"The Chinese Don't Want Dollars Anymore, They Want Gold" - London's Gold Vaults Are Empty: This Is Why

Tyler Durden's picture


Today gold slid under $1200 per ounce, dropping to a level not seen in three years. Judging by the price action one would think that gold is not only overflowing from precious metal vaults everywhere, but can be found thrown away on the street, where nobody even bothers to pick it up. One would be wrong. In fact, as Bloomberg's Ken Goldman reports, "you could walk into a vault in London and they were packed to the rafter with gold, and the gold would trade from me to you to somebody else. You could walk into these vaults today and they are virtually empty. All that gold has been transferred out of London, 26 million ounces...." To find out where it has gone and why it is never coming back, watch the clip below (spoiler alert: listen for the line: "the Chinese don't want US dollars anymore, they want gold").

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Thu, 12/19/2013 - 23:04 | 4262692 G.O.O.D
G.O.O.D's picture

we so solly that our garden now.

Thu, 12/19/2013 - 23:10 | 4262713 Four chan
Four chan's picture

a foolish people and their money are soon parted.

this is now america, its over. they won.


Thu, 12/19/2013 - 23:12 | 4262720 kliguy38
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There's two sides to this trade...........PHYSICAL and PAPER........that's all you need to know........eventually one loses big. If you're paper trading with the boyz then you're playing their game.......listen to papasmurf

Thu, 12/19/2013 - 23:15 | 4262740 Crisismode
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The Chinese will be buying at $1100.


The Chinese will be buying at $1000.


The Chinese will be buying at $900.


The Chinese will be buying at $800.


The Chinese will be buying at $700.


Ad Nauseum.



Thu, 12/19/2013 - 23:18 | 4262743 kliguy38
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They might.......but you won't be

Thu, 12/19/2013 - 23:30 | 4262782 layman_please
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can anyone follow their twisted logic? so if there will be no gold to have in 2014, then that will be the reason it will fall down to 700? and that it hasn't already is only due to china buying with both hands? it only has few more days? until the vaults are empty? nice to know. cheers.

Thu, 12/19/2013 - 23:37 | 4262805 TeamDepends
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Reason?  Logic?  They caught the last train for the coast....

Thu, 12/19/2013 - 23:48 | 4262809 Manthong
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Confooscious  say..

Wise guy gringo with bald head and gray beard get large wong stuck while wrong.

But the yellen will be swellin' while she be be smellin' from the jellin'.

Thu, 12/19/2013 - 23:56 | 4262837 Bay of Pigs
Bay of Pigs's picture

This story was up all day over at Silver Doctors (and other sites). Why does it get posted in the middle of the night around here? Not the first time I've seen this either.

It's a BIG fucking devolopment if true.


Thu, 12/19/2013 - 23:58 | 4262841 kliguy38
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yeah pig.....I wuz wunderin' the same thing too........looks like its gettin' some love though....even in the middle of the night

Fri, 12/20/2013 - 00:02 | 4262855 James_Cole
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“Platinum, we talked about South Africa - that was very good“

Need moar labour strikes and mass shootings, c'mon gawddamnit get those prices up!


Fri, 12/20/2013 - 00:35 | 4262906 IridiumRebel
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You cuss too much IR.

Fri, 12/20/2013 - 00:54 | 4262934 DoChenRollingBearing
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The Bearing Guy got his gold yesterday (0.25 oz Gold Eagle) paid for with BTC.  Also yesterday I met with a local who sold me BTC for CA$H, we did the deal, yes, at a Starbucks (respecting "tradition").

"Bitcoin Insider" straightens me out on a few points.

And while fiatleak.com is gone, http://btccast.com/ is now broadcasting the same (Andrew Hodel's) information in near-real-time about BTC trading via the world's BTC exchanges.

"Fun With Bitcoin for Beginners: Part Five"




An Italian lady (a friend of my wife) came by this evening.  I asked her "WTF" is going on in Italy (no, I was more polite...).  She told me that things are terrible there and getting worse.

And that the Chinese are moving in and buying places in Tuscany, vineyards, "trophy properties", etc.  And teh Italians ain't happy about it...

Fri, 12/20/2013 - 00:54 | 4262944 IridiumRebel
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Dang it DCRB....you entice me with your libertarian digitry. Stop and you may just make IR sell some stawks for a BTC or two.

Fri, 12/20/2013 - 01:06 | 4262962 TruthInSunshine
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Fonestar told me China really wants to corner the bitcoin market, and is trying to amass a surplus of physical gold with which it can do so.

Fri, 12/20/2013 - 01:20 | 4262987 Boris Alatovkrap
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Chinese Proverb:

Wai su man bai me ta lu, no bai pei pa.

Fri, 12/20/2013 - 01:36 | 4263005 TruthInSunshine
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Confucius say "[I]f you don't hold it you don't own it, and I don't want to hear any bullshit about digital wallets, bitchez."

Fri, 12/20/2013 - 06:38 | 4263075 i-dog
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The Chinese will indeed wish to grab (and hold) physical gold ... until the State tells them they must transact in GlobalCoin.

Governments will soon (2 more years?) all be transacting with their dependents, err, citizens in cyber-currency/s.

Fri, 12/20/2013 - 06:51 | 4263249 GetZeeGold
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Wudda ya mean I can't get gold out of my ETF?

Fri, 12/20/2013 - 11:26 | 4263755 BaBaBouy
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GERMANY Is Waiting 7 Years To Get Just 20% Of Their GOLD Back From The NYC FED!!!!!!!!!!!


We Now come To A FORK In The Road, Go With The Chinese, Or Go With GreenShpan Bernanky And Yelling... You Have A Choice... 

Which Way You Go ???

Fri, 12/20/2013 - 12:03 | 4263904 OutLookingIn
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They who have the gold - RULE!

Fri, 12/20/2013 - 19:17 | 4265545 zaphod
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Forget the chinese

I don't want dollars anymore, and want gold instead.

Fri, 12/20/2013 - 20:06 | 4265637 fonestar
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Speak for yourself I am BTFBTCD!!

Fri, 12/20/2013 - 20:13 | 4265655 zaphod
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I'll bite. Searched all over and can't find what that means.

Fri, 12/20/2013 - 20:19 | 4265668 fonestar
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Fri, 12/20/2013 - 20:54 | 4265740 zaphod
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No idea why someone would downvote that...

Fri, 12/20/2013 - 13:36 | 4264278 silverserfer
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I have hunch geman gold reclamation news was delayed abotu two years late deliberly after the cash for gold craze. Notice how that has vanished? then the news comes out? Why no more cash for gold advertisements up in everybodys face?

All I know for sure is shenanegins. I'm calling out sheenanegins going on in the physical gold market 

Fri, 12/20/2013 - 15:39 | 4264941 daveO
daveO's picture

I still see the ads. Bet it's going to China, too.

Fri, 12/20/2013 - 02:36 | 4263067 A Nanny Moose
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Ho Lee Fuk

Fri, 12/20/2013 - 04:21 | 4263156 Boris Alatovkrap
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Yu no zhou king!

Fri, 12/20/2013 - 01:06 | 4262967 Dugald
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Nurts.......leave it the Cosa Nostra....they fix

Fri, 12/20/2013 - 02:50 | 4263083 holgerdanske
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This is true. The Italians are very close to boiling over. I saw the Financial Police threaten a small Chinese girl on a train from Italy to Switzerland. Three grown men demanded that she empty her bag to search for cash money. She resisted them calmly and politely asking for ID. They eventually stopped the train, but she was left in peace after a lot of passengers got upset.

The Italians in charge are fascists, they have been ruled by fascists and EU technocrats, they have lost a lot of respect for the police the government and the the rest of EU.

This applies to almost any other European country. The rulers have become faceless bureaucrats, appointed, not even elected. More and more the national agenda is subjugated according to the international agenda, and people are loosing faith. This will be the last generation where we can expect to live our lives in peace without fighting for our freedom.

The international elite press ahead, "privatizing" = stealing public assets like roads, water, sanitation, health, policing, security, you name it, they steal it. First we pay for it through taxes, then it is stolen and we have to pay for it again through extra taxes. It can't continue, it can't last. You can only drive a people so far up the creek, and they will turn and bite.

The indoctrination of school children makes it difficult for people to speak freely, because there is a racism paragraph somewhere threatening to silence you. But the take over by Chinese is a disaster for many places on earth, and it is one that can only be countered by resistance. This is not something you can be polite about. If you don't like it, prevent it. The politicians have long enough run roughshod over the local populations and demanded that the world become "multicultural".

I think the local populations around the globe have had about enough of this "cultural enrichment". People in need should be looked after, but people that overwhelm, overburden and overextend the locals will be resisted and rejected.

Money should not be the only determinant in this play, because the Chinese can now buy about anything with their fake dollars, and soon even more with their real gold. Europe and the USA is fast on the way to become the servant of China.

The banksters, IMF, the monetary elite like Bernanke and his ilk before him the international gang of hereditary politicians, have some serious problems to answer for. They will soon be able to add another, social resistance and defiance, which can quickly lead to resistance and insurrection.

We, the people, have had it.

Fri, 12/20/2013 - 07:58 | 4263303 29.5 hours
29.5 hours's picture




So, this is all the fault of the Chinese? The world is simpler than I had thought...

Fri, 12/20/2013 - 11:29 | 4263775 debtor of last ...
debtor of last resort's picture

He didn't say that.

Sat, 12/21/2013 - 04:37 | 4266264 trader1
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Sat, 12/21/2013 - 10:08 | 4266446 Bendromeda Strain
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But the take over by Chinese is a disaster for many places on earth, and it is one that can only be countered by resistance.

Maybe you could start by parsing this...

Fri, 12/20/2013 - 08:21 | 4263328 fiftybagger
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Wait.  Now it's somehow the Chinese' fault that Europe is becoming a socialist backwater hellhole?

Fri, 12/20/2013 - 20:17 | 4265661 angel_of_joy
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What do you mean by "is becoming"??

That happened 10 years ago.

Sat, 12/21/2013 - 04:36 | 4266265 trader1
trader1's picture

i'll take europe any day over the usa.  

give me a break.

Sat, 12/21/2013 - 10:18 | 4266461 BoNeSxxx
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I, for one, will not take any European country seriously until they convert to proper toilets.

What the hell?  Those little tall bucket-looking things?  I still giggle every time I sit on one.

Sat, 12/21/2013 - 11:16 | 4266506 RealityCheque
RealityCheque's picture

Yankee shithouses are insane. Way too much water. It's like taking a dump in a swimming pool.

Fri, 12/20/2013 - 09:28 | 4263398 Doña K
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What if the megabanksters wait until China has cashed out all the Dollars and all the gold is bought out and make a sharp u-turn ala Volker at 22% - 25% ? 

We are 25% physical and 75% cash

Fri, 12/20/2013 - 12:41 | 4264038 donsluck
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It cannot be done without horrific consequences for the national debt. Unless the USA repudiates, we are stuck in ZIRP land. The 70s/80s are long gone.

Fri, 12/20/2013 - 04:33 | 4263167 Lost My Shorts
Lost My Shorts's picture

The Chinese have a great system.  They are simultaneously refugees from communist PRC oppression and merchantilist aggressors destroying Western economies.  All they want is freedom of speech ... and to own your house.  Good luck getting rid of them.

Fri, 12/20/2013 - 07:36 | 4263278 Joenobody12
Joenobody12's picture

Right on. The Chiense is coming for your house, your wife and your kids too. You did not do this to yourself. IT is the Chineses fault. 

Sat, 12/21/2013 - 10:15 | 4266449 Bendromeda Strain
Bendromeda Strain's picture

If you have to sell to pay the wages of your debt slavery, why is that the buyers fault? China/Chinese playing the hand they have been dealt.

Don't hate the playa - hate the game...

Fri, 12/20/2013 - 06:53 | 4263252 Prisoners_dilemna
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fiatleak.com is gone

However http://fiatleak.dyndns.org/ is here.


Same site, different domain name.

Fri, 12/20/2013 - 20:04 | 4265628 fonestar
fonestar's picture

fiatleak.com is still working.

Fri, 12/20/2013 - 09:43 | 4263438 Fire Angel
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Hey, dude. Congrats on that!!! I've been on the edge of my seat over the last week or so wondering how that trade would work out for you. I'm glad you've now got your shiny in the palm of your (grease-lubed? LOL) hands. 

Fire Angel 

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