Increasing interest in the mining sector and precious metals

January 18, 2014

Hour 1:  

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Hour 2: 

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Political and business issues are very important this week and we focus on both. Segments 4 through 8 go into economic issues.  We discuss the increasing interest in the mining sector and certainly the increasing interest in precious metals. A lot of information is included here along with predictions which may surprise some of you. 

 Hour 1:
 Hour 2:
  • Segment 5: Bron Suchecki, Manager, Analysis and Strategy for The Perth Mint, opens our second hour with a discussion of precious metals.
  • Segment 6: From Chicago, Chris Temple of the National Investor gives his views on gold and the diminishing importance of its inverse relationship with the U.S.$.
  • Segments 7 and 8: Our economics panel this week is Richard Postma, AKA Doc, and Bob Moriarty of 321 Gold.  They discuss this week in the markets, and what they believe are the implications for investors in the upcoming weeks.  At the request of Bob and Doc we threw in a discussion of the government’s involvement in the current marijuana laws. A bit of a joke as to just how much tax revenue is available !

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    Jan 18, 2014 18:25 AM

    Am I happy with the President and his administration?
    I have long since described him as the Devil Incarnate. I did not lightly choose that description.
    He arrogantly ignores the Constitution. He is racist.
    He, the President, does NOT act in the best interest of the USA, in my opinion.
    He is racist.
    (E.g. Holder has repeatedly been proven to lie to Congress, but is still the Attorney General.

    I give one quote from JFK.
    “When a peaceful revolution becomes impossible, violent revolution becomes inevitable.

      Jan 18, 2014 18:48 AM

          Jan 18, 2014 18:13 AM
          Jan 18, 2014 18:06 PM

          If that video/audio were not doctored, that was an amazing comment.

            Jan 19, 2014 19:37 PM

            Re the US Mint video, there is a difference between a shortage of blanks and a shortage of (raw) silver –

            a shortage is a shortage………….information,,,if they are all sold,,,,that is demand,
            if there is not a compliance with the constitution that is another…..we will see….

            Jan 26, 2014 26:57 AM

            I definitely do not claim to be any expert on the state of bullion in the world or the nation, but regarding the video above claiming to have ‘evidence’ of a shortage, it appears that the producer is submitting selective evidence. Not only does the producer of the video show one statistic for one year, he also suggests that the mint is under some kind of obligation to produce throughout the year. This is both dangerous and misleading in my opinion. Some additional evidence can be found here:
            This link reports the mintage of silver eagles per year which, in recent years, has gone up substantially over previous years, probably due to the demand. The statute pointed to by the author of the video above says the Secretary must estimate the demand and produce accordingly. At the federal level, this amount is estimated once for the year and production occurs once for the year. When the Eagles are sold for the year, they are sold. And most are purchased by dealers rather than by the general public.

            Now I’m not saying it’s not possible there’s a shortage. I’m just saying that when looking at evidence, let’s be sure to look at all the evidence and not just selections of that evidence.

            I agree with Bron’s comment below that there is a difference between a shortage of blanks and a shortage of raw silver.

            Thanks –

        Jan 18, 2014 18:04 PM

        That is absolutely disgraceful. Thanks Franky

      Jan 18, 2014 18:17 AM


        Jan 18, 2014 18:02 AM

        He seems to have a different agenda that gets pushed through regardless of majority opinion.

      Jan 18, 2014 18:00 AM

      Sad but probably true Professor!

      Jan 18, 2014 18:16 PM


      If you have not watched the videos which Franky sent I would appreciate you doing so.

      I would like your opinion on these videos.


    Jan 18, 2014 18:52 AM

    Re: Marijuana
    Not a smoker nor a drinker but the drug is a natural gift of life most everywhere in the world I have been.
    Prohibition does not assist the general population in any way.
    Educate and allow people be free to decide for themselves.
    This is a long,sordid story of manipulation and control at the highest levels of societies.

      Jan 18, 2014 18:04 AM

      No Matt,

      Prohibition is negative and not positive. Kind of like the Afordable Care Act!

    Jan 18, 2014 18:06 AM

    Segments#7and8…awesome duscussion!!!

      Jan 18, 2014 18:06 AM

      Thanks Ann. I was a little concerned but Sarah (edit, produce, etc) said “leave them in”


    Jan 18, 2014 18:08 AM


    Jan 18, 2014 18:11 AM

    Nice strong close on gold this week on Friday. Is this bullish or just another false dawn?

      Jan 18, 2014 18:07 AM

      Personal opinion?


      Jan 18, 2014 18:15 PM

      candlestick chart is looking fairly good on silver… and there is some very strong buying action like we haven’t seen in a while.

    Jan 18, 2014 18:14 AM

    How can you be happy with the leadership of this country when you have people like this running things?

    Jan 18, 2014 18:16 AM

    What about Blue Gold, California is drought stricken, is that ever going to affect the price of foodstuffs and what about water companies, the province of British Columbia in Canada sits just north of the state of California and they have oodles of clean, clear, fresh water. There is always something to get excited about in the world of investing. DT

      Jan 18, 2014 18:09 AM

      Yes there certainly is, Machine Gun!

        Jan 18, 2014 18:18 PM

        By the way, our investment in a water company way back when put two of our girls through universities.

    Jan 18, 2014 18:57 AM

    One of if not the first post I made on this board was in regards to healthcare.
    Al (in his effort to explore all sides) presented a guest who was a cheerleader for the program.
    I offered ‘The Gipper’ in response’:
    Below is what it looked like……”
    On March 10, 2012 at 6:08 am,
    Dennis M. O’Neil says:

    David Houle is the most dangerous person I have ever heard AL aire.
    A nice sounding eugenicist.
    He evokes a perverse nice sounding Mathusian culture of death.
    To put his “total loss of cerebral cortical functioning in context” listen to the Gipper for 10 minutes.

    Reply to this comment

      Jan 18, 2014 18:03 AM

      A link to the above referenced response to Malthusian Medical and Monetary Mayhem……:
      Beware of ‘great emergencies’ when protecting your liberty.

        Jan 18, 2014 18:17 AM

        Milton on the “Economics of Medical Care”……:

        It is all about CONTROL!!!!!!!!!!!!!!!!

        Induced to apparent altruism we instead build a split rail fence around ourselves.
        Once as free as a mustang we devolve ourselves into domesticated docile plow pullers.
        What a shame!!!!!!!!!!!!!!!!

          Jan 18, 2014 18:18 AM

          That, Esq, is a great comment!

      Jan 18, 2014 18:14 AM

      Stupidity always shows itself,Esq!

    Jan 18, 2014 18:15 AM

    Chris Temple is absolutely right about the gold-dollar inverse correlation myth. I don’t know how many times I’ve tried to dispel it myself. I know it will persist.

      Jan 18, 2014 18:20 AM

      This interview between Greg Hunter and `Jim Willie-This Year-Currency Explosion` that`s 58:17 min. long is quite excellent about how much physical gold is leaving London gold vaults for where the sun never sleeps ASIA ie. China @ 1000 tons per month in excess of 18 months so far. The gold that has dates on it from the London vaults are from 1970. And how that Willie thinks that the COMEX is bone dry of physical gold, their books are plain BS. And why did JPMorgan vault in NYC sell for only half price for a mere $750 million, like what did JPMorgan do? DEFAULT on what obligation perhaps on non-payment of gold from an ETF Futures contract say back 2013 April, did the Chinese demand payment in something other than physical gold like real estate. – – – This is a must in the hearing.

        Jan 18, 2014 18:40 AM

        Thanks, I caught that interview a few days ago and agree that it is worth the time.

          Jan 18, 2014 18:14 AM

          Esquire, Matthew-
          I think Jim Willie should not be dismissed at all. He comes on strong but seems like he has his ‘s__” together. We will see…we will see. Yes, I read and listen to his public articles and interviews whenever they come up.

        Jan 18, 2014 18:22 AM

        Thanks Dennis,

        As I have said in the past, Jim is an interesting guy!

      Jan 18, 2014 18:19 AM

      Probably will, Matthew

    Jan 18, 2014 18:24 AM

    When Big Al talks about China people should listen.

    His grandparents were from China and he worked as a Chinese banker, after all.

      Jan 18, 2014 18:25 AM

      Thanks Joe

        Jan 18, 2014 18:10 PM

        Big Al, you should write an autobiography to share your experience and wisdom. I’m sure it would be a big seller.

          Jan 18, 2014 18:20 PM

          There have definitely been a lot of changes over the past 70 years. Fortunately it always got better instead of the other way around!

    Jan 18, 2014 18:01 AM

    The name off the game is CONTROL ! Day now all DAY doing ! drugs is doming dow and day will make you pay as until you BLEED ! NO OVER BOYS !

    Jan 18, 2014 18:24 AM

    Invest 4 minutes listening to this powerful message…..:

      Jan 18, 2014 18:28 PM

      I just posted it. Many thanks Dennis M!

    Jan 18, 2014 18:12 AM

    Marijuana was outlawed in 1938 but the real objective was Hemp because it gave stiff competition to the newly invented plastic.

      Jan 18, 2014 18:17 AM

      I did not know that Wesley.


    Jan 18, 2014 18:38 AM

    you hit a bitton and your last segment was cut short…quit doing that …and remember to push “record” lol

    Jan 18, 2014 18:38 AM


      Jan 18, 2014 18:29 PM

      You mean I hit a bitcoin!

    Jan 18, 2014 18:48 AM

    Here is just a couple advantages to hemp. I think its time people wised up and started realising just how much our government lies to us.

    I also think its interesting as who is against it, I have noticed over the years they are generaly church going people that have never smoked pot or looked at the benifits.
    The medical benifits are amasing.
    The opportunity now presenting itself for employment thru manufacturing is incalcualable.

    I sure hope there are enough entrapanures out there to take advantage and get as many people working as possible. Uraguay just legalised, how long till they start manufactureing?
    The americans better accept their government is full of missinformation and get moving or the major manufacturing with those jobs could end up in Uraguay.

    Did you know that Henry Ford made a body for a car that was lighter than steel but could stand 10 times the impact without denting? Of course, it was made of hemp! Hemp can be made into various different building materials, hempcrete, fiberboard, carpet, stucco, cement blocks, insulation, and plastic. Not only are Hemp building supplies a lot better for the environment but also walls made from Hemp are rot free, pest free, mold free and fire resistant! Walls made from hemp can last up to 500 years. How’s that for sustainability? Hemp plastic can completely replace oil based plastic materials that we are using today that contain large amounts of dangerous chemicals such as the very well known Bisphenol A. If all our plastics were made from hemp material you could literally purchase something that came in a plastic hemp container and then throw that container directly into the compost, as hemp plastics are completely biodegradable. Now why have we even been using the other harmful destructive ways of producing plastic?

    Hemp can be made into fuel in two ways: the oil from the pressed hempseed can be turned into biodiesel, or the fermented stalk can be made into ethanol and methanol. Biodiesel is completely biodegradable and a much cleaner fuel for the air. Even the exhaust produced from burning hempseed biodiesel has a pleasant smell. Although hemp is not the greatest alternative to fuel that is available, hemp fuel can be used temporarily because it can be used in all the existing vehicles today without making any alterations. Both sources of hemp fuel are non-toxic and are completely biodegradable

    As a fabric, hemp is the optimal choice! ‘Hemp doesn’t wear out, it wears in!’ Hemp clothing becomes softer every time you wash it. Growing hemp requires the use of very little pesticides and no herbicides, so not only is this great for the environment, but in turn, if used for clothing and blankets, it is not harmful for your skin. One acre of hemp will produce as much material as 2-3 acres of cotton. Wow, this hemp really is amazing isn’t it? Hemp material will keep you cool in the heat and keep you warm in the cold, it is known to be 4 times warmer than cotton material! The production of hemp into fabric instead of cotton, as if there aren’t enough amazing facts about hemp fabric as it is, it is also naturally fire retardant! So as oppose to most other fabrics, clothing, bed sheets, linens etc.. it would not need to have fire repellant chemicals added, what a great bonus!

    Jan 18, 2014 18:52 AM

    So, not only is hemp great for the environment, it is great for your body too! Hemp seeds are known to be one of the most nutritious seeds on the planet! Quite impressive, I know. Along with magnesium, potassium, dietary fiber and almost every vitamin and mineral that the body needs, Hemp seeds contain high amounts of essential omega 3 and 6 fatty acids. Hemp seeds are very high in protein, containing 25% protein content. They do not contain phytic acid, which means every last bit of goodness that these tiny seeds have to offer can be absorbed and utilized by the body! Hemp seeds have a great nutty taste to them too, so you’ll enjoy sprinkling them over salads or your other favorite dishes!

    As you can see Hemp is an excellent choice for many different reasons. Almost everything created out of hemp is biodegradable, so not only do hemp products seem to last a lot longer, but when it is time to replace them, they can be returned back to the Earth. What a beautiful cycle! Really its design is perfect. It’s time to implement these new resources, we have the information, we have the technology, so what’s stopping us? The way I see it, Hemp will be at the forefront of a new Earth!

      Didn’t Thomas Jefferson grow HEMP?……………

        Jan 18, 2014 18:45 PM

        I told you the other day that Hemp Hearts were a superfood. DT

          Jan 18, 2014 18:51 PM


            Jan 19, 2014 19:22 AM

            Absolutely, I eat them every day and I can tell you they make a big difference in how much better you feel almost immediately. DT

          DT…..would you mind sending out some samples to the audience…….send, them
          to Al first……….so, he can be the first to have an enlightened experience…..

            Jan 19, 2014 19:54 AM

            Jerry, havnt you heard?
            Only dopes do dope.

            Jan 19, 2014 19:14 AM

            b,Hemp seeds have nothing to do with marijuana, they are sold in all health food stores in Canada, I thought you would realize that from your research.

            Jan 19, 2014 19:30 AM

            The Hemp Plant that is used to make rope and clothing and Hemp Hearts is from the same family of plants but it doesn’t have the chemical THC in it in case you didn’t know. b, a little bit of knowledge is a dangerous thing. DT

            Jan 19, 2014 19:31 PM

            DT, I actualy know a little bit about pot or hemp.
            I was making a “jockularity”.

            I really dont smoke it any more, mabey 5 joints in the last dozen years, but at one time, the last thing I did was roll one and the first thing I did in the morning was “fire it up”.

            That would include the time I spent in the military…….defending all those people so set against it.
            Hilarious actualy, more pot in the forces than anywhere else I have seen in my life.
            I heard the Canadian military had to change their thinking, when I was in it was automatic discharge, they have found that so many soldiers smoke now, that if they did that there would be no military left.
            So, now they get counsiling. Laughable really.

            Pot being illegal has been a tragedy from day 1, and not utilising hemp has been criminal.
            Sadly, some people still feel that our kids should go to jail for it.
            Seems it takes forever for some people to open their eyes, kinda like the federal reserve I guess. Maybe its the same way with everything.

            DT…, I do not recall seeing any hemp hearts at Whole Foods……or reading anything about Hemp hearts, but, it sounds like I need to do some homework on the subject………If , it is healthy ,,the govt. does not want us to know anything about it.


            Jan 19, 2014 19:25 PM

            Jerry they are so mainstream here that they are sold in the major grocery stores, Loblaws sells them but their price is higher than the health food stores. You can google them under Hemp Hearts nutrition and one of the best Doctors in America endorses them as an amazing food, his name is well known as Dr. Mercola. DT

            DT…..Got some info………..FROM HEMP HISTORY …
            since 1937…hemp has been ban from the US MKT……..
            We have been told it is a NO NO…..wonder why,,,,dah…, goes with the govt

            DT..btw…they are saying hemp seeds are like flax seeds,,,,,which our family takes on a daily basis……, we might be covered………thanks…….OOTB, but , I am still going to look into the hemp…………

            Jan 19, 2014 19:46 PM

            Been at least 48 years Jerry!

    Jan 18, 2014 18:04 PM

    Did anyone notice the huge volume for gdxj yesterday? It was about 20% greater than the record volume seen on Monday. Volume for the week set a towering new record as gdxj finished nearly 12% higher. Technical indicators as well as sentiment point to continued gains strait ahead.
    Even many bulls might be surprised by the strength of the moves that I think are coming.

      Jan 18, 2014 18:12 PM

      Matthew and DOC,
      I KNOW you guys are humble market analysts…I really respect your opinions. What do you think about dollar cost averaging into GDXJ starting next week. OR do you guys have a select number of GOLD companies that are in their portfolio that MIGHT vastly out perform this index of the next couple of years…just want you guys informative input. I KNOW you guys are not Investment Advisors…:)

        Jan 18, 2014 18:20 PM

        Marc, I don’t currently own GDXJ, but it would make sense for trading or for those that don’t want to research or keep an eye on a portfolio of miners. If you do pick your own, I would consider buying 10 or 15 and allocating more money to your 5 favorites.
        With an RSI that’s very near an overbought reading on the daily chart, it’s a coin toss as to what GDXJ might do next. With any luck, it will drop below $35 on Monday to fill a gap. If I didn’t feel like I had nearly enough exposure to the space, I would be a fairly aggressive buyer of such a dip. On the other hand, it is possible that GDXJ does not pull back meaningfully before tacking on another $10 (or more). I can’t count the number of times I’ve had a junior go up another 50 to 100% after achieving an overbought RSI reading. Of course, since GDXJ consists of much larger juniors than I usually buy, a 15 to 30% move from here is much more likely than 50%+ but who knows?
        If you’re more concerned about weeks and months, not days, then the current picture looks much more appealing. On the weekly chart, the RSI is just 47 —a long way from overbought (but I would like to see it over 50 –a level it never exceeded in 2013).
        Plenty of other indicators are looking good and getting better and the 30 week moving average is finally going sideways to up, instead of down, for the first time in a year.
        If you would like more technical confirmation that a bottom is in, you might just buy part of your intended position now (maybe 20%?) and get ready to pay more for the rest once the bottom is confirmed, OR, buy the rest on a plunge to new lows.
        Ultimately, your actions now should be determined by your risk tolerance; your objectives; your time frame, and how confident you are that the bottom is in.

        To sum up, if I had no miners, I would buy some (10-20%) on Monday and wait for price dips to buy the rest.

          Jan 18, 2014 18:29 PM

          Thank you!

        Jan 20, 2014 20:52 AM

        Marc, I began to take a position into GDXJ last week just when it looked like it was going to take our the 50 day MA. The chart currently looks powerful. I added half of my first position this week again. I believe we could hit a price of 45 in the near future before any suggestion of a pullback. GDXJ will be my proxy for individual junior miners going forward. I will add some more this coming week based on the technicals and then let it run. When it takes out further resistance, I’ll add some more. Matthew’s comment about coming back and filling the gap is interesting. It’s such a small one that I wonder whether it may just keep going and never fill it. The momentum indicators look so strong right now that I wouldn’t be surprised to see it just keep chugging higher.

          Jan 20, 2014 20:44 AM

          I agree, Richard. If there is ever a time to completely ignore a little gap, it’s after an important low and when there’s action like GDXJ is now showing.
          For a real gap, take a look at CRJ.TO today. This stock was unfairly beat up after management announced that it would voluntarily delist in the U.S. as a cost cutting measure. It was sold like it was going off the board and I bought all I could right down to within 1.5 cents of the low.

          Using a line chart to cut out the noise, you should take a look at the weekly picture for GLDX:GDXJ and GLDX:GDX. This is how the best runs in this sector start —the exploration juniors outperform everything. Rambus seemed to miss this in his latest piece over at Goldseek in which his analysis ended with GDXJ:GDX.
          However, I wish there was an index of much smaller juniors than what GLDX is composed of.

            Jan 20, 2014 20:58 PM

            DOC and MATTHEW,
            Thank you, gentlemen!

      Jan 20, 2014 20:47 PM

      I don’t know if I would get too excited just yet, Matthew. Gold looks set to turn down again shortly so that will impact on the miners and GDXJ. I am actually expecting gold to fall back below 1200 again so what looks like a current recovery in prices will be short lived. I appreciate your optimism though. I just don’t share it.

    Jan 18, 2014 18:20 PM

    “People are dumber than bricks” LOL! Well put Bob Moriarty!

    Jan 18, 2014 18:24 PM

    Obama’s policy is the elites’ policy for the whole country.

    You cannot ignore and understand what is happening to society.


    Racism is only racism when it is the people of the country trying to defend their ethnic interests, not when their anti-white ‘leaders’ defend theirs.

    Why are people so anti-white??

    At what point would anti-whites allow whites such as this the right to protect their ethnic interests, to not be displaced in their country and have their society destroyed– all just so they can look good for the camera. Moral grandstanding and PC prudery aside, one would not dare argue for the converse–that would be called Genocide.

    Anti-whites expect an entire race to disappear from the face of the earth without even mentioning, not even whispering about it.

    Nobody’s flooding Africa with Non-Africans and giving them free health care, affirmative action and special privileges.

    Only White Countries are doing it, only White children are affected, and only White politicians are allowing it.

    Anti-racist is a code word for anti-white.

    Jan 18, 2014 18:59 PM

    Do you remember the classic Rob Serling written scene that seemingly ended Charlton Heston’s journey in “The Planet of the Apes”. The scene of the Statue of Liberty as a ruin basically appointed Chuck and his companion to be the new Adam and Eve.
    No need for another biting of an apple…… the original original sin carries on. It amounted to one big do over. At some point the market will get a glimpse of the equivalent of a monetary ruin of the Statue of Liberty. The “do not fight the Fed” montra will fall to its’ collective knees. It will be one big monetary do over!!!!!! We cannot just take the ball and go home. There is a not so certain amount of certain pain to be endured.

    Jan 18, 2014 18:32 PM

    I had the following thought listening to Brent Cook.
    As discovered in “The Treasures of Sierra Madre” sometimes it is not the ‘finding and the getting of it’ that cause the problem….it is the getting what you found profitably to market. A great interview with Brent!

      Jan 18, 2014 18:57 PM

      nice nice !

        Jan 18, 2014 18:13 PM

        Where is “Birdman” really miss his POV!!

          Jan 18, 2014 18:39 PM


          I guarantee you that we all do!

          Jan 18, 2014 18:18 PM

          Flew south for the winter? 🙂

            Jan 18, 2014 18:52 PM

            Bird lives in Africa.

            Jan 20, 2014 20:03 PM

            Thats incredibly valuable information.

          Jan 19, 2014 19:39 AM

          Many thanks for your kind words Ann.

          I have just returned today after a long absence. My Christmas was the worst ever. My wifes Mother and Father were both hospitalized over the holidays for most of ten days each. Both on life support. I was sure they were heading for the other side due to their advanced age.

          They are tough birds though. Both pulled through despite suffering serious illnesses and we are slowly getting back to normal. My wife and her sisters were in tears almost every day.

          I had tried to log-on and look in on Al’s site many times though. No luck. There was no connection for most of three weeks. We recently got ADSL here which is a very new thing. Chinese companies are busy running some of the new fibre optic cables which will stretch down the length of the Great Rift Valley that pass through at least a dozen countries all the way down to Mozambique. They have captured many of the service and installation contracts in Africa to expand physical cable services for telecom and internet on this continent.

          Anyway, some idiot with a backhoe has cut our new line. We went to blackness and nobody was immediately available to fix it due to the holidays. Several weeks have passed. It is back to the dark ages again as high tech meets the Third World in the Rift Valley.

          All was not a disappointment though. Overhead there must have been a million storks migrating from Europe to God only knows where. They were flying endlessly down the valley day after day in huge wedge formations just like the Geese and Ducks we see on the Canadian prairies. Never seen anything quite like it actually. Not this many and not for this many weeks in a row. They are noisy buggers too and seem to fly day and night.

          The birds see things people don’t though. There is trouble here.

          Refugees from South Sudan are filling up the local offices of immigration seeking escape although from what I hear there are as many running home as there are running away. Some want exit visas from here to go home while others want the hell out of their country. Wish I knew what that means. My Sudanese neighbors suddenly abondoned their house when hostilities broke out with the Nur tribes and I have not heard from them since.

          Despite the apparent prevalence of civil wars, conflicts and political problems there remains very high optimism here in North Africa. Between the likes of Egypt, Libya, Sudan and Somalia it is sometimes hard for outsiders to see any real glimpse of hope.

          But that bad news amounts to just a messy cloud of media distraction that envelopes a reality almost nobody outside can see through. It is quite literally booming here. An economic nirvana of growth that hits double digits in some regions. There is no recession here…..there is no depression either.

          It is a weird crucible of conflict amist hyper growth that cannot be easily defined.

          You cannot find it on the stock market either. Few public trading markets exist. There are not shares available to buy either nor even bonds in most of the region. Investing is all Wild West with local government cooperation and a mix of incentives like dirt cheap land and tax freedoms.

          Almost everything here is private equity driven and entrepreneurial. It is amazing to see it despite what the TV tells you daily. Maybe that is why profits are so high for those coming over and shaking their sticks.

          Risk equals rewards though and rewards look sweet for those giving it a shot. Every stupid idea seems to make money here which is quite a big surpise for people glued to the news who are certain only death waits for those who come over to visit.

          Makes me laugh actually. I sometimes think this bad news is just a cloud-cover meant to scare away the majority of people thus giving time for the big operations to dominate the market without having to fight competition. Love to hear from anyone else who has seen this before and might comment on that thought.

          So I guess this is my belated Christmas message to my friends on Al’s site. Sometimes we need to look past the negatives in the media message. Try not to fall for the picture of gloom that makes this part of the world look so bad sometimes. It is just not like portrayed. In the background, private investment is rapidly rising even as conflicts scare away the majority of investors.

          So a belated Merry Christmas and wishes for a Happy New Year to all. I will leave you with a couple songs that have been popular here for awhile now and I will leave you with a reminder that nothing is as it appears. Opportunity is found at market bottoms. It is also found as a strong seed after a crisis retreats. It is why some of the very best opportunities of the past two years have been found in Greece, Lebanon, Libya, Cyprus, Iceland, Ireland and even Egypt.

          Don’t forget that. Upside follows downside. What falls rises again and vice versa be it housing, stock markets, countries or even poverty and those who see that the poor now will be wealthy later will surely appreciate how and why money flows to the areas of best opportunity.

          Even to Africa where the new consumers here might make some Americans blush green with envy.

          Kanaan — Waving Flag

            Jan 19, 2014 19:12 AM
            Jan 19, 2014 19:16 AM

            Whoops!….wrong copy and past. Try this instead. Shakira “This Time for Africa”


            Jan 19, 2014 19:17 AM

            Oh screw it. Stupid computer. Find it yourself!

            Jan 19, 2014 19:11 AM

            Good to hear from you Bird.
            Only thing other than from yourself I have heard about Africa was a comment from Doug Casey, he said if he were a young man thats where he would go due to the opportunities. He felt an education there was pretty much priceless etc etc.

            Anything else I have heard was from msm, I pretty much believed it, makes me feel kinda dum, here I am saying the government lies when I comment about hemp.

            I must remember, there is not a single word that can be believed from our governments, other than they intend to raise taxes etc.

            Jan 19, 2014 19:06 AM

            Trust Casey. He is brilliant in my opinion and finds pearls in every oyster.

            Jan 19, 2014 19:09 PM

            Speaking of Casey and comments on Africa, B…… he is of course perfectly correct that the opportunity here is huge. Massive may be a better term. A Western education is priceless too. Knowledge of marketing must surely be worth its weight in gold. Nobody professional has really touched this area of the world until now. It is virginal from that perspective and remains one of the last great bastions of opportunity ripe for investment. About a year back I began telling readers here about the dearth of processed foods and small affordable manufactured goods. Someone has been listening. New York or London money no doubt. In just the past few months a plethora of new food products have suddenly appeared that I have never seen before. You can buy chips here now! Good grief….they even have two flavours. The advertising and packaging are very, very slick. Very Western. So unlike what the local producers were putting out just recently. No way it is a coincidence. Just a few short months ago I had not ever seen a locally produced bag of salted nuts, boxed chocolates, candy bars, corn puffs, animal crackers or chips except in the few rare import supermarkets. All of it was from overseas. I realize this may sound very stupid but it is a big deal here in East Africa where most food still comes in raw forms by the sack. What is intresting is that I cannot define who is behind this fresh blast of food production. It is just too good to be locally developed but the company names behind it are not obvious. They are surely American or European backers though. Mars and Snickers have been here for ages of course but only in the form of imported bars. Suddenly there is local production of similar good quality sweets though. Most of the big guys have been unwilling to touch this market in the past. The optics were all wrong for them. The risk of association too negative. They would not come within a ten foot pole of a country whose past is so intimately tied with famine for example. McDonalds is not here yet. Neither is Wendy’s, Harvey’s, KFC, Pizza Hut or any of the other famous food franchises you know well but that are represented across the globe already. But somebody is surely investing by proxy. There is a sudden and surprising boom in processed food production here. It looks very profitable too. The public has embraced all this new stuff with abandon. Who knew eh? Coke was amongst the first to enter the market and blaze a trail some years back. Others have followed as they witnessed that companies stunning growth in just the past five years and now they are busy trying to play catch up. The competition has been weak if not actually non-existant in the recent past. Too easy to dominate if you have any marketing experience and some dollars to throw around. I am almost speechless by how quickly this happened (I am NEVER truly speechless of course!). But it is quite a big change. This area represents one of those chances that don’t come along more than once in a lifetime really. It is just moving so quickly though. You simply cannot afford to ignore it. Explain to the board after the fact why you were too chicken to take a serious look until others took control of the whole damned market. Explain it after your competition took the whole place by storm without any resistance whatsoever. Really amazing B. One day you must come over and see for yourself. It is a marketing man’s dream come true.

            Jan 19, 2014 19:55 PM

            Great to have you back Bird, and to know that all is well!

            Jan 19, 2014 19:18 PM

            And booze free too since it was my New Years resolution. Thanks to you too Al. Your show has been the highlight of my past year. I have been enjoying it more than all others combined. Cheers! I am sure another great year lies ahead for you and Cory and the gang.

            Jan 19, 2014 19:59 PM

            This is just a short added note to my corporate friends who are reading my Africa comments but never reply directly to me on this site…..

            I want to repeat an idea I expressed here last month that is so important it needs to be duplicated for refreshment. Here in North and East Africa there continues to be a serious shortage of US dollars. This has inhibited growth for many foreign companies that rely primarily on imported inputs for production but it has also become a boon for those who can source supplies locally in the domestic currencies.

            The reason for this is simple.

            Governments here will not easily give out USD or Euro for anyone demanding import inputs unless they have muscle or they are connected. The flipside is that anyone who can produce with local supplies what is currently being imported has the red carpet treatment and can aquire virtual monopolies on domestic markets.

            Take cheese as just one example. In the year 2012 there were almost 2 million dollars of production imported from Europe. Cheese is not produced in Africa in any commercial quantity. Producers are for the most part very small. Coincidentally It is also extremely costly to buy good cheeses or dairy products here as it is not a customary food nor does it usually meet European standards.

            And yet demand remains quite high due to all the foreigners who come here each year. Tourism is on the rise across the continent (despite the conflicts) and that may be in part due to aging populations in the West and Asia. Demand is rising sharply too as caterers attempt to supply all the conference, corporate and diplomatic traffic that has arrived recently.

            Should a cheese producer arrrive on the scene and supply product that is currently being imported then the government will deny the exisiting importers the rights to buy from abroad and restrict their access to dollars for the specific products being discussed. Cheddar, Feta or Romano are excellent examples.

            This is important. It means that domestic producers (of imported goods) can quickly get squeezed out of the local market simply by virtue of governments denying importers the right to buy. It is a deadly squeeze too as upstart producers and manufacturers supplant simple buyers and goods traders. Brain dead stupid easy to take over and dominate too.

            The exact process for identifying the best opportunities here is actually very simple so pay attention. Just look into the published statisitics of what is being imported and in what quantities to understand where money needs to go. Volumes and demand obviously matter. Two million dolllars of cheese is clearly peanuts but looking deeper reveals the real gems in those African countries suffering serious foreign exchange shortages.

            Most of these governments are very stressed and struggling to meet the endless rising demands for fuels (oil, gas, coal, propane, diesel, gas etc) and so that is what has become their priority in dispensing trade currencies. They simply don’t have cash on hand to dish out to every wanna-be buyer for imported shampoo’s, soft drinks, jewelery, textiles, technologies or computers.

            You must produce in Africa to sell in Africa. You must use local inputs to be a success.

            So that’s your tip boys (and girls!). Identify what is being imported first. Step two you appraoch the investment offices and tell them you willl produce something that can be exported while at the same time saving them the crucial FX that is lost to consumer imports. You will shine like a golden light in their eyes and get red carpets for the efforts.

            I hope this has helped just one of you. The Chinese have a huge head start though. This is my way of passing on some tips to some of you back home to give an advantage everyone else here already knows about but that you also need to know. Simple money mechanics.

            Jan 20, 2014 20:39 AM

            Just a small correction to the above posts. The example of two million dollars of cheese imports applies to only one sample country. Sorry if that was not clear. Secondly, I wrote the following…..”This is important. It means that domestic producers (of imported goods) can quickly get squeezed out of the local market”…….but what I intended to write was that domestic “buyers” would be squeezed out. Not “producers”. Very sorry for the confusion. Must be old age and senility setting in. I will try to enjoy the ride down as much as I loved the ride up!

    Jan 18, 2014 18:48 PM

    Gold always goes where the economy is strong, it doesn’t matter if you are in a depression or not what is different now is it will be locked up and guarded and not used as a trading tool. DT

      Jan 18, 2014 18:31 PM

      Spot on DT! People are going to be blown away how much of the physical gold will NOT see the light of day NOW! Of course, this play in the market for years to come!!!!

        Jan 18, 2014 18:33 PM

        “MARC” my words, there will come a time (sooner rather than later) that you will desperately want physical gold to balance or SAVE your financial state of affairs – and their will NONE around to satisfy even the SMALLEST of desires. Sorry, the gates are closing fast…and the price to move into YOUR HANDS will be “DEAR”…indeed!!!

    Jan 18, 2014 18:35 PM

    Bunch of grammatical errors…:)…you get the picture though….)

    Jan 18, 2014 18:24 PM

    NEW VIDEOS – NoCal Beach Readings
    Still Sky High 380 CPM

    Franky, we are fuked!

    I go walk my dog now!

    Jan 18, 2014 18:41 PM

    Will A New Napoleon Arise?

      Jan 18, 2014 18:43 PM

      Gotta say Bill, some of your sources seem pretty “out there”!

        Jan 18, 2014 18:26 PM
        Jan 18, 2014 18:41 PM
          Jan 18, 2014 18:56 PM

          Well of course it is! What would you expect?

          Jan 19, 2014 19:14 AM

          ‘Israel has a vast stock of nuclear, biological and chemical weapons it has never even declared, and should be the focus of concern in the Middle East, not Iran’, says James Feltzer.

          Who can argue with that?

            Jan 19, 2014 19:07 AM

            Only the people who appreciate that something “undeclared” is about equal to soemthing that does not even exist. I can say I have spaceships, warp drives, cloaking devices and other technologies equal to the stuff you saw on Star Trek……………… you believe me when I say it though?

            Jan 19, 2014 19:58 AM

            Then Israel should open its doors Birdman to all those who ‘know’ where their arsenals are kept. If they have no weapons of mass destruction then they should avail themselves of all requests to take a look.

            Welcome back by the way….seems you’ve ben absent for a week or so!

            Jan 19, 2014 19:01 PM

            I feel very tired now, Reverend. Old age must be catching up with me. Good to hear from you too.

            Jan 19, 2014 19:00 PM

            No one with half a mind can argue with that, Reverend!

    Jan 18, 2014 18:45 PM

    Nigel Farage – We Are Now Run By Big Banks
    And who controls the big banks?

      Jan 18, 2014 18:51 PM

      Day control ALL THANKS ! BOB !

      Jan 18, 2014 18:05 PM

      bob, does Nigel mention his first clue?

      I have always thought it too bad so few people understood the “moneychanger” warning.
      Julius Ceaser opposed them, maybe things would have turned out differant had he not been assasinated. Probly not I guess, as Bob M says, “people are dummer than bricks”.

        Jan 19, 2014 19:07 AM


          Jan 19, 2014 19:42 AM

          Its my hairlip.

            Jan 19, 2014 19:43 PM

            Don’t make me laugh, man! I have sore ribs already. The amusements of written English are endless. Like when Homer Simpson keeps saying he is S.M.R.T. which is pretty hilarious too. Hairlips always get a good laugh (unless you have a girlfriend who has one). Think I am going downhill now…it is all so not suffisticated.

      Jan 19, 2014 19:57 AM

      The faint applause says it all bob!

      Jan 19, 2014 19:00 AM

      Eloquent speakers are few and far between in the current era.

        Jan 19, 2014 19:02 PM

        How about INTELLIGENT speakers, Tec?

      Jan 19, 2014 19:51 AM

      The woman sitting behind Nigel looked a bit like Karen Hudes.

    Jan 18, 2014 18:57 PM

    You don’t get a better source than The New Testament, do you?

    Jan 19, 2014 19:56 AM

    I am reading a book about one summer in America the year is 1927, an amazing time in American history but what strikes you almost immediately is how poor most people were. Death was a constant companion there were no social programs other then a few run by religious orders.

    Whole families would die from diseases like tuberculosis, rheumatic fever, typhoid fever to name just a few and there were no antibiotics so simple infections could easily spread and take life. As well it was a more violent time no matter where you lived.

    We have a lot to learn from our recent past. DT

      Jan 19, 2014 19:18 AM

      Do not make the mistake of correlating social programs with improvements made to living conditions.
      I can make an argument that WWI was a result of Germany struggling to support its “Social Security” system put in place a generation before. Struggling to support the expanding program Germany easiest way out was plunder.
      Just because things occur contemporaneously does not demonstrate a causal relationship.

        Jan 19, 2014 19:26 AM

        Dick was only pointing out how technology and medical advancement has changed the equation and therfore the outcomes we should expect in this Great Recession versus the last. He makes an excellent point when he draws the attention of readers to the poverty that existed before social safety nets came into being.

          Jan 19, 2014 19:04 AM

          Bird, glad you are back! DT

            Jan 19, 2014 19:25 AM

            A Tree Grows in Brooklyn

            Jan 19, 2014 19:58 PM

            Good to read you again too, DT. Weird that Dennis mentioned the novel “A Tree Grows in Brooklyn”. It has a special meaning for me but I cannot tell any of you why.

    Jan 19, 2014 19:56 AM
      Jan 19, 2014 19:37 AM

      another site with the video in case the above does not work

        Jan 19, 2014 19:39 PM

        NOW the plot thickens furtner….only 5 tons of German gold has been returned by the FED.

          Jan 19, 2014 19:27 PM

          GOOD NEWS ( TEX ) tanks Something coming !

          Jan 19, 2014 19:22 PM

          yes, and the excuses they gave for why they could return such a small amount were ridiculous. also ridiculous as to why they had to melt and recast the bars.

          you have the German’s gold in safe keeping — it is the equivalent of a safety deposit box. whatever they put in, should be returned to them — the exact same bars, so that they can be accounted for by serial number. If the Germans then wanted to melt and recast the bars into a form meeting the requirements of London good delivery bars, they could do it themselves.

          They also gave the excuse that the refiners were back-logged and that it was slowing down the process. So two questions… why didn’t the French have the same problem and second, why don’t the Chinese have a problem in getting massive amounts melted down and refined into the form they prefer?

          The powers that be lie to us every day and they evidently think we’re all sheep — that we are all just going to accept this nonsense.

            Jan 19, 2014 19:20 PM

            “The powers that be lie to us every day and they evidently think we’re all sheep — that we are all just going to accept this nonsense.”

            Just my opinion but I think they have every reason to expect people to accept the nonsense, probly because 95% of people are sheep. lol.

            I dont know if anyone recalls, but maybe 2-3 years ago, some wealthy asians discovered they had lost millions/billions due to PM manipulations.
            At the time they said they had no intention of sueing or charging the manipulaters, they just intended to “make them broke”.

            @kwn I think its Maguire saying the chinese are now offering over spot to miners for gold, Im sure there are implications to that, that combined with the Mr.Sprott interview is a pretty interesting read.

            My point of course, is even with 95% sheep accepting what our fearless leaders feed us, things are gonna change.

            Jan 19, 2014 19:06 PM

            Unfortunately white collar criminals are treated like Robin Hood in our society and you can steal millions and not face much if any punishment; therein lies the rub. DT

            Jan 19, 2014 19:31 PM

            The only time you face punishment is if you are a woman or a male who takes from the rich for his own gain. DT

            Jan 19, 2014 19:46 PM

            you make a good point, ‘B”.

            Their ability to hold things together, on a relative basis, has enabled the 95% to continue to focus on reality television (or their diversion of choice). The minute that prices at Walmart and the gas pump lurch higher, however, the level of recognition and social acrimony is going to reach an entirely different level.

            some of the puzzle pieces are finally coming together. the drip…drip…drip can lull one into believing that there is plenty of time before the change will take place. but you finally reach a trigger event or two, and the drip turns into a torrent.

            Jan 19, 2014 19:05 PM

            It is all garbage, Eric!

    Jan 19, 2014 19:39 AM
    Jan 19, 2014 19:19 PM

    Being able to hold gold in this form is significant for several reasons.

    First, it makes gold ownership available to all budgets. Many of the world’s households have been priced out of gold to date. This changes that completely.

    Second, it enables the potential for everyday transactions should we ever return to a precious metal-backed monetary standard. It answers the challenge: How will you pay for your groceries with gold? With an Aurum, it’s now easy.

    Whether Valaurum’s product emerges as the winning horse or not, the world definitely needs this type of solution (i.e., convenient fractional physical metal) to go mainstream.

    I’m very excited by this new innovation in the bullion industry, and I explore the matter in depth in this podcast. If you’re similarly intrigued, it’s worth the listen.

    And for those of you interested in owning an Aurum of your own, you can learn how to purchase the Peak Prosperity Aurum pictured above by clicking here (Peak Prosperity does NOT receive a fee on these sales).

    Click the play button below to listen to my interview with Adam Trexler (36m:59s):


      Jan 19, 2014 19:37 PM

      b, it’s easy to buy groceries with gold, you have the gold we will buy it from you and give you monopoly money. But if you think for a moment that gold won’t buy you groceries you have been conned. DT

        Jan 19, 2014 19:50 PM

        I dont know of anywhere I could “spend” gold or silver.
        The videos of people attempting to buy coffee etc or sell an once for $5 I thought were pretty telling.
        I dont think many people in the west are even aware of what it is. Other than jewlery.
        But selling my metal is no problem, thats true.

          Jan 19, 2014 19:55 PM

          B, are you for real, if I want to buy something and I need currency to purchase the item whatever that is I will just sell an ounce of gold but only if I am broke and the market will more then gladly pay the going price, which will be determined at the time so don’t tell me gold or silver won’t buy me what I want, that I’m sorry is silly and shortsighted. DT

            Jan 19, 2014 19:37 PM

            But selling my metal is no problem, thats true.

            DT are you on crack? lol
            I dont think your reading the posts.

          Jan 19, 2014 19:08 PM

          Nor mine B!

        Jan 19, 2014 19:08 PM

        Common Machine Gun, transactions today are irrelevant. Tomorrow is the concern!

    Jan 19, 2014 19:25 PM

    The links didnt work again, this is from Chris Martenson’s
    Peak Prosperity.

    The company “Valaurum”, is making “Aurum”, a gold bill. 1/20th of a gram of gold.
    At $10 each I had to get some.

      Jan 19, 2014 19:41 PM

      You go right ahead but when you get duped out of your aurum don’t feel sorry for anyone, gold is gold. DT

        Jan 19, 2014 19:54 PM

        Duped out of Aurum?
        Not sure if your getting the point of it DT, its just very neat to have a few gold bills in the wallet.
        They will fit well in christmas cards too.

          Jan 19, 2014 19:00 PM

          Really, you go right ahead but you better make sure of what you are buying and if anyone will accept it, I only want the real McCoy not some phony money issued by some paper hangers. DT

            Jan 19, 2014 19:02 PM

            Well, then, they are probobly not for you.
            Me, I think gold “bills” are a neat idea.

            Jan 19, 2014 19:40 PM

            Dick, I think you are missing the point of the product, which is made out of actual real gold, it is not a paper promise. You can burn off the polymer coating and are left with 1/20th a gram of real gold.

            Jan 19, 2014 19:10 PM

            Machine Gun, us too as we want the real thing!

    Jan 19, 2014 19:38 PM

    Maybe that will work.

      Jan 20, 2014 20:37 AM

      b, I’ve bought just a few – before long surely they’ll be worth more than $/£. Otherwise an interesting keepsake! A

        Jan 20, 2014 20:31 AM

        PS Is Aurum the personal computer of gold?

          Jan 20, 2014 20:32 AM

          Hi Andrew, I think theyre selling them for exactly what theyre worth now.
          When you purchase small pcs of gold the prices go way up, grams are real high
          Grams are about $60 around here.
          I really just think having a bill made of gold is neat and I can put them in birthday/christmas cards for kids.
          The bills cost me about $8 each, I bet I would have no problem at all trading 1 for $10.
          Just fun maybe, but I really like the idea of gold bills.

          Not sure what you mean by personel computer of gold.

            Jan 20, 2014 20:44 PM

            b, yes c $8 here as well. Ref to personal computer as understood by Alan Taggart (towards the end of his 37 min interview) means that whereas originally pc’s were way out of reach for Joe Public until cheap enough through mass production to became accessible for everyone. Like you I just like the idea of having them in tradable form ….less spooky than Bitcoin at least for me!!

            Best, A

            Jan 20, 2014 20:17 PM

            A, I didnt actually watch the whole video, I was “sold” as soon as I heard the idea and went pretty much straight to ordering them.

            We have an Indian comunity here,(from India), I buy gas from an indian regularly, I always pay cash. I am gonna bring one out next time I pay him and say “sorry,you dont want those, there gold” just to see what he does.

            I expect I am going to have a great deal of fun with them.
            Not sure I ever mentioned, about 35 years ago I got a pce of paper from a California christian church that said I was a reverand. I used to play cards big time in Vegas.
            Boy, did I ever have fun with that “reverands ticket”, alot of rich boys would have a pretty thing on their arms, I would ask her if she wanted to marry him, invavariably she would say yes, I would look at him and say “just nod”.
            Talk about putting a guy off his game, from that point on I “chewed” them up pretty good. I know, rotton, but fun as heck. The regulars there got some laughs too.

            Jan 20, 2014 20:08 PM

            b, Sure they’re trading at a large premium, but with their novelty alone your Indian friends might well bite. Enjoyed your ‘Reverend’ post!

    Jan 19, 2014 19:57 PM

    Hi, “B”
    Are you familiar with the Valcambi 50 g bar that is divisible into separate one-gram units? This is trading much closer to the spot price of gold. Here is a link at

    What I think we will see more of, though, is electronic transactions of fractional gold and silver, based on physical in vault storage. Such that if I have ‘x’ number of ounces in a vault, I can then buy and sell goods with another who has a fractional interest in the gold and silver — with tiny portions of the gold and silver being transferred from person to person based on the transaction values.

      Jan 19, 2014 19:02 PM

      Eric, physical in vault storage that is third party are you popping pills. DT

      Jan 19, 2014 19:45 PM

      Hi Eric, yup Ive heard of those, Peter Schiff sells them I believe.
      I have gold pcs in lots of differant weights,
      I was kinda excited about the gold “bills” at 1/20 of a gram, I didnt have any at that weight.

      I have 5 cent pcs of silver that are 1 gram too. I havnt found weights lower than that in silver.

      We could end up with electronic gold, that allows us to go down to grains Ive heard.

    Jan 19, 2014 19:15 PM

    I’m not suggesting that it is a substitute for personal control of physical metals in the present circumstances. But one day, in the absence of a gold-backed currency, I can see it for e-commerce.

    And yes, it would come down to the level of trust you had regarding the storage. (for example, the differentiation that is being made now regarding PHYS vs. GLD).

    Jan 19, 2014 19:16 PM

    Jerry OO^TB, are Hostess twinkies back on the supermarket shelves. DT

    Jan 19, 2014 19:36 PM

    ZeroHedge article tonight: China expected to announce it has more than doubled its gold reserves:

      Jan 19, 2014 19:16 PM

      Most interesting…..thanks

      Jan 19, 2014 19:39 PM

      That article is based on a misreading of an article which took a Bloomberg speculation about how much gold China has as an actual statement by China. China has not made any annoucement but many expect it may do so in April this year, as it will be 5 years after their last statement about their reserves (which was 5 years after the previous one).

        Jan 19, 2014 19:13 PM

        Thanks Bron, great job on the Weekend Show by the way!

          Jan 20, 2014 20:15 AM

          Yes….great point about the five year announcement interval, Bron. I think you may be correct here and such an announcement will materially impact gold no matter what they say. I actually suspect their holdings are quite significantly more than double what is on record though. Just flipping through the data on the last years of imports from Hong Kong, Europe and the US leaves one with the impression that purchases have been quite significant in the intervening years. That does not even take account of domestic production, all of which stays in the country. Lets add it up. Chinese gold consumption is off the charts. A simple doubling is more myth that reality as actual stores might be treble or quadruple what has been previously announced. Let us prepare for a shock when (and if) real numbers are released.

            Jan 20, 2014 20:41 AM

            3 years ago? The chinese anounced 1054 tons? 100 tons a month they import? 36 months, add the 400 tons a year they mine themselves. smuggling and other “sneaky” imports, round it off to maybe 6-7000 tons is my guess.
            I actually dont see many people being “shocked” if they were to anounce that much.

            Jan 20, 2014 20:29 AM

            Glad you see it too, B. I don’t know why we keep hearing from guys suggesting the Chinese reserves are so pitifully small as a mere doubling of past amounts. Can they not do math (no offence Bron!) but we should all know by now that China’s CB reserves have grown substantially just based on the public media reports out of the PBOC we are already familiar with.

          Jan 20, 2014 20:32 PM

          My computer decided to bog down earlier.

          Bird, my thinking about how much gold the chinese have is that they will reveal what they have when they feel it is the correct amount to give them their intended affect.
          under 10k tons will not surprise me, under 5 would or(stretching it) over 20k. There is nothing saying they will tell us precisly what they have, they could just pick a number for affect.

          I think, the exchange they have built for dealing in physical gold will have more of an effect than their gold holdings.

          The Chinese are out thinking the west if you ask me, the last move they made is paying more than spot to miners for their gold.
          This eventualy will matter big time, that could prevent alot of gold going to the west and they will bypass the Comex lbma, etc etc.
          South American countries would love to do business with China over the U.S., the U.S. has assasinated more than 1 south american president, people dont forget that kind of thing, now with the spying and illegal invasions etc etc
          Countries are going to be more than happy to do business with China instead of the U.S.

          The information you gave about africa is pretty much pricless to the right people.
          I am afraid,I agree with D Casey, It being a young mans game.

            Jan 20, 2014 20:03 PM

            Thnanks B. I was beginning to wonder if anyone had read those posts or they had just gone to the dead letter box. I think what I have discovered since coming over here is how little I really knew about what I thought I knew already. I really don’t know how anyone could build an investment strategy without actually spending time on the ground either but guys try it all the time. Mixed results of course. In my own case I am just an observer due to poor health and family issues but I cannot resist passing on the ideas that I have come across bit by bit. Somebody can use them. What amazes me most is how few Americans and Canadians have come to participate over here. It is mostly Chinese and Indians taking all the risks and building the new business. From what I can see they are doing pretty darn well. I met a guy a few days back from Israel though. The government has given him a square kilometer of free land to grow veggies and fruits and make a business. Wow. Couldn’t we all use a spare kilometer of land in our lives!

            Jan 20, 2014 20:26 PM

            Bird, In Canada “crown” land was givin up till the mid sixties? Dont quote that, could have gone on longer. The land had to be “improved” every year.
            I have mentioned to my daughter that going east might be an idea,I figure N.america is going to get pretty much “shut down” in about 20 years, slowly the government noose will tighten. I thought it might be better for her kids, but, most people really dont like moving, especially for adventures. lol. Seems to me most people are more of the tourist variety.

            Jan 20, 2014 20:42 PM

            Indeed. Excellent point B. I also recall Crown Lands being gifted as late as the mid Seventies in British Columbia. You had to clear the land of your choice, fence it and occupy for some period of time while building a home and it was yours. They even gave you the mineral rights at an earlier point. What a deal! All that is probably long gone now but to tell the truth I don’t have any facts on it. Anyway, here in my part of Africa, top quality farm land is now being leased for just a few dollars per hectare per year. Leases run for 99 years and the land is effectively yours to do with as you wish. Some Indian, Saudi, Chinese and other nations companies have seized on the chance and taken up tracts amounting to tens of thousands of hectares to plant cotton, sugar, peas, grains and orchards. Most is destined for export back to their home countries. The great thing about these lands is that they are almost devoid of pesticides and pollution. Africans have never had the money to chemically treat crops so much of what is produced here now is wholly clean and organic. That in itself is a big creator of demand that would be sustainable even if lease prices were higher. So it is a land rush especially for some countries like China that have seen much of their productive farm properties destroyed by pollutants over the past few decades. Consumers are demanding it too. Who does not want food that was grown without all the herbicides, pesticides, defoliants and other associated contaminants that are typical of more developed countries? The Israeli I mentioned above, by the way, could have gotten much more land if he had asked. He just didn’t think he could manage that much by himself when it was being handed out some years back. Now he is kicking himself because it has become so damned profitable. More is always better I suppose!

            Jan 20, 2014 20:56 PM

            By the way, I also have a sense of optimism for African deelopment and growth in the coming years. With median ages of between 15 and 20 in many of these countries it means that a new consumer economy is on the rise. The West could crash and burn or perhaps just flatline on growth for the next decade and it would not dent what is taking place here one bit. Part of the reason is that much of africa is quite disconnected from the outside world. They are not linked financially to the global credit and banking sectors that present so much future risk to the same extent more developed nations are. Growth in these countries is being generated internally for the most part. It is youth driven. Exports continue to be weak but in some respects that is a plus if your economy is not too dependant on outsiders. So in summation it seems obvious to me why investment dollars are now flowing here from the coffers of the worlds most dominant companies. It is still risky though. Nobody is going “all-in” or anything like that but the shift is underway and this continents prospects have finally caught the attention of the board rooms in the West. BBC Africa edition does a great job of portraying the risks and rewards here by the way with regular features of interest. I can pick it up by satellite here but not sure if it is available where you live

            Bird and B…………..Thanks for the exchange……interesting comments………..

    Jan 19, 2014 19:15 PM
      Jan 20, 2014 20:18 AM

      franky, there’s something about David Icke I don’t trust. Is he a freemason?A

        Jan 20, 2014 20:42 PM

        i now only much human listen to hime !

    Jan 20, 2014 20:57 AM

    Goldman sticking to lower commodity prices in 2014.