1. Stocks continue to roll off recent highs, while metals catch a bid
    Dismiss Notice
  2. Good Thu Morning! Gold is up 6.6 to 1252, and Silver is up 17 to 16.55. Crude is up 26 to 4279. The USD is flat at 9721
    Dismiss Notice
  3. Week of 6/10/2017 Closing prices & Chg Over Last Wk---- Gold $1271.40-- DOWN 8.80 Silver $17.22-- DOWN 30 Oil $45.83-- DOWN 1.83 USD $97.01 -- UP 37 TICS
  4. "Spreading the ideas of freedom loving people on matters regarding high finance, politics, constructionist Constitution, and mental masturbation of all types"
    Dismiss Notice

A Vision Of Gold

Discussion in 'Gold Silver (All things Metal)' started by searcher, Sep 2, 2016.



  1. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Sweden’s Gold Reserves: 10,000 gold bars shrouded in Official Secrecy
    By: Ronan Manly
    In early February 2017 while preparing for a presentation in Gothenburg about central bank gold, I emailed Sweden’s central bank, the Riksbank, enquiring whether the bank physically audits Sweden’s gold and whether it provide me with a gold bar weight list of Sweden’s gold reserves (gold bar holdings). The Swedish official gold reserves are significant and amount to 125.7 tonnes, making the Swedish nation the world’s 28th largest official gold holder.
     
  2. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    GOLD! New California Gold Rush - Reading from The Treasure of the Sierra Madre
    Junius Maltby



    Published on May 5, 2017
    New Gold in California! Junius Maltby reads from The Treasure of the Sierra Madre. Enjoy!
    JUNIUS MALTBY CHANNEL. SUPPORT: https://www.patreon.com/JuniusMaltby

    **FAIR USE STATEMENT**
    This video may contain copyrighted material the use of which has not been specifically authorized by the copyright owner. This material is being made available within this transformative or derivative work for the purpose of education, commentary and criticism, is being distributed without profit, and is believed to be "fair use" in accordance with Title 17 U.S.C. Section 107.

    For more information go to: http://www.law.cornell.edu/uscode/17/
     
  3. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Gold Coins, Bars In Demand – +9% In Q1, 2017

    -- Published: Monday, 8 May 2017

    – Global gold demand in Q1 2017 was 1,034.5t
    – Total demand -18% from record high levels in Q1, 2016
    – Demand for coins and bars up 9% yoy to 290 t
    – UK demand for coins, bars at highest since Q2 2013
    – ETF inflows fell by 2/3, account for overall -18% fall in demand
    – European uncertainty brings gold investors to market
    – Innovation continues to drive gold demand in China
    – Peak Gold: Mine production likely to drop


    [​IMG]

    Global gold demand driven by climb in bar and coin investment

    Uncertainty in Europe increased demand for gold investment products in the first quarter of the year, according to the World Gold Council’s Gold Demand Trends Q1, 2017 report.

    Across the globe a mixture of festivities and renewed safe haven buying saw demand for gold bars and coins climb by 9%.

    [​IMG]

    Demand for physical investment products helped to reduce the the overall fall in gold demand, which came in at 18% yoy, across investment, jewellery and central bank demand.

    In all, global gold demand across a number of measures points towards a world that is uncertain and to ongoing safe haven demand. In some cases such as in the US, EU and China, demand remains robust whereas in the likes of Turkey demand is down from record levels.

    Much of this is thanks to geo-political uncertainty and political upheaval.

    Political uncertainty in Europe has helped to increase demand for gold bullion. Elections (upcoming and past) in the UK, Netherlands, France and Germany have helped to buoy investment in safe haven gold. German gold bar and coin demand had its strongest first quarter since 2011 – 13% yoy to 34.3t, but this must not take away from the UK which hit its highest level since Q2 2013.

    China (discussed in full below) was a major contributor to the uptick in demand for gold bars and coins, posting a 30% gain. As with its European counterparts, there is much uncertainty over the economic situation of the country and both investors and retailers alike are able to match these feelings with gold purchases.

    Politics, uncertainty and gold prices make for a mixed bag of jewellery

    When it comes to jewellery, demand was mixed across the board but overall very low, compared to recent years. Demand was 18% below the 587.7t five year quarterly average. The 9% climb in the USD gold price, meant that there is overall long-term weakness in the sector.

    Whilst uncertainty can be a positive driver for gold demand, this combined with a high gold price in Turkey saw demand for jewellery sink to a four year low of 7.7t. The looming referendum (held in April) combined with the fact that the price of gold in lira rose more than in any other currency during Q1 (+12%), meant that the fragile political and economic conditions continued to impact the sector.

    The WGC state that “The outlook for the [Turkish] market is weak” and this is expected to continue as both economic and political reforms keep both uncertainty and the gold price high.

    In the United States however, a feeling of relief following the US election propelled jewellery demand to its strongest Q1 since 2010 – it rose 3% to 22.9t. The WGC refers to a climb in ‘clicks and mortar’ (online) purchases. There is little doubt that the election hasn’t increased uncertainty, but it seems there is a calm before the storm element to purchasing decisions.

    In Europe, both the UK and France let the side down when it came to jewellery demand, which fell 6% in the Fifth Republic. Much of the fall was down to uncertainty in the run-up to elections and a spate of terrorist attacks.

    It seems many buyers are favouring ‘branded silver’ in their jewellery purchases. In the same way that silver coin and bar buyers see silver as better value than gold – it seems that jewellery buyers also may be attracted to getting better value with silver.

    Investment is better than jewellery – even for romantics

    On Valentine’s Day we discussed the problems with buying jewellery as an investment. Jewellery is a terrible investment due to the significant mark-up at the point of sale, ‘valued added’ (VAT) and sales taxes and it’s very poor resale value. We suggested that romantics buy gold coins and bars for their loved ones instead.

    This advice was perhaps heeded even after Valentine’s Day as gold bars and coins had an excellent quarter, with 289.8t of demand (+9% yoy). Much of this was thanks to China, where safe haven flows, tech innovation and Chinese New Year is helping to push demand (see below).

    The WGC accounts much of the increase in coin and bar demand to the ‘strength of the retail investment market’ internationally. Companies such as GoldCore are seeing very strong demand – particularly for allocated and segregated storage for risk averse investors looking to own in gold bars and coins.

    The feeling of uncertainty and uncertain outlook does appear to be driving demand and this is a trend we suspect we will continue to see. Whilst elections have been, or will soon be decided, that does not guarantee the economic result, investors are aware of this and stocking up on gold accordingly.

    Gold ETFs failed to benefit as much as physical gold

    Whilst ETF inflows did not experience the same surge as gold bar and coin demand, US demand was strong. As the WGC points out, geopolitical tensions were ‘more of a concern for European based investors than for their US counterparts.’

    The report refers to the positivity in the US towards gold, and that the speculative buying seen in 2016 has been ‘reversed in the November/December washout’ leaving strategic investors behind. Having said that the only net inflows were in February, ‘sandwiched between’ outflows in January and March.

    Collectively in Europe we make for a worried bunch. Europeans increased inflows in gold ETFs, as we saw with gold bar and coin demand.

    As summarised by the WGC, we are surrounded by both economic and political uncertainty which, with some dips in the gold price, meant we could increase our exposure to gold:

    ‘On top of a fragile political environment, conditions in financial markets gave investors a further incentive to build their positions in gold-backed ETFs. Safe haven flows pushed two year German yields further into negative territory, reaching a record low of 0.95% in February. And European equity markets were subdued with volatility at multiyear lows. Negative real and nominal yields coupled with a period of relative calm in regional stock markets improved the appeal of gold, particularly as its price strengthened through the quarter. The dips in the euro denominated price of gold in January and March were also taken as a good opportunity to add it to portfolios.’

    Gold ETF holdings grew tremendously in 2016. 2017 has failed to keep up as of yet. Inflows were just one-third of those seen in Q1 2016. Unsurprisingly the WGC do not seem unduly worried, despite pointing towards the fact that Q1’s figures might be pointing to a wider financial issue, ‘inflows of 109.1t are in line with quarterly average between Q1 2009 and Q4 2011 (108.7t), a period that encompassed the global financial crisis.’

    Whilst calm is often seen settling across a market after a surge such as that seen in 2017, we wonder if we will continue to see a slow-down in ETF inflows, especially if averages such as these have not been since since the financial crisis.

    Earlier this week we wrote about the tenuous London property market and asked if this was an indicator of a bubble about to burst, setting off a domino affect around the world. This would obviously lead to even greater safe haven flows and demand.

    Innovation holds key to future of China’s gold market

    Whilst the gold market is one of the oldest in the world, it is markedly different from how it once began.

    Gold bullion dealers and jewellery sellers have made a concerted effort to keep up with innovations across the technological, investment and retail spaces. This is more important today than it has ever been.

    In China, there has long been concern that China’s millennial population will not look at gold in the same way as their elders do. The WGC cites research from Agility Research & Strategy which shows the top three priorities for young Chinese are ‘health, travel and spending time with the family’. This, combined with concerns over the economy, has prompted worries for the future of the world’s largest gold market.

    However, innovation both technological and in marketing suggests that the Chinese gold market has a resilient and fruitful future. As the WGC writes, “the industry is keen and determined to adapt – an attitude that should help stem any weakness.”

    In the jewellery space, where demand was slightly down by 2% thanks to high gold prices following Chinese New Year, sellers are providing services and products to keep up with today’s younger generations – such as more modern 18k gold jewellery pieces, rather than the traditional 22k gold designs. In a perhaps more reflective sign of the times, sellers of bridal jewellery are ‘offering customers a no-cost exchange option on jewellery from its bridal range.’

    Jewellery demand may have experienced a small decline, but gold bars and coins saw a 30% increase (yoy), its fourth best quarter on record. We would generally expect the first quarter of the year to be a strong one for China, given their New Year, however it was this combined with concerns regarding the economy (falling yuan and property market) that drove demand to 105.9t.

    Some of this stellar demand can be attributed to the innovation appearing in the local gold market, namely interest-paying gold accounts, benchmarked on the Shanghai Gold Exchange (SGE)’s AU9999 contract with a minimum entry point of one gram. It is traded online, with an option for physical delivery – all important for Chinese investors.

    Online developments continue with 800 million WeChat users being given access to MicroGold, a physical gold-backed product offered by ICBC. Digital gold can be traded between individuals, online, supporting festivals and culturally significant events with ‘red envelopes.’

    These moves, combined with recent changes supported by the government have lead to an imbalance between supply and demand. Premiums have shot up over global gold price in recent month, they averaged $17/oz in Q4, 2016, and averaged down to US$14.2/oz.

    [​IMG]

    India, cashless push was merely a setback but innovation required

    India had a tumultuous year last year, the second-half of 2016 saw Modi take the country by surprise when he announced the removal of old Rs 500 and Rs 1,000, throwing millions of people into financial chaos. The announcement was particularly badly timed due to wedding season which is vital to the country’s gold industry.

    Since then gold demand has managed to find some calm. Whilst global jewellery demand remains weak with just a 1% increase in Q1 India has propped it up, despite rising gold prices, posting a 16% gain.

    The 16% gain isn’t really much to shout about, given it is only the third quarter this decade where demand has come in at less than 100t (92.3t). There is still some wariness in terms of how the next phase of remonetisation will play out, combined with uncertainty over the forthcoming Goods & Service Tax (GST), which is dampening demand somewhat.

    We would suggest that there is something to be learnt both at the business and political level when it comes to innovation in the gold market. This is perhaps coming to pass as the WGC’s field research found that not only are consumers gradually adopting cashless payments, but cashless transactions are ‘gathering momentum’. Retailers such as Tanishq reported a ‘quite significant recovery’ in Q1, on account of cashless transactions.

    At this point we should issue a word of warning, as we did when India announced its move to cashless and the topic became the point of discussion in economic circles. Whilst cashless is publicised as a way to make economies more efficient, to reduce tax evasion and to prevent other criminal activities it is also there to serve an ulterior motive – as we wrote a few month’s ago:

    “A cashless world means a transparent world, which is great if terrorists were the only ones using cash. But they’re really not, so a cashless world means transparent bank accounts which means restricted banks accounts.”

    This is perhaps yet another reason why gold demand is recovering in India.

    Trivial sales in Central Bank demand

    Whilst purchases buy central banks slowed, they remained robust – especially from Russia and China – and central bank sales remain nearly non existent and are set to do so.

    [​IMG]

    Quarterly net purchases were 76.3t (a six year low) and a 27% fall yoy. Russia and Kazakhstan were the main buyers in the quarter.

    China’s gold reserves still represent just 2% of their total reserves, despite not adding to the reserves since October 2016. The ratio hit 2.4% in Q1, its highest point since the early 2000s and the reason perhaps for no further purchases since 2016. It is also worth noting the pressure their FX reserves have felt for some time having dropped from US$3.2 trillion in January 2016 to US$3 trillion in January 2017.

    Peak Gold: Mine production likely to drop

    There are many tidbits of information in the WGC’s report about overall mine production in Q1 2017.

    Indonesia accounted for the largest impact on the fall in production, thanks to a fall on 8t from its Grasberg region. There were also some areas of growth, however physical gold investors mainly need to be aware of the following summary from the WGC:

    [​IMG]
    “Having plateaued in recent years, mine production will soon enter a period of decline. The production profile of currently operating mines shows a relatively steep drop-off over the next 5 to 10 years. Even factoring in high probability projects (those highly likely to reach commercial production), the fall in production is still significant.”

    The negative feeling from the WGC is attributed to cuts in capital expenditure but most importantly the fact that there just aren’t that many new discoveries of gold.

    “Inevitably, the supply pipeline will be squeezed…The speed at which production will fall is uncertain. As existing reserves are depleted, the current project pipeline will be unable to replace them fully.

    Over the longterm, the global production profile will depend on the trajectory of the gold price and potential exploration upside, particularly the speed with which brownfield exploration can be brought into production”

    Conclusion: Buy physical gold – not making much more of it

    The news that gold production is falling and the near certainty that production levels will fall in the coming months and years should be enough to encourage investors to buy gold.

    Even if political and economic turmoil weren’t a factor in every major country, gold demand would still be pertinent thanks to the issue of peak gold.

    However, it is the imminent feeling of uncertainty and growing instability which is driving investors to allocate more of their investment and pension portfolios to gold bars, coins and ETFs.

    The motto ‘Stay calm and carry on’ is no longer relevant, it should be ‘stay calm and buy gold’.

    News and Commentary

    Gold up on buying, euro strength after Macron’s win in France (Reuters.com)

    Euro Edges Higher as Macron Beats Le Pen in French Election (Bloomberg.com)

    Lower gold prices bolster gold demand; premiums rise in India, China (Reuters.com)

    Chinese demand for gold bars and coins soars in first quarter (People.cn)

    Hong Kong exchange operator hopes for third time lucky when it comes to gold futures (SCMP.com)

    China gold reserves unchanged at end-April (Reuters.com)

    [​IMG]

    Gold Demand Trends Q1 2017 (Gold.org)

    Gold-Futures Shorting Attacks (321Gold.com)

    Jaw-Dropping 4,700 Tonnes Of Paper Silver Sold In Just 2 Hours (KingWorldNews.com)

    Attacks on gold don’t come from mere ‘speculators’ (Gata.org)

    Greatest Ponzi Scheme in History (DailyReckoning.com)

    Gold Prices (LBMA AM)

    08 May: USD 1,229.70, GBP 948.71 & EUR 1,123.45 per ounce
    05 May: USD 1,239.40, GBP 958.06 & EUR 1,130.33 per ounce
    04 May: USD 1,235.85, GBP 958.15 & EUR 1,131.05 per ounce
    03 May: USD 1,253.95, GBP 971.18 & EUR 1,148.99 per ounce
    02 May: USD 1,255.80, GBP 974.25 & EUR 1,150.19 per ounce
    28 Apr: USD 1,265.55, GBP 978.40 & EUR 1,156.84 per ounce
    27 Apr: USD 1,264.30, GBP 980.21 & EUR 1,160.63 per ounce

    Silver Prices (LBMA)

    08 May: USD 16.38, GBP 12.64 & EUR 14.96 per ounce
    05 May: USD 16.27, GBP 12.58 & EUR 14.85 per ounce
    04 May: USD 16.50, GBP 12.80 & EUR 15.09 per ounce
    03 May: USD 16.85, GBP 13.04 & EUR 15.44 per ounce
    02 May: USD 16.95, GBP 13.12 & EUR 15.53 per ounce
    28 Apr: USD 17.41, GBP 13.45 & EUR 15.92 per ounce
    27 Apr: USD 17.46, GBP 13.53 & EUR 16.02 per ounce

    http://www.goldcore.com/us/

    http://news.goldseek.com/GoldSeek/1494249282.php
     
  4. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    The Traitors Abetting the Deep State's Dirty, Dying War on Gold
    By: Stewart Dougherty
    As we know, Tactic #1 has been carried out by years’ worth of massive, unpredictably-timed, electronic, naked-short price attacks primarily conducted on the Comex, the Deep State’s captured and non-regulated Command and Control Center. GATA has long documented in exquisite and laudable detail the gold price-rigging scandal, and Deutsche Bank’s admission in late 2016 that they and numerous other major banks manipulated the gold market for years ended, once and for all, any possible doubt about gold market corruption.
     
  5. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
  6. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    U.S. Gold Exports To China and India Surge In 2017


    -- Published: Thursday, 11 May 2017

    Gold Exports From U.S. – Something Big Is Happening

    [​IMG]


    by SRSRoccoReport.com


    Most Americans didn’t realize it, but something BIG changed in the U.S. gold market in the beginning of 2017. While precious metals sentiment and buying in the U.S. has dropped off considerably in the first quarter of 2017, the East continues to acquire gold, HAND OVER FIST.

    How much gold? Well, let’s just say…. U.S. gold exports have nearly doubled during JAN-FEB 2017 versus the same period last yearTotal U.S. gold exports JAN-FEB 2017 surged to 101 metric tons (mt), compared to 56.5 mt last year. This is quite interesting because total U.S. gold mine supply plus gold imports for JAN-FEB 2017 only equaled 80 mt. Thus, the U.S. suffered a 21 mt gold supply deficit in the first two months of the year. Which means, someone had to liquidate an additional 21 mt of gold from their vaults to export to the East….. where they still understand the vital role of gold as REAL MONEY.

    And where did the majority of U.S. gold exports head to? You got it….. Hong Kong-China & India.

    [​IMG]

    Of the 101 mt of U.S. gold exports JAN-FEB 2017, Hong Kong-China and India received 61.8 mt, or nearly two-thirds of the total. Switzerland received 28 mt, U.K. imported 5.6 mt and the U.A.E. acquired 3.3 mt. The remaining 2.3 mt went to various countries such as, Germany, Canada and Mexico.

    What is also quite interesting, is that the majority of the year-over-year increase went to Hong Kong-China and India. U.S. gold exports to Hong Kong-China and India doubled from 31 mt during JAN-FEB 2016 to 61.8 mt JAN-FEB 2017.

    What does this all mean? It means, as U.S. precious metals investors continue to BICKER, COMPLAIN, BELLY-ACHE and WHINE about the low gold price, the Chinese and Indians smile as they continue to exchange increasing worthless fiat money for shiny yellow metal.

    Matter-a-fact, I have heard from several sources, that many precious metals investors in the U.S. are selling gold into the market. This has to be one of the STUPIDEST things to do. Of course, if a person needs to sell gold to purchase something or pay bills… that is understandable. But, to sell gold because of low market sentiment, goes against all sound reasoning and logic to own gold.

    People need to realize the U.S. and global financial and economic system are in the BIGGEST BUBBLE in history.

    To sell one’s GOLD INSURANCE at this time, makes me wonder… what the hell happened to IQ’s recently?

    Source: SRSRoccoReport.com

    News and Commentary

    Gold imports by India said to rise more than four-fold in April (Bloomberg.com)

    Gold inches up from 8-week low as dollar weakens (Reuters.com)

    U.S. Stocks Boosted by Oil Rally as Dollar Slips (Bloomberg.com)

    U.S. import prices increase for fifth straight month (Reuters.com)

    Europe Stocks Slip as Oil Leads Commodity Rebound: Markets Wrap (BloombergQuint.com)

    Palladium set to overtake platinum – GFMS (EngineeringNews.co.za)

    The Donald Finally Fired A Swamp Creature (DailyReckoning.com)

    Eric Sprott praises GATA’s work at retirement dinner (Gata.org)

    Panic! Like It’s 1837 (TheDailyBell.com)

    Goldman Asks If Yellen Has Lost Control Of The Market, Warns Of Fed “Policy Shock” (ZeroHedge.com)

    Gold Prices (LBMA AM)

    11 May: USD 1,221.00, GBP 945.66 & EUR 1,122.95 per ounce
    10 May: USD 1,222.95, GBP 944.61 & EUR 1,124.99 per ounce
    09 May: USD 1,225.15, GBP 948.51 & EUR 1,124.20 per ounce
    08 May: USD 1,229.70, GBP 948.71 & EUR 1,123.45 per ounce
    05 May: USD 1,239.40, GBP 958.06 & EUR 1,130.33 per ounce
    04 May: USD 1,235.85, GBP 958.15 & EUR 1,131.05 per ounce
    03 May: USD 1,253.95, GBP 971.18 & EUR 1,148.99 per ounce

    Silver Prices (LBMA)

    11 May: USD 16.37, GBP 12.70 & EUR 15.06 per ounce
    10 May: USD 16.29, GBP 12.59 & EUR 14.99 per ounce
    09 May: USD 16.22, GBP 12.55 & EUR 14.88 per ounce
    08 May: USD 16.38, GBP 12.64 & EUR 14.96 per ounce
    05 May: USD 16.27, GBP 12.58 & EUR 14.85 per ounce
    04 May: USD 16.50, GBP 12.80 & EUR 15.09 per ounce
    03 May: USD 16.85, GBP 13.04 & EUR 15.44 per ounce

    http://www.goldcore.com/us/

    http://news.goldseek.com/GoldSeek/1494508809.php
     
  7. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    History of Gold – Interesting Facts and Changes Over 50 Years


    -- Published: Friday, 12 May 2017

    [​IMG]

    Thomson Reuters GFMS have compiled an interesting high level history of the gold industry in the last fifty years.

    Topics covered and interesting historical facts to note include:

    – Gold market size
    – Gold mine production “peaked in 2015”
    – South African production collapse from 1,000 tonnes

    – South African gold was flown to London and Zurich and an airliner had its own designated landing areas at Heathrow where gold moved directly from the place to secure vaults
    – It may still do – that is shrouded in secrecy!
    – Political concerns in France in 1968 saw massive demand

    – Strong demand in Japan in late 1980s when insurance companies were investing up to 3% of portfolios in gold
    – Record demand in the wake of the financial crisis

    – Investment in gold – Coin and bar demand rising globally
    – Massive uptake of bullion in the Far East, especially China
    – History of gold shows gold’s continuing importance as safe haven asset


    [​IMG]

    Demand for physical gold investment. Source: GFMS Gold Survey

    GFMS Gold Survey is recognized as an important source of information on developments in the gold market and have celebrated the Gold Survey’s 50th anniversary, by conducting a high-level look at the history of the gold market in the past half century.

    Access How the gold industry has changed over 50 years here

    News and Commentary

    Gold steady as US political concerns pressure dollar; stocks drop (Reyters)

    Gold scores first back-to-back gains in nearly 2 weeks as dollar steadies (Marketwatch)

    U.S. Stocks Drop as Treasuries Rise, Crude Rallies (Bloomberg)

    Bitcoin crosses $1,800 for first time – Adds $3 billion in market cap in four days (CNBC)

    Rebound in U.S. Wholesale Prices Signals Inflation Pressures (Bloomberg)

    Global Silver Mine Production Drops in 2016 for First Time in 14 Years (Silver Institute)

    Golden review: How the gold industry has changed over 50 years (Thomson Reuters)

    China’s private investor gold surge seen as strong signal (Mining Weekly)

    Bill Blain: “Something Is Happening In Europe And We Don’t Know What It Is…” (Zerohedge)

    Hurricane Bearing Down on the Casino – Stockman (Daily Reckoning)

    Gold Prices (LBMA AM)

    12 May: USD 1,227.90, GBP 955.06 & EUR 1,129.55 per ounce
    11 May: USD 1,221.00, GBP 945.66 & EUR 1,122.95 per ounce
    10 May: USD 1,222.95, GBP 944.61 & EUR 1,124.99 per ounce
    09 May: USD 1,225.15, GBP 948.51 & EUR 1,124.20 per ounce
    08 May: USD 1,229.70, GBP 948.71 & EUR 1,123.45 per ounce
    05 May: USD 1,239.40, GBP 958.06 & EUR 1,130.33 per ounce
    04 May: USD 1,235.85, GBP 958.15 & EUR 1,131.05 per ounce

    Silver Prices (LBMA)

    12 May: USD 16.30, GBP 12.68 & EUR 14.99 per ounce
    11 May: USD 16.37, GBP 12.70 & EUR 15.06 per ounce
    10 May: USD 16.29, GBP 12.59 & EUR 14.99 per ounce
    09 May: USD 16.22, GBP 12.55 & EUR 14.88 per ounce
    08 May: USD 16.38, GBP 12.64 & EUR 14.96 per ounce
    05 May: USD 16.27, GBP 12.58 & EUR 14.85 per ounce
    04 May: USD 16.50, GBP 12.80 & EUR 15.09 per ounce

    http://www.goldcore.com/us/

    http://news.goldseek.com/GoldSeek/1494595298.php
     
  8. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    New Gold Pool at the BIS Basle, Switzerland: Part 1
    By: Ronan Manly
    A central bank Gold Pool which many people will be familiar with operated in the gold market between November 1961 and March 1968. That Gold Pool was known as the London Gold Pool. This article is not about the 1961-1968 London Gold Pool. This article is about collusive central bank discussions relating to an entirely different and more recent central bank Gold Pool arrangement. These discussions about a second Gold Pool began in late 1979, i.e. more than 11 years after the London Gold Pool had been abandoned. This article is Part 1 of a 2 part series. Part 2 will be published shortly.
     
  9. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Is China Intentionally Making It Harder To Manipulate Gold? - SoT 161
    Shadow of Truth



    Published on May 16, 2017
    Thanks for watching/listening. Subscribe, Share, Like!
    Please visit Dave http://investmentresearchdynamics.com
    Please visit Rory http://thedailycoin.org

    A new gold futures contract is being introduced by the Hong Kong Futures Exchange (two contracts actually). The two contracts will be physically settled $US and CNH (offshore renminbi) gold futures contracts. The key to this contract is that it requires physical settlement of the underlying gold, which is a 1 kilo gold bar.

    The difference between this contract and the Comex gold futures contract is that Comex contract allows cash (dollar aka fiat currency) settlement. The Comex does not require physical settlement. In fact, there are provisions in the Comex contract that enable the short-side of the trade to settle in cash or GLD shares even if the long-side demands physical gold as settlement.

    With the new HKEX contract, any entity that is long or short a contract on the day before the last trading day has to unwind their position if they have not demonstrated physical settlement capability.

    The new contract also carries position limits. For the spot month, any one entity can not hold more than a 10,000 contract long/short position. In all other months, the limit is 20,000 contracts. A limit like this on the Comex would pre-empt the ability of the bullion banks to manipulate the price of gold using the fraudulent paper gold contracts printed by the Comex. It would also force a closer alignment between the open interest in Comex gold/silver contracts and the amount of gold/silver reported as available for delivery on the Comex.

    To be sure, the contract specifications of the new HKEX contracts leave the door open to a limited degree of manipulation. But at the end of the day the physical settlement requirement and position limits greatly reduce the ability to conduct price control via naked contract shorting such as that permitted on the Comex and tacitly endorsed by the Commodity Futures Trading Commission.

    You can read about the new HKEX contract here - HKEX Physically Settled Contract - and there's a link at the bottom of that article with the preliminary term sheet.

    Will this new contract help moderate the blatant price manipulation in the gold market by the western banking cartel? Maybe not on a stand-alone. But several developments occurring in the eastern hemisphere - as discussed in today's episode of the Shadow of Truth - and among the emerging bloc of eastern super-powers will begin to close the window the ability of the west's efforts to prevent the price of gold from transmitting the truth about the decline of the U.S. dollar's reserve status and the rise of geopolitical instability:
     
    solarion likes this.
  10. solarion

    solarion Gold Member Gold Chaser

    Joined:
    Nov 25, 2013
    Messages:
    3,206
    Likes Received:
    4,784
    Trophy Points:
    113
    ^^Funny when Rory & Dave mentioned Zimbabwe's plans to set up a gold back currency and the very next comment was about how the US will soon be declaring Zimbabwe a grave threat to US national security and invade.
     
    searcher likes this.
  11. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
  12. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    New Gold Pool at the BIS Basle: Part 2 – Pool vs Gold for Oil
    By: Ronan Manly
    This is Part 2 of a two-part series. The series focuses on collusive discussions and meetings that took place between the world’s most powerful central bankers in late 1979 and 1980 in an attempt to launch a central bank Gold Pool cartel to manipulate and control the free market price of gold. The meetings centered around the Bank for International Settlements (BIS) in Basle, Switzerland.
     
  13. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Is China manipulating the gold market?

    -- Published: Wednesday, 31 May 2017

    • Hedge fund, PhD statistician claims gold market is “the most blatant case of manipulation”
    • PhD: “Statistically impossible unless there’s manipulation occurring”
    • Gold serves as political chips on the world’s financial stage.
    • Price is being suppressed until China gets the gold that they need
    • Gold will go higher when all central banks ‘confront the next global liquidity crisis’
    • ‘When that happens, physical gold may not be available at all.’

    Jim Rickards: The Golden Conspiracy

    [​IMG]

    Is there gold price manipulation going on? Absolutely. There’s no question about it. That’s not just an opinion.

    There is statistical evidence piling up to make the case, in addition to anecdotal evidence and forensic evidence. The evidence is very clear, in fact.

    These are the opening lines of Jim Rickards’ piece ‘The Golden Conspiracy’, an op-ed that may surprise even the most seasoned followers of gold markets.

    Gold and silver price manipulation is not a new topic to regular readers. For years the idea that precious metals markets are subject to more than just free market forces has been dismissed by the mainstream. Many have referred to gold and silver manipulation as topic fodder for the conspiracy and deep web forums. This is despite evidence to the contrary.

    In the last eighteen months or so what was dismissed as anecdotal tales of manipulation has finally been recognised by the regulators and lawmakers as something very real and serious. Fines have been doled out and regulators have been slowly implementing new rules.

    But what if the manipulation goes above institutions that can be called to account? Can they be fined? Can it be somewhat controlled by the authorities? What if it is a country doing the manipulation? Rickards believes it is.

    ‘…where is the manipulation coming from? There are a number of suspects but you need look no further than China.’

    Role of China

    Previously we have been excited about China’s role in the gold market. In April last year they launched yuan denominated gold bullion trading. We not only expected this to further boost its power in the global gold and forex markets but to also lead to increased transparency and reduce price manipulation.

    However the country is not only keen to increase transparency in the market for their own long-term gain, they have short-term goals as well – to increase their gold reserves.

    Rickards explains:

    China wants to do what the U.S. has done, which is to remain on a paper currency standard but make that currency important enough in world finance and trade to give China leverage over the behavior of other countries.

    The best way to do that is to increase its voting power at the IMF and have the yuan included in the IMF basket for determining the value of the special drawing right (SDR).

    China accomplished that last September when the IMF added the yuan to its basket of currencies.

    The rules of the game also say you need a lot of gold to play, but you don’t recognize the gold or discuss it publicly. Above all, you do not treat gold as money, even though gold has always been money.

    The members of the club keep their gold handy just in case, but otherwise, they publicly disparage it and pretend it has no role in the international monetary system. China is expected to do the same.

    Right now, China officially does not have enough gold to have a “seat at the table” with other world leaders. Think of global politics as a game of Texas Hold’em.

    What do want in a poker game? You want a big pile of chips.

    Gold serves as political chips on the world’s financial stage. It doesn’t mean that you automatically have a gold standard, but that the gold you have will give you a voice among major national players sitting at the table.

    For example, Russia has one-eighth the gold of the United States. It sounds like they’re a small gold power — but their economy’s only one-eighth as big. So, they have about the right amount of gold for the size of their economy. And Russia has ramped up its gold purchases recently.

    The U.S. gold reserve at the market rate is under 3% of GDP. That number varies because the price of gold varies. For Russia, it’s about the same. For Europe, it’s even higher — over 4%.

    In China, that number has been about 0.7% officially. Unofficially, if you give them credit for having, let’s say, 4,000 tons, it raises them up to the U.S. and Russian level. But they want to actually get higher than that because their economy is still growing, even if it’s at a much lower rate than before.

    [​IMG]

    Where is the evidence for this?

    As we have explained previously, manipulation is often dismissed as a conspiracy and anecdote driven theory. But Rickards has academic evidence:

    I spoke to a PhD statistician who works for one of the biggest hedge funds in the world. I can’t mention the fund’s name but it’s a household name. You’ve probably heard of it. He looked at COMEX (the primary market for gold) opening prices and COMEX closing prices for a 10-year period. He was dumbfounded.

    He said it was is the most blatant case of manipulation he’d ever seen. He said if you went into the aftermarket, bought after the close and sold before the opening every day, you would make risk-free profits.

    He said statistically that’s impossible unless there’s manipulation occurring.

    I also spoke to Professor Rosa Abrantes-Metz at the New York University Stern School of Business. She is the leading expert on globe price manipulation. She actually testifies in gold manipulation cases that are going on.

    She wrote a report reaching the same conclusions. It’s not just an opinion, it’s not just a deep, dark conspiracy theory. Here’s a PhD statistician and a prominent market expert lawyer, expert witness in litigation qualified by the courts, who independently reached the same conclusion.

    Surely they can be honest about it?

    One would perhaps think that given China’s resources and their growing power in the physical gold market, the country would be able to just buy all that they need. Without the need for cloak and dagger activities.

    Rickards argues this isn’t possible:

    Here’s the problem: If you took the lid off of gold, ended the price manipulation and let gold find its level, China would be left in the dust. It wouldn’t have enough gold relative to the other countries, and because the price of gold would be skyrocketing, they could never acquire it fast enough. They could never catch up. All the other countries would be on the bus while the Chinese would be off.

    When you have this reset, and when everyone sits down around the table, China’s the second largest economy in the world. They have to be on the bus. That’s why the global effort has been to keep the lid on the price of gold through manipulation. I tell people, if I were running the manipulation, I’d be embarrassed because it’s so obvious at this point.

    The price is being suppressed until China gets the gold that they need. Once China gets the right amount of gold, then the cap on gold’s price can come off. At that point, it doesn’t matter where gold goes because all the major countries will be in the same boat. As of right now, however, they’re not, so China has though to catch-up.

    I’ve described some catastrophic scenarios where the world switches to SDRs or goes to a gold scenario, but at least for the time being, the U.S. would like to maintain a dollar standard. Meanwhile, China feels extremely vulnerable to the dollar. If we devalue the dollar, that’s an enormous loss to them.

    China has recently sold a portion of its dollar reserves to prop up its own currency, which has come under tremendous pressure. But it still holds a large store of dollar reserves.

    If China has all paper and no gold, and we inflate the paper, they lose. But if they have a mix of paper and gold, and we inflate the paper, they’ll make it up on the gold. So they have to get to that hedged position.

    China has been saying, in effect, “We’re not comfortable holding all these dollars unless we can have gold. But if we are transparent about the gold acquisition, the price will go up too quickly. So we need the western powers to keep the lid on the price and help us get the gold, until we reach a hedged position. At that point, maybe we’ll still have a stable dollar.”

    China isn’t the only one

    We know that the banks like to play with the gold market, but China isn’t the only country involved. Rickards says Russia has the same goals as the PRC. Together they are not only critical to the physical gold market but also for the overall structure:

    Currently the price of gold is set in two places. One is the London spot market, controlled by six big banks including Goldman Sachs and JPMorgan. The other is the New York gold futures market controlled by COMEX, which is governed by its big clearing members, also including major western banks.

    In effect, the big western banks have a monopoly on gold prices even if they do not have a monopoly on physical gold. But that could be about to change.

    Russia and China are not only building up physical reserves and exploring for more, they are building trading systems that allow for price discovery and leveraged trading in gold.

    It may take a year or so to attract liquidity, but once these new exchanges are fully functional, the physical gold market will regain the upper hand as a price maker.

    Then gold will commence its march to monetary status, and its implied non-deflationary price of $10,000 per ounce.

    How to turn a problem into an opportunity

    Manipulation goes on across many markets, whether precious metals, interest rates or forex. At no point is it victimless. Individuals and companies alike have experienced losses on their investments, both as a direct and indirect result of manipulation.

    To hear this can be depressing, many investors might just ask what the point is in investing in assets such as gold and silver when they might be as manipulated as paper markets. Sure they might go to $10,000, but what stops it being manipulated even then?

    Those who are concerned should take a step back and look at the bigger picture which is actually an opportunity rather than a problem. A suppressed price means great opportunity for investors to accumulate more bullion. Ironically for those looking to manipulate the price, this is good news for those who are keen to stock up on both gold and silver.

    In the long-term Rickards is convinced that we will see big changes in the gold price ‘when China reaches its gold reserve target of 10,000 tons — surpassing the United States. At that point, it will be in China’s interest to become more transparent and let the price of gold soar, which is another way of saying the value of the dollar is in free-fall.’

    In the short-term, gold investors and those considering diversifying their portfolio with the yellow metal would be wise to consider the following, according to Rickards:
    • Private gold holders continue to hold their gold
    • There is persistent excess of demand over supply
    • Situations in North Korea, Syria, Iran, the South China Sea, and Venezuela (to name a few) show no signs of improving, in fact the opposite.
    • Fed policy tightening is normally a headwind for gold. But, the last two times the Fed raised rates — December 14, 2016 and March 15, 2017 — gold rallied as if on cue. Look for another Fed rate hike on June 14, and another gold spike to go along with it.
    Gold manipulation aside, we are currently in a period of major market complacency. Mainstream investors have seemingly been lured into thinking that years of risky and unprecedented policy making will be without consequence. They believe that elevated prices of stocks and bonds and reduced price volatility in stock markets are completely normal. This cannot be.

    At some point the marketplace will realise all is not really as it seems. When this happens, expect a serious backlash and ensure you are holding onto something that is real and has shown its true value despite years of manipulation on all fronts.

    News and Commentary

    Gold drifts from one-month peak on Fed rate hike concerns (Reuters)

    Chinese stocks leap, leading gains by Asian markets (MarketWatch)
    U.S. Stocks Slip From Records, Treasuries Advance (Bloomberg)
    U.S. stocks edge down from records after multiday rally (MarketWatch)
    U.S. Consumer Confidence Index Decreased to 117.9 in May (Bloomberg)
    Suspense Is Building Ahead Of This Critical Gold Policy In India (Value Walk)
    Gold set for first monthly drop since Dec as Fed rate hike likely (Reuters)
    Gold’s Next Spike (Daily Reckoning)
    Gold Isn’t Money (Value Walk)
    US Gold Output Rises in March (Mining Weekly)

    Gold Prices (LBMA AM)


    31 May: USD 1,263.80, GBP 987.79 & EUR 1,129.96 per ounce
    30 May: USD 1,262.80, GBP 982.46 & EUR 1,132.23 per ounce
    26 May: USD 1,265.00, GBP 983.41 & EUR 1,127.87 per ounce
    25 May: USD 1,257.10, GBP 969.48 & EUR 1,119.57 per ounce
    24 May: USD 1,251.35, GBP 963.29 & EUR 1,119.58 per ounce
    23 May: USD 1,259.90, GBP 969.62 & EUR 1,119.17 per ounce
    22 May: USD 1,255.25, GBP 967.17 & EUR 1,123.07 per ounce

    Silver Prices (LBMA)

    31 May: USD 17.31, GBP 13.48 & EUR 15.43 per ounce
    30 May: USD 17.27, GBP 13.42 & EUR 15.49 per ounce
    26 May: USD 17.29, GBP 13.45 & EUR 15.41 per ounce
    25 May: USD 17.15, GBP 13.23 & EUR 15.29 per ounce
    24 May: USD 17.03, GBP 13.14 & EUR 15.22 per ounce
    23 May: USD 17.14, GBP 13.22 & EUR 15.25 per ounce
    22 May: USD 16.95, GBP 13.04 & EUR 15.10 per ounce

    http://www.goldcore.com/us/

    http://news.goldseek.com/GoldSeek/1496235512.php
     
  14. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    GOLD - The Ultimate Buy and Hold
    Andrew Hoffman
    |
    May 31, 2017 - 4:21pm


    Last night, I was telling my wife of the frustration the past five years has wrought on Precious Metal holders – or, as they call them in the Bitcoin world, “hoddlers.” It’s been far worse, and longer, in the “paper PM investment” world – as the Cartel has not only annihilated mining shares, but the mining industry as well; as not only have reserves been decimated, whilst mine production has – perhaps, permanently – peaked; but share counts and debt burdens have exploded, limiting shares’ upside potential even under the best case scenario – which fortunately, must inevitably arrive.

    To that end, since exiting mining shares six years ago, I have consisently said they were amongst the worst reward/risk investments imaginable – but that if timed extremely well (which in hindsight, has proven to be nearly impossible), they could provide outsized trading gains – as they did from late 2015 through mid-2016, for example. Moreover, when the Cartel is inevitably broken – assuming it doesn’t occur due to the type of “black swan” event that shuts down stock exchanges – mining shares could easily generate extraordinary short-term gains; until, equally inevitably, governments nationalize mines and/or enact “windfall” profit taxes. As trust me, when the Cartel is broken, it will result in – or be caused by – plunging confidence in fiat currency. Which in turn, will cause Precious Metals to be viewed as the money they have always been – and consequently, governments to consider Precious Metal mines “national security assets.” In my opinion, of course.

    Why do I bring this up today? I mean, I literally haven’t discussed mining stocks in years; partly, because after owning them from 2002 to 2011; and working in the mining sector from 2006 to 2011 – after which, I joined Miles Franklin; I not only “burnt out” on them, but lost all interest in them as investment vehicles. They served that purpose extremely well in the early years – particularly 2004-2006, before the Vancouver Stock Exchange, since renamed the “Venture” exchange peaked. However, in my “older years” – particularly now that I’m a father – I consider tham little more than extremely risky speculations. To the contrary, in my “early middle age,” what matters most is the safety of my principal. Which, after nearly two decades of investing, I have learned, painfully so, is best done by investing not in derivatives – like mining shares, ETFs, and closed-end funds – but the real thing. And the same goes for my crypto-currency investments, as I invest solely in Bitcoin; as opposed to cloud mining schemes, altcoins, and start-up service providers. In other words, not only have I become a lot more risk averse in my “old age,” but I finally realized that, when investing in physical gold and silver, the overall benefits of physical metal ownership – both current and potential – are far greater; including the most important “benefit” of all, the “sleep of the just” I enjoy each night, knowing my investments are, for all intents and purposes, immutable. In other words, gold and silver, unlike “paper PM investments”; and essentially all derivative proxies; are the “ultimate buy and hold.”

    I’ll get back to said benefits momentarily, but first I wanted to go over some of the past 24 hours’ incredibly “PiMBEEB” events – which cumulatively, add significantly to the comfort I take in holding physical gold and silver. And I do mean, significantly. Starting with the incredible news, unreported by the MSM of course, that the ECB plans to, I kid you not, securitize the toxic, historically overvalued sovereign bonds on its $4 trillion balance sheet. In other words, the exact same thing Goldman Sachs and others did at the top of the mid-2000s housing bubble – in repackaging toxic mortgage loans; selling them to investors at exorbitant spreads; and as an added “bonus,” creating “synthethic short positions” to benefit on the bonds’ inevitable collapse. Who the ECB believes will invest in such c—p is beyond me, given that the only reason they trade at such ludicrous valuations is relentless ECB monetization – particularly given the precarious, rapidly deteriorating state of the European banking system. However, the mere fact that such a toxic product is even being discussed by Central bankers tells you how desperate they are for “solutions” to the unprecedented problems they created. And consequently, the levels of fraud they will stoop to to offload their problems to taxpayers – as if that will matter a whit, when the system inevitably, spectacularly implodes.

    Or how about, as I look at crude oil prices plunging anew today, yesterday’s Macro Tourist article, pondering the identity of the “mystery massive long supporting the oil market” – particularly since early 2016, when oil prices crashed. I mean, just how much more obvious can it be that, as I have espoused for more than a year, an ad hoc “oil PPT” was created when prices plunged below $30/bbl, given the potentially horrifying global ramifications on a massively overleveraged sector featuring more junk debt than perhaps the next ten sectors combined. Not to mention, the risk posed to America’s only remaining Middle East ally, Saudi Arabia – which Donald Trump, in complete contradiction to his campaign rhetoric, embarrassingly, and disgustingly, feted last week. To wit, this weekend’s shocking, bombshell news that Saudi cash reserves are in freefall mode, despite said “oil PPT’s” best efforts, tells you all you need to know of how dire their financial situation is; and consequently, their political position, and the fate of the dying “petrodollar” itself.

    To that end, yesterday’s Zero Hedge article discussing Saudi’s “newest strategy to boost oil prices” couldn’t be more telling, of the (blatantly obvious) fraud being attempted; first, in attempting to form an alliance with hedge funds, to ensure “support” in the fraudulent paper oil markets; and secondly, to reduce exports to the U.S., whilst increasing them overseas – hoping that the “transparency” (i.e, fraud) of U.S. inventory data “influences” perceptions of what is today, as I write, the worst energy glut in global history. Which I assure you, isn’t going away anytime soon, as the only reason it hasn’t completely imploded yet is buying by a Chinese regime desperate to avoid perception of the economic collapse decimating its own, historic bubbles.

    Throw in the following sundry stories of economic collapse – like the toxic “CoCo” bonds of Spain’s sixth largest bank, Banco Popular, collapsing; U.S. commercial banks dramatically reducing auto loan originations; and U.S. homeowners’ “cashing out” mortgage refinancings at a rate not seen since the run up to the biggest housing crash in global history; and you can see why gold is indeed the “ultimate hold.” Not to mention, as the U.S. political regime deteriorates to Banana Republic status – led by a President who can’t even control an addiction to social media that has made America, in short-order, a diplomatic pariah and laughing stock. And again, I have nothing against Trump personally – as discussed at great length here; but simply, any actions, like incoherent, unedited midnight “tweets,” that weaken our nation.

    [​IMG]

    As I watch the dollar index hit a new post-Election low – despite the massive problems in Europe and Japan; and interest rates flirt with their own post-Election lows – despite the Fed’s continuing, maniacal insistence on “tightening” into an environment best described as “dotcom valuations in a Great Depression Era”; I can’t help thinking how comfortable I am holding physical gold silver. Which, aside from the potentially dramatic upside catalysts discussed above; and countless others; have been suppressed by a desperate, maniacal Cartel to their lowest-ever inflation-adjusted valuations. Which is why I enjoyed Ted Bauman’s fabulous “gold isn’t money” article yesterday, and decided to utilize it as the principal focus of today’s piece.

    In it, he reflects, in nearly parallel fashion to what I wrote in July 2014’s “is gold money? Who cares!”; i.e., physical gold (and by proxy, silver) are not owned because they are “money” – which universally, today’s fiat-loving governments fight tooth and nail to prevent the public from believing; but alternatively, because they are the best stores of value mankind has ever known.

    Not to mention, a handful of other “investment benefits,” such as…
    • Purchases of gold bullion aren’t reportable to the U.S. government. Many people think they are. That’s because if you pay with cash or a cash equivalent for $10,000 or more worth of bullion, the dealer must submit IRS Form 8300, “Report of Cash Payments Over $10,000 Received in a Trade or Business.” This requirement, however, isn’t specific to precious metal purchases. It applies to all cash transactions over $10,000, no matter what you’re buying. If you buy bullion with a credit card, there’s no need to tell Uncle Sam.
    • You don’t have to declare gold bullion when you bring it into or take it out of the U.S., the way you do with currency. Admittedly, this is a tricky issue, and many people advise you to play it safe and declare it anyway to avoid trouble. But technically, gold bullion is just like any other personal property — furniture, a car, etc. — and cross-border movements don’t have to be reported if the value exceeds $10,000, as is the case with any form of currency (including legal tender gold coins).
    • You aren’t obligated to report gold stored outside the United States. Whether you keep it in a safe-deposit box (my comment, like Miles Franklin’s unparalleled “Private Safe Deposit Box” program in Canada) or a private vault, gold bullion is considered personal chattel property — an asset no different from jewelry, artworks or any other valuable thing. By contrast, if you keep money in a foreign financial institution, you’re faced with all sorts of onerous reporting requirements, such as the Report of Foreign Bank and Financial Accounts (FBAR) and the Foreign Account Tax Compliance Act (FATCA).
    • You report and pay capital gains taxes on gold sales — but can also deduct losses. The IRS classifies gold bullion as a collectible. That means profit on its sale can be taxed at the maximum capital gains rate of 28%. The actual rate you pay is determined by the amount of time you’ve owned it and your ordinary income tax rate. You’d report capital gains from gold sales on Schedule D of Form 1040 and pay the tax when you file. By contrast, if you sell gold bullion at a loss, it may potentially offset other capital gains or even ordinary income


    For these reasons, and countless others in today’s historically unstable political, economic, and monetary climate, gold (and silver) are indeed the “ultimate buy and hold” assets, in my very strong opinion. Or, as Ted Bauman puts, it “set it and forget it.”

    http://silverseek.com/commentary/gold-ultimate-buy-and-hold-16650
     
  15. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Map of Gold: Grams/Citizen In Europe, Kyrgyzstan Bank: BUY GOLD
    Junius Maltby



    Published on Jun 1, 2017
    VERY INTERESTING MAP AND DISCUSSION! This map shows the Gold Reserves of Central Banks In Grams PER CITIZEN. We will discuss this map as well as an article regarding Kyrgyzstans Central Banker urging citizens to BUY GOLD. Join us here and now on the Junius Maltby Channel! Thank you for being here!
    ARTICLES: https://jakubmarian.com/gold-reserves...
    http://www.zerohedge.com/news/2017-02...

    SUPPORT: https://www.patreon.com/JuniusMaltby
    Channel Coin:
    https://qualitysilverbullion.com/prod...
    For more information go to: http://www.law.cornell.edu/uscode/17/

    **FAIR USE STATEMENT**
    This video may contain copyrighted material the use of which has not been specifically authorized by the copyright owner. This material is being made available within this transformative or derivative work for the purpose of education, commentary and criticism, is being distributed without profit, and is believed to be "fair use" in accordance with Title 17 U.S.C. Section 107.

    For more information go to: http://www.law.cornell.edu/uscode/17/
     
  16. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Missing Mexican GOLD on Mountain In Hong Kong - $9 Million Dollars of 50 Peso Coins
    Junius Maltby



    Published on Jun 6, 2017
    Treasure hunting, missing gold, bed time story read to you by Junius Maltby here on the most boring channel on youtube! Who likes missing gold? Who likes finding thick, heavy 1.2057 ounce 50 Peso gold coins? This story is for you! Lay your head on your pillow and listen up!

    Article: http://www.scmp.com/magazines/post-ma...

    SUPPORT: https://www.patreon.com/JuniusMaltby
    Channel Coin:
    https://qualitysilverbullion.com/prod...

    **FAIR USE STATEMENT**
    This video may contain copyrighted material the use of which has not been specifically authorized by the copyright owner. This material is being made available within this transformative or derivative work for the purpose of education, commentary and criticism, is being distributed without profit, and is believed to be "fair use" in accordance with Title 17 U.S.C. Section 107.

    For more information go to: http://www.law.cornell.edu/uscode/17/
     
  17. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
  18. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Only Gold Lasts Forever

    -- Published: Thursday, 22 June 2017

    This current state of play won’t last forever. Only Gold lasts forever

    Some days it can feel a little rough being a gold investor. In today’s article Dominic Frisby is certainly feeling that way. Sometimes it can be all too easy to get caught up in the day to day chat around prices. Some forget that the reasons why they invested are still strong, even if it feels like the price isn’t.

    Frisby reminds us that ‘We know government finances do not pass basic safety standards. We know there’s too much debt. We know asset prices are overvalued.’ and we must keep reminding ourselves that this is unsustainable and cannot go on forever.

    What will last forever is gold. This is one of the major reasons for investing in bullion; it is not just because of the price. Prices change according to the damage done by governments as well as other factors, but gold’s physical form, intrinsic value and role is here to stay.

    [​IMG]

    Dominic Frisby via MoneyWeek

    Remember the Noughties? What a decade that was for the gold bug.

    “Gold is undervalued”, you began the decade by saying. “Silver too – even more so. Gordon Brown is a fool to have sold at these prices. There is only one way this market can go and that’s higher.”

    Gold? Silver?” people would say with a slightly confused expression on their faces. “Why would I buy them? Why would anybody buy them? And how do you buy them? Do I just go and buy ingots or something?”

    “Yes”, you would say. And they thought you were even more barking.

    But then the gold price rose. Silver too. By 15% one year, by 20% the next. You might have been potty, but, fair play, you’d called the market. Anyway, it’s moved now. Too late.

    “No, you don’t understand”, you would say by about 2005. “It’s not too late. There are new ways to buy now. Exchange-traded funds, online bullion dealers, you name it. You really should buy some. You want to have some of your wealth outside of the system.”

    You may as well have been howling at the moon. Yet every year the price would rise by another 10%, 15% or 20%. Sometimes by even more. When they called you batty, you just shrugged and pointed to the ticker. There’s no arguing with the ticker.

    House prices got more and more inflated. Stock prices did too. Fine art and other collectibles reached stupidity pitch.

    “The monetary system’s broken”, you warned. “There’s too much debt. There’s too much leverage. It’s going to go tits up.”

    “He’s really lost it this time,” they would think. “Apparently there’s going to be some kind of meltdown. LOL.”

    And sure enough, 2008 came along. By now, you might not have achieved guru status, but you certainly weren’t the crackpot people once thought you were. People quietly came to you for advice – out of the earshot of their friends – “so how do I go about buying gold?”

    And you would tell them. And the bull market went on. Every year another gain. Every year, the S&P 500 was outperformed by gold. Every year a chart showing gold v. other assets since 2000 – gold always the winner.

    It was all happening just like you said it would.

    The turning tides of fashion leave gold stranded

    And then something changed. It’s hard to say what, but since 2011-12, the golden dream has turned base. Instead of rising by 10%, 15% or 20% a year, it has fallen by a similar amount.

    With each decline in price, the arguments of the Noughties have started to look more and more far-fetched. Many have deserted the cause altogether. With each 10% fall, the stockmarket has risen by 10%. When you factor in the opportunity cost, the loss to the gold bug has been enormous.

    Then some tech whizz called Satoshi Nakamoto invents something called bitcoin – and deliberately models it on gold. It does everything gold was supposed to do. It rises by thousands of percent. A cult of devotees proclaims it spells the end of government currency. People actually use it to buy and sell stuff. The young embrace it – and thus the future embraces it. $10,000 bitcoin is coming, they say.

    “We used to say the same thing about gold”, mutter a few wise, grey-haired men. They shake their heads. They know they were right. But somehow the once and future money was not the right vehicle.

    Like an improbable Rocky movie, in 2016 gold somehow staged a comeback. The price rallied. The mining companies rallied by even more. The Brexit vote happened. Sterling plummeted. UK gold owners saw the value of their holding rise by close to 50% at one stage.

    “They’re losing control again”, said the gold bugs, no longer muttering, but gaining in confidence.

    But then it all petered out again. By the end of 2016, the gains were OK, but negligible in the context of what had gone earlier. Gold continues to go nowhere in 2017, up for a bit, then down for a bit. The price as I write is $1,245 an ounce – same as it was in 2010.

    Once upon a time gold charts began in the bottom left and finished on the top right. Now they start in the middle and end in the middle. Below we see the last four years of frustrating meandering. False dawns a plenty – but not crashing either. Just a boring nowhere investment, while money is made elsewhere.

    [​IMG]

    In Frisby Towers we survey the lay of the land and we sigh. We know government finances do not pass basic safety standards. We know there’s too much debt. We know asset prices are overvalued.

    We know that quantitative easing (QE) and zero-interest-rate policy (ZIRP) have breathed life into that which should long be six-feet under. We know rates have to go up eventually. We know that when they do, all hell breaks loose. We know that gold’s time will come again, even more so than before.

    The problem is we don’t think that time is nigh. We hope we’re wrong. But that’s what we think. We just can’t see a major imminent move or a change in sentiment.

    We note that each low gold makes is higher than the last – $1,120, then $1,180, then $1,200, then $1,220. Some might call that an uptrend.

    But we also note that this move is unconfirmed by the miners, which have yet again been bleeding investors’ capital, as is their wont. For a proper bull market to happen, the two must dance together.

    Our outlook is for more frustrating range-trading. As it stands, $1,050 looks like it’s the low. Maybe it needs to be re-tested again – just as $250 was in 1999 and 2001. Maybe not. The next line of support must be the $1,130-$1,140 zone.

    On the upside, $1,300 is a barrier, $1,380 another. There’s a long way to go even before we get the almost insurmountably large hurdle that is $1,500.

    I’m sorry to say it, but we could be range-trading for a few years yet. But this current state of play won’t last forever. Nothing lasts forever.

    I take that back. One thing does last forever – gold. Gold is, by its very nature, eternal. The current mood of investors is not. There are worse things to own – for the long term.

    This is Dominic Frisby’s latest article for MoneyWeek.

    News and Commentary

    Gold prices rise from 5-week lows as dollar eases (Marketwatch)

    Gold steadies as oil plunge dampens U.S. rate hike expectations (Reuters)

    U.S. Stocks Drop on Brent Bear Slump, Gold Rises: Markets Wrap (Bloomberg)

    U.S. existing home sales unexpectedly rise in May (Reuters)

    Belgium Tightens Security After Failed Brussels Bombing (Bloomberg)

    [​IMG]

    What is going on with Turkey’s gold trade? (Harriet Daily News)

    Perth Mint considering banning staff from wearing underwire bras (IB Times)

    Anti-Gold Propaganda Flares Up (IRD)

    Owning Gold Is The First Step To “Freedom Insurance” (Zerohedge)

    Automation’s Destruction Of Jobs: You Ain’t Seen Nothing Yet… (Zerohedge)

    - www.GoldCore.com

    - See more at: http://news.goldseek.com/GoldSeek/1498140229.php#sthash.Bs2mSezZ.dpuf

    http://news.goldseek.com/GoldSeek/1498140229.php
     
  19. searcher

    searcher Mother Lode Found Site Supporter ++ Mother Lode

    Joined:
    Mar 31, 2010
    Messages:
    113,811
    Likes Received:
    35,440
    Trophy Points:
    113
    Happy Thursday................

     

Share This Page