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Germany Has Recovered A Paltry 5 Tons Of Gold From The NY Fed After One Year
On December 24, we posted an update on Germany's gold repatriation process: a year after the Bundesbank announced its stunning decision, driven by Zero Hedge revelations, to repatriate 674 tons of gold from the New York Fed and the French Central Bank, it had managed to transfer a paltry 37 tons. This amount represents just 5% of the stated target, and was well below the 84 tons that the Bundesbank would need to transport each year to collect the 674 tons ratably over the 8 year interval between 2013 and 2020. The release of these numbers promptly angered Germans, and led to the rise of numerous allegations that the reason why the transfer is taking so long is that the gold simply is not in the possession of the offshore custodians, having been leased, or worse, sold without any formal or informal announcement. However, what will certainly not help mute "conspiracy theorists" is today's update from today's edition of Die Welt, in which we learn that only a tiny 5 tons of gold were sent from the NY Fed. The rest came from Paris.
As Welt states, "Konnten die Amerikaner nicht mehr liefern, weil sie die bei der Federal Reserve of New York eingelagerten gut 1500 Tonnen längst verscherbelt haben?" Or, in English, did the US sell Germany's gold? Maybe. The official explanation was as follows: "The Bundesbank explained [the low amount of US gold] by saying that the transports from Paris are simpler and therefore were able to start quickly." Additionally, the Bundesbank had the "support" of the BIS "which has organized more gold shifts already for other central banks and has appropriate experience - only after months of preparation and safety could transports start with truck and plane." That would be the same BIS that in 2011 lent out a record 632 tons of gold...
Going back to the main explanation, we wonder: how exactly is a gold transport "simpler" because it originates in Paris and not in New York? Or does the NY Fed gold travel by car along the bottom of the Atlantic, and is French gold transported by a Vespa scooter out of the country?
Supposedly, there was another reason: "The bullion stored in Paris already has the elongated shape with beveled edges of the "London Good Delivery" standard. The bars in the basement of the Fed on the other hand have a previously common form. They will need to be remelted [to LGD standard]. And the capacity of smelters are just limited."
So... New York Fed-held gold is not London Good Delivery, and there is a bottleneck in remelting capacity? You don't say...
Furthermore, Welt goes on to "debunk" various "conspiracy websites" that the reason why the gold is being melted is not to cover up some shortage (and to scrap serial numbers), but that the gold is exactly the same gold as before. Finally, to silences all skeptics, the Bundesbank says that "there is no reason for complaint - the weight and purity of the gold bars were consistent with the books match." In conclusion, Welt reports that in 2014 "larger transport volumes" can be expected from New York: between 30 and 50 tons.
Here we would be remiss to not point out that the reason why the German people and the Bundesbank have every reason to be skeptical is that as Zero Hedge reported exclusively in November 2012, before the Buba's shocking repatriation announcement and was the reason for the escalation in lack of faith between central banks, it was the Fed and the Bank of England who in 1968 knowingly sent Germany "bad delivery" gold. Which is why we have a feeling that the pace of gold transportation will certainly not accelerate until such time as the German people much more vocally demand an immediate transit of all their gold held at the New York Fed: after all, it's there right - surely the Bundesbank can be trusted to melt the gold (if any exists of course) into London Good Delivery or whatever format it wants.
Unless of course, the gold isn't there...
Bank Of England To The Fed: "No Indication Should, Of Course, Be Given To The Bundesbank..."
Over the past several years, the German people, for a variety of justified reasons, have expressed a pressing desire to have their central bank perform a test, verification, validation or any other assay, of the official German gold inventory, which at 3,395 tonnes is the second highest in the world, second only to the US. We have italicized the word official because this representation is merely on paper: the problem arises because no member of the general population, or even elected individuals, have been given access to observe this gold. The problem is exacerbated when one considers that a majority of the German gold is held offshore, primarily in the vaults of the New York Fed, and at the Bank of England - the two historic centers of central banking activity in the post World War 2 world.
Recently, the topic of German gold resurfaced following the disclosure that early on in the Eurozone creation process, the Bundesbank secretly withdrew two-thirds of its gold, or 940 tons, from London in 2000, leaving just 500 tons with the Bank of England. As we made it very clear, what was most odd about this event, is that the Bundesbank did something it had every right to do fully in the open: i.e., repatriate what belongs to it for any number of its own reasons - after all the German central bank is only accountable to its people (or so the myth goes), in deep secrecy. The question was why it opted for this stealthy transfer.
This immediately prompted rampant speculation within various media outlets, the most fanciful of which, of course, being that the Bundesbank never had any gold to begin with and has been masking the absence all along. The problem with such speculation is that, while it may be 100% correct and accurate, there has been not a shred of hard evidence to prove it. As a result, it is merely relegated to the echo chamber periphery of "serious media" whose inhabitants are already by and large convinced that all gold in the world is tungsten, lack of actual evidence to validate such a claim be damned (just like a chart of gold spiking or plunging is not evidence that a central bank signed the trade ticket, ordering said move), and in the process delegitimizing any fact-based investigations that attempt to debunk, using hard evidence, the traditional central banker narrative that the gold is there and accounted for.
And hard evidence, or better yet a paper trail of inconsistencies, is absolutely paramount when juxtaposing the two most powerful forces of our times: i) the central banking-led status quo (which is de facto the banker-led oligarchy whose primary purpose in the past several centuries has been to accumulate as much as possible of the hard asset-based fruits of people's labor, who toil in exchange for "money" created out of thin air - a process which could be described as not quite voluntary slavery, but the phrase would certainly suffice), and ii) "everyone else", especially when "everyone else" still believes in the supremacy of democratic forces, accountability, and an impartial legal system (three pillars of modern society which over the past 4 years we have experienced time and again have been nothing but mirages). Because without hard evidence, not only is the case of the people against central bankers non-existent, even if conducted in a kangaroo court co-opted by the banker-controlled status quo, it becomes laughable with every iteration of progressively more unsubstantiated accusations against the central banking cartels.
Finally, when it comes to cold, hard facts, which expose central banks in misdeed, even the great central banks have to be silent silent, as otherwise the overt perversion of justice will blow up the mirage that modern society lives in a democratic, laws-based world will be torn upside down.
And while others engage in click-baiting using grotesque hypotheses of grandure without any actual investigation, reporting or error and proof-checking to build up hype and speculation, which promptly fizzles and in the process desensitizes the general public and those actually undecided and/or on the fences about what truly goes on behind the scenes, Zero Hedge travelled (metaphorically) in space - to London, or specifically the Bank of England Archives - and in time, to May 1968 to be precise.
While there we dug up a certain memo, coded C43/323 in the BOE archives, official title "GOLD AND FOREIGN EXCHANGE OFFICE FILE: FEDERAL RESERVE BANK OF NEW YORK (FRBNY) - MISCELLANEOUS", dated May 31, 1968, written by a certain Mr. Robeson addressed to the BOE's Roy Bridge as well as its Chief Cashier, and whose ultimate recipient is Charles Coombs who at the time was the manager of the open market account at the Fed, responsible for Fed operations in the gold and FX markets.
This memo, more than any of the other spurious and speculative accusation about Buba's golden hoard, should disturb German citizens, and of course the Bundesbank (assuming it was not already aware of its contents), as the memo lays out, without any shadow of doubt, that the BOE and the Fed, effectively conspired to feed the Bundesbank due gold bars that were of substantially subpar quality on at least one occasion in the period during the Bretton-Woods semi-gold standard (which ended with Nixon in August 1971).
The facts:
At least two central banks have conspired on at least one occasion to provide the Bundesbank with what both banks knew was "bad delivery" gold - the convertible reserve currency under the Bretton Woods system, or in other words, to defraud - amounting to 172 bars. The "bad delivery" occured even as official gold refiners had warned that the quality of gold emanating from the US Assay Office was consistently below standard, and which both the BOE and the Fed were aware of. Instead of addressing the issue of declining gold quality and purity, the banks merely covered up the refiners' complaints
It is this that the Bundesbank, the German government, and the German people should be focusing on. If in the process this means completely ridiculing the Buba's "she doth protest too much" defense strategy that what is happening in the media is a "phantom debate" as per Andreas Dobret's recent words, so be it. In fact, one may be well advised to ignore anything Buba has said on this matter, because in attempting to hyperbolize the matter out of irrelevancy, the Buba is now cornered and will have no choice now but to explain just what the true gold content of the gold even in its possession is, let alone that which is allocated to the Buba account 50 feet below sea level, underneath the infamous building on Liberty 33.
Full May 1968 memo from the BOE to the NY Fed: highlights ours:
MR. BRIDGE
THE CHIEF CASHIER
U.S. Assay Office Gold Bars
1. We have from time to time had occasion to draw the Americans’ attention of the poor standards of finish of U.S. Assay Office bars. In addition in 1961 we passed on to them comments from Johnson Matthey to the effect that spectrographic examination did not support the claimed assay on one bar they had so tested (although they would not by normal processes have challenged the assay) and that impurities in the bar included iron which caused some material to be retained on the sides of crucible after pouring.
2. Recently, Johnson Matthey have put 172 “bad delivery” U.S. Assay Office bars into good delivery form for account of the Deutsche Bundesbank. These bars formed part of recent shipments by the Federal Reserve Bank to provide gold in London in repayment of swaps with the Bundesbank. The out-turn of the re-melting showed a loss in fine ounces terms four times greater than the gross weight loss. Asked to comment Johnson Matthey have indicated verbally that:-
(a) the mixing of “melt” bars of differing assays in one “pot” could produce a result which might be a contributing factor to a heavier loss in fine weight but they did not think this would be substantial ;
(b) a variation of .0001 in assay between different assayers is an extremely common phenomenon;
(c) over a long period of years they had had experience of unsatisfactory U.S. assays
3. It is not, however, possible to say that the U.S. assays were at fault because Johnson Matthey did not test any of the individual bars before putting them into the pot.
4. The Federal Reserve Bank have informed the Bundesbank that adjustments for differences in weight and refining charges will be reimbursed by the U.S.Treasury.
5. No indication should, of course, be given to the Bundesbank, or any other central bank holder of U.S. bars, as to the refiner’s views on them. The peculiarity of the out-turn will be known to the Bundesbank: it has so far occasioned no comment.
6. We should draw the attention of the Federal to the discrepancy in this (and any similar subsequent such) result and add simply that the refiners have made no formal comment but have indicate that, although very small differences in assay are not uncommon, their experience with U.S. Assay Office bars has not been satisfactory.
7. We hold 3,909 U.S. Assay Office bars for H.M.T. in London (in addition to the New York holding of 8,630 bars). After the London gold market was reopened in 1954 we test assayed the bars of certain assayers to ensure that pre-war standards were being maintained. It might be premature to set up arrangements now for sample test assays of U.S. Assay Office bars but if it appeared likely that the present discontent of the refiners might crystalise into formal complain we should certainly need to do this. In the meantime I would recommend no further action.
31st May 1968
P.W.R.R.
To summarize: Bank of England discovers discrepancies with US Assay Office gold bars, notifies the NY Fed that its gold bars have major "bad delivery" issues, but, and this is the punchline, on this occasion, we'll keep it quiet, because the Bundesbank got these bars. This is merely one documented assay occasion: one can imagine that of the hundreds of thousands of gold bars in official circulation, the "good delivery" quality of bars outside of the US, and perhaps BOE, official holdings has progressively declined over the decades of Bretton Woods. One can also only imagine what has happened to all those "good delivery" bars currently held by the Fed as custodian at the NY Fed. Literally: imagine. Because there is no way to check what the real gold consistency of these gold bars is, and whether the refiners found ongoing future inconsistencies with "good delivery" standards of bars handed off to other "non-core" central banks. And, yes, without further evidence the above is merely speculation.
As to the remaining relevant facts: the US ran out of good delivery gold in March 1968 and only had coin bars remaining. Which is why it closed the gold pool and went to a two-tier price system. The Bundesbank went on to cover some of the outstanding gold debts of the Fed to the gold pool. Subsequently, the US then did several deals with the BOC to get a substantial amount of gold to pay back the Bundesbank which was sent over to England from March until June 1968. One can, again, only speculate on the quality of said gold. The Fed then created unsettled accounts to account for these transfers between itself and the Buba.
In light of the above facts and evidence, one can see why the Buba is doing all in its power to avoid the spotlight being shone on the purity of its gold inventory: after all the last thing the German central banks would want is someone to go through the publicly available archived literature, to put two and two together, and figure out that it does not take one massive "rehypothecation" (see "to Corzine") event for German gold credibility to be impaired: all it takes is death from a thousand micro dilutions over the decades to get the same end result. Because chipping away one ounce here, one ounce there for years and years and years, ultimately adds up to a lot.
We eagerly look forward to the Buba's next iteration of self-defense. We can only hope that this one does not include a reference to a "phantom debate", to "East German terrorist Simon Gruber" or to Goldfinger, as it will merely further destroy any remaining credibility the Bundesbank may have left in this, or any other, matter.
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There is no German gold "credibility".. anymoar.
Oh.. unless you account for it in 100% genuine, pure faith and credit digital or paper FRN's.
Stop fucking whining, it could have been 5 tons of tungsten.
Hitler learns his gold was actually Tungsten...
http://www.youtube.com/watch?v=PqvDUEVbIbk
That looks familiar... ;)
If the Germans want their gold they have to go to Jamie Dimon's island to get it.
The goods arrived on the slow boat from China.
China Expands Gold Reserves to 2,710 Tons - Third Largest In The World
Now we have the confirmation from China IMF reporting to the previous report from Bloomberg. China is very serious in accumulation Gold and latest reports from Germany about the Gold price manipulation are coming now with the record leverage at COMEX with 112 owners per each ounce of Gold!
http://sufiy.blogspot.co.uk/2014/01/china-expands-gold-reserves-to-2710....
Arthur Cutten: COMEX Gold Potential Claims Per Deliverable Ounce Rises to Historical High 112 to 1 GLD, TNR.v, MUX, GDX
"After issuing his Buy Signal on Gold, Arthur reports the new historical all-time-high leverage at COMEX with 112 potential owners for each one ounce of Gold!"
Glenn Beck: Where Is German Gold?
Glenn Beck is digging up the mystery of German Gold repatriation. With the reports that even small amount of the delivered Gold so far was melted beforehand we can be sure that there is no more original German Gold left. As we have discussed before, theGold smashing down has started with Venezuela's request for Gold to be returned back and last year Gold's bloodbath was assured with Germany seeking for its Gold to be returned as well.http://sufiy.blogspot.co.uk/2014/01/glenn-beck-where-is-german-gold-gld....
Here is a link to the article:
http://www.welt.de/wirtschaft/article123988843/Die-ganze-Wahrheit-ueber-...
I translated it badly, but it seems the bank is trying to allay suspicion. Maybe someone fluent in German can do a better job.
Translated excerpt from the article (emphasis added):
"[...] Only the smallest part of the gold transported in 2013 derives from Amerika - it were five tons. The remaining 32 tons come from Paris, where germanys gold-storage shall get unraveled completely until 2020. The "Bundesbank" explained that the transports from Paris are more simple and therefore could start more quickly.
That is because the goldbars which are stored there already have the form of LGD-standard. The bars in the FED's basement have a form that formerly was common. The Bundesbank will have them remelted completely. And the companies doing the melting have limited capacities.
The operation shall not enable any wangling, to the contrary. The remelting will not -as is asserted on various corresponding websites- take place before the transport, but afterwards. Employees of the "Bundesbank-Revision" supervise the evacuation from the FED-vault and strike the bar-numbers off their inventory list. Back in Europe, they check if the right bars are arriving at the smeltery. The exact location of the assigned smelteries will kept secret by the Bundesbank, due to safety reasons.
The smelting of the bars is not mandatory. But it would have the advantage, that the bars stored in Frankfurt will all be of the same form, and it allows ultimate authentication, besides the common check with ultrasound and x-rays. [...]"
"Due to global warming, massive increases in icebergs are blocking trans-Atlantic shipping channels......Germany must buy more carbon credits which will melt the icebergs and permit gold shipments to resume......"
"Modern planes and boats are built wth space-age materials, although strong, cannot hold a dense metal like Au in large quantities. We will have to reverse engineer an old WW2 bomber to get your Au back to you."
I'm sure there's a perfectly reasonable explanation for this misunderestimated misunderstanding.
And once the PR department is finished writing it it will be published.
I've said it before and I'll say it again:
Germany lost most of its gold in a very unfortunate choice of custodian accident... but it's not like they couldn't foresee it.
To everyone thinking of holding paper gold in any way shape or form: don't be like Germany. One should be responsible even in the event of losing their money. If you lose your gold in an unforeseen boating accident at least then you are not funding criminal behavior in the process. On the other hand, if you lose your money to a thief or a conman, then not only are you out of money, but you are doomed to suffer again in the future when the thieves or con men come back better prepared and more motivated, looking for more.
"Germany lost most of its gold in a very unfortunate choice of custodian accident... but it's not like they couldn't foresee it"
You mean, the Allied puppets that were managing the German affairs after the second world war decided they best keep German gold "just in case"?
Whatever the relationships between governments, individuals have the freedom and means to exercise full control over their own wealth. It is regrettable that so few do.
Straining at gnats and swallowing camels?
Obviously if the USA and Federal Reserve has demonstrated themselves to be poor stewards and custodians of German Gold, an entire Nation's Gold, then what makes one think that they are so special that the same authorities will be better stewards in regards to them?
Obviously they will steal your Gold as well. The lesson to be learned is that if you do not hold it in your possession then you do not own it.
Take responsibility for your own financial well being is the fucking moral.
The 674 tons of German gold were converted into liabilites on the private non-federal non-reserve balance sheet a long time ago.
Why would any country allow another country to hold their gold in the first place? It seems absurd.
No, not from a german perspective. We possibly wouldn't have any gold at all, if the western allies would have insisted on hard reparations like the soviets did. And they very splendidly provided us with nuclear weapons, too. What are a few measly tons of gold among such "beloved friends"? ;-)
Why would any country allow another country to hold their gold in the first place?
You have to remember that back then we believed in the ten commandments and honestly. Some of us still do.
The world has changed.....a LOT.
Germany had no choice......it was under the control of SHAPE
30-50 years ago it made good sense. The USA was a prosperous nation and a bastion of freedom. The Warsaw Pact armies were just to the East of West Germany on East German soil. If Soviet tanks started rolling West then having gold in a secure vault far across the Atlantic was the wise option.
Germany should have repatriated all its gold at least a decade ago. Cold War was over, Germany was reunited and the USA was now the worlds biggest debtor nation.
And then ask yourself, if it is "all good" and freedom and light shine out since the dreaded Iron Curtain and Berlin Wall have fallen, why the fuck US Troops are still stationed all over Germany????
take one look at Venezuela. "they got their gold back." now what? If the gold stays in New York...it's your gold...depending on whatever treaties are signed etc. Interesting that Germany may have been limited to the amount of gold they were permitted to hold.
Again: http://seekingalpha.com/article/1549752-hidden-risks-at-german-banks
Yields having soared in southern Europe have now collapsed...but German yields are now rising.
http://www.zerohedge.com/news/2014-01-14/4-week-bills-prices-0000-bid-co... somebody is in a state of panic.
http://seekingalpha.com/article/1953791-royal-dutch-shell-shell-shock-of...
http://www.reuters.com/article/2013/10/16/europe-refinery-idUSL6N0I638T2...
Kelly's Guys stole it all
When the Germans came here to inspect their gold, written on the wall of the FRBNY gold vault, as in the movie Kelly's Heroes, underneath a drawing of Kilroy was the following statement.
Up yours, baby!!!
(Reuters)
"AF1 was forced down today by the Luftwaffe as it flew over France, with French permission. Bath House Barry and Reggie are being held hostage in demand for the missing German Gold. President Biden has assumed the Office and nominated Hitlery Klingon as his VP. Mrs. Bath House has offered to ship their belongings to Germany via FED-X.
President Biden has said "No Gold for Hostages is a new US Policy."
+1 Great film.
"Always with the negative waves, Moriarty, always with the negative waves."
I have a slightly different movie in mind in relation to this situation...
Red (Germany): "Yo Pops in trippin man. He want me to ask for my gold back, You know I wouldnt trip."
Debo (USA): "What gold?"
Red (Germany): "The gold I gave you after WWII, the gold I let you borrow as collateral. The gold I been asking you about."
Debo (USA): "Oh yeah that gold, it's right here, I didnt know you wanted it back homey.
Red (Germany): "Yeah well it can be like both of ours, just leave it in my vault."
Debo (USA):*turns around and uppercuts Red in the face* BahLamm! Thats my gold punk!"
Smokey (UK): "Ah ha ha You got knocked the fuck out!"
Edit: Now thinking about it. Probably only a small handful of ZH's would recognize this movie...
+ 10. Don Rickles as "Crap Game" fondling the gold bar was my personal favorite scene.
Grow a beard and Don could be the Bernank in the sequel - where the Germans liberate the gold from the Americans. Only this time there will be no gold in the Bank vault. Dramatic ending of a Gomer Pyle cameo - "Surprise, Surprise, Surprise!"
+1
I imagine there's no way Crapgame didn't find post-war employment at the FED or COMEX.
JMO, but I believed GLD and SLV to be trojan horses from their inception. And never for a moment did I believe there was any physical metal backing them.
"For who will watch the watchman....and never forget that in the end....he writes that which he damn well pleases."
"The bullion stored in Paris already has the elongated shape... " You want your gold back Germany? Bend over - it's the only way you're gonna get it.
germany are pussies for not demanding it all in the first place. might as well blow it wide open fellas.
they didn't want another small country (or countries) to fall to US Freedom... (aka Libya)....
What, you don't trust us? After we bail your ass out of 2 world wars, first DeGaulle, now the Germans simply have no faith in President Goebbels and all those Preezy's before him? It's about time you woke up and smelled the bratwurst. WTF.
http://vegasxau.blogspot.com
Douchebag Bank roars – Comex is saved, we’re rich bitch!
http://harveyorgan.blogspot.com/
Yeah, like ... The Mouse That Roared!
http://www.youtube.com/watch?v=p7L7WLFBYR4
Good humor. One back to you
SpongeBob SquarePants in China
"Going back to the main explanation, we wonder: how exactly is a gold transport "simpler" because it originates in Paris and not in New York? Or does the NY Fed gold travel by car along the bottom of the Atlantic, and is French gold transported by a Vespa scooter out of the country?"
that was hilarious...
Look you fucking German Politician bitches....
When you guys gonna stop acting like BITCHES??????
Stockholm syndrome.
(Or they just have a fetish for being pissed on by FRBNY Bankers)
Manufacturing exporting powerhouse Germany would be wise to demand full repatriation of their Gold immediately. Seems to me that If delivery does not occur, why remain a member in the EU? Why honor agreements with the West when apparently the West does not honor theirs? The BRIC's would welcome Germany into the fold with open arms. Then Germany might actually get some Gold and be a member of whatever secret major monetary future the BRIC's are planning.
I understand your point of view. Please consider mine. I have the feeling a multiple of sovereigns have cornered the mine supply for the reason that the gold just isn't where it's supposed to be. (1) Consider the possibility that the Germans might have agreed to lease their gold, just for capping the price. I think that there is a serious amount of rehypothecation. (2) AND China setting up a new 'LBMA STANDARD'. When it was announced that the needed Good Delivery Bars, 1 kilogram size, this is in fact ultimate proof they'll value gold much, much, much higher, based upon the finite supply. Note the (remaining, existing) supply is not 9999 pure. With all due respect, this is my own thesis. I'm no oracle. It all sure would make SENSE. Sincerely, GVB
Swaeringen
Ok, then what? How does the import-export game work?
You have to realize some of the rationalization of the petrodollar was the fact that Germany and Japan will not import stuff, unless forced. So the US said, fine, "we'll pay for your exports with worthless toilet paper."
Get it?
The scenario you proposed doesn't work because you're not seeing the next few moves afterward.
They want their land back... Otherwise known as "Poland." Obviously they can't invade them...and now they've blown 350 billion on Greece. That means only the Americans can go in. "But the gold stays put."
In other words, the Fed sold all their Au to China to prop the greenback, so cry me a river. "Hey we rescued you from Hitler, so you should be grateful, Germans--- " uncle fed.
It's a huge scandal but hardly anyone cares. Hello "1984" dull headed slaves ...
Hence, they're po'd and ordered DB to speak up about gold manipulation?
check's in the mail, herr fuher.
perhaps the french vichy can do more to pursuade the french and german private banks?
zis iz not funny...
"only a tiny 5 tons of gold were sent from the NY Fed. The rest came from Paris"
And the score is:
US : 5 ---- France : 32
Hurrah, France won!
bout time they won something
"about time they won something"
You're wrong, it's not about "winning", it's about seeing the blinding truth : the US is dead, completely dead! So fucking toast they cannot even prevent this news to go mainstream. They would have, in the 90's.
Obama is not a President, he's the guy who'll start the liquidation of the bankrupt firm called "the US of A".
Some would say Nixon started the liquidation process, or some other chap in 1913?
The Bernanke: "so, M Hollande, we are agreed. We supply logistics and drones, for 20% of the Malian gold output."
M Holande: "Do not forget ze al-kyda."
The Bernanke: "Of course, done. Do you want them armed?"
M Hollande: "Oui, you buffoon! What good are unarmed terrists?"
The Bernanke: "OK, that'll be 5% moar."
M Hollande: "Oui, oui, you toad."
The Bernanke: "Will they require transport?"
M Hollande: "Oui, but we will provide all the rest. You are already at 25%."
The Bernanke: "Well, the drones come with the deal. Missiles for the Drones are--"
M Hollande: "You pirate. OK! 50%!"
The Bernanke: "We have a deal, M Prime Minister."
the oppressed sour krauts give free gold to the yanks
and free nuclear submarines to the terrorists in israel
giving subs while being fully aware of the samson option
real clever
Secret Cooperation Israel Deploys Nuclear Weapons on German Submarines - SPIEGEL ONLINE 06/03/2012
Maybe its just me but Apple didn't have any problem getting 30+ million Iphones out of China. And not only once but several times. Let say an Iphone weighs about 5 ounces and with packaging puts it at 8 ounces or around a half a pound. So 30 million Iphones with packaging would weigh about 15 million pounds or 7500 tons.
So why can Apple ship 7500 tons of Iphones (and thats just the Iphone 5) but the US Fed somehow has a problem shipping 650?
There can only be two reasons. You either don't have it or you don't have it.
And just as an addition, one FedEX MD-11 can hold 90 tons of gold. But the FEDs have only sent 5 tons? Pretty clear to me they don't have the gold.
Here's what 1 ton looks like. They have sent only 5 of these!!! 80 bars per ton or 400 bars.
http://www.yelp.com/biz_photos/klondike-gold-rush-national-historical-park-seattle?select=Yxg5PNdkyj-AfoXmBwKtsg#Yxg5PNdkyj-AfoXmBwKtsg
I like your back-of-the-envelope math Bobert, but are you talking to yourself?
Neither are the rest of the ACA trolls.....just assuming cause it fits the time frame. If not.....please accept my sincere apologies.
Thousands and thousands of empty shipping containers need to get back to China to get loaded up again.
Would be easy to get 100X the number of containers needed to ship 650 tons of gold to Germany, and then forward the empty containers on to China.
If the gold existed at the NY Fed.
"...and that's how it's done, 007. An ingenious plan to steal the Gold. How did you like your last paycheck?"
"It was bad, Goldfinger. Bloody politicians are giving it away to welfare in taxes. I'll be lucky to have a pension."
"Join forces with me. You can have the German Gold."
"Make it look good, Goldfinger. Shoot me right here, in the arm. I'll give you five minutes head start."
"Excellent, Mr Bond. We shall meet in Tahiti, at the Miner's Club."
BANG!
"Good shot, Goldfinger, argh."
"You said to shoot."
"Yes, it's a golden wound! Get going, Auric!"
I rather thought the Fed would have claimed Hurricane Sandy flooded the vault and the gold was washed into the sewers of New York.
There Is No German Gold Left At The New York FED
Die Welt has reported today the bombshell announcement for the Gold market. We have discussed before that only 37 t of Gold out of 674 t was delivered to Germany in 2013 and that the Gold bars were Melted. So not a single original German gold bar was returned to Germany so far! ZeroHedge reports today that surprisingly only 5 t of gold has been delivered from the NY FED - the rest came from Paris. Now it is not be the conspiracy theory any more that there is no German Gold left at the NY FED. Now all the manipulations in the Gold market and constant smashing down the price in 2013 are coming into another perspective. With the highest on record leverage at COMEX of 112 owners for every single ounce of Gold and record low COMEX registered Gold at 11 t we have the set up for the major blow out phase in the Gold market. Who in their mind will continue to hold Gold at LBMA any more? According to Eric Sprott, we can expect a failure to deliver Gold and lawsuits with deliveries last February from COMEX of 40 t and China buying at least 100 t of Gold every month on average now. Eric Sprott - Expect A Failure To Deliver Gold & Lawsuits http://sufiy.blogspot.co.uk/2014/01/there-is-no-german-gold-left-at-new....
Viel Gluck!
The Mechanics never change. For a Ponzi Scheme or a Bank Run, all the money Is Not there. Whoever gets their money out first is Lucky. The rest will be wondering why they didn't figure out earlier that the money is not there.
If the gold was really in their vaults, all the Federal Reserve had to do was call the equally 'Federal' Express and it would have been back in Deutschland in less than a week
Everyone knows the gold isnt there, but the german and american people are in the awkward stage. We know something is terribly wrong but we dont feel justified in killing all the politicians just yet.
"Americans!"
"Yes Lord?"
"Go and build a multitude of guillotines. Make them of many shapes and sizes. Make them sharp and friction free and with baskets of palm weave..."
or make em as rusty and dull as u like. Cuz they damn sure deserve it
Whatever Germany does, they must not allow their gold to be shipped by boat.
Or by air either. (Would you like to be one of the flight crew?)
It's no wonder they're having so many transport difficulties.
they intend to ship by rail. yes it's problematic but they are hopeful.
Definitely dont let a zerohedger captain the boat. We have so many tragic boating accidents.
The NY Federal Reserve can also be prone to having tragic boating accidents. That is not an exclusive right held by ZH Boat Captains.
edit -moved
Germany lost but the Nazis won... then and now.
I was thinking about this last night. It's crazy that the Nazis ideology just changed "bodies," like in some horror movie, by infesting the American and Jewish body politic.
Tragic, and almost funny.
"Happiness is a warm head in a basket."
"There is no there, there."
--Gertrude Stein
They need to find Oddball
http://www.youtube.com/watch?v=7i4223q9His
If someone owes you money and you have to keep asking and asking and they only pay you in tiny instalments, then 99.99% sure that they haven't got the money to pay at all
Is it any wonder that "the Insiders" are getting the hell out of Dodge?
The tail has been wagging the dog. Now the dog is back in charge of the tail. If Yellen and Bernanke have to keep the economy close to stall speed so that the gold market doesnt blow up, then stocks are going nowhere this next year.
This is the reason Yellen and Bernanke talk a big talk but are going to let deflation run for a while. They wont Monetize enough even though they have everyone thinking they will.
They have to kill interest in gold with a slow inexorable decline so enough can be scooped up these next few years to satisfy demand without blasting the price to the moon
Excuses as ridiculous and pathetic as those being peddled by Buba only serve to piss people off further.
Once Gold will breach $1270 level Andrew Maguire's discussion about the massive short squeeze will become the reality and even if his predictions about $200 Up-days will not materialise, the move by Gold to the upside from the most oversold condition in history will be nothing less than spectacular.
http://sufiy.blogspot.co.uk/2014/01/there-is-no-german-gold-left-at-new....
Safer near Russia than in the USA. Sad.
Had they put it in Moscow.....it would probably still be there.....just sayin.
Spain did in 1936....and never got back the Moscow Gold
5 tons is not bad. America didn't get any of its gold back. If the countries want their gold back they have to go to Jamie Dimon's island.
What's left is there but unfortunately the prick sold the rest of it to China.
They should just call Fort Knox directly
Dear IRS,
Got your bill the other day. No problem, but will need 6 to 7 years to make full remittance.
Additionally, I will need to convert the form of payment from one type into another, from 'Bi-centennial' quarters to 'eagle' quarters, so my remittances could also slowed by this requirement.
Thanks for your patience and see you in 2020.
Sincerely,
One of Your Victims
I'm going to repeat what I said when this memo originally surfaced -- this memo is from a bunch of anally retentive assayers bitching about coin melt bars. That's it.
Now will the Bundesbank get their bars back? Not anytime soon. They are long gone. The story is the Fed is not delivering the serial numbered bars and is using the need to deliver 4 9's as the cover. They are producing bars for delivery at a mine production rate. But this 1968 memo is a non-story.
Germans be like, "mein verdammtes Kopfschütteln!"
It take a while to ship something heavy. I have this problem every Christmas when I send out fruitcake.
Bahahaha
Der Juden Bankers strike again!
Come on, Chindit, please tell us all exactly how and why there is "nothing to see here". Right? Just more "business as usual", correct? This whole gold repatriation matter is just more of the wild 'conspiracy theories' of radical goldbug extremists, isn't that it, and that world central banks "don't care about gold" anyway, true?
Funny, your posts always give me a feeling of deja vu, like I had already read the same or very similar words and messages before. The name "Nadler" always pops into my head around the same time, too.
But I sure did enjoy the Zero Hedge version of "Jon Nadler", what a great sense of humor...
Ask Peter Grandich for a copy of the email Nadler sent to him......trust me.....you'll laugh your ass off.
Here's a hint......maybe not so much.
http://www.youtube.com/watch?v=nm6DO_7px1I
ala Chindit: There's nothing to see if you don't look.
So what do you figure, then, akak...gold's going to go up what, like $3000 on Monday morning?
You seem like kind of a bitter man, and maybe distraught. If I pull up a chart on Bloomberg, I think I can guess why. Bile is a nasty mother, fella. I haven't even shown up in this thread, yet you feel some sort of obsession to bring me into it. Maybe the fault lies within? Just saying.
Listen, I have a suggestion for you. Have you considered picking up and moving to India? They love gold there. Always have. A man like you can move into his own, get the kind of respect you believe your metal ownership deserves. I'm thinking Uttar Pradesh or maybe Bihar. That'll give you a chance to see all the wonderful things a proper and long term historical appreciation of the yellow metal can do for a society. Paradise, it is. Absolute paradise. Sure, any second now they're going to rule the world.
Hey, it'll be good for your Vitamin D production, too, getting you away from those cold and lonely winter nights in Alaska. The added bonus----knowing you're a fan of this sort of thing---is that over there they're masters of public defecation. Even the Government babus noted that fully 53% of households in India do the needful out of doors and in the open. I can only guess such behavior might be linked to lack of fiat, given that's what your ilk always says is the only thing fiat is good for.
Anyway, I can fund the move if your gold position has left you a little short, or if Monday's $3000 rally gets swatted down by those nasty manipulators. I always tend to have more worthless fiat than I need, and crazy as it is, the airlines still accept it in exchange for tickets. Go figure.
Oh, and thanks for the tip on this Nadler fellow. Another of your obsessions? Geez, I feel cheated on. I thought I was the only object of your disaffection. This Nadler guy must have dumped his position at $1921, is that right? I'm jealous, as I only got out around $1750. Well, we can all do better.
Last thought....if I'm not overstepping my bounds here, maybe you should work on that seemingly ubiquitous akak anger and resentment. I think if you take an honest look, you'll see it shows up in virtually every post you make---and you make a lot of posts. Can't be good for the health long term, know what I'm saying? Think about checking into an ashram or something when you get to India. You know? A little "AUM" might help with your wealth preservation. And the wordplay you can do with A-U-M ? Magical! You think Au is for 'gold', I think AUM is for 'assets under management'. To each his “aum”, I guess.
Namaste!
Feel better now, asshole?
For somebody who accuses ME of consistently spewing out anger and bitterness, you certainly seem to effortlessly manage to dish up a heaping helping of both, all drenched with your usual sauce of arrogance and cowardice.
Chindit, you have on a number of occasions posted here such blatantly dishonest and egregiously disingenuous pro-status-quo propaganda that I will NEVER trust anything you have to say here, and will ALWAYS call you out for the pro-Establishment troll that you are. You are a contemptible and malicious piece of human filth, much like the banksters whom are your heroes and role models.
Feeling good, Billy Ray (from Trading Places).
Now I'm no doubt one of those foolish Westerners caught up in this 'time is linear' thing, but looking at the time stamps on this thread, it appears as if you, as always, initiated the discussion.
Wait, so India is poor becuase they have gold?
...and they guy in your post should be upset because the "dollar" value of gold is not (insert whatever number)?
They put a halt to their massive iron ore exports. That's tens of billions in hard currency..."gone." They could feed their people with that.
"Now I'm no doubt one of those foolish Westerners caught up in this 'time is linear' thing"
For future reference...
t = to( 1 - v2/c2)1/2
is NOT a Linear Equation.
Oooh, I wrote my Billy Ray comment when your post was just a one-liner, before the inner rage prompted you to do an edit and add all of that lovely descriptive prose.
I see you are a student of the Stalinist School, where accusation alone confers guilt, and where the mere mention of "such blatantly dishonest and egregiously disingenuous pro-status-quo propaganda" is a prelude to sentencing.
Since you've got my guilt out of the way, perhaps you've time to write a book, which I'm sure all here would welcome. How about something on stackers of the 1870s? You could call it, "Time to Back Up the Wagon!" In the forward you could post charts showing average laborer monthly compensation vs. the price of gold per ounce. No doubt you would prove that gold was so much more affordable for the common man back then, which would prove your oft stated opinion that it always holds its purchasing power. I mean, laborers back then obviously earned enough to eat, pay the rent, and take care of other bills, so the salary that allowed that survivable standard of living no doubt left money over to buy the dips. Lo that you didn't live back then, eh, when a common man could really afford to stack! The local coin shops must have been wild on payday, kind of like Walmart on Black Friday.
I'd also be interested in seeing a graph of asset ownership over time---say 5000 years---that indicates just how widespread was the ownership of all societal assets, not just gold, over the span of human civilization, and how badly the common man suffered after the development of modern finance and banking. I'd love to get a look into the 401Ks of Medieval Europe, Dickensonian England, Dynasty China, Tsarist Russia, maybe even Pharoah's Egypt. Unlike today, many probably had McMansions, Monster Boxes, a bass boat on the trailer behind the F150, and a portfolio of diversified equities that tracked the S&P. The masses were just gobsmacked with ever more attractive opportunities. Educate us.
Now call me pro-Establishment, but I have a soft spot for a good many of the pillars of modern finance where spare capital can be aggregated and then made available to those with a great idea or a strong work ethic, but who might have been born on the wrong side of the tracks. Sure there can be excesses, and I despise those as much as anyone, but the core seems to me a pretty good path toward greater societal equality, and it is a system unbeaten in human history in terms of allowing asset ownership to be dispersed more widely. I was unaware that a fondness for more equal opportunity equated to support for bailouts, excess lobbying, cronyism, military folly, ever-increasing budget deficits, and abrogation of Constitutional guarantees of privacy. I had no idea it was all or none. You are incorrect, however, in positing that I have finance types as my heroes. I became one, and though nobody's hero, I was fortunate enough to earn a good living doing something anybody else could have done if they so chose. I had to buy my silver spoon; it wasn't there at birth. I had a goal, and I hope that I have put that wealth to good use creating opportunity where neither the Universe nor anyone's god handed it out, but being a 'contemptible and malicious piece of human filth', it's difficult to know. I'll try harder. In contrst, I’m sure that you, even though you are not of that faith, are on Francis’ short list for beatification. Maybe the Zerohedge Store can sell bobbleheads of you to replace the St. Christophers many have on their dashboards.
I know I keep coming back to the same example, but it seems a world without modern finance, where people are stuck for their entire life with whatever capital they inherit or can accumulate through the meager opportunities offered them, is India. Not too many Henry Fords or other captains of industry come out of the Dalit Caste. Capital is not often, if ever, made available to even the best of them. Since that Caste system has a nearly 5000 year track record, it must be right. We should adopt it and all of its institutions. Toss out the banks. Close the exchanges. We should all be pigeonholed from birth, limited by what was in our hands on Day One, and there should be no credit system, equity market, fiat---or heaven forbid---futures market, because any or all of these might one day be abused and lead us to crisis. Accidents of birth and carefully restricted access to capital and opportunity is the way to go, right?
Kudos to you and your accomplishments in finance. Too bad the whole system is rotten to the core and not being cleaned up properly.
I'm as angered by the corruption as anyone, and believe that what has been done has exacerbated the problems that lie at the core of the current human condition, which is to find meaningful employment for the emerging world when existing production is becoming dramatically more efficient and less labor dependent. As I often say, I believe misuse of debt is a mere symptom of the wider dilemma. We're still hobbled for time, but there's no need to make things worse by the manner in which credit and monetary authority have been abused. I'm all for holding guilty parties accountable and removing the incompetent from positions of authority. Whether or not someone has manipulated gold is not, in my opinion, our most immediate concern as a species, and I doubt stopping it, if it is actually happening, will do a thing toward improving the general state of the human condition.
What I think does no one any good is to toss out the entire framework of civilization and return to the days when a select few held even greater sway over society and acquired an even greater percentage of available assets, because history shows all too clearly that such concentration of wealth and power into the hands of pack leaders is inevitable no matter the economic system. Democratic capitalism is the best of a group of imperfect alternatives, because it is the only system that in any way obviates the worst of human nature. There were never "good old days", and humankind has always been a work in progress, taking a few steps forward and sometimes a few steps back. When I see what we are doing now, and I couple that with many of the bizarre assertions and beliefs that evidence themselves now so regularly in the Comments Section here, and all over the web, I think we might be taking a major step back to the Dark Ages, where superstition and public disharmony reigned supreme.
I've always maintained that the first thing needing fixing after the 2008 crisis was the corruption that led to it. I'm seeing now that we are too far down the rabbit hole to get that done without another major crisis. To me manipulation of gold is not so important because I believe the laws of economics will eventually work this out. I only look now for any means to preserve the wealth I have accumulated in my short life. Besides that if there is social disorder you can count me out of that. I will be quietly subsisting in some small unheard of corner of the world.
Once again Chindit delivers diamonds from the rough.
The contrary view seems to think that humans exercising their full range of behavior in society are vassels to almighty Gold, rather than the opposite. Yes, there are times when gold is fundamentally undervalued, e.g. now in my opinion, but this does equate to gold being a solution for what ails.
@ Chindit13:
Beautiful garden path, as usual. But 'democratic capitalism'? wtf is that? Every employee gets a vote before an owner can fire someone? As an idea it sounds as conflicted as 'autocratic marxism'.
Perhaps you meant democratically mitigated capitalism? If so, 'round here that's known as 'socialism', and loudly/endlessly misrepresented as the equivalent of Stalinism, Maoism, or any other obviously unjust -ism, 'round here.
Trust me komrade, that dog don't hunt in these parts.
If, on the other hand, you were referring to capitally mitigated democracy, well, in that case legions of useful idiots are standing by ready to shower you with a steady stream of golden praise for that one, 'round here.
+1 for high-class delivery
"Why would any country allow another country to hold their gold in the first place? It seems absurd."
We were renting it from them?
The Nazi's took their gold to Portugal...not France, not Spain, not Italy or the USA. "They knew exactly what they were doing when they did that, too."
"Why would any country allow another country to hold their gold in the first place? It seems absurd."
No. It does not seem absurd at all if you know what Bretton Woods was about.
There are many reasons why the Bretton Woods Agreement came into existence.
1) The United States emerged from World War II rather unscathed and mostly undamaged.
2) It was decided by the Allied Victors that the US Dollar was to be pegged to Gold. All other World Currencies would be allowed to float.
3) The Gold was stored in the United States because:
a) The United States had an extremely powerful Military and was not prone to invasion
b) The United States had the most stable form of Government
c) Balances of Trade could be easily satisfied through the movement of Physical Gold from one Nation's vault into another Nation's vault without any transport risk of the actual Metal.
d) The US Currency served as Reserves because they were RECIEPTS OF OWNERSHIP of Gold.
e) In case of European Invasion by the Communist USSR the paper could easily be made invalid while the Gold Vault holdings of the Nations were separated by Oceans.
The United States acted as a CLEARINGHOUSE for World Trade.
Of course the USA abused the stewardship and printed far more paper receipts than there was Gold.
There is NO DIFFERENCE WHATSOEVER in what the USA did before the collapse of Bretton Woods and what CME Group is doing today/
The US Papear Claims against the Gold Holdings of the World were levered to the point of 20% Backing. The US Dollar, the US Currency, WAS PAPER GOLD.
Currently Comex has less than a 1% Backing. It is the same scam that Bretton Woods was...rehashed...and you stupid schmucks fall for these scams repeatedly because you fail to learn from History.
Looks like Buba needs to send his goons and break both of Uncle Benny's Knees.
All the macho Germans died in Russia.
Why did the US Treasury pledge to make up any purity errors in the bars of gold shipped by the Federal Reserve? We have been repeatedly told that the Federal Reserve is not part of the federal government and owned by the banks. Shouldn't the Banks have to pay for any errors? It was a private transaction between Federal Reserve/US Banks and the German Gov't.
The US Gov't shouldn't be involved.
Now it makes sense to me why US bullion (AGEs) is 90% while Canadian, or gold pandas, kangaroos, etc are 99.9%. The extra 10% allows the Fed to use coin bars for substitution, stretching their supply. That is what the BOE/Fed letter suggests the weasels in the US are doing.
I used to buy AGEs, no moar. I would rather take a chance on a Panda. In my collection (before it was all lost in a tragic fire), I had Canadians and Kangaroos.
Who knows what's inside those AGEs now?
AGEs contain 1 troy ounce of Au. They weigh more than that to include the alloys to make them harder. I have an app for my android tablet that records resonant frequencies of coins when you tap them thereby confirming the purity of the coin. So far all AGEs I have tested at the LCS have been good.
That's what those marble slabs on old cash registers were for.
It was payment to China for the continuation of its U.S. debt purchases.
Germany can obtain all the gold quite quickly. It can sell the rights to its gold held by the Fed and then purchase the gold in the spot market. Of course, what foolish bank would purchase all that gold based on a delivery promise by the Fed?
There is NOT THT MUCH GOLD available.
Actually the problem is they don't have the money. Nor does anyone else over there.
Tyler,
this is classic HEDGE! (the mud-in-yer-eye tone, the intellectual heft, the heavy-lifting of detailed investigation...all of it better than anything ANY organ of institutional journalism has to offer).
fuck em! they stay behind the curve because the tightly tethered limit of their institutional leash won't permit them proximity to even sniff at the outermost contours of real/hard news.
i guess they're not 'bad' people...just lazy & cowardly -- traits which define the fundamental nature of your average swine-fold. but pigs are great; just as good or bad as any of God's creatures...tasty too!
lil piggies, time is getting short:
https://www.youtube.com/watch?v=QnlijUAuna0
what they need's a damn-good whacking,
janus
Knowing who controls the central banks, the Germans are lucky to get anything
The clock is tic tic ticking on the Fed - and the Germans have ways of making you toc.
[HD] Michael Jackson History World Tour Live In Munich Smooth Criminal Best Quality_(HD)
http://www.youtube.com/watch?v=cpQIBSyXYEM (5:59)
Meanwhile, Home Depots all over New York City say they have run out of bricks and gold paint.
The BUNDESBANK says;
Wie sagt man? "Wir haben in Englisch ausgeraubt worden?"
Rehypothecation!!
"Wir sind auf englisch ausgeraubt worden!" But that would be quite old fashioned. Nowadays it would be more like: "Die scheiß Inselaffen haben uns abgezogen, Alter!"
So who will co-auther a Germany Rap song with me? "Wherez iz Das Goldenbarsien Bitches!!"
Okay I'll start the first stanza
Hallo Fed Bitches, surpize, suprize, wez das calling for das gold to be das set before our eyes,
Pity Germany can't get their (non-existent) Gold. They're gonna need it!:
http://www.businessweek.com/news/2014-01-19/deutsche-bank-posts-eu1-dot-...
"Deutsche Bank AG (DBK), Europe’s biggest investment bank by revenue, reported a surprise fourth-quarter loss, hurt by legal costs and accounting charges.
The bank had a pretax loss of 1.15 billion euros ($1.56 billion) on 528 million euros in litigation-related expenses, as well as costs tied to its reorganization and charges to adjust credit, debt and funding valuations, the Frankfurt-based firm said yesterday in a statement. The average estimate of six analysts surveyed by Bloomberg was for a 628.5 million-euro pretax profit. The bank announced results 10 days ahead of schedule."
and they weren't due to report earnings for ten more days. Not only that but their revenue was down 15 percent in the quarter. Morgan Stanley sports a bigger market cap now. In short "the German taxpayer is on the hook for Greece"....and they will default.
I'm guessing now that Fort Knox is nothing but empty boxes of D-con.
It is bizarre that Knox has gone so long without an audit. What does that say about the federal government or the American public?
I tried this one other time at ZH but what the hell I'll try it again and absorb the hate. Stranger things have happened than the following scenario:
- the U.S. knows damn well it doesn't have Germany's gold nor does it have anyting close to what is supposedly at Fort Knox
- the U.S. deliberately but not vocally does not attempt to keep pace with China's accumulation of physical gold
- allow China to buy as much gold as possible and try to "launch" the Yuan as the global reserve currency backed by however much physical gold they have when they attempt this
- watch as the world laughs at China's attempt because nobody believes anything the Chineses say or do especially when it comes to money
- don't directly support but don't block the development of alternative currencies
- allow a leading alternative currency or group of them to establish a legitimate presence in the marketplace
- keep printing moar, moar, and moar until both the USD and Federal Reserve ultimately collapse and become irrelevant
U.S. wins and moves forward well on its way using new currencies and systems. China loses and is holding the bag on most of the world's phyzz.
No, the US will not win. They have enjoyed global domination through a 100% fiat funny money system for a very long time. That is about to come to an abrupt end.
Do yourself a favor... learn to speak Mandarin.
At the end of the day, why does gold have value? What purpose does it serve? what can you do with it?
Everyone bows down to China's stockpiling as if the Chinese were the smartest people on earth. There are multiple houses of cards out there. The key is how each country moves forward from here. If society started to act as if gold doesn't do much other than provide a store of value of some sort then this urge to stack May not appear as appealing as it may to some currently.
Does America have a better option than switching to a new system, defaulting, and watching the Fed and USD collapse? I'd like to hear what it is.
What purpose does gold serve and what can you do with it? Anti-gold people always ask the same silly questions.
I can take a piece of gold to any country in the world and trade it for something I want or need. You cannot do that with a USD.
I don't see how you can argue with a 5000+ year history as being real money... an intrinsic store of value.
I hope I am not feeding a troll here.
Literally moving pieces of physical gold around is much more practical and efficient than bitcoin. Gotcha.
My point is that what's done is done. the U.S. Could try to catch up to China if in fact it does not have the gold it claims to have. But they're not. So given the current reality what can they do? just kick the can and print and print and let the market create a new system concurrent with the demise of USD and the current system.
Ahh yes... now I get it... another bitcoin troll.
Nevermind.