Private Markets as Political Weapons?

Discussion in 'Business & Economics' started by Carcano, Dec 24, 2014.

  1. joepistole Deacon Blues Valued Senior Member

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    So, if you don’t know how much gold is in private hands as you have just admitted, then how can you say those vaults are empty as you did?

    And you keep repeating falsehoods about US Treasury gold. Each year US gold reserves are audited. Last year, the audit found US gold reserves were higher than expected because tests revealed the gold content of existing bars exceeded expectations. The 2014 audit was completed with no discrepancies.

    By the way, the GLD gold vault isn’t in the US. Further, “paper gold” isn’t gold. It is a futures contract, a contract to purchase gold at some point in the future at a set price. It isn’t actual gold as you imply in the following paragraphs.
    The futures market isn’t a scam. There is only one owner for each ounce of gold at any given point in time. Gold isn’t double sold.
    No it doesn’t. It just shows you don’t know what you are writing about BillyT.
     
    Seattle likes this.
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  3. joepistole Deacon Blues Valued Senior Member

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    I find it difficult to understand how you think this is relevant to the topic at hand. Two, the facts don’t bear out your assertions. Now I know that has never been a problem for you, but for those of us who live in the real world, your diversions from reality are important.
    http://en.wikipedia.org/wiki/List_of_recessions_in_the_United_States
    http://en.wikipedia.org/wiki/Economic_history_of_the_United_States#The_economy
    And what is that supposed to mean actually? Governments, with a few exceptions, don’t peg the value of their currencies and no country pegs the value of its currency to gold as you advocate. And how is that related to Russia and Russia’s current economic crisis? It doesn’t solve Russia’s need for foreign currency. The debt which is coming due isn’t in gold or rubles, it is in dollars. Given that Russia cannot raise the price of oil or produce and sell more oil, it is in a bind. It could sell its gold on the market at reduced prices just as it is selling its oil at reduced prices and further drive down the prices for those commodities in order to raise the foreign currency it needs to pay its debts and buy goods and services. But that isn’t a permanent fix. Seattle has made a good argument. What you have done is, what you have always done, demonstrate you don’t have a clue. But it doesn’t stop you. You just keep going ignoring the many errors in your arguments which others have repeatedly pointed out to you.

    Putin has been very imprudent. His economic woes are of his own creation and only he or whoever replaces him can resolve the problems he has created.
     
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  5. Billy T Use Sugar Cane Alcohol car Fuel Valued Senior Member

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    Billy T said: "bottom graph shows there are now 57 owners of each ounce of deliverable (registered) gold." Here is Joe's ignorant, personal attack reply:
    Well here is the text that appears immediately below the graph:
    I merely said that in less words. Instead of the "stunning" of now bold last sentence, I said: "All-in all, not a stable condition."

    I.e. So much gold has left mainly for China, that if less than 2% of those who can, do ask for delivery, even Comex's vault of gold they can deliver would* be empty! Comex's vault holds a lot more gold, the "eligible gold," but every bar of it already belongs to someone. It is called "eligible" as it meets the standards for deliverable or "registered gold." The owner of those eligible bars can tell Comex to transfer some of their gold to the delivery vault; but of course, the owner will ask for a higher than current price - he knows he has Comex "over a barrel" - they don't want to default on delivery contracts. This is possibly why the price of gold has been rising for the last few days instead of falling near year end do to "tax loss" selling pressure.

    * It won't. Comex will pay what every higher price it needs to - to induce owners of eligible gold comex is storing for them, to sell some so Comex can make delivery, instead of go into default.
     
    Last edited by a moderator: Dec 26, 2014
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