The Drain Continues: U.S. Exports More Gold To Hong Kong Than It Produces
Submitted by Steve St. Angelo of the SRSRoccoReport.com
THE DRAIN CONTINUES: U.S. Exports More Gold To Hong Kong Than It Produces
As the Federal Reserve continues to prop up the highly leveraged debt based financial industry, the flow of U.S. gold heading East picked up significantly. According to the USGS most recently released survey, Hong Kong received 56% of total U.S. gold bullion exports in September.
Actually, U.S. gold bullion shipments to Hong Kong where so large they exceeded its total domestic mine supply in September:
As we can see, the U.S. exported 19.3 metric tons (mt) of gold bullion to Hong Kong, while its total domestic mine supply was only 18.7 mt. The other top sources of U.S. gold exports were:
- Switzerland = 11.4 mt
- United Kingdom = 6.9 mt
- India = 5.7 mt
- U.A.E = 1 mt
Not all of U.S. gold shipments were in bullion form, some were exported as dore bars. Dore bars are semi-pure gold bars poured at the mines requiring additional refinement. India received 5.6 mt of gold dore bars from the U.S. while Switzerland imported 4.3 mt and the U.A.E, almost one metric ton.
That being said, the U.S. continues to export more gold than it imports or produces from domestic mines. For the first nine months of the year, the U.S. suffered a 24 mt deficit as it exported 380 mt of gold versus 155 mt from its domestic mine supply and 201 mt it received in gold imports:
Not only is the U.S. exported more gold than it produces, Australia is doing the very same thing. Of the 214 mt of gold exported from Australia during the first nine months of the year, China (and Hong Kong) received 136 mt or 64% of the total. Total Australian gold exports went to the following countries:
Australian Gold Exports (Jan-Sep 2015):
- China = 136 mt
- Singapore = 34.7 mt
- India = 15.4
- Thailand = 12.2 mt
- United Kingdom = 6.4 mt
Total Australian gold mine supply during this period was only 205.2 mt (source: Australian Government Resources & Energy Quarterly Report). Even though Australia does import gold, here is another example of a Western country exported 100%+ of its domestic mine supply to the East.
Why is this interesting? Because two of the top four gold producing countries in the world exported the majority of their gold supply. Let’s look at the top four gold producing countries below (wikipedia):
Top 4 Gold Producing Countries 2014:
- China = 450 mt
- Australia = 270 mt
- Russia = 245 mt
- United States = 211 mt
We know that all of China’s gold mine supply stays in the country, so does the majority of Russia’s. However, Australia and the United States exports the majority of their domestic mine supply. Which means, the East continues to trade worthless fiat money or U.S. Treasuries for gold while the West manufactures more paper derivatives and debt.
Unfortunately, this is not a sustainable financial or economic business model for the West. While precious metal investors are frustrated by the low paper price of gold and silver, there is light at the end of the tunnel. I explain this in a recent interview with Crush The Street. If you have not watched the interview below, I highly recommend it:
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Gold, Bitches!
The gold most be coming from that lake that we all lose our gold..
YES
NO
I worry that if I invest in gold/silver mines, when gold soars in price, becomes widely recognized as money again... that the US government will nationalize all PM miners when it realizes it needs to stock up fast.
Now how do you out guess the government? Think you answered your question
Yeah, right. The short answer of course is to not trust. For me though, for the portion of one's portfolio, if any, placed in anything other than "local" investments (food, shelter, solar, physical stacks, etc) I tend to believe that the miners, unlike Kyle Bass's bent, are the ripe contrarian trade of the next cycle. They are SO beaten down, and SO hated.
The trick will be to ride the wave up, and then get out before the only predictable thing about the future occurs; government intervention. How can they resist the urge? It will be in the interest of the American public' to raid the miners to back a US currency with something real. TPTB can get away with prohibiting the American public from peering into Fort Knox or the NY vaults, but foreign trading partners won't put up with such shenanigans.
Buy non US miners too then...
Would Mexico or Canada confiscate, sorry 'nationalise' the mines?
So, if China is receiving US gold, what price is it paying for it? The Alice-in-Wonderland GLD price, or something closer to reality?
In an aside, those old enough will remember back in the 1990's there were a slew of books warning that the Japanese would take over the world financially. Maybe the authors of those books should have looked a bit further west of Japan.
Vaults of other people’s gold are being emptied without the owner’s knowledge.
Including, but certainly not limited to the peoples gold? Why does everyone stand for this, these guys in Oregon at least stand up.
Bernanke and others say gold is a barbarous relic of the past.
The Keynesian way is to print infinite currency.
Same as production/manufacturing is old-school.
Just print the currency and give it to the overseas manufacturer.
BTW, this arrangement reminds me of what my history books said was happening just before the 1840's Opium Wars, with China demanding silver for its tea, and Great Britain bleeding it by the bucketload to pay for said tea.
The Crown came up with the opium trade as a means of stemming the silver tide. I doubt the US has anything the Chinese would want, this time around.
'I doubt the US has anything the Chinese would want, this time around.'
Big titted blonde whores...other than that, you're right...nothing.
Beats opium.
The Chinese aristocrats would certainly like to own as much land and resources as possible in the US but this isn't a barter deal - it's the globalists dumping the US and looting the safe before they depart.
women, (sorta) clean water/air, GMO agriculture, tech, BLM land mining rights
It is interesting that countries whose grandparents have seen regime change and currency change are buying gold...
I really hope people understand this is really just BAD. We are being sold out of anything that has value in this country.. I believe our politicians really are the terrorists at this point. Our forefathers told us the only way this could come down was from within and thats exactly what is happening. Go ahead dont believe me... when its right in front of you.
Lincoln did warn us:
At what point shall we expect the approach of danger? By what means shall we fortify against it? Shall we expect some transatlantic military giant to step the ocean and crush us at a blow? Never! All the armies of Europe, Asia, and Africa combined, with all the treasure of the earth (our own excepted) in their military chest, with a Bonaparte for a commander, could not by force take a drink from the Ohio or make a track on the Blue Ridge in a trial of a thousand years.
At what point, then, is the approach of danger to be expected? I answer, If it ever reach us it must spring up amongst us; it cannot come from abroad. If destruction be our lot we must ourselves be its author and finisher. As a nation of freemen we must live through all time, or die by suicide. (Emphasis mine - Kagemusho)
Lincoln was a fascist proto-neocon racist prick
Lincoln was a war criminal.
Is this where i malign you for your avatar without reading your post? I learned that in gubmint skool
Yes it sucks and we're obviously being snookered but really long term it's going to boil down to some basics.
Here's the thing in a nutshell. They are running a ponzi scheme. That is unsustainable so it's not this iteration that is the problem it's what comes AFTER that is the problem.
They are going to try and leap frog to the next ponzi or go outright full on tyranical command economy because that's the only sustainable way they can keep power.
It's obvious that your options are a command economy ala the Soviet Union / former Red China or some kind of free market. We've proven you can go from a free market to the Soviet Union and China has proven you can start out at a full blown communist regime and come through the back door to some aspects of a free market.
In all cases the highest most productive aspects of an economy are ALWAYS those that allow freedom.
Freedom won the debate on what produces the most productivity. How to harness that is the only question left.
However if you allow freedom it will corrode your command fuctions over time see China, if you crack down on freedom it will corrode your productivity see the US.
It's entirely about setting the goals and parameters of the freedom. You can't be free to pollute the planet at will you can't be free to destroy others lives although defining C02 as the hazzard out of all the other choices available is one way you can steer some and gain some control through setting the parameters.
In all cases this is always about control if you give them an inch they will take a mile of control, they wake up every morning and take every breath with the idea that by the next one they will have more of this thing they crave most control over others.
It is a sickness that has no place in leadership.
I like the way you understand that freedom and govt power are a zero-sum game. What I can't stand is your ideology that we need both of them.The state is a fucking parasite and I wish more statists would realize that simple fact.
Is it obvious yet that the transnational financiers (globalists) are dumping the US and moving to Asia ? The infinite growth parasites have depleted the host, time for a new victim.
BRICS, CIPS, AIIB, etc... - Renmibi is now reserve currency, look at all these countries hedging out of trade in dollars, they've formed their own trio of credit rating agencies and it goes on and on...Who invested to build up all of this infrastructure in China again ? BRICS was Goldman's idea and the heads of the new Asian banking infrastructure read like a 'too big to fail' company directory.
The engineered decomissioning of the dollar will break the back of the US & it's military and these philosopher kings will play all the same games from their new Asian global headquarters. If they have their way this will all happen after a bunch of ignorant people kill each other in a very expensive manner. Writing is on the wall imo.
You mean their sales are exceeding their theft of other poorer nations gold, thought so......
Get to work Parker Schnabel! 95 million American worthless layabouts need you to generate more prosperty to prop up their lazy disgusting lifestyles.
If Parker Schnabel had a computer fast enough to keep up with ZH he’d be mining for Bitcoins instead of breaking his back digging for gold!
Electricity bills negate most return on bitcoin, especially as the difficulty involved in mining them exponentially increases. Of course, Satoshi designed it with this in mind (an asymptotic approach towards zero money supply growth)
But you know, precious metals are dumb or something. Why can't you people hate on copper ore or something?
The most watched television shows in America are Reality TV Gold Miner Episodes. Next we need Reality TV Shows in our factories to show Americans how real wealth is created. Our Service Industry has warped their mushy little brains to the point they think scamming each other is the way to generate prosperity. We have a hundred million Debt Slave Zombies to prove it!
But who will man the factories? Our transgendered liberal arts students with 8 years of college?
That India is buying gold is not a surprise; all through history it is a sink for gold.
That China is buying gold is also not much of a surprise; they want to reduce their (paper) dollars.
That Russia is buying gold is also not surprise; they are forced to undervalue their export - oil; in return they are importing the undervalued gold.
That Switzerland imported 11 tons, and Singapore imported 34 tons, and UK imported 6 tons, now that is a surprise. They are not gold consumers; that means this gold is seeking hideouts there. Some people have seen troubles coming in the US, and they are moving their gold beyond the reach of the US Govt.
Now, that is an interesting point.
Just before the WW2, all gold sought refuge in the US, beyond the reach of Hitler. That is how at one point, US had 75% of world's gold, andmore gold than M2 money supply.
Now it is leaving America.
Gold leaving a country is a very good indicator of financial crises, domestic violence or wars.
Switzerland probably does not keep it; refines and ships on East.
So there was a change in the Treasuary "Deep Storage" line?
Brings up an interesting question/conundrum for the U.S. When (not if) gold sales to China become a 'national security' issue, it puts the U.S. in the very unenviable position of having to justify these sales, while at the same time, following the Federal Reserve's opinion - nay, the entire financialized establishment's overall opinion about gold in general...
Remarkable......Roosevelt confiscated Gold of US citizens
Executive Order 6102 is a United States presidential executive order signed on April 5, 1933, by President Franklin D. Roosie "forbidding the Hoarding of gold coin ...
So if US has nothing left you get a van at the door or at the Depot 's door
Depot first.
Guess they go for the same Strategy.
US knows how much Gold is stored at Depots & Private cause all these sheep paid with credit card or by Swift money system
They even do not take their Gold out of Depots so easy sailing ...
Who will be drained ...the FEd US Goverment GSachs BoA JPMorg.... never...
people know the Yuan won't become the reserve currency overnight, but being in second place sure helps reduce the long wait.
as commented china, and surrounding countries have to many humans, NWO, sorors's no boundries, people speak.
some call these humans as workers, producers, and consumers, which many countries are praying for.
So if you managed to acquire a literal tonne of gold 100 years ago, how much money would you have today? Asking for a friend.
<-- CabalA$$LickerLiarAddictObamma : 'Jast dont warry, I am going to wage war against Chaina ;-) , den we weel loot all da gold back as we americans & our euroPeons always have done, Ta Da'