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China Challenges Gold Price-Setting Regime; Confirms Launch Of Yuan-Denominated Fix
“They want to be on the top table in all areas of international trade and this is no different,” Sharps Pixley CEO told Bloomberg earlier this month, tying China’s move to participate in the twice-daily auction that determines London gold prices to Beijing’s efforts to embed the yuan more deeply in international investment and trade.
As a reminder, the auction has its roots in efforts to deter manipulation. Here’s what we said last month:
A long time ago, in a financial galaxy far, far away, a “fringe” blog raised the topic of gold market manipulation during the London AM fix. Several years later (which, incidentally, is about average in terms of the lag time between when something is actually going on and when the mainstream financial media finally figures it out and reports on it), it was revealed that in fact, shenanigans were likely afoot and indeed, regulators are still trying to sort out what happened. The ‘fix’ for the ‘fixed’ gold fix (only in the world of corrupt high finance is such a hilariously absurd passage possible) is supposedly a new system whereby the fixings are derived electronically.
On June 16, the LBMA announced that Bank of China would become the first Chinese bank to participate. Earlier this week, ICBC said it may also join the electronic auction process. From the press release introducing Bank of China's participation:
"We are proud to become the first Chinese and Asian bank to participate in the gold auction.” said Yu SUN, General Manager, Bank of China London Branch & CEO, Bank of China (UK) Limited. “Bank of China joined LBMA as an initial member in 1987, and has been actively participating in the gold trading business in London for over forty years. Although being the world’s largest gold producer and consumer, China has never played a major role in the global gold fixing. Bank of China’s direct participation in the IBA gold auction will reinforce the connection between the Chinese domestic market and overseas markets, make the international gold price better reflect the supply and demand in China, and help to promote the internationalization of the Chinese gold market.”
“We are delighted to welcome Bank of China to the gold auction,” said Finbarr Hutcheson, President, ICE Benchmark Administration. “The growth in daily volumes coupled with the increase in participation from around the globe, demonstrates strong market support for the independent governance and oversight we have implemented to bring transparency and trust to the gold auction.”
“Participation in the gold auction will increase the link between China and international markets, and make the gold price better reflect the nation’s supply and demand,” Bank of China said, while on Thursday, ICBC’s general manager of precious metals Zhou Ming told an audience in Shanghai that “Chinese banks want to expand [their] reputation and brand influence in the Western market.”
Indeed, China isn’t stopping with the LBMA when it comes to increasing its influence on gold pricing. As tipped here last month, the country is set to launch a yuan-denominated gold fix later this year. Now, we have the first public confirmation from the Shanghai Gold Exchange that the fix will be introduced by the end of 2015. Reuters has the story:
"We will be introducing a renminbi-denominated fix at the right moment, we are hoping to introduce by the end of the year," Shen Gang, SGE's vice president, said at the LBMA Bullion Market Forum in Shanghai on Thursday.
"We have policy support for development (of the gold market)," she added.
While Shen did not give more details, sources familiar with the matter have said that China is expected to receive central bank approval for the fix soon.
Pan Gongsheng, a deputy governor of the People's Bank of China (PBOC), said the central bank would continue to support "speedy and healthy growth of the China gold market" and its internationalization.
Given its leading role in gold, China feels it is entitled to be a price-setter for bullion and is asserting itself at a time when the global benchmark, the century-old London fix, is under scrutiny for alleged price-manipulation.
If the yuan fix takes off, China could compel local buyers and foreign suppliers to pay the domestic yuan price, making the dollar-denominated London fix less relevant in the world's biggest bullion market.
While details of the fix are yet to be revealed, sources say it would be derived from a contract traded on the bourse for a few minutes, with the SGE acting as the central counterparty. That could make the process transparent - addressing one of the big concerns about the London fix.
The yuan fix is the most recent effort by SGE to boost China's position in the global gold market. The exchange opened an international bourse in September 2014, allowing foreigners to trade yuan-denominated contracts for the first time.
Between Chinese banks' participation in the London auction and the advent of the yuan fix, China is now in a position not only to exert its influence on the dollar-denominated benchmark, but to establish its own price setting mechanism that may well serve to challenge and ultimately supplant the Western fix which the market will likely always view as subject to manipulation.
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buy paper NOW!!! because it's what paper gold is made of!
I can imagine gold traders (the insiders) defecating down both legs over this.
Time to go bribe some Chinese officials.
China: "You're not rigging it right!"
This is a way for China to sidestep the manipulators and get cheaper gold prices.
What - do you think the riggers have been supporting the market thus far; without the fraudsters, the price will be lower?
The only question anyone need ask is this: what is the Yuan price of gold which would, based on China's known holdings / hoardings of the yellow metal, effectively recapitalize China's banks and stock market, raise the living standarsd of its growing middle class, and launch China to Yuan-led world domination? After all, gold is money and nothing else. China (and India) will have effectively cornered the market on capital.
THEN figure out an exchange rate.
THAT is what this is about.
The Yuan is money too.
Would appear China has a "Japanese problem" as well in that their currency is MASSIVELY overvalued (not that the Chinese folks see it that way I imagine.)
SpaceX will launch another resupply to the ISS on Sunday. If they land the rocket you'll see a true "American Space Race" in the form of a "space gold rush."
There is no limit to the supply of gold if that's the case...for a set US dollar amount of course.
That would include many other metals that are far more valuable than gold I might add.
I do agree..."no gold standard coming anytime soon" however...
"China Challenges Gold Price-Setting Regime"
translation:
"challenges" = "is captured by"
hugs,
baron "barry" Jacob
SpaceX? Hahahahahaha
ISS? Bwahahahaha
Land a rocket? ROFL!
http://www.nasamoonhoax.com/
Thanks for that link, I never believed that NASA sheite as well, NASA is just a fantasy machine to milk the people of their hard earned money.
And I also belive we live on a flat earth that does not rotate, rotate at how may miles/hour HAHAHAHA. Ridiculous.
Flight routes are an easy way to see that we live on a flat earth. Just reasearch.
The Antartic is protected by so many countries, they will kill you if you go there, the antarctic in fact circles us on the flat earth. They do not want you to find the edge.
http://heiwaco.tripod.com/moontravel.htm
Winter is coming
Yet you use a computer.
My bad, FakeX just landed a rocket, NOT!
http://www.businessinsider.com/spacex-just-failed-at-its-third-attempt-t...
http://www.nasamoonhoax.com/
SPACEX blew up this moring, better than a chinese black cat bottle rocket.
American is in a big fast decline like an Amtrak train wreck. TSWBHTF daily here in America. Buy all of the physical Gold, & Silver you can and take physical delivery.
....you should try the Chinese "dog fornicating with clouds" rocket...they are quite good, although the fuses are a bit short and unpredictable.
Jim Willie said this exact same thing would happen. Only now...the Greece fiasco is about to pour gas on that fire!
I'm just pulling your leg. But time will tell us everything we need to know.
Stupid fucker is estatic about SCOUTS buttfuck ruling but has no handle on history or reality.
Um, no. This is where they crush COMEX and we see PM prices where they belong.
thats right. not overnight - china will set the price, say, $50 or $100 higher than comex, resulting in investors taking delivery from comex to sell the phys to shanghai, accelerating the shift of gold from west to east. That will force the west to match chinas price and a bidding war will start in earnest
i say the real fireworks in gold price occur maybe 2nd quarter next year (provided china executes this price fix in the last quarter this year)
edit - oh yea - philpat said effectively the same thing below. But im putting my neck on the chopping block with that most foolish of financial commentary, a speculative timeline
According to this missive "the Chinese are going to set the price of gold in Yuan."
Okay...fine. Where do I get these "yuan thingy's?"
It's not like i can pull up to the local ATM and start demanding "foreign exchange."
Ironically "forex" is called a "market" too...but to my knowledge no one in fact trades in it.
Lots of trading going on in the debt markets though...can I interest anyone in a twelve percent dollar denominated yield here?
Yuan
is pegged to dollar currently
We'll have ICBC branches all over the US like Argentina right now. Just came back from Buenos Aires and they're everywhere.
disabledvet, you give other intelligent vetrinarians a bad name
He's just differently abled, and darn handy capable to boot...
It must hurt to be so stupid as to advertise. You can order yuan at your bank, or even AAA for that matter. You are a member of AAA, right grampa? I saw it on your bumper.
Trucker meth is a hell of a drug
china will set the price, say, $50 or $100 higher than comex, resulting in investors taking delivery from comex to sell the phys to shanghai
Comex doesn't have the phys otherwise arbitrage makes sense.
Tide's going out.
Sure they do - they will start issuing Ukraine's gold. If need be they will immediately safeguard some other countries stash.
They could steal all the gold in the world and still wouldn't have enough to satisfy every paper gold investors demands of physical delivery.
The only thing keeping this farce from blowing up is the people who still believe in their paper promises. Sadly that's a lot of people, we bugs here at ZH clearly are the minority.
Sounds entirely plausible. Bid whatever how much over Comex and see what comes in over a month or two. If you don't get enough just raise the bid by another 50, 100, whatever and see what comes in for awhile. Rise & repeat until satiated.
Comex won't be delivering too much, they will forcefully settle most people in cash which will create a huge premium on physical gold while crashing paper gold.
I hope the chinese are quick about their gold-fixing though, so they won't be forced into WW3 before blowing up the gold manipulation. Dangerous game.
"This is where they crush COMEX and we see PM prices where they belong. "
IMHO, PM prices don't belong anywhere but where a free and unfettered market for them says so at any given moment.
It is preferable that when one is buying a commodity/asset/good that the seller keep his ( and anyone else's ) thumb off the scale.
If China gets cheaper Gold prices so do I ..
China: "You're not rigging it right!"
oh?
Just wait till the margin call on the $370 billion margin debt in China'...
Who's gonna call it?
~"China: "You're not rigging it right!""~
Considering they've been rigging the yuan against the USD for years this ought to be completely natural to them.
The Chinese Gold Fix is only part of the issue, the other part being a new physical Gold contract requiring Gold on deposit and physical settlement.
As I have been opining for months, the real beauty of this scheme is that it will allow China to unpeg the Yuan and indirectly use its Gold stockpiles to manage the USD exchange rate. If they push up the Yuan physical Gold price, the Comes paper price will have to follow higher in USD because 1) The Arbs will start taking physical delivery and shipping to Shanghai and 2) If the USD paper price did NOT follow higher, the exchange rate of USD/CNY would de facto strengthen. Either way, China wins.
Comes/LBMA quickly will be unable to deliver physical metal and will settle in Fiat = Default, which in turn will move trading to Shanghai and these exchanges volumes will decline to the point that they become irrelevant.
Man you just blew my fucking mind. I think you nailed it.
@philipat: TPTB in the US will go to war first before they let that happen.
They would probably have to to prevent the inevitable and the MIC/neocon complex would be delighted I'm sure, China always retains the strategic option(s) ahead of that point either to 1) Dump USD 1.5 Trillion of Treasuries and/or 2) DIRECTLY back a new Yuan?Ruble currencty with Gold. IMHO neither is the preferred option but might come into play if the US starts to rattle sabres, probably starting with an "Incident" in the South China sea. That's where I think we need to keep focused on. "He who pays the piper calls the tune"? or was "He who has the Gold sets the rules"?
National identity is where China holds the trump card.
In the US those that hold a second passport will resort to that passport.
na·tion noun: nation a large aggregate of people united by common descent, history, culture, or language, inhabiting a particular country or territory.
Earlier, was published the translation from Russian article entitled "Grandmaster Putin's Golden Trap."
This description of the plan of Russia and China's and how they will be support their currency with gold.
Recently in Russia was published continuation of this material. It describes in detail the mechanism, that explains exactly how to will be act, Russia and China against the US dollar, with the help of gold.
I am disappointed that no one has made translation of this a very interesting material from Russian into English. Perhaps someone does not want people to know about it.
They might go to war, but they'll lose. And, I don't know about you, but I'm not gonna fight for these fuckers...
How does the U.S. Department of Attack pay its bills and feed its dogs of war if nobody wants their failed currency?
Collapse of the USD is in fact the one means by which to arrest Washington's constant state of war inflicted upon our planet.
That's BRILLIANT! The USA will go to war ha ha ha ha
And when was the last time the USA won a war ...or ANYTHING for that matter? The world now llaughs at American military impotence
as kissinger whispers in China's ear "dont worry, i think its a great idea", as brezinski whispers in obamas ear "you gonna take that shit?".. as soros whispers in putins ear "the signs are all there-they want war". maurice strong, gates, turner, papa bush and the other illuminati fellas so close to checkmark the depopulation box off thier list. crash the economies? almost check. hey, lets bring the pope in to call for a one world governing body for 'climate change' (but dont let him mention Geoengineering and HAARP). hey, the TPP to hand over all power to corporations? makes a one world govt a real easy transition. 'dance you peasants, DANCE!'
"Please allow me please to introduce myself, I'm a man of wealth and taste"....
Master of Puppets
Man you just blew my fucking mind. I think you nailed it.
A deja vu is usually a glitch in the matrix.
So let's see...they'll be sitting on the world's largest gold reserves, an effective exchange of gold for domestic currency and a strategic proportion of the world's industrial and manufacturing capacity.
If you told an American in the 50's that China would be where they are today he would think such a reversal impossible.
They got the help of a lot of traitors.
philipat, that's spot on. It's checkmate in a few short moves. The elegance of the situation and game-play is admirable.
To your point #2, if the USD does not move to counter, US corporations' earnings get crushed and US deflation continues as the dollar strengthens. The S&P stocks decline as a result causing problems in the financial system due to the re-hypothecation of the collateral. If the USD follows, it acknowledges that the metal was at the center of the financial system and never left, which results in the fiat system getting thrown under the bus. See my post below.
edit
paper, it's what they crave.
You mean like from the toilet?
The only concept from FOFOA that you can truly hang your hat on - all paper will burn
My last pay check was $9500 working 12 hours a week online. My sisters friend has been averaging 15k for months now and she works about 20 hours a week. I can't believe how easy it was once I tried it out. This is what I do... http://bit.ly/1LCjofJ
wow that's amazing.
you're awesome.
can you lend me some money bud?
This must be what Jim Willie was talking about when he said China was ready to double the gold price and triple the silver price. They would of course need their own fix to do this, and would counter any objections would an suggestion to arbitrate.
it's all over but thy crying, boys. The cheating is over.
If that Chinese established fix is based upon some short time snip of trading, the only way to increase price is to actually buy gold. If they intend to buy gold, there is no need for China to have a fix. Market is open 24 hours a day. Just keep buying every hour enough gold to drive price higher. If they can do that nutty crap with stocks, they can do it with gold metal.
Let's see if our bankster-fraudsters have the balls to stay short against that $2,000,000,000,000 bank roll. I'm thinking not! Just a matter of how fast can they cover without blowing themselves apart... I feel so bad for them - ha.
The debts/liabilities are instruments of political and economic control. Will the banksters ever face a real market, or reality? Given Google/NSA's fingers on the pulse of humanity, will the banksters ever be caught unprepared? Isn't their greed and cowardice so great that they will plunge a nation into war rather than have their own nefarious activities be exposed for what they are -- i.e., avoid taking the blame at any cost? I don't have much hope that reality will surface or that the sheeple will understand who or what the culprits are. But I can hang on to my PMs and hope.
GOLD, Bitchez!
Folks, don't forget the Gold Bubble Is 4,000 Years Old
Chinese are big on tradition
Also big on being entrepreneurial and working 364 days a year?
Rut row
wi tu lo.......gold price that is.
The only complaint I have about the op is ... none of this is new news. A few years ago, China announced something similar to be based in Khunming. At the last minute, they yanked it. Maybe this time its different?
They weren't done accumulating at paper prices. I think they see the end is near and have accumulated enough phizz and mines to let the games begin. Oh and they had to finish their military bases on US proxies front door first.
I agree. There should be arbitrage opportunities, buying from the poor souls that use the LBMA price and carrying it to China, because I understand the Shanghai exchange will only trade physical. No waterfall selling what you don't have to debase the price as in the West.
The US can respond by trying to push the $ higher, but that's alright with China too.
Wait until they start rolling a Nimitz class per month off of their assembly lines. Game over.
I love how all of these events are beginning to unfold at the same time....almost as if they were planned. Coinciding perfectly with Jade Helm but I'm no conspiracy theorist....
I was with you until I saw the words "Jade Helm."
At that point, my eyes involuntarily rolled.
For the record:
Jade Helm is an exercise. Period.
There is no nefarious motive, no plan to put reptilian overlords in power, no plan to "take over Texas," no plan to use mysterious tunnels under Walmart stores in the SW to store freshly arrived aliens, no plans to unleash foreign troops to round up guns, no FEMA guillotines, no death camps, no relationship to particle accelerators in Europe, no poisoning of water supplies, no forced vaccinations, etc..
Jade Helm is not in preparation for the arrival of some new planet the NASA cabal is hiding from the world's astronomers and is not intended to pave the way for the Georgia Guide Stone group to thin the population. It is not related to the supposed hideaway for elite bankers and government officials under Denver international Airport. It is not depicted in the murals found in the different terminals. It has nothing to do with HAARP or Area 51.
Jade Helm is an exercise. Period.
They happen all the time.
"They happen all the time"
Please point to one example prior to the last 5 years that major military drills were conducted in US cities and not private land owned by the military.
Or Leased by the Military as I have seen land leased returned to the owner under BRAC Legislation in the Phase that occurred in 1990s.
gramps
"They happen all the time"
Please point to one example prior to the last 5 years that major military drills were conducted in US cities and not private land owned by the military.
********************************
I'm speaking from experience - over 31 years in uniform - I have NEVER seen U.S. military train anywhere on public/private property. It's always been on a military post. Fact.
How about Reforager in Europe.
https://en.wikipedia.org/wiki/Exercise_Reforger
How about you read my comment. I said US cities. I could give 2 shits about the US colony called Europe.
Kinda Particular ain't ya?
If you were a President or Pentagon Executive you would say well hell "why not try some new stuff in the USA?"
And (dickhead) it would not matter so much if you were Neo-con or Zio for you to consider this point or do a study.
The fact that the USA is able to run full out Exercises in public with the public paying a cost in terms of noise, road damage, toxic pollution, rape of young girls...
Well if we are moving to the Right, if G.W.B is driving a movement toward Nationalism and Obama has taken up the torch... well we have open & public Terrorism Exercises... it fits that the US Military would attempt to infringe on rights, states rights, state security, and state sentiments.
I am so sorry you didn't understand my first post. I'm sure you are very bright and intelligent. I didn't want to hurt your feelings and didn't know you were so sensitive.
I apologize. Asshole.
Intelegents? I've yet to see any.
CHC-
"I'm speaking from experience - over 31 years in uniform - I have NEVER seen U.S. military train anywhere on public/private property. It's always been on a military post. Fact."
Umm, CHC, don't let me be the one to allow someone else's "facts" to get in the way of your own "fact". But, a quick Google search brought up the following from Wikipedia. Seems hard to imagine a local yokel LEA randomly encountering and shooting two kids playing Army on a military base.
"ROBIN SAGE involves approximately 100 Special Forces students, 100 counter-insurgent personnel (OPFOR), 200 guerrilla personnel, 40 auxiliary personnel, and 50 cadre. The local communities of North Carolina also participate in the exercise by role playing as citizens of Pineland.[10] The exercise is conducted in approximately 50,000 square miles (130,000 km2) of North Carolina. Many of the OPFOR and guerrilla personnel are made up of North Carolina residents who are financially compensated for their participation.[11] The role of the guerrilla chief, "G-chief," is sometimes played by a retired Green Beret...
Death during ROBIN SAGE
On 23 February 2002,[13] during an off-post traffic stop, Moore County Deputy Sheriff Randall Butler shot to death 1st Lieutenant Tallas Tomeny, 31, and wounded Staff Sergeant Stephen Phelps, 25, during a Robin Sage exercise. The two soldiers had presumed that Butler was aware of the Robin Sage training, and when stopped, attempted to bribe him with "Don" (Pineland currency), which looks similar to Monopoly money. The deputy used his entire supply of chemical spray on Tomeny, who backpedaled and screamed, shaking his head. Phelps continued to think that the deputy was part of the play of the exercise and grabbed the bag holding his machine gun, running for cover. Butler shot Tomeny once, turned, and shot the fleeing Phelps twice after telling him to show his hands. Prior to the accident, there was confidence within the military establishment that the law enforcement community of North Carolina was well familiarized with the exercise..."
I dunno, though. The article says this has been going on since the seventies. A little more than your own 31 + years in "uniform". Nice try, though.
I've never been in the military and I don't know about "major" drills, but I do know that the military trains on public and even private land.... frequently. That's not to say we shouldn't be alarmed.
Agreed.
Google "Robin Sage" and "Pineland". You have a whole community here in NC that shares its private land and resources with the military every year.
I don't think the purpose of these exercises is in preperation for any of the thing you mentioned (while sounding like a complete dumb ass in the process) but are in preperation for something very big. It may be China, Ukraine, Syria who knows. Downplaying it as normal makes you sound like an ignorant fuck perfect for a job at the DOD which I see you edited out of your comment.
Divine Wind just outed himself as a member of the MIC before editing his comment. Take everything said with a grain of 2 tons of salt.
"Jade Helm is an exercise. Period.
There is no nefarious motive, no plan to put reptilian overlords in power, no plan to "take over Texas," no plan to use mysterious tunnels under Walmart stores in the SW to store freshly arrived aliens, no plans to unleash foreign troops to round up guns, no FEMA guillotines, no death camps, no relationship to particle accelerators in Europe, no poisoning of water supplies, no forced vaccinations, etc..
Jade Helm is not in preparation for the arrival of some new planet the NASA cabal is hiding from the world's astronomers and is not intended to pave the way for the Georgia Guide Stone group to thin the population. It is not related to the supposed hideaway for elite bankers and government officials under Denver international Airport. It is not depicted in the murals found in the different terminals. It has nothing to do with HAARP or Area 51.
Jade Helm is an exercise. Period. "
HOLY SHIT. ALL THAT IS GOING DOWN W/ JADE HELM??!
I KNOW DENIAL IS CONFIRMATION.
If our Alien Overlords are running Jade Helm exercises to secretly take over Texas...
How could we tell the difference?
Seriously. Go look at Austin and tell me that place hasn't been run by aliens for at least a generation.
" freshly arrived aliens "
ARE THE JADE HELM ALIENS HOTTIES OR WHAT, MAN??!!?
https://www.youtube.com/watch?v=pgqTS3XcAuI
C'mon, Divine: I wanna CLOSE ENCOUNTER OF THE THIRD KIND.
I, for one, welcome our new Raquelian Overlords!
Nice splicing of climate engineering aerosols into the originally blue sky in that piece. Raquel was HOT; but she and the rest of us can do without the military's introduction of heavy metal nanoparticles into the atmosphere
Look the conspiracy is that Private Executives and all Federal Government Executives are Propagandists and they spin everything all the time. Even if the goal is just to fill people with Confidence in the Currency, the Banking System, and the Business Strength.
No conspiracies? The Bible was the biggest Conspiracy of all time and lasted from like 325 to today. Orthodoxy is a lie composed by the Government/Church of Rome.
Jade Helm is new territory, but the official narrative disputes this through spin. No surprise we don't expect honesty in government and surely not from military leaders.
I don't know what Jade Helm is. I can't even pretend. We lost Annual Exercises in Europe with Main Combat Tanks. Seems rational that US Forces would devise new Military Exercises to make up for that.
Military Vehicles Destroy Property. Air Force Bombing Exercises get people upset and they resent them after a while. Military Personal overseas rape young women or girls. There are lots of reasons to be concerned about what the military is doing especially if they are conducting exercises off Installations/bases/posts/ports.
But I will say the original narrative of Jade Helm as Special Forces Exercises sounds fine, makes sense, would be an integration of military knowledge and good experience.
Finally you have to admit we are becoming more militarized every year since 2001. Where are we going with all the suspended rights, impositions, port security, transportation security, banking security, going cashless - but not bothering to enforce laws on illegal immigrants or their employers, curtailment of the US Press in reporting War, costs of War, injuries of war, sympathy for the civilian costs in the middle east... it is all one sided to make this USA more Right Wing and Nationalistic and not to question the Revenues, Profits, Compensations of Corporations that profit from the MIC.
Why have we become like Israel if not because of Zio-neocons and dual citizens? Why did we destroy detente in the Middle East if not to become like Israel as PNAC Outlined. Did PNAC also plan this political pull toward the Right... Yes.
Pull to the right?
Oh, Please.
Your PNAC pals are the red diaper babies of the lefties from the 50's who went undercover during the red scare.
Some of them even think they're "traditional conservatives" and call themselves that.
They would be wrong.
Sorry but what did the NASA cabal have to do with this?
http://911proof.com/9.html
5 Exercises on that day...but "they happen all the time".
Absurd misdirection is especially pathetic misdirection.
Dear WIND ....
In his essay "How Civilizations Fall," writer Kenneth Monogue offers this insight into how terribly easy it is to succumb to the acceptance of our murder and death until it is too late.
"There has been a revolution, then, but a silent one. It has taken place with such stealth, and so gradually, that people have become accustomed to it little by little. I am reminded of the famous Chinese executioner whose ambition it was to be able to cut off a head so that the victim would not realize what had happened. For years he worked on his skill, and one day he cut off a head so perfectly that the victim said: “Well, when are you going to do it?” The executioner gave a beatific smile and said: “Just kindly nod.”
WIND doesn't have a brain in his head so that ain't gonna happen.
Unless the Persona App has advanced to the that stage
And we are to believe what you say and why? Credentials speak volume not words , lets see what you got.
The Greatest Ponzi Ever is Unraveling at a rate of knots.
China is still controlled by the same zio mafia banking cartel as they are the ones who created this version of China.
True, China was organized for interaction with the West by the Bankster Mafia, but China recently had a soft coup, which grew out of the Bo Xi Lai scandal around the death of Neil Heywood. Jiang Zemin, the previous premier and patron of Bo Xi Lai and his clique fell out of favor just as the 10 year reshuffle got underway. Something telling, to me, about the new guys in charge was that social media got to express disgust towards Jiang for example, for inviting the HENRY KISSENGER into his private home and treating him as a guest.
Edit: FYI, I did not down vote you.
I was just telling a friend I better learn Mandarin but I don't think I can yell every sentence so whats the point.
Try to learn enough to understand what they are saying, but never let on you understand.
Oh no you don't! I'm not going to get all giddy this time. I'm going to stay bitter and grumpy about PMs until I see Turk the Jerk saying, "See, I told you so!" after being wrong for seven bizzillion years.
Now we know the timetable for America's war with China...sometime before the end of 2015.
"As a reminder, the auction has its roots in efforts to deter manipulation. Here’s what we said last month..."
Because ANY central government always has the peoples of the entire world best interests at heart and not its own, right? ;-)
Another screw in the banksters coffins. Question is which screw will push the paper manipulation scheme over the ledge?
I'm guessing a major physical default is needed, and this can be delayed with delays in settlement and no coverage in the lame-street-media.
your analogy is broken.
first, you don't put a screw in a coffin, you use a nail. the only time you'd use a screw is if you're worried about the corpse coming back to life (zombie) and pushing the lid off.
second, you don't push something over a ledge with a screw, as you suggested. one would typically use a pole, a broom, or maybe just use one's hands.
third, there is no possibility of comex default, read their prospectus. it says in the fine print they have the option of setting in cash in case they are not able to deliver.
so, as you might put it, the cards are stacked, the bases are loaded, it's the fourth quarter, the coach has used the last time out, and the horses are rounding the last curve to the final stretch.
I don't know...I think I'd prefer to have the bankers' coffins secured with screws and buried with a couple of tons of concrete poured on top. Just in case.
Of course, we have to get them in the coffins first. There's the rub.
Saw bucks as a lure.
And the fewmets are about to hit the windmill.
"settling in cash" is a default
officially, no.
you and i might believe it is, but they write the rules, they own the system, they get to decide what's a default and what's not.
Wasn't there already the biggest phyzz default in history with Germany's delayed(or never to be fully returned) tonnage? Call me a skeptic if you must.
I think many here will be surprised when, instead of confiscation, we learn that the US government will not only encourage gold savings but remove all taxes on gold...like they have already done in China and Europe.
Silver ,which IS subject to VAT in Europe, will then be seen as the industrial metal it reallly is.
Sorry...don't hate me for my facts.
Right now gold is not taxed on sale in NV. It is subject to capita gains taxes however....which would have to go for the US to match the rest of the planet.
...but liberty demands it...
China has also had a silver standard and knows silver well. Opium Wars= Silver Extraction. Me thinks they wants it back and already have over 8k tons of gold.
Just ask/visit Charles Sevioe
www.silverstealers.net
If you are curious.
Freegold is not an option, gold isnt that rare.
Bimetalism is the way....look up puck bimetalism.
Cross of Gold Speech is a must read too. Jennings Bryan
http://historymatters.gmu.edu/d/5354/
RIPS
Silver subject to VAT? Bars are, coins are not. You can even buy so called coin bars; bars with a coin stamp in it without VAT. Bars without a coin stamp are being seen as a commodity, and so subject to VAT. FYI
Ah yes, after 5000 years of silver being accepted as a proven store of value, a VAT will abruptly reverse that deeply ingrained human psychology causing people to only see it as an "industrial" metal. /s
FOFOA, you are one funny guy.
(Edit: That crazy line of thinking also presupposes black markets looking to avoid such a tax would cease to exist.)
Is not important how you classify silver - as the money or as an industrial metal.
The important only thing is that the investment potential of silver, more higher than that of any other assets, including gold.
Going off of Gold to settle trade imbalance in 1971 created a militarized TBill system. Excess dollars collected in non-U.S. central banks, would recycle back to the U.S. to then buy debt “assets” such as TBills instead of main-street goods.
In 1973, the Petrodollar standard was born with Kissinger-Saudi agreement. Oil trade was now priced in dollars, and those dollars were to recycle to U.S. markets such as Wall Street, and also vector into Western Banks.
Trade imbalance has large amounts of dollars leaving the U.S. to then buy foreign goods. The dollars then loop back to buy as foreigners buy TBills. The dollar spins out of debt instrument and is then spent back into the U.S. economy. If U.S. Government acquires the foreign dollars by trading for a new TBill, then those dollars are spent on M.I.C. and unemployment. The TBill is thus militarized, as it funds U.S military to then surround foreign countries. This is why there are some 800 overseas U.S. military bases.
I’m not a friend of Gold, especially if used internal to a country to then create private banker debt money. DO NOT USE GOLD TO BACK INTERNAL DOMESTIC CURRENCY. But, external to a country, to then settle trade imbalance, Gold could have a use. A Bancor system, based on commodities, is far superior to Gold in this role to my mind.
It seems the Chinese, with their Yuan emitting State Banks, are moving toward a Gold trading system. This action would defund the militarized TBill and hence defund U.S. MIC.
From Hudson:
http://michael-hudson.com/2015/06/global-financialization-2015-the-state-of-play/
Gold can indeed be a part of this system – to settle international payments imbalances, not to back domestic currency. It became clear by the 1960s that no country can participate in a gold exchange standard and wage war. The gold drain is what forced the U.S. dollar off gold in 1971 – as a direct result of U.S. military spending, which was responsible for the entire U.S. balance-of-payments deficit.
Without gold, the world’s central banks shifted to U.S. Treasury bills – government IOUs issued to finance the budget deficit that was largely military in nature. This meant that global monetary reserves monetized U.S. military spending to surround these countries and destabilize them if they tried to withdraw from the system. (That is what my book Super Imperialism is all about.)
The easiest way [sic not the best way] to stop U.S. military adventurism is to restore gold and free the world from having to use a militarized U.S. Treasury-bill standard as their monetary base.
Any commodity 'backed' money is a foolish pipe dream.
First it has been tried and failed.
Second, government don't like limits to their ability to control their economies.
Third, fiat works just fine, for governments, yes, but admit it, it works fine for us too in most ways. We hate that it loses value over time but we like sending some anonymous guy in Hong Kong, a Paypal payment for a gadget we will receive in 6 days. Fiat makes the brown truck come.
Third (or forth if you count like a normal person), in what way does 'backing' work anyway? If I want I can demand a quart of 10W30 instead of paper change? I can get a few board feet of lumber if my acount is adequate? The ECB has 10,800 tons of gold on their balance sheet. It does not 'back' the Euro. It is just there so the ECB could, if they feel the need, buy a few trillion Euros and raise the value of the currency....or....they could buy gold, at a high price (quoted initially in dollars of course) and when it was seen that the dollar was only worth 1/50000th ounce of gold and therefore dead....they could continue to buy making the Euro the one currency 'strong in gold'.
You see 'backing'is a very gold standard' concept. those days are gone. The free floating system is where the world is headed and 'backing' has nothing to do with anything...these days.
whatever helps you sleep lasvegasturd
So having a trading instrument of a specific stated value set by an open competitive maket is far inferior to a monetary exchange that can be doubled and tripled at will by private actors sactioned by the Govt. but not under any control by them.
That sounds reasonable.
"The gold drain is what forced the U.S. dollar off gold in 1971 – as a direct result of U.S. military spending, which was responsible for the entire U.S. balance-of-payments deficit. "
This is a most astute observation.
Always enjoy, and very frequently agree with your observations and assertions..
"The easiest way [sic not the best way] to stop U.S. military adventurism is to restore gold and free the world from having to use a militarized U.S. Treasury-bill standard as their monetary base. "
Would you care to share your opinion as to the best way to stop U.S. military adventurism?
the empire dies when the dollar (FRN) dies
Take back the Republic by renouncing the abduction of the Treasury
Threaten to exhume Socks and look for foul play?
MEFOBILLS I enjoy your posts and believe you have good experience in all of this. Now I have had a drink or two and haven't really read everything or understood.
What of the US Bully System? Surely this is how power is applied in Europe and within smaller government entities.
If paid Lobbyists can lean on US Congress and influence the US President... why would they not prevail in a Gold Backed Environment.
I like to consider the Individual Corruptions, Symptoms, Solutions, Reorganizations, Sweeping reforms, Solutions which are based on Background, History, Monitoring Data, Tracking implementation of Legislation...
But where does that Leave the Power Players in the US Federal Politics??
It still leaves them in control.
Like if we reform the Universities we think hard about firing the Professors who have been doing nothing to embrace New Ideas, New Frontiers, New Departures, New Directions, New Paradigms... Government People like University Professors will defend their past Opinions, papers, Studies, and work.
Term Limits for University Professors is warranted.
Term Limits for all Federal Employees is Warranted.
Term Limits for Lawyers, Bankers, Private Bankers, Lobbyists, Politicians... to say 6 years including Judges is warranted.
It is Humanism.
Humans will defend their position till the end, but give people some security with a small retirement they have the ability and will for Free speech, Whistleblowing, write commentary, pen memoirs, write biographies, move to a new position of Critic of the Existing Systems. Oppose the Existing Order.
Think about that.
Time to warm up Murrica's shiny new bomber.
The O-Bomber?
Have to wait and see but somebody knows what it means ahead of time.
It won't matter until they depeg from the dollar. And even then, what's a fiat yuan worth?
Bitcoin $250.15 +$6.74 since 24 hours ago.
Be very vigilant and suspicious of Bitcoin.
Beware Max Keiser who incessantly pumps: bit coin, gun control, global government, climate change, and sexual deviancy. It was Keiser's "crush JP Morgan" campaign by recommending buying silver when it was over $40 per oz that pushed me to invest even more heavily in the metal. Someone of his intelligence KNOWS that this was pump and dump, though he never once apologized for leading his sheep over the cliff. He could have at least measured his words and talk about JP Morgan's being an agent of the US Treasury, acting on the US gov's behalf, and that it's trillion oz short position will always be covered by the US taxpayer because PM suppression is a part of national security (in that it prevents a challenge to the FRN debt instrument used to consume the planet's resources and grow the military industrial congressional surveillance state)
So, if I understand correctly, and as a thought experiment only of course, if the SGE marks price higher than it is now in Yuan, what does the USD do? It could do nothing, resulting in an even stronger dollar and thus importing more deflation, which is US economy and S&P 500 company earnings problematic, or it could allow the price to rise as well in USD. The former causes a financial asset decline (in a world where collateral is over-levered); the latter would effectively confirm that the metal was always at the center of the financial system and never left, just carefully hidden.
And that's when the wheels fall off the fiat bus.
I do not think China nor Russia wishes to provoke something that causes an already wild foreign policy beast to go completely non-linear. However, they may not have a choice as the U.S. is not about to stand idly by while the rug is slowly pulled out from underneath its feet. The U.S. military is what it is for a reason, and that sure as bloody hell ain't about the 4th of July or 'freedom & democracy'.
And does not anyone understand that JPMorgan, Goldman-Sachs, Citi and others have offices in China and Russia, in addition to offices in London where most of the dirty work performed is "legal?" You think China controls what goes on in China? You've been sold out by your own countrymen, wherever you happen to live. It's a banksters' club, and we're not in it.
“Chinese banks want to expand [their] reputation and brand influence in the Western market.”
- Buy a friend, buy a Panda!
Late Add:
It is S/.
It is a play on the campaign "call a friend, call a cop".
But as usual my humor is limited to geeks.
And does not anyone understand that JPMorgan, Goldman-Sachs, Citi and others have offices in China and Russia, in addition to offices in London where most of the dirty work performed is "legal?" You think China controls what goes on in China? You've been sold out by your own countrymen, wherever you happen to live. It's a banksters' club, and we're not in it.
Lets see. I think China is different. I think the Chinese identify with a culture several thousands of years old.
No argument; their culture is ancient. But Mao destroyed everything financial; who do you think financed them since Nixon "opened" the doors.
So, from here is my faraday cage, hitting the red wine watching an impressive haboob, is this strike four for Monday?.... or if not Monday Mad Max 2.0?
free Peking Duck
with all gold purchases...
Help me out here.
What is all controlled by the Government of China within China... since Western Idiots can forget it is not a Free Market. Any discussion of a Free Gold Market with China should be cynical.
"Pan Gongsheng, a deputy governor of the People's Bank of China (PBOC), said the central bank would continue to support "speedy and healthy growth of the China gold market" and its internationalization."
- All Banking in China = Government
- All Oil & Gas in China = Government
- Maybe all Commodities in China are Government Controlled
Starting to feel me. But honestly I don't remember... I saw a ZH article that stated what was Government Controlled in China, but didn't save bullets or notes.
What did I miss ZH. China doesn't have Derivatives. Real Estate, Apartments, Houses are probably Government Owned.
Biggest Expenses in the USA are Health Care, Social Security, Education, Housing, Insurance, Energy, Transportation, Child Care, Taxes...
China? China who we now compete against is communist. They have low or no household expenses for much of what we in the USA go into Debt for.
This is a Psy-Op. This Free Trade is a Counter-Intelligence Operation against the US Workers & US Household Wealth. The Middle Class is toast,... unless you join the Fascist System so that you are chosen as a Winner, a Govt Employee or Private Executive at some point.
Ah, but that would be a Conspiracy as large as the Bible was. Sorry... did you not know that Christianity was a Construct of the Church of Rome... Drawing on Multiple Traditions from many sources, even if ancient sources.
Teeth, there have been reforms. Re. Realestate, They now have land use rights for maybe 70 years. All of Asia has real free markets where people congregate to buy and sell food. Finally, you do know the TPP is designed to exclude China?
Thanks for the Response, CB.
I have been researching moving to Asia for like 13 years with very limited success. I mean the focus started out as Asia, Thailand, Cambodia, Vietnam, Philippines... not Australia or New Zealand since they have barriers and Wealth Requirements.
I would have been interested in Teaching English in China, and even met a couple of crazy people that said they were from Australia, but the politics is odd and hidden. China is very Totalitarian.
If I want to buy a House in Thailand, guess what? There are restrictions just like in Malaysia. Seems like I could do okay investing in the Philippines since there is a pro-investment culture (they will allow you to kick squatters off the property). (In Latin America you face Title Problems on Property to include Squatter Rights and no official authority to kick squatters off property)
No sure if you are a Retiree or an Investor.
I am horrified at the idea of investing in China, but imagine that things have improved.
I have a buddy who moved to China as an ESL teacher. His agency got him there on forged papers. He's doing well, though the government caught him, so now he's got 5 cops on his payroll at $100usd/mo.
Ain't that a Bitch.
Same as it ever was.
The new boss is just like the old boss.
Thanks for the Affirmation.
Guys & Gals can go to Asia to teach, but it is a crap shoot on it they will work for assholes/slave drivers or normal civilized folk.
— Ernest Hemingway