Turks Panic-Buy The Most Gold Ever In July

A funny thing has happened in Turkey since President Recep Tayyip Erdogan installed himself as 'Sultan for life'...

The Lira collapsed...

And Turks have been importing gold at an unprecedented rate...

As Bloomberg reports, preliminary trade data from Turkey’s Ministry of Customs and Trade showed the deficit widening to $8.8 billion in July.

An eight-fold increase in gold imports to $2.8 billion from $354 million in the same month last year made the precious metal the second-most imported product and one of the main contributors to the trade gap.

June gold imports were also up by 216 percent year-on-year to $2.1 billion, according to final figures reported by Turkstat, the state statistics agency.

The question is - just like in India - how long before Erdogan 'dictates' an end to gold imports, imposes tariffs, or confiscates the precious metal?


Manthong Eager Beaver Wed, 08/02/2017 - 13:01 Permalink

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Big Mo ain’t got nothing on Recip.

In reply to by Eager Beaver

Justin Case c2nnib2l Wed, 08/02/2017 - 13:09 Permalink

Keep up there big feller. Staying current prevents misguiding readers.One of the biggest and perhaps most under reported events in the gold spectrum is very close to completion as on Oct. 11, the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI) announced the primary draft that would allow for gold ownership by Muslims under the stricture of Sharia Law. Worldwide there are around 1.6 billion Muslims, many of which follow Sharia Law in their cultural and financial lifestyles.  And for centuries gold ownership was limited to both jewelry and currency, as any investment in the precious metal carried the potential of earning interest above the value of the metal, especially in areas such as futures and other paper gold markets.But now the AAOIFI has laid out new guidelines that will become the standard under Sharia Law, and are expected to become fully functional by the end of 2016.  And with this new opportunity opening up for a significant portion of the Islamic world, expectations are that both the gold price and demand could skyrocket as nearly 25% of the world's population would have access to gold ownership and investment for the first time.

In reply to by c2nnib2l

Eager Beaver c2nnib2l Wed, 08/02/2017 - 13:23 Permalink

I thought gold was money under Sharia law. So what are you going to buy your gold with, gold? Technically, you wouldn't be speculating in gold for gain, but in fiat for gain.Is this the result of ass backwards western thinking, where you buy money with worthless pieces of paper, then pretend you made a gain when you change it back into worthless pieces of paper?

In reply to by c2nnib2l

BandGap Wed, 08/02/2017 - 12:46 Permalink

Right after Trump signs the Russian punishment papers he talks about sanctions against China. Maybe Turkey is on to something here.Hell, they just instituted what amounts to martial law.And the walls came tumbling down.

Latitude25 (not verified) Wed, 08/02/2017 - 13:03 Permalink

It'll be awhile since Erdogan asked the general public to buy gold.  Tylers go look up your own article from December 2, 2016.  I'd give you the link if it wasn't such a pain in the ass to copy/paste on a mobile phone.

GodHelpAmerica (not verified) Wed, 08/02/2017 - 12:49 Permalink

Erdogan and the people of turkey clearly have a more eastern view regarding gold. If he was smart he would encourage his people to continue to accumulate precious metals, as this would ensure his nation's strength at a time when the fiat monetary system is obviously breaking down and will take down all those who are tied to it...

Mustafa Kemal Xibalba Wed, 08/02/2017 - 15:06 Permalink

""...if he was smart".....  That's the kicker..."Thats no kicker at all. Erdogan is probably as smart as they get.  He grew up on the tough side of Istanbul and has survived and prospered. He even turned himself into a Sultan -legally.   Think what you want about Erdogan, but we would be best to not underestimate him.

In reply to by Xibalba

OliverAnd Mustafa Kemal Wed, 08/02/2017 - 20:31 Permalink

Erdogan is probably as smart as they get only because of people who are more dumb than him.   He made his billions selling lemonade and sesame buns out of a mobile child stand; that is what millions of Turks believe.  The gold he is collecting is to trade with the west as he negotiates his exile to Qatar.  It will guarantee him and his family safe passage so he can enjoy his billions from selling lemonade and sesame buns.  Of course if Qatar does not work out there is also Iran and Pakistan but that would be inappropriate for a Sultan.

In reply to by Mustafa Kemal

10mm Wed, 08/02/2017 - 13:08 Permalink

Clear evidence after Russian sanction bill that all are on board for dollar demise. Deep State knows it, administration knows it, certainly Russia,China,Turkey, and a host of others. All by design.

Dragon HAwk Wed, 08/02/2017 - 13:11 Permalink

Did you know, Nobody gives out free Korans..  Guess the Bible is Worthless (  sarc )I know what does that have to do with Arabs Buying gold..  Value My Friend.. look for it.

tropicthunder Wed, 08/02/2017 - 13:14 Permalink

All that physical demand doesn't mean jack shit when the shysters can just push the paper price down the toilet when they see fit.Gold scam continues while Crypto's continue to explode. I love it how 99% of the Cryptophiles ended up selling their BCH at 50% less the price where its trading now.Only fucking idiots sell their "spin-offs", just look at MO-PM-KFT or ABT-ABBV.DO NOT FUCKING SELL YOUR SPIN-OFFS!!