Hugo Chavez Announces He Will Nationalize Venezuela's Entire Gold Industry

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Wed, 08/17/2011 - 15:23 | 1569949 anynonmous
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RML tanks on the news

from 15 cents to 14

Wed, 08/17/2011 - 15:23 | 1569951 The Deleuzian
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Gold Standard (the Stock) amex??  Lost rights to the big big resource in Chavez-land circa 5 years ago. Las Christinas mine??  Would not touch Venezuela with your DICK, Collapse already happened--just the details pending.............

Wed, 08/17/2011 - 15:34 | 1569997 IQ 145
IQ 145's picture

The beatings will continue until morale improves.

Wed, 08/17/2011 - 15:24 | 1569955 Instant Wealth
Instant Wealth's picture

Best thing for Venezuela would be him to denationalize himself.

Wed, 08/17/2011 - 15:35 | 1570012 IQ 145
IQ 145's picture

Suicide would be excellent. then they could have a statue to him. Statues hardly ever cause any serious problems.

Wed, 08/17/2011 - 17:53 | 1570665 Strider52
Strider52's picture

Through early morning fog I see
visions of the things to be
the pains that are withheld for me
I realize and I can see...

That suicide is painless
It brings on many changes
and I can take or leave it if I please.

I try to find a way to make
all our little joys relate
without that ever-present hate
but now I know that it's too late, and... 

The game of life is hard to play
I'm gonna lose it anyway
The losing card I'll someday lay
so this is all I have to say.

The only way to win is cheat
And lay it down before I'm beat
and to another give my seat
for that's the only painless feat. 

The sword of time will pierce our skins
It doesn't hurt when it begins
But as it works its way on in
The pain grows it grin, but... 

A brave man once requested me
to answer questions that are key
'is it to be or not to be'
and I replied 'oh why ask me?'

'Cause suicide is painless
it brings on many changes
and I can take or leave it if I please.
...and you can do the same thing if you choose.

Wed, 08/17/2011 - 15:28 | 1569961 Black Forest
Black Forest's picture

Our only advice is that he should wait before he sells



Wed, 08/17/2011 - 15:28 | 1569964 Jasper M
Jasper M's picture

This is actually a pretty bad sign for gold, as governments tend to decide to acquire gold at the worst possible times. They are the ultimate herd, and once they are in, there are few others that can follow to sustain the trend.  

And note that this capitualtion barely moved gold. It looks exhuasted.

Throw in all the highly leveraged hedge funds holding gold (More than most central banks), the fact that their gold holdings will be one of the few liquid contracts the can sell vs. the losses they will take in equities, and I believe you have a recipe for a substantial decline. 


Wed, 08/17/2011 - 15:43 | 1570020 Threeggg
Threeggg's picture

Problem is the words "holding Gold" as they are all holding paper !

At some point there will be a Physical scramble (history will repeat itself)

Wed, 08/17/2011 - 15:39 | 1570036 kito
kito's picture

venezuela is not acquiring gold. you cant "acquire" something that already belongs to you. 

Wed, 08/17/2011 - 18:58 | 1570849 RockyRacoon
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You'd be right IF their gold is physically out there to be repatriated.  That remains to be seen...

Wed, 08/17/2011 - 15:42 | 1570065 oldmanagain
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I doubt he sells the gold but just issues more paper, which makes the paper better than most.

Wed, 08/17/2011 - 16:20 | 1570271 Smiddywesson
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Right, all the central banks and governments in the world are buying gold, the very people who control everything and know what is coming, is a bearish sign for gold.

Gold, which just shook off two margin increases and is now back knocking on the $1800 level looks exhausted?  LOL

Then short it.  I dare you.

Equities are going exactly nowhere, but they are doing it real fast.  That is because the Fed is supporting the stock market and buying gold.  Go ahead and short it.  All the people in the know will probably stop buying, all at the same time.  Sure.

Wed, 08/17/2011 - 15:29 | 1569965 Cognitive Dissonance
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I expect more and more countries will nationalize their PM mines......even if "nationalization" only takes the form of demanding that all PM production remain within the country. China for example.

End Game baby.

Wed, 08/17/2011 - 15:36 | 1570021 DaveyJones
DaveyJones's picture

Obama's gonna ease us in. He'll start with earrings, then nationalize cuff links. Then all of a sudden, whoosh.  

Wed, 08/17/2011 - 15:38 | 1570031 Cognitive Dissonance
Cognitive Dissonance's picture

Then all of a sudden, whoosh.


National security end game baby.

Wed, 08/17/2011 - 15:42 | 1570064 gwar5
gwar5's picture

Exactly CD.

That's why I don't invest in miners.  They're wide open to confiscation by other means. They have the risk of being nationalized outright for "Strategic reasons," or environmental reasons (without compensation), or being taken over in a soft nationalization through windfall profits taxes, without warning.

In, Australia, the last PM got tossed out a month after he said he wanted to impose a tax of 40% on the miners. The miners said they didn't need a partner who didn't share their risk, so they got him sacked. The new PM has backed off.



Thu, 08/18/2011 - 05:36 | 1571795 ItsEvolutionBaby
ItsEvolutionBaby's picture

Yeah backed off right down to only 30%, ontop of state royalties, money paid to the natives and all the other usual taxes.

Now the same Australian government are imposing a 'carbon tax'. llolol 

Wed, 08/17/2011 - 15:29 | 1569973 PaperBugsBurn
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Ecuador is next. What's worse is tgat their economy was dollarized. Oh hell, no way to plan a long term mine.

Gold, bitchez?

Wed, 08/17/2011 - 15:35 | 1570002 kito
kito's picture

@paper --tis not true. ecuador will not nationalize their mines. they havent nationalized any major industry since correa took over. he is not a socialist like chavez. correa understands how markets works. stop listening to mainstream media. 

Wed, 08/17/2011 - 15:38 | 1570030 DosZap
DosZap's picture


You are far too kind, Chavez is not a Socialist, he is a friggin Fascist.

Cross him, and see.

Wed, 08/17/2011 - 15:42 | 1570070 kito
kito's picture

tis true doszap, tis true

Wed, 08/17/2011 - 16:35 | 1570347 pazmaker
pazmaker's picture

nah Correa just likes throwing journalist in Jail...for writing an op ed piece critical of him...he's not a socialist!  


Maybe you should stop listening to lefty news!


Wed, 08/17/2011 - 18:29 | 1570762 kito
kito's picture

@paz--since you know so much about the slander case involving el universo and president correa, and since you are obviously well versed in the laws involving slander and the relentless onslaught against correa by large ecuadorian corporate interests who refuse to allow a free market sytem to prevail in ecuador, and instead suck the system dry of any progress, maybe you can shed some light? 










Thu, 08/18/2011 - 11:52 | 1573286 pazmaker
pazmaker's picture

I've lived there(ecuador),  I have family that lives there still as well as part of our family living in Caracas, Venezuela so if you truly are open minded and want to  know the truth form someone who has experienced it first hand let me know.


Otherwise I won't waste my time casting pearls to swine.


by the way, groups like amnesty international (that may be considered liberal by some)has even criticized Correa for puttng the journalist in jail.


If you posted a pic or link I can't see it due to firwall

Wed, 08/17/2011 - 15:29 | 1569976 granolageek
granolageek's picture

Dear Tyler,

ROFL. Gonzalo Lira, disappeara. Attacked any good Falklands lately?

Wed, 08/17/2011 - 15:30 | 1569977 pan
pan's picture

Gold bitchez!

Wed, 08/17/2011 - 15:33 | 1569989 JohnFrodo
JohnFrodo's picture

Ok Bitches for those of you who missed it Canada renamed its armed forces yesterday. Now they are proud again at being called Royal. So our gun canoes will be kicking some Venny butt any day now.

Wed, 08/17/2011 - 15:33 | 1569990 Catullus
Catullus's picture

Now if he could only get the utilities industry to actually support a mining operation... Haha

Wed, 08/17/2011 - 15:33 | 1569992 Chappaquiddick
Chappaquiddick's picture


Wed, 08/17/2011 - 15:34 | 1570001 Gringo Viejo
Gringo Viejo's picture

And if I thought I was havin' a bad day........

at least I wasn't invested in Crystallex Mining.

Wed, 08/17/2011 - 15:35 | 1570003 JohnFrodo
JohnFrodo's picture

If he sells Citgo you know the shits going to hit the fan.

Wed, 08/17/2011 - 15:35 | 1570009 bernorange
Wed, 08/17/2011 - 15:36 | 1570015 Dangertime
Dangertime's picture

So now are they going to raise their "official reserves" and put it into the "Deep Storage Gold" account?

Wed, 08/17/2011 - 15:36 | 1570016 anynonmous
anynonmous's picture

On Bloomberg just now via Pimm Fox - possibility

Fed to buy treasuries using excess bank reserves

Wed, 08/17/2011 - 15:39 | 1570039 Everybodys All ...
Everybodys All American's picture

Have they not already been doing this?

Wed, 08/17/2011 - 15:36 | 1570017 High Plains Drifter
High Plains Drifter's picture

attention blackwater security, now known as Xe services.  please proceed to venezuela according to plans discussed. it is a green light. this tape will self destruct in 10 seconds. if you are caught or captured this nation will disavow any knowledge of your actions. good luck

Wed, 08/17/2011 - 15:37 | 1570028 BlackSea
BlackSea's picture

"The good news: gold may finally dip modestly" ????

I would think that physical gold price would increase on supply shortages, whereas miners would be sold based on risk of nationalization.

Wed, 08/17/2011 - 15:42 | 1570042 Threeggg
Threeggg's picture

This comes out today and then I hear Ghadaffi is sick ?

on the same day ?

a connection ?

Wed, 08/17/2011 - 15:41 | 1570057 High Plains Drifter
High Plains Drifter's picture

wascally al quaeda threatens new attacks............oh my............

Wed, 08/17/2011 - 17:05 | 1570509 Cathartes Aura
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Sabotage by an insider at a major utility facility, including a chemical or oil refinery, could provide al Qaeda with its best opportunity for the kind of massive Sept. 11 anniversary attack Osama bin Laden was planning, according to U.S. officials.


Wed, 08/17/2011 - 15:41 | 1570060 carbonmutant
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Hugo can now treat his mines as banks, and he gets to brag about his awesome gold reserves.

Wed, 08/17/2011 - 15:42 | 1570066 baby_BLYTHE
baby_BLYTHE's picture

All faith is being lost in paper currencies

Wed, 08/17/2011 - 15:43 | 1570074 macholatte
Wed, 08/17/2011 - 15:43 | 1570078 The Deleuzian
The Deleuzian's picture

The less physical Au coming to market will only make the suppy/demand curve favor higher prices! No need to venture into extremities for result

We all in ZH-ville know this .... Why think anything different.. Contrarian explainations!! Pfffffffffffff

Wed, 08/17/2011 - 15:43 | 1570079 JB
JB's picture

will Chavez find out that Frisco D'Anconia has spiked the mines???

Wed, 08/17/2011 - 15:45 | 1570090 sbenard
sbenard's picture

It never ceases to amaze me how a people can be so foolish as to elect a dictator, just as Venezuela has done and the Germans did when they elected Hitler.

But then, Americans did the same thing when they elected America's Dictator nearly 3 years ago! All hail Emperor Obama!

Wed, 08/17/2011 - 16:55 | 1570461 Flakmeister
Flakmeister's picture

Not much of a dictator when noone does what he tells them to do..... try again...

Note, this not a defense of BO, call it more like an adjustment of rifle sights....

Wed, 08/17/2011 - 17:50 | 1570662 DaveyJones
DaveyJones's picture

well said

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