"Chronic shortage of the precious metal and concerns of supply from major producers South Africa and Russia"
Jim Willie: Gold Trade Usage And Price Effect
Some basic logic must come to the table in the Gold pricing mechanism. The easiest way to keep the gold price down is NOT TO USE IT IN TRADE, NOR IN BANKING RESERVES, and to relegate it to the sidelines as the barbaric metal. Some deep amusement comes always in hearing that gold does not have value, does not earn a yield, and has no uses. Watching the destruction in bond principal value leads the observer to note how gold holds its value in times of crisis, and even rises against the general paper tide. The bond market crisis is global this time, unlike in 2008. Each debt downgrade to BBB, within the context of fallen angels, brings a realized loss in bond value. All this occurs with a rising gold price, even with pauses for consolidation. The best way to lift the gold price is TO USE IT IN TRADE AND IN RESERVES MANAGEMENT. The actual usage further motivates the proper value to be instilled, regardless of type of usage.
BELT AND ROAD IN NON-USDOLLAR: Bear in mind that the Belt & Road projects, led by China and with participation across the entire Eastern Hemisphere, can qualify as a Global Economic RESET basis. The BRI full 2019 year trade payments hit an impressive $1.34 trillion, after reaching the $600 billion level for the first six months. It is all all ALL non-USDollar in trade payments. Thus witness the acceleration. It should reach $3 trillion in the next few years, with the inclusion of the European Union, either in large sections or in its totality. These nations observe the nasty USGovt sanctions, the vicious SWIFT exclusion, pressured political tactics, in addition to hot wars across the globe in defense of the decaying corrupted USDollar. Not even US allies are spared, all targeted like Germany and Saudi Arabia.
SELF-INTEREST MOTIVE: Think in simple self-interested terms for the two parties. If China sets up broadbased systems for trade payments in Gold, then the Beijing crew will surely gather tremendous bounty in gold bullion. Nation after nation has a trade deficit with China. The accumulation will be great and in impressive volume, which the Chinese will want to be priced properly. They will wish to establish a new banking system with a prudently monetized system based upon gold. The transactions on the street and shops will not be in gold coins or bars, but the monetary basis will be gold. The point is that the Chinese Govt will want gold properly priced, since they will hold large vaults of gold. They will want their gold reserves valued as high as possible, but in realistic terms. Simple point, indisputable point, inevitable outcome!
If Italy sets up its bilateral trade with China, then Italy stands at risk of shedding (forfeiting) large volumes of its gold reserves. The two nations early last year arranged a Gold Trade Note to serve as their bilateral trade foundation in contract form. This vital European cog will be typical in such trade deals with China, a global model of sorts. A guarantor device is required in the new system to come, called the Global Financial RESET. Recall that the dominant theme will be Current Account Deficit (CAD), not just trade deficit within this context. Factor in investments. The Chinese already have signed preliminary deals with Italy to acquire port facilities such as Trieste and Palermo, with four ports targeted. CAD equals trade deficit plus investment deficit. Here the Italians will be selling ports with value in the multiple EUR billions. In the first year, the overall deficit might be very small, and thus small gold deliveries to settle. The point is that the Italian Govt will want the gold properly priced, since they will run the risk of forfeiting gold in balancing the accounts. They will want their gold reserves valued as high as possible, but in realistic terms. Simple point, indisputable point, inevitable outcome!
It is inconceivable how the Gold Trade Note or trade differences settled in gold would work based on the current Gold spot price. It is far too low to properly function. Its ongoing consistent penetrating corruption has endured for a few decades. Its time is up. Proper Gold pricing is overdue, and it is coming soon. The same principle will work on a full global basis. Expect for those countries settling their trade difference with gold on a quarterly basis to pursue the pricing of gold much higher, within their own self-interests and national motivations. Then also, the Oil & Gas industries will eventually demand gold payment for their shrinking energy deposits and stores. The entire crude oil market has made very large strides in moving away from the USDollar. The effect has been to weaken the global power of the King Dollar, opening the door to gold to become the global financial foundation. The Petro-Dollar is somewhere between dead in the morgue, and comatose on the gurney greased by war and blood.
HIGHER GOLD PRICE FROM USAGE: Actual usage of Gold in trade and in bank reserves management should push it to a price near $2500 in USD quickly. Any gold-backed digital currency sponsored by China will also propel the Gold price much higher. The entire gold market mechanisms are due for changes upon its formal usage:
trade payment on individual transactions (like oil & commodities)
backing of bilateral trade (e.g. China & Italy)
central bank reserves management (shift from USTBond to Gold)
industrial deals to attract foreign direct investment
GOLD AND SILVER DUE TO RISE: The true save haven is precious metals. Their price could rise double or triple quickly. The Basel End Game Plan calls for the major central banks to accumulate gold, to convert impaired sovereign bonds to gold reserves, and then finally to push the gold price up 10-fold, like over $10,000 per oz. The Basel hive is executing this plan right here right now, in the Jackass opinion. They are using closely aligned financial firms to do the gold purchases, and using false accounting with double books to conceal their activity. The personal Jackass desired outlook is to see a universal acceptance of Gold Trade Note for trade payment, and a $2500 gold price aside a $50 silver price later this current year. As for a forecast, hard to say since so many corrupt factors are at work, like political obstacles, trade sanctions, regional wars, and basic murders... https://www.gold-eagle.com/article/gold-trade-usage-and-price-effect
The New York Fed has been allowed by Congress to insert itself so deeply in markets that it’s highly possible that history will find it at least partly responsible for the next market implosion. The well-promulgated notion that the Federal Reserve began heavily meddling in the repo loan market on September 17 of last year is a piece of fiction. According to the U.S. government’s own database, residing at the Office of Financial Research (OFR), from 2014 through December 31, 2017, the New York Fed was engaged in repo transactions with U.S. Money Market Funds with $200 to $400 billion changing hands on pivotal days. For example, on December 31, 2015, the Fed engaged in $424 billion in repo transactions; on December 31, 2016, $403 billion changed hands; and as recently as June 30, 2017, $354 billion changed hands between Money Market Funds and the New York Fed... https://wallstreetonparade.com/2020/01/heres-why-the-new-york-fed-doesnt-want-you-to-see-a-photo-of-its-wall-street-esque-trading-floor/
I’ve been a hardcore deflationist for so long that it took a wake-up call from the always astute Jesse Felder to jolt me out of my complacency. His latest report is headlined Dr. Copper Could Soon Deliver a Diagnosis of Inflation, and it’s an eye-opener. The chart accompanying Felder’s think-piece suggests that copper futures have been developing thrust for the last several years that could launch a steep rally. He uses a pennant formation to show this, and the breakout point on his chart would come at around $2.95 per pound if it occurs this month. I have illustrated his pennant in the chart above with red lines... https://www.rickackerman.com/2020/01/is-copper-signaling-the-return-of-inflation/
The Mad Geopolitics of Israel’s EastMed Gas Pipeline
At just a time when the world holds its collective breath over risk of a World War over the US assassination of Iran’s leading general and other provocations, Israel has chosen to sign a natural gas pipeline deal with Greece and Cyprus that is the equivalent of tossing a loaded hand grenade into the hyper-tense region. Until some months ago it was doubtful whether Israel’s long-touted EastMed gas pipeline deal with Cyprus and Greece would see the light of day. Despite being backed by the US and the EU as an alternative to Russian gas, the EastMed as it is known, is dubious on many grounds, not the least its high cost compared with alternatives. The January 2 signing by the governments of Israel, Greece and Cyprus is directly connected to provocative moves by Turkey’s Erdogan to conspire with Libya to illegally declare almost all of the Eastern Mediterranean waters to be a Turkish and now Libyan Exclusive Economic Zone. If Mideast tensions were not already at the breaking point, the Israeli move throws a huge monkey wrench into the region’s troubled geopolitics...https://journal-neo.org/2020/01/19/the-mad-geopolitics-of-israel-s-eastmed-gas-pipeline/
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A video of medics in hazmat suits scanning plane passengers for China's mysterious Wuhan virus is stoking fears of a global epidemic
A video of medics in hazmat suits scanning dozens of plane passengers for the symptoms of a mysterious, fatal virus spreading across China is stoking fears of a global epidemic. Chinese authorities have been stepping up efforts to stop the spread of 2019-nCoV, also known as the Wuhan virus, named after the central Chinese city where the infection originated. The clip shows at least two medical staff members in full hazmat suits standing in the plane's aisle scanning the temperatures of passengers. It was tweeted on Sunday by David Paulk, a journalist at Sixth Tone, a news site based in Shanghai. He said that it showed a domestic flight out of Wuhan and that the clip had been circulating on Chinese social media. Business Insider has not independently verified the video... https://news.yahoo.com/video-medics-hazmat-suits-scanning-114327407.html
Stealth UFO Archives: X-Tech and the Presidents JFK Nixon Reagan Trump Link Revealed!
The JFK Nixon Reagan Trump Connection! Major new revelations following up from Secret Agent Robert Merritt's historic account of President Nixon's Secret UFO Message hidden in a Time Capsule in the White House. We'll look at the Presidents who attempted to reveal the UFO File and left Stealth Archives when their efforts were thwarted and how this information is set to come forward. Live Q and A with DJ and Miss Olivia! https://www.youtube.com/watch?v=9gs93adcO9A