View Full Version : Reality Dawning...For Gold

30th October 2008, 18:04
"In the third weekend of November, leaders of the G-20 nations will assemble in Washington for urgent economic talks. There may even be calls for a new Breton Woods to discuss a revised world monetary order. Key will be China's role. It is likely that a major debasement of all currencies will be undertaken to rescue the global economy and with it, the world's politicians. As this proposal gathers momentum, gold is likely to explode in price.

However, with the possible exception of countries like Switzerland, politicians the world over are likely to create international rules designed to preclude the holders of gold from making "windfall profits."

Therefore, holders of gold should renew their efforts to ensure their holdings of gold are as isolated as possible from the long, greedy arm of the law."

To read the whole article...


30th October 2008, 18:18
Well Kelly, that makes me feel very smug because that is the reason why I stick with silver despite all its warts. Frankly, gold scares me due to the tremendous emotional baggage attending it.

However, if you look at the total value of all gold as compared to all paper money, it is very, very small. I frankly don't understand why TPTB fear it so much if, in fact, they really do. Back in FDR's time the value of gold was FAR higher relative to the economy than today. Now its only a flea on the back of an elephant.

30th October 2008, 18:33
Gold scares the crap out of me to, but it has very little to do with emotional baggage. The central banks in Russia, China and the European Union are all increasing their holdings of gold. Never-the-less, over of the world's above ground gold is held in private hands, and the vast majority of that is held in the private vaults of a handful of banking families that are primarily European. So, if the New Breton Woods decides that the new "Monetary Global Authority" demands a new currency that is at least partially backed in gold, gold will likely shoot sky high as the author suggests. And I agree with him, either gold confiscations or some sort of law reducing the profits one can make off of gold is likely to come into play.

But the banking families are not subject to those laws; not really. If gold goes sky high all they have to do is privately sell gold to their banks from their own private stash, and they get richer, while the average "little guy" gold investor will likely get robbed blind. Those bankers never need to go through a third party to sell their own gold to their own banks. They are the only ones holding gold who will be above the law.

Personally, I wonder if the new "Global monetary authority" will necessarily go the confiscation route. I think it is far more likely that as gold goes sky high, they will simply issue a "Global monetary tax" that confiscates at least 50% of the profit when any investor goes through a dealer to sell their gold.

30th October 2008, 18:43
Has the balance changed from central banks now? I thought they still held the lions share.

I just can't see a global monetary authority happening. You take one look at the UN to understand why. Its a half-baked idea that would be utterly unworkable.

30th October 2008, 18:51
Has the balance changed from central banks now? I thought they still held the lions share.

That's a misconception. The Central banks have never held the lions share of the above ground gold.

All the gold ever mined in the history of the world:
150,000 tons x 32,152oz./ton = 4.8 billion ounces.

From GATA http://www.gata.org/node/104

We can summarize Global Central Bank reserves by Bloc in terms of tons of gold

Muslim 1328.3 tons
Eastern Europe-Russia 729.1 tons
Latin America 537.5 tons
Asian 2624.9 tons
Europe 13681.7 tons
USA 8698.2 tons
IMF 3217.3 tons
BIS 206.2 tons
TOTAL 30.819.62 TONS OR 990,912,422.24 OUNCES

So the world's central banks presently hold roughly 1 billion ounces of gold out of the 4.8 billion ounces that have already been mined. That's less that 25%.

See what I'm getting at?

30th October 2008, 19:10
I just can't see a global monetary authority happening. You take one look at the UN to understand why. Its a half-baked idea that would be utterly unworkable.

It doesn't matter if everybody agrees with the global monetary authority or not. Those that agree to it will form an international trading bloc and by virtue of their numbers, they will be the largest trading bloc in the world. They will end up dictating what the worlds' reserve currency is going to be.

Nations will either buy into it, or they will not be allowed to trade with that trading bloc. At the very least, those who do not agree to be included will be forced to purchase the new reserve currency, particularly if they want to buy any oil.

Whatever they come up with, it will simply be another Ponzi Scheme.

30th October 2008, 19:29
Think about it. Europe is running this show and they know it. The OPEC nations are already just a hairs breath away from officially declaring that oil will be traded in Euros, which is precisely why China and Russia are listening to the EU.

The EU press is openly declaring the US and the Federal Reserve the bad guys. And it's all nothing but Macheveillian illusion because the Federal Reserve is basically owned lock stock and barrel by the same guys who own the ECB.

For the sake of illusion, the new Global Monetary Authority may indeed create a new reserve currency. If they do, it's nothing but spin.

It doesn't matter what they call it. The new currency will still be run by the same guys that now control both the Fed and the ECB.

It's a Wizard of Oz game. Over and over and over again.

Or call it a "good cop - bad cop" game. It doesn't matter. Ultimately both sets of cops are working for the same team.

America will be the fall guy this time around. By the time the world gets wise to the scammers behind the New Global Authority, people will percieve America as the good cops again.

Until the world figures out that they need to get rid of the masters of Federal Reserve Banking system AND the Euro system, AND the new global monetary authority, there really is no such thing as a good cop.

Tribal Warrior
30th October 2008, 19:49
I know one thing for sure, China & Russia in the last few years have been buying up whatever gold they can get their hands on. China and Russia I think will have a pretty big say in these meetings coming up in November.

30th October 2008, 20:09
Warrior, I couldn't agree more. In fact, when they came up with the official guesstimate of how much gold had ever been mined since forever, NOBODY, as far as I know anyway, was counting the gold held by Asia; particualrly China and India.

Throughout all of antiquity, when gold was "Gods' official currency," both China and India were absolutely major players in trade. These folks are not new to the game at all. Cripes, all the overland trade routes of antiquity that went to the Middle East led straight back to India and China. It's a proven fact that the ancient shipping leaders of the Middle East, the Phonecians, had their origins in the Marine fleet run by India and from there, India's history goes back a long ways. They either fought with or were taken over, or were merged with the Mongul tribes traditionally called the serpent or the Dragon; the ancient name for China.

That's why I have repeatedly told people from the EU they'd better watch their backs. If the EU as the self declared leaders of the "new global monetary authority" even look like they are trying to pull off a new Ponzi scheme, look out!

China has already been bitten by the US side of this game. If they get bitten by the EU side as well, they are not going to be happy campers.

Whatever happens, the PTB would be wise to remember that historically, the Great Red Dragon does not mess around. I believe the Rig Veda will give witness to this fact.