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Will Putin's Next Step Be To Sell Gold?
"Russia is at a critical juncture and given the sanctions placed upon them and the rapid decline in oil prices, they may be forced to dip into their gold reserves, if it happens it will push gold lower." That is what, according to some people Bloomberg has quoted, is in the cards.
Russia’s surprise interest-rate increase failed to stop the plummeting ruble. Another tool available to repair economic havoc caused by sanctions and falling oil prices: selling gold.
Russia holds about 1,169.5 metric tons of the precious metal, the central bank said last month. That’s about 10 percent of its foreign reserves, according to the London-based World Gold Council. The country added 150 tons this year through Nov. 18, central bank Governor Elvira Nabiullina told lawmakers. The Bank of Russia declined to comment on its gold reserves.
Russia’s cash pile has dropped to a five-year low as its central bank spent more than $80 billion trying to slow the ruble’s retreat. The currency’s collapse combined with more than a 40 percent tumble in oil prices this year is robbing Russia of the hard currency it needs in the face of sanctions imposed after President Vladimir Putin’s annexation of Crimea. A fall in gold prices signals that traders are betting that the country will tap its reserves, according to Kevin Mahn, who oversees $150 million at Parsippany, New Jersey-based Hennion & Walsh Asset Management.
“Russia is at a critical juncture and given the sanctions placed upon them and the rapid decline in oil prices, they may be forced to dip into their gold reserves,” Mahn said. “If it happens it will push gold lower.”
But others are less convinced.
“There are a number of ways that they could use their gold,” Robin Bhar, an analyst at Societe Generale SA in London, said today by phone. “They could use it as collateral for bank loans, or for loans from multi-lateral agencies. They could sell it directly in the market if they want to raise foreign-exchange” reserves, including to get more dollars, he said.
If Russia decides to sell, the figures to confirm the move wouldn’t be available for a few months, Bhar said.
Selling gold is usually “one of the last weapons” for central banks because some use the metal to help back their currencies, George Gero, a precious-metal strategist at RBC Capital Markets in New York, said in a telephone interview. “They are probably still accumulating gold and keeping it for a bigger crisis,” he said.
While some suggest the accumulation was "tradition" it is still nonetheless an impressive aggregation of the barbarous relic:
So given the efforts to build this gold-backing for their nation's currency, do we really expect Putin to now dump his physical: or perhaps more strategically suggest a true gold-backed currency and jawbone the currency that way?
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Yes, everyone has a story about a Lost Love or about an Unrequited Love.
But we move on.
Vineyard of the Saker had a good link to a RT Cross Talk show after Putin did the deal with Turkey. One guy was I think Russian, Alexander Belacouris, in London, a German guy in Berlin and I think a Dutch guy in Greece.
The Europeans kepts saying, oh no - South Stream is not dead. belacouris said that Europe should have been doing something beforehand to save it. He said Europe has wishful thinking on trying to revive South Stream.
This was a god send for Bulgaria. $500 million a year in transit fees, jobs, construction work and the list goes on. Billions in work for big european companies. Putin and Russia are engaging in free trade that helps all of Europe.
Meanwhile, the USA and EU want everyone to be poor especially the Bulgarians and Greeks.
This is really sad and sickening. I think Bulgaria is dreaming at this poiint.
Vineyard of the Saker had a good link to a RT Cross Talk show after Putin did the deal with Turkey. One guy was I think Russian, Alexander Belacouris, in London, a German guy in Berlin and I think a Dutch guy in Greece.
The Europeans kepts saying, oh no - South Stream is not dead. belacouris said that Europe should have been doing something beforehand to save it. He said Europe has wishful thinking on trying to revive South Stream.
This was a god send for Bulgaria. $500 million a year in transit fees, jobs, construction work and the list goes on. Billions in work for big european companies. Putin and Russia are engaging in free trade that helps all of Europe.
Meanwhile, the USA and EU want everyone to be poor especially the Bulgarians and Greeks.
This is really sad and sickening. I think Bulgaria is dreaming at this poiint.
Haaa ha wishful thinking, Putin has gamed all of this in advance.
Don't worry, China will "lend" a helping hand in exchange for some discounted oil and gas.
They aren't stupid and won't let this crisis go to waste while showing what good friends they are towards their good buddy Putin.
as I said yesterday, I think they have an umbilical gas line and will do what it takes to help Putin
Why would he sell gold - sitting near multi-year lows? Especially after accumulating over the last few years. Much better to sell dollars and US Treauries -- both of which are sitting at unsustainable high levels. The 'bang per buck' is much higher going that direction.
It's in multi year lows in dollars, not rubles.
The propaganda is getting pretty extreme, so I assume the bottom is in now...
"Russia boosted gold reserves by the most since defaulting on local debt in 1998, driving its bullion holdings to the largest in at least two decades.
The country expanded its stockpile, the world’s fifth-biggest, by 37.2 metric tons in September to 1,149.8 tons, according to data on the International Monetary Fund’s website. The increase, valued at about $1.5 billion, was the biggest since November 1998. Russian reserves, which overtook those of Switzerland and China this year, almost tripled since the end of 2005 and are at the highest since at least 1993, the data show."
http://www.bloomberg.com/news/2014-10-29/russia-buys-most-gold-for-reser...
DEATH TO THE MONEYCHANGERS.
Me thinks the writer of this piece has been playing with himself.
Even if Vlad got deperate, I would think that gold is the last item he would sell.
And if he got smart, he would be converting all remaining foreign reserves into gold.
By the way, I believe he has invited that crazy North Korean boy over for a meeting to discuss nuclear co-operation. The West needs to be careful.
Its so far down Putin's list of things to do, its not even on it.
In a war, gold is the only thing of value.
Before WWII Lend Lease only came after the US had everyones gold.
Kind of a stupid conclusion given he can sell overpriced things like US treasuries and dollars?
who comes up with this crap.
Except the interest rate increase worked. The rouble is up about 15% since yesterday's lows. Actually having gold is what defeats currency speculators. Besides, sell it for what? More gold? Yuan? No one wants the USD. The only reason it is popping vs the rouble is because the West is attacking Russia and scaring capital out. Once those banking ties got severed, that was done.
How long does the "buy USD because we are going to nuke everyone else" meme last before the US actually gets pre-emptively nuked for being batshit crazy?
"No one wants the USD."
which is why it's gained against every other currency year-to-date...
"No pain, no pain"
http://youtu.be/f0fa_BaljjQ
I will let you in on a secret. The Rouble on your screen is the Dollar, is the Yen, is the Euro. It is all the exact same currency. Not figuratively, literally. It is completely interchangable. Exchange rates are completely rigged by people with printing presses and unlimited book size for derivatives. If you wanted to sell 10 trillion USD, the CBs would make sure that order did nothing they didn't want to happen on the FOREX market. What you see is what you are supposed to see. As long as the CBs co-operate in FOREX to set trading bands, they are one entity with one currency. The united States is probably trucking USDs into Russia by the trillions to make sure the system doesn't poop itself right now. And they are not doing those transactions on the FOREX market. Their derivative books can't handle this kind of shock.
... tl;dr which does nothing to counter my observation... the dollar has gained against every currency year to date... period, end of story
No, they won't sell any gold until they exhaust their remaining USD reseves, which stand at around $400 billion.
A Swiss newspaper said they recalculated the numbers and it was closer to $660 billion.
John Wilmont above is 'correct'. Most recent number I've seen is 1 week old:
" Russia’s Unfazed by Falling Oil Prices Marin Katusa, Chief Energy Investment Strategist | December 11, 2014 "
http://www.caseyresearch.com/articles/russias-unfazed-by-falling-oil-prices
.....Russia has nearly $375 billion of foreign reserves ......
No, his next step is to release the water from Khaddafi's canal, and take proper ownership of Africa.
I want to know how much Russia will accept for a new citizen. For instance, Costa Rica, Ecuador and Uruguay take $150k for citizenship.
Dude, just defect. Going political will get you in the door for free.
Keep their gold reserves and link it to the Ruble instead. The first currency backed by gold will stop a bond collapse lightning-fast.
On second thought, just SAY that the option is being 'considered.' Problem solved...
Agreed
Use the gold to back the ruble.
At the same time, they could pay off their entire national debt ($216 billion) by selling their dollar reserves ($400 billion), with some left over.
Instead, it looks like they're going to piss away their reserves to support the ruble = stupid.
The Russian Central Bank is crewed by pro-Western Neo-liberals. Putin has put them on notice that they serve Russia not the West or themselves.
From Dmitry Orlov
“We know who the speculators are,” said Putin during his recent state of the nation speech, as the camera zoomed in on Elvira Nabiullina [the head of the RCB], who blushed and probably peed her panties a tiny bit (I know I would have if I were her)"
http://cluborlov.blogspot.nl/2014/12/can-anybody-find-me-central-banker-...
Tyler, is this post in the new Wednesday Humor section?
All I know is that I'm gently averaging into MICEX fund trades. I feel comfortable with this personally.
1)The Micex is trading at an insane P/E ratio vs western valuations.
2) Commodities are extremely cheap.
3) Geopolitical rebalancing.
4) China/Russia banking collaberation
5) EXTREME currency disparities
I could go on and on...
I wouldnt bet against you...and good luck.
Thanks BoP. That's important coming from you. You're fantastic at intuitive number crunching.
I really miss those bond figures you posted earlier this year. I realize it takes a lot of time to compile and formulate those figures.
Those foreign bond buyers (UST) holdings figures probably saved many portfolios. Unfortunately you never know who you helped because those people just live for advantage.
You helped me, and you gave me the tools to better understand the bond markets. You gave me tools to use in a positive way.
I'm not a bond trader, but certainly feel like one with your guidance. I'm a currency trader, and find your advice invaluable.
Yen, you might have me mixed up with another poster. I remember his posts on those bond numbers too (yet his name escapes me right now), and I might have shared them in another thread. Thanks for the kind words though, and I hope Ive helped someone in some small way over the years around here. I know you have helped many traders here with your calls and valuable insight.
Cheers brother...
It was you BoP. I've got a photograpic memory. You and Fonz were having a discussion back in late '13.
I was amazed at the content and also the how other contributers Z/H offered advice.
You single handedly proved how the Fed. wasn't buying, and proved the Belgium connection indirectly.
About 22-24 hours go by and you go batshit crazy on why the Fed. isn't going to raise rates, and how rates arent going higher because of foreign holdings and demand.
I'm not sure if those were CoT charts you used, buy they were enligtening.
Thanks, and I do remember that conversation now. We had some good discussions for sure.
I certainly miss fonzanoon and his contributions here as well.
What is all this financial sh*t you guys are talking? This is a gold, guns and boobs web discussion group. (sarc)
Stack precious metals, guns, ammo, booze and grub.
Is that MICEX fund denominated in dollars or rubles?
Personally, I hear that PIMCO has some good funds. (sarc)
Poor PIMCO.
Ditto.
All Putin needs to say is that the world's bully - America - performed electronic warfare on Russia via the banking system.
Every ruler (like Bush and Obama) needs a crisis to rule.
Putin would default rather than sell gold.
How can you think an architect of some of the most important moves in history could fall prey to your pimply little scenario?
The troll storm in the blumenberg article discussion is unbelievable.
I went over there to read the comments. Its like whole room full of Krugmans yelling at the top of their lungs.
lmao....
yes, it is... that whole thread is like a commenter Mos Eisley... a wretched hive of scum and villainy... we're better off here
Does Putin have authority to give directives to the CBR? No, he hasn't. At least not "officially", or not yet. So a better question would be if the CBR today considers selling gold.
1169 tons of gold ain't shit. at most it would buy him a month or two.
I am fucking sick of typing this.
Listen, same as Putin will do what he is instructed,
Everything you have ever lived for, everything you have ever known, everything you ever believed in, the whole lot was a lie, from the government on down, through education, health, and fucking law and justice.
A lie, so dont fucking start now believing what these lying, filthy child molesting prostitutes are selling now.
18 Mother Fucking Trillion Quid In Fucking Debt Says 96 Is Right.
Roll the mother fucking guilllotines...
;-)
Even simpler, no-one, none of us get out of here alive.
On a long enough timeline, everything, everything is reduced to zero, the lowest, common, denominator. Zero
Including Putin.
Take care folks. We is gonna need it...
:-)
Ashes to Ashes, funk to funky, we all know Janet Yellen's a junkie, strung out in heavens high - reaching and all time low (when the dollar loses reserve status).
https://www.youtube.com/watch?v=CMThz7eQ6K0
Arguably Bowie's best song but he is pretty average when he is not working with Tony Visconti as producer.
You'll never get a down vote from me mate. You're my English liaison across the pond.
Give Cameron a good fisting for us Yanks.
Those criminals have sold generations into servitude. They wont stop until they have stolen all the wealth and ruined everyone's lives.
But if he did... IF. he. did. Then what?
What do you think will happen or should happen to him?
The way out for Putin is to agressively buy gold. The COMEX reports it has 245.83 tonnes of gold. This is less than $10B at todays price. Putin should buy the entire inventory in the front month and then watch the banksters shit themselves as the dollar craters. Best defense is a good offense.
The shitheads would simply "freeze" (steal) his money, his gold or both and call it a sanction.
And even if they didn't they would just settle in dollars.
"As BRICS are in the processes to decouple economies from the Western neoliberal monetary monopoly, they could bring back the gold standard as a base for their transactions, which is much more steady than the paper money unstable financial bubbles. They are ready, because they are emerging economies with billions of potencial consumer tanks and can attract other countries too being victims of the international financial mafia, like Argentina and Greece."
http://failedevolution.blogspot.gr/2014/12/russias-moves-to-decouple-eco...
Russia isn't going to sell gold. They will sell off any UST's and other paper before they sell an oz. of gold...and they have a good bit of paper they can sell. Worst caser is they'll do a deal with China. The Chinese will buy Russian oil and pay with UST's which the Russians can use for anything they want.
"The Chinese will buy Russian oil and pay with UST's which the Russians can use for anything they want."
+1025 (1 oz of Au). Best idea of the day. That would give them time to get RIFT up and running smoothly within the BRIICS.
* RIFT is my smart-ass name for Russia's version of SWIFT. It stands for Real (or Rapid) International Financial Transfers. SWIFT needs a swift RIFT up its Ass.
< Putin sells gold, gets Nobel Prize plus 'Man of the Year' from Times, Newspeak, Economist.
< Putin keeps gold, but leases it to China. War on Putin continues.
Sell gold???!!!???
Puty's best move would be to buy gold. For a few billion he could crash the paper market and that would bring down gold derivatives and with it the entire IMF system. There is a little more than 1000 tons on the market at this time (GLD and assorted ETFs and ETPs). This risk is surely known to all and there simply has to be a tacit agreement among major players not to do this. It would cause China to lose 4 trillion in reserves. Unless Putin's allies are positioned well vis a via gold I doubt he would do this....but if push comes to nuclear financial shove....
No, he should buy gold on the Comex and demand delivery.
Fast Forward this shit show, I'm done already.
+1
i was thinking exactly the same. but putin not doing that is also very telling. of course that would be declaration of war and establishment would cry act of financial terrorism. and for what? just for exposing the retchid ponzi by having legit claims on the contract? LOL
Russia has been buying aggressively and steadily, more than doubling their gold reserves since 2009. Is it likely that they would turn around and sell now? IMO Russia has been increasing its gold holdings not to deal with some passing crisis (like a fall in oil prices), but (following China's lead) is positioning itself for the coming upheaval.
when would any of you sell? exactly, only as a last resort. that would be the real sign of desperation. when it comes to this... then, well...
I'm really fed up of talking selling gold, just sell the U.S. treasuries. Russia has almost triple that amount invested in U.S. treasuries.
The answer to your question is no, no, and hell no! Going into the open market to bid for physical with a bid an order or three magnitude above the spot price makes much more sense. THAT would be a big move.
At first, treasury securities will be sold.
And the process has already begun.
http://www.treasury.gov/ticdata/Publish/mfh.txt
Don't forget Belgium, Sweden and Kazakhstan. Stable anchors in this cruel, cruel world.
If Bloomberg is correct on this assertion it's time for Russia to go to war!
Germany, France and Italy can start a new prosperous chapter they would have had if WWII never happened!
Or...
Be turned into the biggest pile of ash along with the United States!
Enough of this B.S. After 14 years of military failure and banks that completely collapsed and never recovered 7 years ago that paid for it, they don't have the "balls" to go to the mat with you!!!
Your wish is really your nightmare
Your wish is really your nightmare
True. But why delay the inevitable to let a chicken shit bully keep getting away with threatening it's own members as well as their chosen adversaries. In my mind Ukraine should have been "the last straw"... The U.S. has the audacity to tell Russia they must pay for the devastation, looting and destruction of their neighbor when the Anglo-American cabal has proven to be the instigator with the blood squarely on their hands!
It was going to come to this sooner or later. Let's see who has the biggest hairiest "set"!
Sounds to me like someone wants to talk the price of gold down.
You're joking right? Selling gold is an option but it ranks 7,776 on the list! Never going to happen. I think Putin has a surprise for the US.
Strongly disagree.
It is item 7,777. All about 7's.
Selling gold will be Russia throwing in the towel. I don't think Russia will surrender that easily.
I would not be suprised if Russia realeased a gold backed trading instrument.
Regardless, even at a high bleed rate, they have sufficient reserves to ride this for awhile.
Maybe he will just decide to nuke those arrogant degenerates in Rihad. They are deserving of some kind response for flooding the world with oil.
What really gets me is how the western media paints Putin as some hick out of the Russian backwater--one only has to read his bio to realize he isn't. For God's sake, the guy was a Leiutenant Colonel in the KGB! You don't rise to that position by being an idiot. Putin won't sell gold. I think he would consider a nuclear strike before he would even think of selling gold. There is still plenty cards left for the Russians to play in this game and I don't think we've even come close to seeing the last of them.
here's something to consider... only a motherfucking idiot would consider a nuke strike these days, against anyone for any reason...
"ah, he'll just say fuck it and start lobbing nukes"... seriously, where the fuck do you knuckle dragging slope headed mouth breathing idiots come from anyway? and who in the hell gave you a fucking internet connection no less?
there's a part of me that wishes Putin actually did send a few nukes up, just so you dumbasses could see what happens next... Russia's largest export after such an event would be radioactive glass, because that's all they'd have left to sell
You should watch the movie "Deterrence" (1999) which is about nuclear brinkmanship between the Chinese and the U.S.
In the movie, the POTUS dropped a nuclear bomb on Iraq to deter Chinese agression in Asia. The twist in the movie is that the POTUS knew the nuclear missiles fired upon the U.S. were all duds which wouldn't go off but he used that as an excuse to drop the big one on Iraq, killing millions of Iraqis and even some Americans to deter a bigger and bloodier war in Asia.
Like "Ride with the Devil", it's a great movie which nobody knows because it's politically incorrect.
If Putin dropped a big one on Bahrain or Qatar, I'd bet the west will turn around with tails between the legs.
Exactly! No one in their right minds wants to see nukes flying. But Russia is not going to sit still for a butt fucking from the effimate leaders rallied against him. When did the Saudis become untouchable? They are the ones most deserving of a black eye in all this. DC apparently is willing to throw our shale plays under the bus along side Russia.
"If Putin dropped a big one on Bahrain or Qatar, I'd bet the west will turn around with tails between the legs."
omg... people truly believe this, that no one would do anything... it's a damn good thing no one who thinks like that is in charge of anything of any importance... Putin has way more brains than that, waaaaaaaaay more...
Well, if Putin shared your point of view, Obama is the smartest POTUS we ever have and he has way more brains to escalate a full blown nuclear war. Will he retaliate by dropping a big one on Iran? According to your logic, I don't think so. What will he do? More sanctions. Lol.
If Putin didn't do something crazy when the peace loving liberals are in charge of the free? world, he has no brain.
Why doesn't he offload his US Treasuries?
Dr. Jim Willie said that is what Cyprus was. A place for Russia to dump their US Treasuriies.
Also I think French bank BNP was being used to sell them and the USA then gave BNP a huge fine about something else to cover the real reason.
As I recall, he has about 120 b of them.
That's six weeks of QE. You think that will leave much of a dent?
Think for a moment about what caused the current fracas...
The central bank of the GDofE stopped selling FX to support the rubble.
Why did they do this?
Because it wasn't stopping the decay but merely slowing it down a little.
So they elected to hang onto their hard currencies and go for nuking their own economy with a massive overnight rate hike.
Now of course they are back to quietly selling FX to keep the rubble from turning into the pebble but they don't want to admit it.
And their economy is still nuked by their own interest rates.
Grandmother Putin is in a tight spot, and his stooges in the CB made it even worse.
PS-- does anybody really swallow the fiction that his creatures are not in charge of the CB and they are acting contrary to his wishes. This is all plausible denaibility, to use spook-speak. But the problem with throwing out the current straw lady in charge is that he can only get away with that trick once. As soon as he fits the goat horns to her head and kicks her out, then he ends up taking full responsibility for the rest of the disaster since he will nominate the new head (as he did the old one-- her)
Slurp slurp slurp smack slurp. Hmmm this boy loves the Putin. Get your tongue outa his ass you frackin shill.
Sure Putin will sell the Gold, then he will suck Obama's dick and lick Netanyahu's asshole.....
Just as a general remark: even if Russia's central bank actually did sell gold (which is exceedingly unlikely), it wouldn't matter to the gold price one whit. Anyone who says otherwise doesn't know the first thing about the gold market.
for obola sakes, just print a frigging quadrillion of the paper chit like the rest of the loser countries & problemo is gone
Hmm, I have two highly liquid assets to sell: USTs and Gold. One is debt owed to me by a country that is declaring me an enemy and supplying weapons to a bordering country, and the other a hard asset.
Man, this being a world leader and making tough choices thing is hard! Whatever shall I do?!?! /sarc
Borrow dollars from the Chinese while sell them more advanced military hardware/technology.
China wants gold and obviously can't get enough (they want it and have 4 trillion in foreign reserves but can only buy a thousand tons ($38.5 billion) a year. Clearly the market cannot produce more for them. Offer to sell China gold at $25,000 per ounce. This immediately resets the world gold price while crippling the gold paper market, brings down the IMF supporting derivative pyramid, gets China their gold (and rids them of useless paper), get Russia out of financial difficulty and makes Russia's remaining gold worth 40x what it is now.
Russia has lots of gold in ground so no big deal for them...
...Oh it also ends the dollar as a functioning currency...was that unpatriotic of me to state the obvious?
Where's that GOFO chart? Putin can hedge like a pirate.
Russians live off the land and are resource rich.
Yes, you have the major cities. Russia is like the Midwest of the United States x4 with a slightly higher latitude, and 1/3 the population.
I'mean? If the Turks, a NATO member were shipping gold for oil with Iran this summer?
The biggest problem .gov has is, how DO they stay away from long steamed rope.
Russia will begin to pass on US Treasury securities that have stocked.
Once the reserves at $ reach the level of medium-term payments of Russian companies.
Russia will not sell gold.
It's like the bar owner to pay the supplier of beer with bad checks issued by their customers.
Kkkkkkkkkkkkkkkkkkkk!
This Post was the joke of the year!
Thank you Tyler!
:-)
Wishful thinking on Wall Street's part. Putin will nuke us before he sells Russia's gold.
What a joke!
Gold's down, USD is up hmmmmm let me see . . . which should I sell??
lefttard blowberg must think everybodies been goo berged & will fall for this fedster bs tricks
No reason to sell gold, just sell energy for those who got some Rubels...
frig, conjer up a few trillion dollars coins & ya gots the new fiat system played
expect another fedster / bankster gold smack down this early am when chinese on coffee break!!!
Russia's and China's combined gold holdings is less than half of the US' gold holdings. Supposedly China's economy is about the same size as the US' (on a PPP basis). Russia's economy of about $3.5 trillion (PPP) would clearly put their combined economies ahead of the US. On top of that Russia and China have a combined population that is nearly five times greater than the United States. However, the United States gold reserves are nearly four times greater than the combined gold reserves of Russia and China. Russia's economy is in shambles and China has a serious internal debt problem. How are these nations going to turn their minisicule gold reserves into a global currency that is going to dethrown the dollar?
Consider that you don't really know what the Chinese gold holdings are . . . or those of the US, for that matter.
Someone has been reading too much trailer trash like Bloomberg.
You clearly need an education in this area. Start here:
https://www.bullionstar.com/blog/koos-jansen/china-net-gold-import-1212t-jan-nov/
The Russian Federation has 1/3 the population of the United States lower 48 contiguous.
[Under 100 million]
"The Russian Federation has 1/3 the population of the United States lower 48 contiguous.
[Under 100 million]"
Russian Federation has about 45% (142,500,000 people) of the U.S. population, not 1/3.
How many are on food stamps and EBT?
Don't forget the U.S. also has 10X more gold plated tungsten bars than both China and Russia combined.
You're missing the point. Russia good USA bad. -1 for not following the narrative.
I rather take Gazprom shares than IBM, Oracle, Herbal Life, HP, Facebook, .....
I like the low gold prices. Just bought a 39 gram 22kt gold Indian made chain
Why would they sell their gold? At these prices its like a fart in a windstorm. Why wouldn't they sell treasuries?
You don't see George Gero quoted very often. Here's a Kitco interview with him from April where he suggests that big surprises and major upmoves may be on the way, for Gold. He also mentions that he'sa member of the COMEX board.
http://youtu.be/PNnoOw5hdhw
I'm from Ireland . I'll let you all know when the bombs start flying over head . I don't think either side will waste one on us. When the dust settles we will take over the radioactive planet and see if the US had any of the gold they say they have
Sorry, oO1tac, we'll get the fallout from the Brits, and may live to enjoy the nuclear winter. Button up.
Since it's the Northern hemisphere that would go belly up I kind of know where I am planning to go next.
As usual, MSM's over reaction strikes again as now they have oil dropping to $25, Putin selling his gold, imminent defaults from Russia, Yadda, Yadda, Yadda. And as usual, they are late to the party as if they had half a brain amoung them, the situation facing Russia would have been addressed and discussed six months ago (at which time the discussion on Russia selling gold would have been addressed). Now, MSM is nothing more than a source of momo information which is at its tail end. What they should be focused on is the implications and damage done from the drop of the price of oil over the next 6 to 12 months as it relates to potential debt collateral damage that will appear, social unrest and risks, and political turmoil (e.g., Venezula). But MSM can't think past the ends of their short dicks (no offense intended ladies) and compensate for their short comings with sensationalist journalism that has Russia imploding. Russia has been in far worst shape than this and survived just fine so I seriously doubt Comrade Putin is going to panic and start liquidating and gold holdings as these types of scenarios have more than likely be run out by Russia and evaluated a long-time ago.
So looking deeper in today's news, here are some items to consider:
- The oil industry and more importantly, the debt holders tied to oil need to really window dress their balance sheets as the year end approaches. Oil company primary assets (i.e., capitalized tangible and intangible development costs) are dependent on cash flow, cash flow is dependent on oil prices as most of their costs are fixed, and so in order to support asset valuations, they need higher oil prices as of the end of the year to satisfy the auditors need to support DCF valuation models (which got a further boost from Yellen with keeping interest rates in check). Ditto on the debt side of life as nobody wants to take some massive loan loss write-offs at the end of the year. Can't have that so just like that, oil rallies into the end of the year, not based on fundamentals but to dress the balance sheet and protect some large debt positions.
- My reaction to the Cuba decision is highly suspect. That is, America now has to, for lack of a better term, "bribe" Cuba to become a friend. Man, things must be bad for the US on the international relation's front as this is the best the US can do and find, Cuba, a country with basically zero economic value (other than to the .1% that want their cigars and rum). Just what the US needs, another overpriced vacation destination. To me, it looks like the US is running out of friends as if really wanted to win some countries over, just return Germany's gold (not!) and strenghten this relationship. Funny too how this broke on the same day the Obama Administration was hammered for handing out favors to certain parties from Ecuador. No doubt politics at its best or worst (depending on your point of view).
- How could any reader on ZH be surprised by the lack of action from Yellen today? I mean the Fed's credibility is about on par with Dr. Death Draghi from the ECB. The amount of bullshit that these parties spew and the reaction from the markets is beyond commical. If the markets were functioning properly and the economy was sound, interest rate increases would already be priced in based on the condition of the economy. Fed decisions and policies should be reinforcing this direction and economic data and not subject to surprise. But it sure looks like the market was surprised today (or just punch drunk). Obviously, nobody has a clue what is going on or has any degree of control and understanding of the severity of the underlying systemic financial risks on a global scale.
A quote from the first Jurassic Park movie sums it up best. John Hammond noted (as the park is burning) "When we have control again ..........." to which I believe Doctor Sattler responded "The illusion was that you thought you had control". That's the illusion of the Fed, ECB, BOJ, and all other CBs, they think they have this under control but as we know, most everyone got ate by the dinosaurs.
Dear VLAD, I will buy your gold. But I can only buy two or three kilos. I will give you 800$US for each ounce. I can wire $ today.
Vlad's people can set up a USD account for you in Moscow or St. Pete, if you wish.
FATCA compliance will not be an issue. Deal?
St Petes will do fine.
Will send physical xfer instructions shortly.
Or have Edward Snowden hold it for me for the few days before I can get there....
I need to get new fake nose and glasses.
"Sell gold"? Do you think he's been taking Crazy Pills?
If I were Vlad, I'd consider buying up some destitute gold miners in US or Canada, and use China as a proxy. Or just have them buy KITCO outright.
Already have the uranium
A great watch on why the threats and looting need to stop with bold moves by Russia long overdue!
https://www.youtube.com/watch?v=VT085isnyB0
If this one has already been posted accept my apologies.
http://etfdailynews.com/2014/12/17/u-s-declares-currency-war-on-russia/
How about them dumping US treasuries?
Do you have all the facts or just falling for a script?
Russia’s UniCredit 2014 Profits “In Line With Expectations, If Not Slightly Better” – France’s UniCredit
Sweden’s Nordea Bank Sees Profit of €40 Million From Russian Investments…..Russian Lending Rose 8.2%
Russian Capital To Flow Into Egypt Including Nuclear Plant Construction
Russia and Kingdom of Bahrain Hold First Ever Investment and Trade Meeting
U.S. Abbott Labs To Buy Russian Generics Maker VeroPharm
http://newworldorderg20.wordpress.com/
whoa, whoa, whoa.......that doesn't fit the propaganda, er, I mean news that Russia if crombling at its roots as we speak. No more of that sort of talk here buddy boy.
Russia has the possible gold-for-BTUs trick up their sleeve, along with a gold backed ruble. They also have their connections to China, the rest of the BRICs, and Iran, and possible India.
If they did sell gold, it would probably be some kind of temp deal/swap with China.
Russia has a lot of leeway, especially in a world sick and tired of the Zionist west's banksters' and puppets' machinations, maleficence, plundering, and belligerence against the rest of the world.
Going to be interesting to see Putin's next move(s).
An American, not Us subject.
Vlad is nobodies fool. He won't sell his gold. I'll bet the they are lying about how much they have. Probably 3X as much as stated, like China. THe Ruskys don't export any.
Dr. Jim Willie said China and Russia have huge reserves but Russia's is supposedly much bigger than reported. Willie says one of his key sources has seen the Russian gold. He is an old guy in Germany or Switzerland who has been in the gold business a long time.
Putin cat bird seat
Obama toilet seat
What do you think about that, Bloomberg?
Gold would be the last thing they'd sell. If dollars and euros are going up it's most favorable to sell them first. Plus, you're getting more for worthless $/E.
Gold would be the last the sell. It's worth the most.
Now that Russia is really feeling the heat lets see how desperate they really are. Interest rates hike was already deployed, next in line would be capital controls. After that they would play the default card. At this point I would say they are getting to the end of the rope. I believe they would assassinate Putin before they sell their gold. After all that their last alternative would be to nuke tha heck of Europe and USA.
Default? Assassinate? Nuke? Sounds like somebody's wishful thinking. Let me check CNN again.
CNN ha good one. I'll be smart and check RT, which isn't a total bullshit machine as everyone thinks.
It is only 45 billion they smoked 8 billion in 4 months.
Why dont they rehypo it to the paper market at 100 to 1 then short it?
Now we're talking cash, capital gain baby.
Sometimes Putin sell the gold, sometimes the gold sell Putin. Oy, what an economy!
China has lots of American Dollars,I'm sure they'll lend Russia all the Dollars they need as lond as physical gold is put put up to back the deal.May just be part of the trade plan too since China didn't seem to eager to get tied up in this deal,you'd have thought that they would have;http://www.project-syndicate.org/commentary/ruble-collapse-corporate-deb...
"failed to stop the plummeting ruble" - This had to have been written Tuesday. Let's see what the rest of the week brings. I know it's fun to predict Russia's utter ruin, but it is not yet Friday.
They will default on bonds in Feb 2015 that is the point of the sanctions.
http://www.zerohedge.com/news/2014-11-10/one-largest-russian-gold-miners...
Thats only one.
Tell Vlad that i would be happy to trade a few of my FRN $ For a few of his golden Coins at spot price...
Putin knows exactly what happened after Saddam offered oil in euros and Gaddaffi offered oil in gold dinar. He has been signing deals with Turkey, Iran, India and China. He is soon to meet in Dubai. The middle east alliance with the US on its last legs. Western C/B's have bet the house. The world financial system is about to change.
Yes, when Iran and Russia fold and the entire world's central banking system is completely interlocked for the first time in history. Brave new world.
Putin could just short the euro and raise natural gas prices through the roof putting the Euro-zone economy on ice!
You have to borrow Euros to short them.
Would you loan 10 billion to Russia right now?
WHY WOULD RUSSIA SELL ITS GOLD? ITS BEEN BOUGHT FOR A REASON, AND SELLING IT NOW WOULD SIMPLY IMPLY THAT THEIR HUGE GOLD HOARDING ACTIONS WAS NOT A FORM OF PREPARATION FOR RUSSIA'S FUTURE PLANS. SIMPLY DOES NOT MAKE SENSE. PUTIN IS ONTO SOMETHING HERE. SMART MOVE. NO SELL OFFS IN RUSSIA. PROPAGANDA TRASH TALK.
ACCUMULATE ACCORDINGLY.
GOD BLESS
correct.why would they sell it? see frantic shouting on bbgs page that gold is worthless. a piece os paper marked usd, is worth nothing in the future. everybody is forgetting putin actually has friends in china and india..... eu on the brink. us on the brink japan on the,brink. this ruble move is instigated for political purposes. and as toppings you got obama making a move on cuba.....also directly a move against putin. its all got to do with,us wanting a natobase in ukraine. if,that,happens you,would wish you,had gold, or even more,, pure,water and food. beware of eu and us,trying to get ukraine. tat would mean real trouble,for everybody
+1 and if gold really was so worthless, why does it continue to cost so much to get it in my hand? surely the novelty would have worn off by now no? (sarc). Because here's the thing, its not just me who thinks its worth something.....its a shitload of other people/organizations/institutions. Like its not like recommending a penny stock for fuck sakes. It has worth, some exchange value (curently about 1200 US), and i have no trouble selling it if i want. Gezzzus! Whats not to like? Seems like a prety good store of value and medium of exchange. Just because its not a fucking iphone, doesn;t mean it isn't worth anything!
Psssst you left your all caps on. Usually only huge A-holes do this.....errrr as you were.
total bullshit... if anything... Putin should use a paltry $2 Billion to crash the silver Comex... that would put a big wrench in the dollar's run... and so easy to do...
Read CME CLEAR rules