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i was going to ask why you think there's going to be a dip... then I read your last sentence.
first a liquidation of existing stocks
than, no more gold will be mined and supply get's stuck and gold flies to the moon.
Does Venezuela have silver mines to?
I think a "Who is John Galt?" is in order.
+1 Francisco d'Anconia
It truly is eerie how much that novel is parallel to today's events... Can Atlas really be placed in the fiction section? Simply replace the names with modern-day crooks and you've got the same story. Even islands where people are rebuilding society:
i think a counter move by the US is in order. first we should nationalize all lumber companies to secure our source of paper. then we nationalize all printing companies...that'll show'em!
then nationalize What is printed
I stand behind this idea!
I laughed until I stopped.
I'm not sure if itAtlas Shrugged is eerie or just painfully truthful. A lot of people are going to be "Going Galt". http://www.futurnamics.com/goinggalt.php
Now we find out if Rickards is right: Is possession (of the gold) 9/10's the law? Will the repatriation of Venezuela's gold go off without a hitch? I have a hunch Hugo is wrong. The other question is whether Cesar Chavez will nationalize the grapes.
One thing's fer sure, London is gonna have to cough up SOME Au (or a litany of lame excuses!)
+1 Galt's Gulch
Who is Ron Paul?
I'd say a prophet:
Here's his new theme song!!!
+ I like what you did there!
Hugo Chavez; the friend of the poor; helps to create the workingmans paradise. I'm sure he promised them "change they could believe in". What a jerk-wad.
If you cannot hold it, you do not own it. That is why I would never willingly buy gold stocks.
Agreed, confiscation of your mining stocks is a lot more likely than confiscation of your physical gold.
They don't want their gold to be confiscated by the U.S and England so Venzuela is getting all their gold back from England and the U.S along with their cash reserves. 11 billion worth of gold.
My working hypothesis is that Hugo is acting as pointman for his friends in Beijing in their developing power play with the West. We'll know fairly soon if there is any truth to it. The comex is vulnerable. When Venezula pulls it's monetary reserves will others follow? With the comex in shambles and liquidity freezing up Beijing will be entirely justified in saying they don't like the game anymore, they're taking their ball and going home. I think the system would come apart at the seams. Do they believe they will come out of the rubble better tan others?
Venezualan oil is at the core of the issue. It has not been divided up yet. So you are very correct that China is lurking behind this.
The Au reserves represent 2.6 days of Venezulan oil production....just, some perspective
very few refiners, can process the heavy crude, from venezuela. the chinese, have been financing the construction, retrofit projects, closer to the source. that capacity, will be subtracted, from the U.S. portion soon?
That my friends is the question...
I missed this exchange yesterday. Good stuff
Yes, but it is also safe to store it at a company or institution you trust. Like the FED in New York. (Oh German Gold where art thou?) :(
Almost as interesting in the article as the nationalization bit was the repatriation bit:
"the government's top finance officials were recommending the repatriation of 90 percent of Venezuela's gold reserves held abroad"
Let's see the scramble for the physical begin soon!
Well, all it took to get Hugo Chavez elected was a bit of that good ole austerity the IMF likes so much, for other people, not themselves of course. Chavez job is to say "Fuck You" to the "international community".
I smell a "humanitarian intervention" coming on ...
In February 1989, at the beginning of his second term as president, he accepted an International Monetary Fund proposal known as the Washington consensus. In return for accepting this proposal, the International Monetary Fund offered Venezuela a loan for 4.5 billion US dollars. This cooperation with the IMF came about weeks after his victory in the 1988 presidential election, and a populist, anti-neoliberal campaign during which he described the IMF as "a neutron bomb that killed people, but left buildings standing" and said that World Bank economists were "genocide workers in the pay of economic totalitarianism". Poor economic conditions led to attempts to revolutionize the political and economic structure of Venezuela, but the implementation of the neoliberal reforms (and in particular the liberalisation of petrol prices, which caused an immediate increase in the cost of petrol to consumers and rises in fares on public transport) resulted in massive popular protests in Caracas, the capital. Carlos Andrés Pérez crushed the protest with the national guard, causing a large number of deaths—estimates range from 500 to 3000, and resulted in the declaration of a state of emergency. The protest is now referred to as the Caracazo.
Is it clear they are going to sell the gold? He talked about converting it into reserves. That doesn't necessarily mean they are going to sell it. His other words indicate they are stacking gold reserves, so it may be he just phrased it indelicately.
Why repatriate your gold if you intend to sell it? You would just sell it in place.
He may also be guilty of deception. He might be hinting to the public that the gold will be sold for their benefit when in fact it is being horded.
Silver Mines.. I dont know.. but someone should tell Hugo Chavez to deposit the nationallized gold with the Federal Reserve at fort KNOX. it will be in safe custody there... :) :) :) :)
He can then say with confidence.. "IN GOD WE TRUST"
....yes, they appropriated Hecla's a few years ago...
If anything, I see it going UP.
FEAR is a hell of a motivator..........................
A DIP here, makes no sense to me.....................unless folks get scared and SELL, thinking this same crap will hit here SOON.
And they may be correct, we know it will happen, IF our DIP stays in Orfice.
HAHAHA! NOW NO MORE GOLD WILL BE MINED OVER THERE! :)
How is it possible :)
When will Amerika do the same and put it's people in the mines to mine the gold?
Wasnt Gaddafi's government the owner of its gold?
Hugo baby, you betta watch your backside
Daddy US doesnt like such actions
IMHO, this is the MAIN reason the Miners have been lagging Gold, smart investors likely were/are fearful this will be coming to a Theater near them soon.
Also, IF the US Gvt did this, the price would be in the toilet asap.(they would drop it to close to, or at retrieval/mining costs.
Would that slam the markets, and get folks into Treasuries and Bonds post haste?.
the miners, are being shorted, on a massive scale, that can sure cause a lag
WE WILL GET TO MINING GOLD FOR THE FED RIGHT AFTER WE ARE DONE CUTTING TREES AND MANUFACTURING PAPER TO PRINT THE FRN FOR THE FED...
ELSE..WHAT WILL WE BUY THE MINED GOLD WITH..
Just who does this indian think he is?!
Your pathetic racist slurs are just about all you'll be able to do.
Then you'll be beggin for food.
Then you'll sell your ivory daugthers to them "indians" and "sand jockeys".
I'm no fan of Buggo Chavez. He's big mouth and little/no action. Just like Soetoro.
Buggo repeatedly threatens to close the oil spigot to the US - his main customer. He's never done it.
He's getting poisoned by the Castro bros., who are on the Rockefeller payroll.
His sidekick Eggo Morales threatened to do the same with silver mines in Bolivia. In the end it only took a sixpack of Michelob and a cheap Vegas hooker to shut him up.
Let's see if Buggo follows through with his threats.
The legitimate owner of the gold...
God bless 'em. He's got the Oil AND the Gold....
I'm sure Keynesian financial engineering will save us
There is no chance Ben can launch QE3 and we know he wants to.
Between the Fed taking center stage in politics now, the failure of 2QE programs and gold going parabolic along with events such as this his hands are tied which is why Pres O has to now resort to some feeble attempt at creating temporary jobs to hike the unemployment number so have even a whisker of re-election. And that is why nobody will address the structural issues in our nation because all they can do is borrow, print and spend without questioning WHY the jobs are not returning. It is a repeating cycle because the core of capitalism has rotted.
This can only end in an attempt to pass Tarp 2 and there is no political will for this to occur. The bankers are about to fight back the only way they know how..financial terrorism, contracting the money supply and trying to bring the will of the people to their knees to ensure their livelihood of extraction continues.
Where is this capitalism you speak of? I have not seen it in my 56 years on Earth.
or old school..
best of the best, ever. http://www.youtube.com/watch?v=jTQ5PTlxD0M
i love gold!
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