny but what can you do with it? Nothing.

Instead put your money in great stocks that are creating things people actually need: wind power, solar power, fresh water and above all, stop all immigration into the United States. "Family reunification" immigration is killing off our country. There are now one-third of the country is not born here, and if the illegals aren't run back to mexico...as they should be...there is no hope for your children. America is for Americans. The pies is limited; the pie is small when you look at fresh water and fresh air; and the pie belongs to us, not them. Otherwise I'd go live in Mexico, cheap. But in Mexico I'm treated like an outsider and no one accomodates my language, gives me free medical, food stamps, and let's me cheat the system. 

By the way, ya'll see that Oboma has always talked about being a "one term" president? He's hoping that by doing so he'll be able to avoid having to find that real birth certificate; that ya'll will let him slide away with the benefits of having been president. Don't do it...we are a country of honor, or were. As such, any documentation asked for of someone who is being paid by the taxpayers, should be public, and provided immediately. God bless Pat Buchanan and Judge Judy. They may be the only people left in America completely, jingoistically American. The rest of Americans are brain-addled by the drumbeat of "compassion" which actually means: white genocide, balkanization and deconstruction of this country, and the ceding of America to immigrats and floatsam form the third world. Ah, isn't it great that all the patriots died so the liberals could in a couple of decades destroy all that made this country great. And just as a reminder, ain't nothign wrong with being white...tee hee. Maybe we need some "white affirmation" so that white people can have some kind of self-esteem? Anyways, in the decade to come gold won't be worth nothing; you will need to know how to cook, bake, and grow veggies; we are headed for the "lost decade" cause to juice the economy the liberals gave away the profits of years to come. And that's true for gold and silver also: the profits have been taken for years to come...no more until around 2025....

Bay of Pigs's picture

What a bunch of useless shit you spew. 

Apparently you know very little about the gold market, especially in China.

 

knowless's picture

the immigrants have no where to go back to, they have been here for generations, and are now as american as anyone else, just with different skin color and background. their home nations will not take them, but the army might.

SheepDog-One's picture

Its all priced in already, thats their QE conundrum.

css1971's picture

Timescale?

 

1% pa, 10%pa 15% pa, 50% pa?

 

PaperBear's picture

Central banks do not hold any silver in their basket of reserve assets but it is gold's cousin in terms of being a historic store of value and it is also an industrial metal with new uses being thought up all the time.

When the flight from fiat paper currency begins, it will be into gold and silver.

While gold has been stockpiled and is the larger market, silver has been consumed and consumed mostly in trace amounts and is the smaller market.

Get physical silver before warehouse inventories are all gone.

Confucious 222's picture

Get physical silver and multiply your wealth.

kumquatsunite's picture

Actually this isn't true. There is a lot of silver tucked away everywhere. Plus silver is being racheted up for mining, as in Mexico which is opening new silver mines and in Nevada also. Silver is also not "consumed"; all silver used in any manufacturing process is recycled as the computers, et al, come back through the system. Also, no one uses silver in the ways it used to be bought: silver teapots and such so all of that is available. Lastly, since no one has been interested in silver for thirty years there is a thirty year supply available that no one seems to talk about...silver is just a bubble and should be at $1.00 an ounce and no more...

Bay of Pigs's picture

"silver is just a bubble and should be at $1.00 an ounce and no more..."

Thanks for the good laugh troll. I needed one.

RockyRacoon's picture

Look.  I respect your point of view, but it's based on some fallacious data.   You really should get current on some of the things you take for granted, e.g.: Silver in electronic equipment is, for the most part, not economically recoverable.  Hence, it goes into landfills.  There is more, but I'll let you stew in that for a while.

kumquatsunite's picture

Actually this isn't true. There is a lot of silver tucked away everywhere. Plus silver is being racheted up for mining, as in Mexico which is opening new silver mines and in Nevada also. Silver is also not "consumed"; all silver used in any manufacturing process is recycled as the computers, et al, come back through the system. Also, no one uses silver in the ways it used to be bought: silver teapots and such so all of that is available. Lastly, since no one has been interested in silver for thirty years there is a thirty year supply available that no one seems to talk about...silver is just a bubble and should be at $1.00 an ounce and no more...

kumquatsunite's picture

Actually this isn't true. There is a lot of silver tucked away everywhere. Plus silver is being racheted up for mining, as in Mexico which is opening new silver mines and in Nevada also. Silver is also not "consumed"; all silver used in any manufacturing process is recycled as the computers, et al, come back through the system. Also, no one uses silver in the ways it used to be bought: silver teapots and such so all of that is available. Lastly, since no one has been interested in silver for thirty years there is a thirty year supply available that no one seems to talk about...silver is just a bubble and should be at $1.00 an ounce and no more...

doesmybuttlookfatinthis's picture

Silver is not consumed? They don't recycle silver. Not since they stopped using film. It cost too much too reclaim.  The following is a short list of uses for silver.

Cole Younger's picture

If gold goes to $5000.00 an ounce, the U.S. dollar will be worthless. There comes a point where pricing gold in U.S. dollars becomes meaningless.

Max Hunter's picture

This is my thinking as well.. At this point, people will be more concerned with the price of food and energy.  The price of PM's will be a side note for 99% of the country.