Tuesday, December 31, 2013
The Gold Owner's Guide to 2014
"It's tough to make predictions, especially about the future." - Yogi Berra, baseball philosopher
Since the beginning of gold's bull market in the early 2000s, we have recommended an unambiguous course of action: Own the physical metal -- fully paid for and stored nearby -- then sit back and watch the show.
Part of watching the show is the forecast and prediction festivities that greet each New Year. This year's entries will be of special interest to gold owners coming off the first down year for gold in the past thirteen. As our good friend, James Turk, says further on: "One losing year after 12 winning years is not that bad."
Read in full
Sunday, December 29, 2013
Quote of the Week
The question isn't who is going to let me; it's who is going to stop me. ~ Ayn Rand
Weekend Chillout - The Last
Seeing this is the last chillout of the year I thought would go the theme of Last. Please enjoy one of my favouite Aussie singers - Kate Miller-Heidke.
Saturday, December 28, 2013
Friday, December 27, 2013
Diamonds are an Investors best friend
Like gold, silver and cryptos, diamonds are of limited supply and cannot be created in their natural form at least by decree. Is that the real reason their prices have increased, investors exiting fiat into tangibles?
Fiat Money only works when backed by men with guns
Yes Paul I totally agree, fiat currency needs to be forced upon people by men with guns. Unlike gold, silver and crypto coins which people involved in the trade of goods and services have freely chosen to use.
Keiser Report: NSA manipulates bank accounts?
From RT
Published on Dec 26, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the suggestion that the NSA may be manipulating bank account balances and financial markets. They also discuss 'accidental' tax breaks for billionaires in America; while, in the UK, the tax office 'loses nerve' about pursuing multinationals and instead targets small and medium sized enterprises.
In the second half, Max interviews precious metals analyst and presenter, Jan Skoyles, about silver, gold, handbags, crowdfuncing and Chateau du Pepe.
Published on Dec 26, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the suggestion that the NSA may be manipulating bank account balances and financial markets. They also discuss 'accidental' tax breaks for billionaires in America; while, in the UK, the tax office 'loses nerve' about pursuing multinationals and instead targets small and medium sized enterprises.
In the second half, Max interviews precious metals analyst and presenter, Jan Skoyles, about silver, gold, handbags, crowdfuncing and Chateau du Pepe.
'Mission Accomplished': Snowden opened secret world to public
From RT
Published on Dec 25, 2013
National Security Agency whistleblower Edward Snowden sat down recently for a 14-hour interview with Barton Gellman of the Washington Post in Moscow. Gellman is the first journalist to speak in person with Snowden since he fled to Russia over the summer. RT's Ameera David speaks with Gellman about the interview and his thoughts on what Snowden had to say.
Published on Dec 25, 2013
National Security Agency whistleblower Edward Snowden sat down recently for a 14-hour interview with Barton Gellman of the Washington Post in Moscow. Gellman is the first journalist to speak in person with Snowden since he fled to Russia over the summer. RT's Ameera David speaks with Gellman about the interview and his thoughts on what Snowden had to say.
Thursday, December 26, 2013
Keiser Report: Santa's Workshop vs Big Oil
From RT
Published on Dec 24, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the no Ho, Ho, Ho this Christmas as Canada claims Santa's workshop in the race to secure oil and mineral reserves in the Arctic.
In the second half, Max interviews former energy market regulator, Chris Cook, about the middlemen who have taken over the energy market and the roulette wheel with 16 zeroes on it as we move from dollar economics to energy politics and diplomacy. Finally, Chris Cook and Max discuss gas-coin as a new alternative currency backed by natural gas.
Published on Dec 24, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the no Ho, Ho, Ho this Christmas as Canada claims Santa's workshop in the race to secure oil and mineral reserves in the Arctic.
In the second half, Max interviews former energy market regulator, Chris Cook, about the middlemen who have taken over the energy market and the roulette wheel with 16 zeroes on it as we move from dollar economics to energy politics and diplomacy. Finally, Chris Cook and Max discuss gas-coin as a new alternative currency backed by natural gas.
When Reality Overthrows Imagination
Imagination is an exclusively human faculty. Only humans can imagine.
I have on another occasion mentioned Arthur Koestler’s remarkable book, “The Sleepwalkers”. As a child of his time, Koestler accepted the theory of Evolution, but he did have a question (which he did not answer) regarding this theory.
I am not quoting Koestler’s very words, but this is their substance: “If we are evolved creatures, and our bodily constitution reflects the challenges of survival and our ability to evolve to meet those challenges, then – how is it that we are endowed with brains of a capacity for thinking vastly greater than necessary for our survival? All other living creatures have brains only just sufficient for their survival. But we humans have brains whose abilities far exceed the requirements of survival. This is a puzzle.”
At no time in history, surely, has humanity lived in this real, physically tangible world with so enormous a reliance on the human brain’s capacity for imagination.
We humans are living a great part of our lives in an imaginary world; I believe the great problem of our time is that this imaginary world has gradually evolved to a condition where what we imagine is rapidly losing connection with the real physical world in which we live.
Without a doubt, the faculty of imagination is essential to human survival, for all purposive behavior implies a capacity to imagine something not present or even existing as a final cause of human action. If we are going out for dinner, we imagine what we would like to eat before deciding where to dine. However, this faculty, like Reason itself, has its proper limits. Past those limits we enter a dream-land, where imagination can ignore, for a time, the realities within which we live.
Consider the Corporation. Corporations do not exist anywhere outside of our imaginations. Tell an employee that the corporation he works for, or tell an investor in that same corporation that the corporation does not exist and you will at least get a blank look. Neither the employee nor the investor, nor the vast majority of mankind, cares to distinguish between what is imaginary and what is real.
“Walmart” does not exist. There are tens of thousands of buildings which bear a sign that says, “Walmart”. But Walmart is not the buildings. There are over one million employees of Walmart, but – where is Walmart? There are executive offices of Walmart, thousands of executives and a Governing Body of Walmart – but they are not Walmart. What part of Walmart does the investor own? No part that can be identified. We can find close-by, a building that bears a sign “Walmart”. But we can never find Walmart itself anywhere, because it exists only as an idea in our imagination.
There are probably millions of corporations in the world, and such is the enormous power of imagination, that people mistakenly believe in the existence of those corporations when they are only imaginary constructs.
The Supreme Court of the US has declared that “corporations are persons.” It stands to reason that the Supreme Court of the US would state such a thing, since the Supreme Court itself is an imaginary construct: a group of men and women who have been declared to be The Supreme Court, which is only an idea, not a reality, by some other men and women who imagine themselves vested with authority to name people to the imaginary Supreme Court.
One of the great problems with corporations is that, as “imaginary persons” they can do very big bad things; but corporations cannot go to jail, they can only be fined and bankrupted as punishment; and since their executives are not the corporations themselves, executives of corporations form only a very tiny percentage of people in jails, in spite of the fact that they are the real culprits, guilty of all felonies which may be committed by the imaginary corporations under their command.
The whole structure of Government has ever been, since governments were invented in this world, a work of the imagination, in ancient days supported by pagan religion, impressive ceremonies celebrated by priesthoods who overawed the people, and the pomp and circumstance of the Royal Court.
Government power today comes not from the gods but from votes, which in “advanced” countries involves getting people to push voting buttons in private booths. The result of the voting is relatively meaningless; what counts is that the voters are satisfied that their will has been manifested and will be taken into account, and they can thus comfortably forget about politics and continue to pursue their usual amusements.
The imaginary governments of the world, peopled by flesh and blood individuals who collectively style themselves “the government”, are supported in their selected comfortable lifestyles by the imaginary institution of a Central Bank. In Washington, D.C. you may be shown the impressive Eccles building, where dwells the imaginary Federal Reserve. Benjamin Shalom Bernanke, who thinks of himself as chief of that imaginary institution, and his colleagues enter that building and do the jobs they are supposed to do as constituting the imaginary Federal Reserve – which can nowhere be seen, since it exists only in the imagination as an idea.
You can have the same experience in any capital of the world, for there are imaginary Central Banks in every capital city of the world.
Now to get to the heart of perhaps the most important imaginary construct in which we live: money. Today, the world uses as money something totally imaginary: fiat paper money exists in printed form and can be folded, but its value is quite imaginary; the numbers on this paper money, which give it value in proportion to their magnitude, bear no relation at all to anything tangible. On the other hand and to a much greater extent we have fiat digital money; this form of money is absolutely imaginary, and is produced by the imaginary banking systems of the world.
All imaginary digital money is imagined to exist exclusively in imaginary banks, where it is registered as supposedly the property of corporations and other imaginary institutions of all sorts, and also, as the property of flesh and blood humans. An awkward fundamental question is “How can something imaginary constitute property?”
Such is the mighty hold of imagination upon humans that even the ridiculous imaginary Bitcoin has gained the attention of some otherwise prudent humans. Governments have objected to the use of the Bitcoin because the Bitcoin, as imaginary money, invades the imaginary turf of bankers and governments and these people don’t like that. Curiously, on the Internet we can see pictures of pretty shiny Bitcoins, though none have been minted. A picture is helpful to the promotion of an imaginary coin.
On the part of some normally sound critics of fiat money the main doubts regarding the Bitcoin refer to its security and safety from falsification. Nobody is concerned that the Bitcoins are totally imaginary. Humanity appears to be quite happy in the imaginary world in which it lives.
Today, imaginary governments rule by means of distribution of imaginary money provided by imaginary banking systems controlled by imaginary central banks.
To give the creation of imaginary money a semblance of authenticity, we are told that money is created when a debt is created. The fact is that digital imaginary money, which is most of the money used in the world, appears in the realm of quantity as pure number – not a part of the material world – the effect of key-strokes on computers by individuals authorized to carry out such key-strokes by the managers of imaginary banks. But to preserve the illusion of authenticity of the imaginary money, its creation (though the world “creation” is not logically applicable to the invention of a number which represents nothing physical at all) is tied to the creation of debt. So we are told that all money originates in the need for credit, and the banks, responding to the need for credit, grant loans in imaginary digital money.
Here we meet another figment of the human intellect: debt. All debt is imaginary. It is imaginary because it is a promise, and promises have no material existence. One measure of the quality of a human being is revealed by his feeling that his honor is involved in fulfilling a pledge. But what if the credit money received is something imaginary? And what if the debtor is a Corporation? As imaginary constructs, corporations have no sense of honor, a human quality. And the officers of a corporation are not held personally responsible for the debts of the corporation.
What can we say of the so-called “interest rate” determined by the Federal Reserve? It is an entirely arbitrary number determined by the imaginations of the functionaries at the imaginary Federal Reserve, and has no relation whatsoever, to any reality of the market-place.
When Mr. Cheney was imaginary vice-president of the imaginary US government, he is reported to have said: “Deficits do not matter”. He was correct, for the National Debt of the US is entirely imaginary. It cannot and will not ever be repaid, and will grow numerically up to the point at which reality finally dissolves the bewitched imagination which holds the population in thrall.
The bucket of water thrown upon the Wicked Witch of the West by Dorothy, in “The Wizard of Oz”, symbolizes the release from an imaginary threat which has become oppressive. Instead of a bucket of water, we might consider a bagful of $1 Trillion dollar platinum coins, issued by the imaginary Treasury and paid to the imaginary Federal Reserve to extinguish the imaginary threat of imaginary money owed. Why not? We are taught in kindergarten to be creative in the use of the imagination.
What lies ahead?
Humanity has abused the faculty of imagination. We live in a dream-land which has drifted away from any attachment to the reality of the physical world.
A relatively small group of men behind the facade of established imaginary governments of the world long ago decided that the only way to obtain and retain “that perfect bliss and sole felicity, the sweet fruition of an earthly crown” was to resort to imaginary money and distribute it liberally to the ever-hungry masses, drugging them into holding their peace.
What lies ahead is a series of financial disasters in various parts of the world - at first these will be isolated events - which will increase in frequency until finally the whole world is caught up in a financial storm. The cause of the storm will be the failure of the real economic world to satisfy the expectations of the public.
The storm will force the men and women of the world, who have lived so unquestioningly in their highly imaginary world, to wake up and find, to their astonishment dismay and anger, that they have lost their jobs, that they have no savings and that their pension funds are gone or have been confiscated. Their indignation will be forgotten as sheer terror sets in. The Department of Homeland Security has been given a supply of more than one billion hollow-point bullets for good reason.
George Orwell, in his book “1984” painted a pessimistic picture of the future for humanity: “A boot crushing a human face into the mud, forever.” I prefer to be hopeful. Evil is not self-sustaining. We are living in a transitory period of history, always in flux. This world of dreams of ours will give place, but for a time only, to a more reality-based world. For mankind are dreamers of dreams, for better or for worse.
Wednesday, December 25, 2013
Breaking The Set - 2013 Highlights and Lowlights
From breakingtheset
Published on Dec 20, 2013
Abby Martin Breaks the Set on the Most Positive Stories of the Year, Abby's Favorite Interviews, Comedian Lee Camp on 2013, A Rusted Root World Premier and Life beyond Earth.
Published on Dec 20, 2013
Abby Martin Breaks the Set on the Most Positive Stories of the Year, Abby's Favorite Interviews, Comedian Lee Camp on 2013, A Rusted Root World Premier and Life beyond Earth.
Tuesday, December 24, 2013
Jim Grant & Richard Sylla on 100 years of The Fed
From WealthTrack
Published on Dec 20, 2013
Is the 100th anniversary of the creation of the Federal Reserve a cause for celebration or condemnation? Has the Fed, as Ben Bernanke said, "come full circle back to the original goal of preventing financial panics? Two financial historians, James Grant and Richard Sylla, debate the benefits and dangers of the Fed and explore its history.
Published on Dec 20, 2013
Is the 100th anniversary of the creation of the Federal Reserve a cause for celebration or condemnation? Has the Fed, as Ben Bernanke said, "come full circle back to the original goal of preventing financial panics? Two financial historians, James Grant and Richard Sylla, debate the benefits and dangers of the Fed and explore its history.
Looking back on Kalashnikov, the man and his iconic gun
Mikhail Kalashnikov, the Russian who designed an assault rifle that has killed more people than any other firearm, has died at the age of 94. He passed away in his home city of Izhevsk near the Ural mountains, where his gun is still made.
From euronews
From euronews
Extract from the movie "Lord of War"
Sunday, December 22, 2013
Get REAL with Jan Skoyles: The Fine Wine Market
From MaxKeiserTV
Published on Dec 21, 2013
In this second episode of Get REAL with Jan Skoyles, Jan interviews Chris Smith of The Wine Investment Trust about the fine wine market and what makes a wine worth investing in. And, if Bordeaux is the gold to the wine market, then what, if any wine, is the silver? Jan learns about wine liquidity (no pun intended!), Super Tuscans, super large bottles, Chinese investments in the market and much more! A must watch interview.
Published on Dec 21, 2013
In this second episode of Get REAL with Jan Skoyles, Jan interviews Chris Smith of The Wine Investment Trust about the fine wine market and what makes a wine worth investing in. And, if Bordeaux is the gold to the wine market, then what, if any wine, is the silver? Jan learns about wine liquidity (no pun intended!), Super Tuscans, super large bottles, Chinese investments in the market and much more! A must watch interview.
Keiser Report: Warty Debtnuts in Pool of Fraud
From RT
Published on Dec 21, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the warty sea walnuts that are the populations floating through credit space seeking to soak up more debt to feed the pool of derivatives and fraud in which they live and breathe.
In the second half, Max interviews coder, hacker and author, Andreas Antonopoulos about Bitcoin. While, at the moment, Bitcoin is a shallow pool of volatility, it cannot be uninvented and is a a way of achieving consensus on a distributed ledger of assets without the ability to cheat. Its role as a currency is just the first 'app' on the bitcoin network; other applications could be stock exchanges and peer to peer lending.
Published on Dec 21, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the warty sea walnuts that are the populations floating through credit space seeking to soak up more debt to feed the pool of derivatives and fraud in which they live and breathe.
In the second half, Max interviews coder, hacker and author, Andreas Antonopoulos about Bitcoin. While, at the moment, Bitcoin is a shallow pool of volatility, it cannot be uninvented and is a a way of achieving consensus on a distributed ledger of assets without the ability to cheat. Its role as a currency is just the first 'app' on the bitcoin network; other applications could be stock exchanges and peer to peer lending.
Weekend Chillout - Play Money
Well that was an "interesting" week. What with Ben's Taper shock, the Chinese trying to blowup Bitcoin and the S&P500 hitting all time highs - but we have to remember it is all just play money until you realize your gains or losses.
Saturday, December 21, 2013
Friday, December 20, 2013
Keiser Report: Bankster Bacteria
From RT
Published on Dec 19, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss factory-farmed citizen consumers who live in mom's basement, dragging the economy down with them. They also discuss the monoculture of housing bubbles and high interest rate loans in the workplace. In the second half, Max interviews Bill Still about his conversion to crypto-currencies and what role of the NSA spying scandal played in his decision.
Published on Dec 19, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss factory-farmed citizen consumers who live in mom's basement, dragging the economy down with them. They also discuss the monoculture of housing bubbles and high interest rate loans in the workplace. In the second half, Max interviews Bill Still about his conversion to crypto-currencies and what role of the NSA spying scandal played in his decision.
Bloomberg asks: So Where Has All The Gold Gone?
Well duh, it has gone to investors that don't day trade, you know those ones that realize and have realized for thousands of years that Gold and Silver are money, China!
Of course I mentioned this fact back in October, here
Of course I mentioned this fact back in October, here
Gold and Silver slump as the Taper Shock sinks in
Gold and Silver prices slumped overnight, with both metals off about 3.8%. Seems the taper decision, and its subsequent positive effect on equity prices has caused some trend chasers to exit precious metals, and commodities in general, to chase the rising US indexes. Bit like dropping your health insurance because you are starting to feel better.
charts from goldprice.org
Thursday, December 19, 2013
Why George Galloway is Killing Tony Blair
From breakingtheset
Published on Dec 18, 2013
Abby Martin speaks with British Parliamentarian George Galloway, discussing his upcoming film 'The Killing of Tony Blair', and his brand new show on RT, 'Sputnik: Orbiting the world with George Galloway.'
Published on Dec 18, 2013
Abby Martin speaks with British Parliamentarian George Galloway, discussing his upcoming film 'The Killing of Tony Blair', and his brand new show on RT, 'Sputnik: Orbiting the world with George Galloway.'
No need to panic over China bitcoin clampdown: BTC China
Wed 18 Dec 13
Bobby Lee, CEO of BTC China, says there is no need to panic after Chinese authorities blocked the country's Bitcoin exchanges from accepting new cash inflows.
U.S. Stocks Rise to Record After Fed Plans Stimulus Cuts
From Bloomberg.com
U.S. stocks rose, sending benchmark indexes to all-time highs, after the Federal Reserve said it will reduce the pace of its monthly bond purchases and expressed confidence in the labor market recovery.
The Standard & Poor’s 500 Index added 1.7 percent to 1,811.07 at 4 p.m. in New York, surpassing its previous record close reached on Dec. 9. The Dow Jones Industrial Average climbed 296.50 points, or 1.9 percent, to an all-time high of 16,171.76. Both gauges posted their biggest gains in two months.
Read more
Dec. 18 (Bloomberg) – On today’s “Insight & Action,” Adam Johnson looks at Quantitative Easing and its effect on corporate America on Bloomberg Television’s “Street Smart.”
U.S. stocks rose, sending benchmark indexes to all-time highs, after the Federal Reserve said it will reduce the pace of its monthly bond purchases and expressed confidence in the labor market recovery.
The Standard & Poor’s 500 Index added 1.7 percent to 1,811.07 at 4 p.m. in New York, surpassing its previous record close reached on Dec. 9. The Dow Jones Industrial Average climbed 296.50 points, or 1.9 percent, to an all-time high of 16,171.76. Both gauges posted their biggest gains in two months.
Read more
Dec. 18 (Bloomberg) – On today’s “Insight & Action,” Adam Johnson looks at Quantitative Easing and its effect on corporate America on Bloomberg Television’s “Street Smart.”
Gold and Silver decline post FOMC Release
Both Gold and Silver have declined slightly post the release of the latest FOMC minutes indicating that the Fed promises to reduce MBS and T-Bond purchases, starting in January. The price decline has been exacerbated as we are currently in the after hours market prior to Sydney and Hong Kong coming online.
charts from goldprice.org
Fed to Taper in January
From AssociatedPress
Release Date: December 18, 2013
For immediate release
Release link
Information received since the Federal Open Market Committee met in October indicates that economic activity is expanding at a moderate pace. Labor market conditions have shown further improvement; the unemployment rate has declined but remains elevated. Household spending and business fixed investment advanced, while the recovery in the housing sector slowed somewhat in recent months. Fiscal policy is restraining economic growth, although the extent of restraint may be diminishing. Inflation has been running below the Committee's longer-run objective, but longer-term inflation expectations have remained stable.
Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee expects that, with appropriate policy accommodation, economic growth will pick up from its recent pace and the unemployment rate will gradually decline toward levels the Committee judges consistent with its dual mandate. The Committee sees the risks to the outlook for the economy and the labor market as having become more nearly balanced. The Committee recognizes that inflation persistently below its 2 percent objective could pose risks to economic performance, and it is monitoring inflation developments carefully for evidence that inflation will move back toward its objective over the medium term.
Taking into account the extent of federal fiscal retrenchment since the inception of its current asset purchase program, the Committee sees the improvement in economic activity and labor market conditions over that period as consistent with growing underlying strength in the broader economy. In light of the cumulative progress toward maximum employment and the improvement in the outlook for labor market conditions, the Committee decided to modestly reduce the pace of its asset purchases. Beginning in January, the Committee will add to its holdings of agency mortgage-backed securities at a pace of $35 billion per month rather than $40 billion per month, and will add to its holdings of longer-term Treasury securities at a pace of $40 billion per month rather than $45 billion per month. The Committee is maintaining its existing policy of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities and of rolling over maturing Treasury securities at auction. The Committee's sizable and still-increasing holdings of longer-term securities should maintain downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative, which in turn should promote a stronger economic recovery and help to ensure that inflation, over time, is at the rate most consistent with the Committee's dual mandate.
The Committee will closely monitor incoming information on economic and financial developments in coming months and will continue its purchases of Treasury and agency mortgage-backed securities, and employ its other policy tools as appropriate, until the outlook for the labor market has improved substantially in a context of price stability. If incoming information broadly supports the Committee's expectation of ongoing improvement in labor market conditions and inflation moving back toward its longer-run objective, the Committee will likely reduce the pace of asset purchases in further measured steps at future meetings. However, asset purchases are not on a preset course, and the Committee's decisions about their pace will remain contingent on the Committee's outlook for the labor market and inflation as well as its assessment of the likely efficacy and costs of such purchases.
To support continued progress toward maximum employment and price stability, the Committee today reaffirmed its view that a highly accommodative stance of monetary policy will remain appropriate for a considerable time after the asset purchase program ends and the economic recovery strengthens. The Committee also reaffirmed its expectation that the current exceptionally low target range for the federal funds rate of 0 to 1/4 percent will be appropriate at least as long as the unemployment rate remains above 6-1/2 percent, inflation between one and two years ahead is projected to be no more than a half percentage point above the Committee's 2 percent longer-run goal, and longer-term inflation expectations continue to be well anchored. In determining how long to maintain a highly accommodative stance of monetary policy, the Committee will also consider other information, including additional measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial developments. The Committee now anticipates, based on its assessment of these factors, that it likely will be appropriate to maintain the current target range for the federal funds rate well past the time that the unemployment rate declines below 6-1/2 percent, especially if projected inflation continues to run below the Committee's 2 percent longer-run goal. When the Committee decides to begin to remove policy accommodation, it will take a balanced approach consistent with its longer-run goals of maximum employment and inflation of 2 percent.
Voting for the FOMC monetary policy action were: Ben S. Bernanke, Chairman; William C. Dudley, Vice Chairman; James Bullard; Charles L. Evans; Esther L. George; Jerome H. Powell; Jeremy C. Stein; Daniel K. Tarullo; and Janet L. Yellen. Voting against the action was Eric S. Rosengren, who believes that, with the unemployment rate still elevated and the inflation rate well below the target, changes in the purchase program are premature until incoming data more clearly indicate that economic growth is likely to be sustained above its potential rate.
Statement Regarding Purchases of Treasury Securities and Agency Mortgage-Backed Securities
Release Date: December 18, 2013
For immediate release
Release link
Information received since the Federal Open Market Committee met in October indicates that economic activity is expanding at a moderate pace. Labor market conditions have shown further improvement; the unemployment rate has declined but remains elevated. Household spending and business fixed investment advanced, while the recovery in the housing sector slowed somewhat in recent months. Fiscal policy is restraining economic growth, although the extent of restraint may be diminishing. Inflation has been running below the Committee's longer-run objective, but longer-term inflation expectations have remained stable.
Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee expects that, with appropriate policy accommodation, economic growth will pick up from its recent pace and the unemployment rate will gradually decline toward levels the Committee judges consistent with its dual mandate. The Committee sees the risks to the outlook for the economy and the labor market as having become more nearly balanced. The Committee recognizes that inflation persistently below its 2 percent objective could pose risks to economic performance, and it is monitoring inflation developments carefully for evidence that inflation will move back toward its objective over the medium term.
Taking into account the extent of federal fiscal retrenchment since the inception of its current asset purchase program, the Committee sees the improvement in economic activity and labor market conditions over that period as consistent with growing underlying strength in the broader economy. In light of the cumulative progress toward maximum employment and the improvement in the outlook for labor market conditions, the Committee decided to modestly reduce the pace of its asset purchases. Beginning in January, the Committee will add to its holdings of agency mortgage-backed securities at a pace of $35 billion per month rather than $40 billion per month, and will add to its holdings of longer-term Treasury securities at a pace of $40 billion per month rather than $45 billion per month. The Committee is maintaining its existing policy of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities and of rolling over maturing Treasury securities at auction. The Committee's sizable and still-increasing holdings of longer-term securities should maintain downward pressure on longer-term interest rates, support mortgage markets, and help to make broader financial conditions more accommodative, which in turn should promote a stronger economic recovery and help to ensure that inflation, over time, is at the rate most consistent with the Committee's dual mandate.
The Committee will closely monitor incoming information on economic and financial developments in coming months and will continue its purchases of Treasury and agency mortgage-backed securities, and employ its other policy tools as appropriate, until the outlook for the labor market has improved substantially in a context of price stability. If incoming information broadly supports the Committee's expectation of ongoing improvement in labor market conditions and inflation moving back toward its longer-run objective, the Committee will likely reduce the pace of asset purchases in further measured steps at future meetings. However, asset purchases are not on a preset course, and the Committee's decisions about their pace will remain contingent on the Committee's outlook for the labor market and inflation as well as its assessment of the likely efficacy and costs of such purchases.
To support continued progress toward maximum employment and price stability, the Committee today reaffirmed its view that a highly accommodative stance of monetary policy will remain appropriate for a considerable time after the asset purchase program ends and the economic recovery strengthens. The Committee also reaffirmed its expectation that the current exceptionally low target range for the federal funds rate of 0 to 1/4 percent will be appropriate at least as long as the unemployment rate remains above 6-1/2 percent, inflation between one and two years ahead is projected to be no more than a half percentage point above the Committee's 2 percent longer-run goal, and longer-term inflation expectations continue to be well anchored. In determining how long to maintain a highly accommodative stance of monetary policy, the Committee will also consider other information, including additional measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial developments. The Committee now anticipates, based on its assessment of these factors, that it likely will be appropriate to maintain the current target range for the federal funds rate well past the time that the unemployment rate declines below 6-1/2 percent, especially if projected inflation continues to run below the Committee's 2 percent longer-run goal. When the Committee decides to begin to remove policy accommodation, it will take a balanced approach consistent with its longer-run goals of maximum employment and inflation of 2 percent.
Voting for the FOMC monetary policy action were: Ben S. Bernanke, Chairman; William C. Dudley, Vice Chairman; James Bullard; Charles L. Evans; Esther L. George; Jerome H. Powell; Jeremy C. Stein; Daniel K. Tarullo; and Janet L. Yellen. Voting against the action was Eric S. Rosengren, who believes that, with the unemployment rate still elevated and the inflation rate well below the target, changes in the purchase program are premature until incoming data more clearly indicate that economic growth is likely to be sustained above its potential rate.
Statement Regarding Purchases of Treasury Securities and Agency Mortgage-Backed Securities
Ray McGovern: Unconstitutionality of NSA Phone Call Collection is Indisputable
From TheRealNews
Published on Dec 17, 2013
Former CIA analyst Ray McGovern says that the recent federal district judge's ruling on the NSA's bulk phone collection applies constitutional protections, but will not lead to amnesty for Edward Snowden.
Published on Dec 17, 2013
Former CIA analyst Ray McGovern says that the recent federal district judge's ruling on the NSA's bulk phone collection applies constitutional protections, but will not lead to amnesty for Edward Snowden.
Syria Update with Patrick Cockburn
From democracynow
Published on Dec 18, 2013
http://www.democracynow.org - Patrick Cockburn, Middle East correspondent for The Independent, discusses the role of foreign powers fueling the ongoing conflict in Syria.
Published on Dec 18, 2013
http://www.democracynow.org - Patrick Cockburn, Middle East correspondent for The Independent, discusses the role of foreign powers fueling the ongoing conflict in Syria.
Wednesday, December 18, 2013
Keiser Report: Airbrushing Past Failures
From RT
Published on Dec 17, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert believe we are all Jang now! The despicable human scum that was Kim Jong Un's now executed uncle also got the blame for someone else's 'uncontrollable catastrophe' of an economy. They also look at signs of North Korea like propaganda in the UK, US and India. In the second half, Max asks Mitch Feierstein, author of Planet Ponzi, if the UK economy is anything more than farts and jet engines. They also discuss the charts which show Janet Yellen will be taking over the reigns of a bubble and why it is that a ponzi scheme cannot be tapered.
Published on Dec 17, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert believe we are all Jang now! The despicable human scum that was Kim Jong Un's now executed uncle also got the blame for someone else's 'uncontrollable catastrophe' of an economy. They also look at signs of North Korea like propaganda in the UK, US and India. In the second half, Max asks Mitch Feierstein, author of Planet Ponzi, if the UK economy is anything more than farts and jet engines. They also discuss the charts which show Janet Yellen will be taking over the reigns of a bubble and why it is that a ponzi scheme cannot be tapered.
Jim Grant Fires Up over The Fed
I only hope I still can fire up about topics I feel passionately about as well as Jim Grant can when I am 67yo.
Tuesday, December 17, 2013
Truth About Markets
After 100 Years Of Failure, It’s Time To End The Fed!
By Ron Paul
Essay link
A week from now, the Federal Reserve System will celebrate the 100th anniversary of its founding. Resulting from secret negotiations between bankers and politicians at Jekyll Island, the Fed's creation established a banking cartel and a board of government overseers that has grown ever stronger through the years. One would think this anniversary would elicit some sort of public recognition of the Fed’s growth from a quasi-agent of the Treasury Department intended to provide an elastic currency, to a de facto independent institution that has taken complete control of the economy through its central monetary planning. But just like the Fed's creation, its 100th anniversary may come and go with only a few passing mentions.
Like many other horrible and unconstitutional pieces of legislation, the bill which created the Fed, the Federal Reserve Act, was passed under great pressure on December 23, 1913, in the waning moments before Congress recessed for Christmas with many Members already absent from those final votes. This underhanded method of pressuring Congress with such a deadline to pass the Federal Reserve Act would provide a foreshadowing of the Fed's insidious effects on the US economy—with actions performed without transparency.
Ostensibly formed with the goal of preventing financial crises such as the Panic of 1907, the Fed has become increasingly powerful over the years. Rather than preventing financial crises, however, the Fed has constantly caused new ones. Barely a few years after its inception, the Fed's inflationary monetary policy to help fund World War I led to the Depression of 1920. After the economy bounced back from that episode, a further injection of easy money and credit by the Fed led to the Roaring Twenties and to the Great Depression, the worst economic crisis in American history.
But even though the Fed continued to make the same mistakes over and over again, no one in Washington ever questioned the wisdom of having a central bank. Instead, after each episode the Fed was given more and more power over the economy. Even though the Fed had brought about the stagflation of the 1970s, Congress decided to formally task the Federal Reserve in 1978 with maintaining full employment and stable prices, combined with constantly adding horrendously harmful regulations. Talk about putting the inmates in charge of the asylum!
Now we are reaping the noxious effects of a century of loose monetary policy, as our economy remains mired in mediocrity and utterly dependent on a stream of easy money from the central bank. A century ago, politicians failed to understand that the financial panics of the 19th century were caused by collusion between government and the banking sector. The government's growing monopoly on money creation, high barriers to entry into banking to protect politically favored incumbents, and favored treatment for government debt combined to create a rickety, panic-prone banking system. Had legislators known then what we know now, we could hope that they never would have established the Federal Reserve System.
Today, however, we do know better. We know that the Federal Reserve continues to strengthen the collusion between banks and politicians. We know that the Fed's inflationary monetary policy continues to reap profits for Wall Street while impoverishing Main Street. And we know that the current monetary regime is teetering on a precipice. One hundred years is long enough. End the Fed.
Italians Fight for their Sovereignty back from the EU
Police charge the "pitchforks" under EU headquarters in Rome
The protesters with masks and tricolor "nooses around his neck" (movement 9dicembre) have attempted to replace the European flag with the Italian one, in protest against EU policies and for the "national sovereignty." The police charged the protesters harshly, including some wounded and stopped there seems to be Simone Di Stefano, vice president of CasaPound, Italy.
2014 Outlook for Silver
Mon 16 Dec 13
John Smith, CEO and president of Silver Standard, discusses the silver move going into 2014.
2014 Outlook for Gold
Dec. 16 (Bloomberg) -- Lear Capital CEO Scott Carter discusses the price
of gold and his investment ideas with Deirdre Bolton on Bloomberg
Television's "Money Moves."
Jim Rickards - Future of Money 2.0
Jim Richards at a conference in Bratislava, Slovakia on 26 Sep 2013
Sean Rakhimov: Silver Market "I Think We're Going to See a Turn-Around
From BeneathTheSurfaceBTS
Published on Dec 13, 2013
Sean Rakhimov, editor of Silver Strategies, provides updates on the small-cap silver market and describes when he thinks we may see a big move in the silver price.
Published on Dec 13, 2013
Sean Rakhimov, editor of Silver Strategies, provides updates on the small-cap silver market and describes when he thinks we may see a big move in the silver price.
Monday, December 16, 2013
The Truthseeker: Who Has Nukes in the Middle East?
From RT
Published on Dec 15, 2013
Israel ruled guilty of genocide; the nuclear elephant in that region; and the 'armies' recruited to doctor Wikipedia. Seek truth from facts with leading war crimes prosecutor Professor Francis Boyle, Asia Times correspondent Pepe Escobar, top saxophonist and former Israeli citizen Gilad Atzmon, and UN Human Rights Rapporteur Professor Richard Falk.
Published on Dec 15, 2013
Israel ruled guilty of genocide; the nuclear elephant in that region; and the 'armies' recruited to doctor Wikipedia. Seek truth from facts with leading war crimes prosecutor Professor Francis Boyle, Asia Times correspondent Pepe Escobar, top saxophonist and former Israeli citizen Gilad Atzmon, and UN Human Rights Rapporteur Professor Richard Falk.
Sunday, December 15, 2013
Keiser Report with Jeff Berwick
From RT
Published on Dec 14, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the debt incest cult operating on Wall Street in which JP Morgan's Sons and Daughters mate two units of related debt for four generations and thus spawning a deformed and cross-eyed credit market.
In the second half, Max interviews Jeff Berwick of DollarVigilante.com about the great Bitcoin divide in the libertarian community and about the great migration from the USA to Mexico and beyond by Americans seeking more liberty and freedom.
Published on Dec 14, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the debt incest cult operating on Wall Street in which JP Morgan's Sons and Daughters mate two units of related debt for four generations and thus spawning a deformed and cross-eyed credit market.
In the second half, Max interviews Jeff Berwick of DollarVigilante.com about the great Bitcoin divide in the libertarian community and about the great migration from the USA to Mexico and beyond by Americans seeking more liberty and freedom.
Deutsche Bank Probed over the Gold and Silver Fix
Article link
Dec 13 (Reuters) - German banking regulator Bafin has demanded documents from Deutsche Bank as part of a probe into suspected manipulation of benchmark gold and silver prices by banks, the Financial Times reported, citing sources.
Bafin has interrogated the bank's staff during several on-site inspections over the past few months, the newspaper said on its website, citing people familiar with the matter.()
Currently, gold fixing happens twice a day by teleconference with five banks: Deutsche Bank, Bank of Nova Scotia-ScotiaMocatta, Barclays Bank Plc, HSBC Bank USA, NA and Société Générale. The fixings are used to determine prices globally.
Deutsche Bank is also one of three banks that take part in the equivalent process for silver.
In the wake of the recent Libor interbank lending scandal, questions have been raised about how benchmark rates are set, prompting authorities and banking industry bodies worldwide to overhaul rate-setting processes.
Read more
Saturday, December 14, 2013
Iceland jails four 'banksters' in financial fraud case
From RT
Published on Dec 13, 2013
Four former bank bosses in Iceland have been jailed for financial fraud. They were accused of hiding the fact a Qatari investor bought into the firm, with money lent illegally by the bank itself. It went bust in 2008, helping to cripple Iceland's economy.
Published on Dec 13, 2013
Four former bank bosses in Iceland have been jailed for financial fraud. They were accused of hiding the fact a Qatari investor bought into the firm, with money lent illegally by the bank itself. It went bust in 2008, helping to cripple Iceland's economy.
Keiser Report: US oil vigil for price of Cold War
From RT
Published on Dec 12, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss Commie-Pus and the $8 trillion wasted by the US taxpayer in protecting the flow of oil out of the Strait of Hormuz where more than 50% heads to Asia.
In the second half, Max interviews Liam Halligan of Telegraph.co.uk about the Chancellor's Autumn Statement and mis-statements, about Liam's forecast for Russia to be the largest economy in Europe by 2020 and they ask whether or not the Iran peace deal means Saudi Arabia is just not that important in a post-peak world.
Published on Dec 12, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss Commie-Pus and the $8 trillion wasted by the US taxpayer in protecting the flow of oil out of the Strait of Hormuz where more than 50% heads to Asia.
In the second half, Max interviews Liam Halligan of Telegraph.co.uk about the Chancellor's Autumn Statement and mis-statements, about Liam's forecast for Russia to be the largest economy in Europe by 2020 and they ask whether or not the Iran peace deal means Saudi Arabia is just not that important in a post-peak world.
Weekend Chillout - Turning Back Time
Again this week bitcoin stole the headlines with an epic crash in price, and a less reported recovery, on the back of Chinese market sensitive news. Of course the nae-sayers were out in force, although I suspect they hate bitcoin as they can't turn back time and buy some when it was cheap.
Thursday, December 12, 2013
Abby Martin on the Iran Contra & the CIA Cocaine Conspiracy
From breakingtheset
Published on Dec 11, 2013
Abby Martin calls out an article from New York Magazine that suggests the CIA's connection to cocaine trafficking is a mere conspiracy theory; recalling the CIA's support for Nicaraguan rebel fighters during the Iran Contra scandal with ties to US cocaine trafficking.
Published on Dec 11, 2013
Abby Martin calls out an article from New York Magazine that suggests the CIA's connection to cocaine trafficking is a mere conspiracy theory; recalling the CIA's support for Nicaraguan rebel fighters during the Iran Contra scandal with ties to US cocaine trafficking.
Swiss Clocks Ticking: Hidden US accounts soon to be revealed
Another sad loss of liberty and privacy, all for hunting down Americans who might not have paid every last cent in taxes that didn't exist prior to 1913. It also misses the point of the Swiss banking industry, wealthy individuals in the most part just parked liquid wealth there as it was seen as safe and private, not to generate returns. With interest rates so low returns are negligent in most major currencies and the Swiss tax interest income at 35%, so for most it was hardly a tax dodge. Switzerland was for wealth protection, London and New York are for wealth creation and speculation. Seems the Chinese and Arabs have the right idea of buying 1kg gold bars and stashing them in private non-bank vaults.
Read Martin Armstrong's take on this matter here
From RT
Read Martin Armstrong's take on this matter here
From RT
Wednesday, December 11, 2013
Marc Faber's Predictions for 2014
Dr. Marc Faber discusses the US economy and his predictions for 2014 in geopolitics, currencies, equities and precious metals. Listen to the KWN interview here
Economic Hitmen and the American Empire with John Perkins
From TheLipTV
Published on Dec 8, 2013
John Perkins, author of Confessions of an Economic Hitman, and much more, discusses the corporate worldwide empire, global debt trap, and how the planet's economic engine runs on blood and suffering in this Buzzsaw interview. The mega-selling author discusses the truth about financial oppression and conspiracy, and how the world can be rewired to liberate humanity with host Sean Stone in this uncensored interview on TheLipTV.
Published on Dec 8, 2013
John Perkins, author of Confessions of an Economic Hitman, and much more, discusses the corporate worldwide empire, global debt trap, and how the planet's economic engine runs on blood and suffering in this Buzzsaw interview. The mega-selling author discusses the truth about financial oppression and conspiracy, and how the world can be rewired to liberate humanity with host Sean Stone in this uncensored interview on TheLipTV.
Gold retakes $1250 and Silver $20
Both Gold and Silver put in a strong performance overnight in COMEX trading with Gold breaching the important $1250 level to be up over 2% and silver regained its $20 handle with a rise of 3.6%. The rise has been ascribed to to a lower US$, which fell below the important 80 support level on the USD Index (The U.S. Dollar Index® is computed using a trade-weighted geometric average of six currencies) this fall also pushed Oil prices to a 6 week high.
charts from goldprice.org
Keiser Report: Bitcoin Battle
From RT
Published on Dec 10, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the bitcoin price plunge as Baidu ditches the crypto currency and China bans it for financial firms. Unnoticed at the same time, Germany declares bitcoin to be private money and Merrill Lynch claims it can replace money transfer systems like Western Union.
In the second half, Max interviews Dr. Christos Vlachos, CFO of the University of Nicosia, which is now accepting bitcoin as payment and he explains how the volatility in the price won't matter to the university. They also discuss Dr. Vlachos' hope to turn Cyprus into a bitcoin hub.
Published on Dec 10, 2013
In this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the bitcoin price plunge as Baidu ditches the crypto currency and China bans it for financial firms. Unnoticed at the same time, Germany declares bitcoin to be private money and Merrill Lynch claims it can replace money transfer systems like Western Union.
In the second half, Max interviews Dr. Christos Vlachos, CFO of the University of Nicosia, which is now accepting bitcoin as payment and he explains how the volatility in the price won't matter to the university. They also discuss Dr. Vlachos' hope to turn Cyprus into a bitcoin hub.
Get REAL: Jan Skoyles interviews Ben Davies on Gold, Silver and Bitcoin
From MaxKeiserTV
Published on Dec 10, 2013
Jan Skoyles interviews Ben Davies, CEO of Hinde Capital about all the latest in the gold, silver and bitcoin markets. Davies and Skoyles break down the data on the gold and silver ETFs, check out the physical markets, explore the future of gold for China, discuss the outlook for Bitcoin and then Davies reveals a surprising new shape to certain gold ingots in the black market.
Published on Dec 10, 2013
Jan Skoyles interviews Ben Davies, CEO of Hinde Capital about all the latest in the gold, silver and bitcoin markets. Davies and Skoyles break down the data on the gold and silver ETFs, check out the physical markets, explore the future of gold for China, discuss the outlook for Bitcoin and then Davies reveals a surprising new shape to certain gold ingots in the black market.
Tuesday, December 10, 2013
My Favourite Investigative Journalist Greg Palast talks Gold and other Things Often Left Hidden
From wearechange
Published on Sep 19, 2013
In this video Luke Rudkowski interviews investigative journalist Greg Palast about the best story he ever broke and tips for independent journalists. Greg gives his insight into his profession and details the ordeals he had to undergo because of the stories he broke that the mainstream media won't touch.
Greg's website is here
Published on Sep 19, 2013
In this video Luke Rudkowski interviews investigative journalist Greg Palast about the best story he ever broke and tips for independent journalists. Greg gives his insight into his profession and details the ordeals he had to undergo because of the stories he broke that the mainstream media won't touch.
Greg's website is here
Breaking the Set
From breakingtheset
Published on Dec 9, 2013
Abby Martin Breaks the Set on the Ted Cruz Coloring Book, the Nuclear Energy Alternative, NSA Gamers, and Buzzsaw's Tyrel Ventura.
Published on Dec 9, 2013
Abby Martin Breaks the Set on the Ted Cruz Coloring Book, the Nuclear Energy Alternative, NSA Gamers, and Buzzsaw's Tyrel Ventura.
Eric Sprott on the insolvency of the US Government and the Gold Market
Boom Bust - The Global Gold Rush and The Crash of 2016
NSA, GCHQ 'planted agents' into World of Warcraft to spy on gamers
From RT
Published on Dec 9, 2013
The NSA and the UK's GCHQ spying agencies have collected players' charts and deployed real-life agents into online World of Warcraft and Second Life games, a new leak by whistleblower Edward Snowden has revealed - READ MORE http://on.rt.com/e77mt9
Published on Dec 9, 2013
The NSA and the UK's GCHQ spying agencies have collected players' charts and deployed real-life agents into online World of Warcraft and Second Life games, a new leak by whistleblower Edward Snowden has revealed - READ MORE http://on.rt.com/e77mt9
Tweet of the Week
Show me on the doll where the Fed touched you...
— Timothy Connolly CFA (@SconsetCapital) June 19, 2013
Monday, December 9, 2013
Truth About Markets
Barbados Faces Debt Crisis as an Offshore Tax Haven
From TheRealNews
Published on Dec 8, 2013
James Henry: Canadian companies use Barbados as a tax haven to reduce their taxes from 24 percent to 2.5 percent, leaving Barbados with revenue shortage.
Published on Dec 8, 2013
James Henry: Canadian companies use Barbados as a tax haven to reduce their taxes from 24 percent to 2.5 percent, leaving Barbados with revenue shortage.
Tension over South Korea airspace expansion
From Al Jazeera English
Published on Dec 8, 2013
South Korea is set to expand its air defence zone to partially overlap China's recently enlarged airspace, South Korean officials have said. Seoul's defence ministry said on Sunday that the expansion, which covers an extra 66,480 square kilometres, would include two territorial islands to its south, and a submerged rock also claimed by China. Al Jazeera's Harry Fawcett reports from Seoul.
Published on Dec 8, 2013
South Korea is set to expand its air defence zone to partially overlap China's recently enlarged airspace, South Korean officials have said. Seoul's defence ministry said on Sunday that the expansion, which covers an extra 66,480 square kilometres, would include two territorial islands to its south, and a submerged rock also claimed by China. Al Jazeera's Harry Fawcett reports from Seoul.
China October Gold Imports Surge To Second Highest Ever
From zerohedge.com
Article link
Overnight, China reported its biggest trade surplus in almost five years, when November net exports hit $33.8 billion, up from $31.1 billion in October, and 50% above the $21.2 billion consensus estimate. This was driven by a surge in exports which rose by 12.7% (more than the 7% expected), while imports rose by a slightly disappointing (5.3% vs Exp. 7.0%). Of course, when it comes to Chinese trade data, the numbers are so notoriously manipulated that even Goldman threw up on them as recently as last year forcing China to admit everything was more or less made up. Regardless, the ongoing influx of US Dollars means that the Chinese FX reserves of $3.66 trillion in Q3 will swell even more. The bigger question is what will China do with the surplus: will it buy more Treasurys - something it hasn't done in over a year - or invest in alternative commodities.
Such as gold
According to Hong Kong customs data, in the month of October (with the usual one month delay), China imported 148 total tons of gold in a month in which the price of gold, once again plunged. Curiously, unlike momentum chasers of paper ETF promises to get gold delivery, China continues to BTFD in gold, and the 148 tons of import in the past month was the second highest monthly import ever through Hong Kong, second only to the 224 tons imported in March of 2013. Compared to a year ago, when the price of gold was over 30% higher, China has imported over 200% more than the 48 tons it bought through Hong Kong a year ago. At least someone is grateful for plunging gold prices.
On a net basis, October was also the second busiest month for Chinese gold imports, soaring to a near record 131.2 tons, second only to March's 136.2 tons, and represents the sixth consecutive month in which China has imported more than 100 tons of gold net of exports.
These numbers of course exclude gold procured in China using other means, such as imports via other venues, as well as internally produced gold.
In total, China's gross YTD imports now amount to just over 1260 tons, while the net gold imports from Hong Kong are a record 982 tons.
Finally, putting the total number of imports in perspective since our September 2011 expose in which we noted that it was now China's explicit strategy to confidentially hoard gold, China has imported a whopping 2380 tons of gold in the past 26 months. Throughout this period the PBOC has never updated its new official holdings number. However, one thing is clear: the more the price of (paper?) gold drops, the more the Chinese purchases of physical gold become. And yes, that is 26 consecutive months of positive (and increasing) gold imports.
One thing is certain: the number of China's official gold holdings, which has not been updated in nearly five years since early 2009, is now hopelessly inaccurate.
Article link
Overnight, China reported its biggest trade surplus in almost five years, when November net exports hit $33.8 billion, up from $31.1 billion in October, and 50% above the $21.2 billion consensus estimate. This was driven by a surge in exports which rose by 12.7% (more than the 7% expected), while imports rose by a slightly disappointing (5.3% vs Exp. 7.0%). Of course, when it comes to Chinese trade data, the numbers are so notoriously manipulated that even Goldman threw up on them as recently as last year forcing China to admit everything was more or less made up. Regardless, the ongoing influx of US Dollars means that the Chinese FX reserves of $3.66 trillion in Q3 will swell even more. The bigger question is what will China do with the surplus: will it buy more Treasurys - something it hasn't done in over a year - or invest in alternative commodities.
Such as gold
According to Hong Kong customs data, in the month of October (with the usual one month delay), China imported 148 total tons of gold in a month in which the price of gold, once again plunged. Curiously, unlike momentum chasers of paper ETF promises to get gold delivery, China continues to BTFD in gold, and the 148 tons of import in the past month was the second highest monthly import ever through Hong Kong, second only to the 224 tons imported in March of 2013. Compared to a year ago, when the price of gold was over 30% higher, China has imported over 200% more than the 48 tons it bought through Hong Kong a year ago. At least someone is grateful for plunging gold prices.
On a net basis, October was also the second busiest month for Chinese gold imports, soaring to a near record 131.2 tons, second only to March's 136.2 tons, and represents the sixth consecutive month in which China has imported more than 100 tons of gold net of exports.
These numbers of course exclude gold procured in China using other means, such as imports via other venues, as well as internally produced gold.
In total, China's gross YTD imports now amount to just over 1260 tons, while the net gold imports from Hong Kong are a record 982 tons.
Finally, putting the total number of imports in perspective since our September 2011 expose in which we noted that it was now China's explicit strategy to confidentially hoard gold, China has imported a whopping 2380 tons of gold in the past 26 months. Throughout this period the PBOC has never updated its new official holdings number. However, one thing is clear: the more the price of (paper?) gold drops, the more the Chinese purchases of physical gold become. And yes, that is 26 consecutive months of positive (and increasing) gold imports.
One thing is certain: the number of China's official gold holdings, which has not been updated in nearly five years since early 2009, is now hopelessly inaccurate.
Sunday, December 8, 2013
Gold Seek Radio interviews Pastor Lindsey Williams
From GoldSeek.com Radio
Published on Dec 7, 2013
GoldSeek Radio's Chris Waltzek talks to Pastor Lindsey Williams
http://www.lindseywilliams.net/
Published on Dec 7, 2013
GoldSeek Radio's Chris Waltzek talks to Pastor Lindsey Williams
http://www.lindseywilliams.net/
Litecoin Vs. Bitcoin and the Digital Currency Future
From RT America
Published on Dec 5, 2013
Bitcoin, the alternative cryptocurrency, is the trendiest answer to "What's in your wallet?" since, well, a certain credit card. The value of Bitcoins has skyrocketed over the last year, as the digital currency is used to pay colleges tuitions, assassins' contracts and the paycheck for a police chief in Kentucky. Now there's another online currency, Litecoin, which was created by former Google employee and MIT student Charles Lee to correct some of Bitcoin's flaws. RT's Meghan Lopez asks Yanis Varoufakis, political economist and author of "The Global Minotaur," if cryptocurrencies are just a flash in the pan, or if they're the financial future of the world.
Published on Dec 5, 2013
Bitcoin, the alternative cryptocurrency, is the trendiest answer to "What's in your wallet?" since, well, a certain credit card. The value of Bitcoins has skyrocketed over the last year, as the digital currency is used to pay colleges tuitions, assassins' contracts and the paycheck for a police chief in Kentucky. Now there's another online currency, Litecoin, which was created by former Google employee and MIT student Charles Lee to correct some of Bitcoin's flaws. RT's Meghan Lopez asks Yanis Varoufakis, political economist and author of "The Global Minotaur," if cryptocurrencies are just a flash in the pan, or if they're the financial future of the world.
Weekend Chillout - The B52's are still Roaming
The fallout was still being discussed this week of a pair of US B52 bombers roaming into disputed airspace in the South China Sea. I doubt this will be the last roaming as the US continues its "pivot to Asia", drawing closer ties with Australia and particularly Japan and Taiwan in response to this latest territorial dispute.
Saturday, December 7, 2013
Breaking The Set
From breakingtheset
Published on Dec 4, 2013
Abby Martin Breaks the Set on Aaron Swartz Surveillance Footage, Fukushima Falsehoods, Occupy Stratfor Connection, Whitewashing Genocide.
Published on Dec 4, 2013
Abby Martin Breaks the Set on Aaron Swartz Surveillance Footage, Fukushima Falsehoods, Occupy Stratfor Connection, Whitewashing Genocide.
Ukraine: Thousands of protesters block entrance to parliament and become interested in precious metals
I might be overstating the connection here but in a week that has seen protests in the Ukraine visits to this blog from that country have been in the top 10. A very rare occurrence for the Ukraine.
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