Thanks to Snoopy for pointing this clip out. I thought it needed its own thread. [youtube]http://www.youtube.com/watch?v=F7XMPn-d5Xc[/youtube] and there is an interesting link on Zero Hedge also: http://www.zerohedge.com/news/2014-11-10/council-foreign-relations-apologizes-greenspan-glitch Something changed?
Interesting that he talks about gold's value characteristics with it having both a commodity price and a monetary characteristic that behaves as though it is intrinsic even though it can't be said to be intrinsic. "But the gold price is actually sort of half a commodity price, so when the economy is weakening, it goes down like copper. But it's also got a monetary characteristic which is instrinsic. It's not inbred into human beingsI cannot conceiveof any mechanism by which you could say that, but it behaves as though it is." And then goes on to make a very important point: "Intrinsic currencies like gold and silver, for example, are acceptable without a third party guarantee." ____
It is that "acceptable without a 3rd party guarantee" (along with anonymity) that could be the undoing of private gold ownership because it disempowers governments and empowers individuals. Governments will increasingly find that unacceptable.
If keeps talking in public like this he'll get taken out behind the woodshed where the chickens are dispatched!
Funny how he lives into his nineties and political staffers and associates tend to die from self-inflicted gunshot wounds.
^ amazing, no nail gun incident, yet. Who knows, perhaps he is going to crush his throat during an unfortunate workout accident.
This article was copied from Gold-eagle.com -: Very few people understand what Putin is doing at the moment. And almost no one understands what he will do in the future. No matter how strange it may seem, but right now, Putin is selling Russian oil and gas only for physical gold. Putin is not shouting about it all over the world. And of course, he still accepts US dollars as an intermediate means of payment. But he immediately exchanges all these dollars obtained from the sale of oil and gas for physical gold! To understand this, it is enough to look at the dynamics of growth of gold reserves of Russia and to compare this data with foreign exchange earnings of the RF coming from the sale of oil and gas over the same period. Moreover, in the third quarter the purchases by Russia of physical gold are at an all-time high, record levels. In the third quarter of this year, Russia had purchased an incredible amount of gold in the amount of 55 tons. It's more than all the central banks of all countries of the world combined (according to official data)! In total, the central banks of all countries of the world have purchased 93 tons of the precious metal in the third quarter of 2014. It was the 15th consecutive quarter of net purchases of gold by Central banks. Of the 93 tonnes of gold purchases by central banks around the world during this period, the staggering volume of purchases - of 55 tons - belongs to Russia. Not so long ago, British scientists have successfully come to the same conclusion, as was published in the Conclusion of the U.S. Geological survey a few years ago. Namely: Europe will not be able to survive without energy supply from Russia. Translated from English to any other language in the world it means: "The world will not be able to survive if oil and gas from Russia is subtracted from the global balance of energy supply". Thus, the Western world, built on the hegemony of the petrodollar, is in a catastrophic situation. In which it cannot survive without oil and gas supplies from Russia. And Russia is now ready to sell its oil and gas to the West only in exchange for physical gold! The twist of Putin's game is that the mechanism for the sale of Russian energy to the West only for gold now works regardless of whether the West agrees to pay for Russian oil and gas with its artificially cheap gold, or not. Since Russia has a constant flow of dollars from the sale of oil and gas, it will be able to convert these dollars to buy gold at current gold prices, depressed by all means by the West. This equates gold price, which had been artificially and meticulously lowered by the Fed and ESF many timevia artificially inflated purchasing power of the dollar through market manipulation. Interesting fact: The suppression of gold prices by the special department of US Government - ESF (Exchange Stabilization Fund) - with the aim of stabilizing the dollar has been made into a law in the United States. In the financial world it is (generally) accepted as a given that gold is anti-dollari.e. the gold price runs inverse to value of the dollar. In 1971, US President Richard Nixon closed the 'gold window', ending the free exchange of dollars for gold, guaranteed by the US in 1944 at Bretton Woods. In 2014, Russian President Vladimir Putin has reopened the 'gold window', without asking Washington's permission. Right now the West spends much of its efforts and resources to suppress the prices of gold and oil. Thereby, on the one hand to distort the existing economic reality in favor of the US dollar and on the other hand, to destroy the Russian economy, refusing to play the role of obedient vassal of the West. Today assets such as gold and oil look proportionally weakened and excessively onlineslotsmob.com undervalued against the US dollar. It is a consequence of the enormous economic effort on the part of the West. And now Putin sells Russian energy resources in exchange for these US dollars, artificially propped by the efforts of the West. With these dollar proceeds Putin immediately buys gold, artificially devalued against the U.S. dollar by the efforts of the West itself! There is another interesting element in Putin's game. It's Russian uranium. Every sixth light bulb in the USA depends on its supply, which Russia sells to the US toofor dollars. Thus, in exchange for Russian oil, gas and uranium, the West pays Russia with dollars, purchasing power of which is artificially inflated against oil and gold by the efforts (manipulations) of the West. However, Putin uses these dollars only to withdraw physical gold from the West in exchange at a price denominated in US dollars, artificially lowered by the same West. This truly brilliant economic combination by Putin puts the West led by the United States in a position of a snake, aggressively and diligently devouring its own tail. The idea of this economic golden trap for the West is probably not authored by Putin himself. Most likely it was the idea of Putin's Advisor for Economic Affairs Dr. Sergey Glazyev. Otherwise, why seemingly not involved in business bureaucrat Glazyev, along with many Russian businessmen, was personally included by Washington on the sanction list? The idea of an economist, Dr. Glazyev was brilliantly executed by Putinbut with full endorsement from his Chinese colleague - XI Jinping. Especially interesting in this context looks the November statement of the first Deputy Chairman of Central Bank of Russia Ksenia Yudaeva, which stressed that the CBR can use the gold from its reserves to pay for imports, if need be. It is obvious that in terms of sanctions by the Western world, this statement is addressed to the BRICS countries, and first of all China. For China, Russia's willingness to pay for goods with Western gold is very convenient. And here's why: China recently announced that it will cease to increase its gold and currency reserves denominated in US dollars. Considering the growing trade deficit between the US and China (the current difference is five times in favor of China), then this statement translated from the financial language reads: "China stops selling their goods for dollars". The world's media chose not to notice this grandest in the recent monetary historic event . The issue is not that China literally refuses to sell its goods for US dollars. China, of course, will continue to accept US dollars as an intermediate means of payment for its goods. But, having taken dollars, China will immediately get rid of them and replace with something else in the structure of its gold and currency reserves. Otherwise the statement made by the monetary authorities of China loses its meaning: "We are stopping the increase of our gold and currency reserves, denominated in US dollars." That is, China will no longer buy United States Treasury bonds for dollars earned from trade with any countries, as they did this before. Thus, China will replace all the dollars that it will receive for its goods not only from the US but from all over the world with something else not to increase their gold currency reserves, denominated in US dollars. And here is an interesting question: what will China replace all the trade dollars with? What currency or an asset? Analysis of the current monetary policy of China shows that most likely the dollars coming from trade, or a substantial chunk of them, China will quietly replace and de facto is already replacing with Gold. In this aspect, the solitaire of Russian-Chinese relations is extremely successful for Moscow and Beijing. Russia buys goods from China directly for gold at its current price. While China buys Russian energy resources for gold at its current price. At this Russian-Chinese festival of life there is a place for everything: Chinese goods, Russian energy resources, and gold - as a means of mutual payment. Only the US dollar has no place at this festival of life. And this is not surprising. Because the US dollar is not a Chinese product, nor a Russian energy resource. It is only an intermediate financial instrument of settlement - and an unnecessary intermediary. And it is customary to exclude unnecessary intermediaries from the interaction of two independent business partners. It should be noted separately that the global market for physical gold is extremely small relative to the world market for physical oil supplies. And especially the world market for physical gold is microscopic compared to the entirety of world markets for physical delivery of oil, gas, uranium and goods. Emphasis on the phrase "physical gold" is made because in exchange for its physical, not 'paper' energy resources, Russia is now withdrawing gold from the West, but only in its physical, not paper form. China accomplishes this by acquiring from the West the artificially devalued physical gold as a payment for physical delivery of real products to the West. The West hopes that Russia and China will accept as payment for their energy resources and goodsthe "shitcoin" or so-called "paper gold" of various kinds also did not materialize. Russia and China are only interested in real gold and only the physical metal as a final means of payment. For reference: the turnover of the market of paper gold, only of gold futures, is estimated at $360 billion per month. But physical delivery of gold is only for $280 million a month. This equates to a ratio of trade of paper gold versus physical gold to 1000 to 1. Using the mechanism of active withdrawal from the market of one artificially lowered by the West financial asset (gold) in exchange for another artificially inflated by the West financial asset (USD), Putin has thereby started the countdown to the end of the world hegemony of petrodollar. Thus, Putin has put the West in a deadlock of the absence of any positive economic prospects. The West can spend as much of its efforts and resources to artificially increase the purchasing power of the dollar, lower oil prices and artificially lower the purchasing power of gold. The problem of the West is that the stocks of physical gold in possession of the West are not unlimited. Therefore, the more the West devalues oil and gold against the US dollar, the faster it loses devaluing Gold from its not infinite reserves. In this brilliantly played by Putin economic combination, physical gold from the reserves of the West is rapidly flowing to Russia, China, Brazil, Kazakhstan and India (i.e. the BRICS countries). At the current rate of reduction of reserves of physical gold, the West simply does not have the time to do anything against Putin's Russia until the collapse of the entire Western petrodollar world. In chess the situation in which Putin has put the West, led by the US, is called "time trouble". The Western world has never faced such economic events and phenomena that are happening right now. The former USSR rapidly sold gold during the fall of oil prices. Today, Russia rapidly buys gold during the fall in oil prices. Thus, Russia poses a real threat to the American model of petrodollar world domination. The main principle of world petrodollar model is allowing Western countries led by the United States to live at the expense of the labor and resources of other countriesbased on the role of the US currency, dominant in the global monetary system (GMS) . The role of the US dollar in the GMS is that it is the ultimate means of payment. This means that the national currency of the United States in the structure of the GMS is the ultimate asset accumulator, to exchange which to any other asset does not make sense. Led by Russia and China, what the BRICS are doing now is actually changing the role and status of the US dollar in the global monetary system. From the ultimate means of payment and asset accumulation, the national currency of the USA, by the joint actions of Moscow and Beijing is turned into only an intermediate means of payment. Intended only to exchange this interim payment for another and the ultimate financial asset - gold. Thus, the US dollar actually loses its role as the ultimate means of payment and asset accumulation, yielding both of those roles to another recognized, denationalized and depoliticized monetary asset GOLD! Traditionally, the West has used two methods to eliminate the threat to the hegemony of petrodollar model in the world and the consequent excessive privileges for the West: One of these methods - colored revolutions. The second method, which is usually applied by the West, if the first fails - military aggression and bombing. But in Russia's case both of these methods are either impossible or unacceptable for the West. Because, firstly, the population of Russia, unlike people in many other countries, does not wish to exchange their freedom and the future of their children for Western kielbasa (meat sausage). This is evident from the record ratings of Putin, regularly published by the leading Western rating agencies. Personal friendship of Washington protg Navalny with Senator McCain played for him and Washington a very negative role. Having learned this fact from the media, 98% of the Russian population now perceive Navalny only as a vassal of Washington and a traitor to Russia's national interests. Therefore Western professionals, who have not yet lost their mind, cannot dream about any color revolution in Russia. As for the second traditional Western way of direct military aggression, Russia is certainly not Yugoslavia, not Iraq nor Libya. In any non-nuclear military operation against Russia, in the territory of Russia, the West led by the US is doomed to defeat. And the generals in the Pentagon exercising real leadership of NATO forces are aware of this. Similarly hopeless is a nuclear war against Russia, including the concept of so-called "preventive disarming nuclear strike". NATO is simply not technically able to strike a blow that would completely disarm the nuclear potential of Russia in all its many manifestations. A massive nuclear retaliatory strike on the enemy or a pool of enemies would be inevitable. And its total capacity will be enough for survivors to envy the dead. That is, an exchange of nuclear strikes with a country like Russia is not a solution to the looming problem of the collapse of a petrodollar world. It is in the best case, a final chord and the last point in the history of its existence. In the worst case - a nuclear winter and the demise of all life on the planet, except for the bacteria mutated from radiation. The Western economic establishment can see and understand the essence of the situation. Leading Western economists are certainly aware of the severity of the predicament and hopelessness of the situation the Western world finds itself in, in Putin's economic gold trap. After all, since the Bretton Woods agreements, we all know the Golden rule: "Who has more gold sets the rules." But everyone in the West is silent about it. Silent because no one knows now how to get out of this situation. If you explain to the Western public all the details of the looming economic disaster, the public will ask the supporters of a petrodollar world the most horrific questions, which will sound like this: - How long will the West be able to buy oil and gas from Russia in exchange for physical gold? -And what will happen to the US petrodollar after the West runs out of physical gold to pay for Russian oil, gas and uranium, as well as to pay for Chinese goods? No one in the west today can answer these seemingly simple questions. And this is called "Checkmate", ladies and gentlemen. The game is over. ********
I wouldn't put it past the US to be sitting on some secret gold reserves. This is global economic warfare, and I bet there is some bluffing and subterfuge, and some cards that have not yet been played. ___
"Moreover, in the third quarter the purchases by Russia of physical gold are at an all-time high, record levels. In the third quarter of this year, Russia had purchased an incredible amount of gold in the amount of 55 tons. It's more than all the central banks of all countries of the world combined (according to official data)!" Wouldn't purchases at that level have driven the price sky high?
^^^^^^^ Precious Metal prices are set by the Comex, in paper. Just try and purchase a ton of gold, and take delivery !
hey no worries ! I'm saying that Russia, as a nation, now trades in physical gold. No IOUs. They are moving away from the US $, and treasuries, and have several trading partners which comply in the physical market. The reserve currency of the world is the US $, which is slowly losing it's role as the reserve curency. Mainly it is backed by a promise, which seems to be losing confidence in the market. Up untill this present day, it may very well be backed by the promise of being bombed if a nation refuses to comply, however, not so with Russia. So, enter the Gold standard, and get it while you can !
Russia Jan 2007 0 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20070315.zip Jan 2008 35.2 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20080317.zip Jan 2009 119.6 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20090316.zip Jan 2010 124.2 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20100315.zip Jan 2011 139.3 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20110315.zip Jan 2012 142.5 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20120315.zip Jan 2013 164.4 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20130315.zip Jan 2014 131.8 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20140318.zip Mar 2014 100.4 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/ticrel_20140515.zip Dec 2014 86.0 http://www.treasury.gov/resource-center/data-chart-center/tic/Documents/mfh.txt Jan 2015 82.2 Feb 2015 69.6 Dec 2015 92.1 Jan 2016 96.9 Feb 2016 87.6 Mar 2016 86.0 Apr 2016 82.5 May 2016 88.2 Jun 2016 90.9 Not sure about that moving away. In 2007 they had no (or too less to reach the top listed) US Treasuries at all. Early 2013 they reached a peak of 164.4 billion. Since 2015, now almost 2 years, they seem to just hold. Month Year GrandTotal (BillionUSD) Dec 1999 1244.9 Dec 2001 1042.0 Aug 2002 1101.6 Jan 2003 1240.4 Jan 2004 1576.7 Jan 2005 1960.3 Jan 2006 2187.6 Jan 2007 2239.7 Jan 2008 2402.5 Jan 2009 3072.2 Jan 2010 3706.1 Jan 2011 4453.4 Jan 2012 5048.0 Jan 2013 5643.0 Jan 2014 5841.3 Nov 2014 6112.4 Feb 2015 6162.8 Jun 2016 6281.0 Since the 2008 crisis, 8 years ago, the MAJOR FOREIGN HOLDERS OF TREASURY SECURITIES doubled their amount. And relative to 1999 it's 5 times as much. The foreign USD reserves have never been so high as now. Your "slowly losing" appears a VERY slow to me. "Slowly further increasing", would be better worded.
I've observed these figures for some years now, and to me, it all appears like a a whole lotta governments/institutions working together to support the US and maybe more accurate, eachother in general. To also take into account is that the country name above a data set does not necessarily mean that those that buy the Treasuries really are from that country. All that is sure, is that the Treasuries are purchased (read: loans to US government) through trading companies sites that reside in that country. A good example of that is the country Belgium. Jan 2004 14.6 Jan 2005 16.5 Jan 2006 17.3 Jan 2007 15.4 Jan 2008 13.1 Jan 2009 15.5 Jan 2010 17.4 Jan 2011 32.1 Jan 2012 135.5 Jan 2013 185.6 Jan 2014 310.3 Mar 2014 381.4 peak Jan 2015 354.6 Jan 2016 137.5 Jun 2016 156.3 That peanut country was in march 2014 listed as the 3rd after China and Japan. And look now, Ireland and the peanut of peanut "country" Cayman Islands are now 3rd and 4rd. Makes quite clear: all those claims about this or that country/government (buying or) dumping US Treasuries, going off the USD currency, are false in figures and also in country names. The total however, already says enough on its own.
not sure I would be trusting too much from the US Treasury ! Department of the Treasury/Federal Reserve Board August 15, 2016 1/ The data in this table are collected primarily from U.S.-based custodians and broker-dealers. Since U.S. securities held in overseas custody accounts may not be attributed to the actual owners, the data may not provide a precise accounting of individual country ownership of Treasury securities
That's what I said with: "To also take into account is that the country name above a data set does not necessarily mean that those that buy the Treasuries really are from that country." But what has this to do with whether or not trusting US Treasury?
It's all propaganda these days. They try to create a reality, a perception in the market in the hopes that will spur growth.
Ok, So what happened to the price of physical Gold web both countries Russia and China has completed their gold accumulation phase ? Does the gold price will be sky high expensive USD $2000+ or even lower since no more demand from them ?
