Bob’s comments on China and the gold standard.
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Hi Marc, always good to talk to you. I can assure you…….I’m not laughing. Yes I own gold and silver as well as miners. But its not a religion to me. There has to be some degree of balance in one’s thinking.
I believed all the hype and BS for years, but I know better now. The gold and silver bugs and the buy, buy, buy at all costs all the time just doesn’t cut with me anymore.
It took me a longtime to get to where I’m at now, but I’ve learned the hard way. There is no more honesty, integrity or truth in the gold and silver community than is there is with the scumbags on wall street.
Its just a differnet level of misdirection involving massive conflicts of interest. The truth is no has the answers for what’s unfolding and everyone is going to get kicked in the gut no matter how smart you may think you are.
respectfully
V
Well said, V….well said and DULY noted!
By the way big Al, I love Bob M. I’m glad you get him on and hope you do it more often.
Bob is really smart and he is correct. There’s no doubt that China is going to do something with the gold they have been buying. How fast that translates to the Yuan in the open market is another matter because China only care about china. I can assure you of that.
Sure the Yuan will rise in value but can I get it in physical form. Right now I can’t and thats a problem to me. For it to matter to me as an American that live’s and thrive’s in the world market I need to be able to secure physical Yuan bills.
Until I can exchange a weak fiat dollar for a strong gold backed Yuan on the currency exchanges this doesn’t really effect me in Asia unless I can get in my hands on those Yuan notes. Right now this is really nothing more than a internal chinese issue.
Of course longterm those dynamics will change.
Yes over time the Yuan will rise in value and the dollar will lose some value but this dynamic will play out over years not months. Everyone needs to find a balance in an ever changing world and not be so reactionary about everything.
The balance of power is changing and will unfold, but it won’t be a sudden manifestation in my opinion.
Having said all of that I agree that primarly gold and silver to some degree will surely help in this transition. And putting a little betting money on the the Yuan to appreciate in the future is a smart move indeed.
Thanks for all the outstanding content and allowing an old fart like me to vent from time to time.
respectfully
V
I think the chinese government told their people to start buying around $1000, it has always been my contention that would be the floor for the gold price.
Hugo sialinas Price? was trying but to no avail to get the Mexican government to make coins from silver, back their currency with metal. Saying the same thing as Bob, a big advantage to be first. Max Keiser tried to get Greece to do it.
Oh well, Mexico/Greece have the same bank as the rest of the west, an odd thing tho, I thought western banks moved into China around the second war, if thats the case, this whole thing of changing the reserve currency was planned out years ago.
There must be unimaginable fortunes to be made being prepared well in advance of such an event.
The pimple on your BUY ! Is 1 world currency and 1 world GOVERNMENT !
franky these posts are nearly 2 years old. Best, A
From JANUARY 1 / 2013 its effective law !
To repeat Pundits perspectives from yesterday.
A few people have mentioned that a war happens when this kind of event happens. Just yakin, but I wonder if april 2014 would be enough time for Japan and China to be ready to lobe a few shells at each other?
Might serve as a distracion from Kukashima too.
Hard to see it tho I guess, why would they have a deal to trade in Yuan if they were going to have a war.
Sure a heck of alot of moving parts.
I think Bernanke is trying to leave office saying that he has done a credible job and for him that would mean keeping the price of gold contained when he exits. DT
Stupid comment………..but.,,,,,,
Think about this……….China invented gun powder,,and never figured out how it could be used……………do you think, that , if they discovered gold, they would know how to us it……….?
They used gunpowder for fireworks and rockets. Fireworks…
entertainment, you are correct………I should have said,
Gun powder for protection and world domination….
Historical note: There is plenty of historical records that indicate the Chinese used gunpowder as a weapon of warfare hundreds of years before Europeans. Ancient paintings show warriors firing rockets out of large bamboo tubes at attacking forces. I think it a mistake to underestimate the Chinese, especially their tendency to make their plans that span large periods of time.
I have a lot of respect for what Bob M has to say about China and Gold, however the Chinese are not telling us about how much gold they have, very much like the American Goverment. I think we can spectulate about what will happen until the cows come home. Maybe some day the chinese will be in the drivers seat with their currency, but thats way off in the future. They are not in our ballpark! I could be wrong and there is a first time for everything. Ha Ha I wish I was never wrong or maybe I don’t
I do own some metal and my experiences are like Vortex’s. I would not be with out it either.
We’ve been hearing about the apocalypse for years and years. Lots of guessing going on. Gold isn’t going to save ya. If the poop EVER hits owns farm land / real estate. You don’t have to get up day hoping you guessed right about the market. If you get the market wrong your done!
No, gold can’t “save” you from everything, but it WILL protect your purchasing power better than anything else over the long term.
The price of farmland can be sent plummeting by the very factors that would cause gold to rise. An increasingly lawless government in need of money can arbitrarily raise taxes on any real estate or even confiscate it altogether. They can render it virtually worthless through direct or indirect politically motivated regulations. The Endangered Species Act, climate change, or anything else they can think of can be used to limit or even end the use of your land.
The greater the economic/political turmoil and uncertainty, the greater the demand, liquidity, and price of gold. The same can’t be said of farmland.
From 2000 to 2010, farmland in the U.S. roughly doubled in price while gold more than quadrupled. In other words, farmland plunged 50% in real terms.
Rumour is the IMF/BIS currency reset that front runs the Fifth Anniversary of the Chinese govt central bank holdings report (informing the world they now have enough gold to challenge/usurp the Fed) is but four months from now.
I guess you continue to buy facebook and Iaminabubble.com or you buy some precious metals in case the SHTF.
There are so many competing fronts between China/US becoming/maintaining world super power…. For china to store wealth in US toilet papers while taking over the reign does not make sense. It needs an independent trustworthy form of wealth… the only form that is backed not by someone like US for USD or Satoshi for Bitcoin but the supreme mother of all, your mother nature. Just IMVHO.
Everybody laughs until it aint funny anymore. Do YOU know when it aint funny anymore????? WHEN IT BECOMES REALITY!!! GOT GOLD (SILVER) Vortex and ALL??