Financial writer Bill Holter says the players in the gold markets are fearful. Why? Holter says, “The GOFO rates, or gold forward rates, in London are negative. They should never be negative, and they are more negative now than any time since 2001. That shows extreme tightness in the metals market. To me, it shows mistrust. It shows that people are saying I want my gold now. I don’t want gold in the future, I want it now. Negative GOFO rates should never happen.” Holter also says that the COMEX market is what he calls “corner-able.”
How much would it take to buy the entire deliverable gold and silver inventory? Holter says, “The way I would put it is it’s a ham sandwich without the ham or the cheese. You are talking about $1 billion would be enough to clean out COMEX gold registered category, and another billion dollars would clean out the silver inventory. It’s nothing. $2 billion dollars would clean the shelves dry.” Continue reading →
“The monetary tectonic plates are shifting, and predicting the next global financial earthquake is relatively easy.” – C H Smith
I recently suggested that the devaluation of the yen was Japan’s Monetary Pearl Harbor: a direct attack on the currencies of its major trading partners: the euro (European Union), the won (South Korea), the Australian dollar (AUD) and the U.S. dollar (USD), which affects both the U.S. and China since China’s currency, the renminbi, is pegged to the USD.
Though there have been no overt (that is to say, public) counter-attacks, this may not reflect monetary peace so much as an undeclared war. Correspondent Mark G. observed that the current geopolitical backdrop is considerably more unsettled than the relatively benign global chessboard in 2008:
“The Eurozone and the Pacific Rim now have a pair of regional wars being fought out primarily by financial and monetary means. We can infer that the major central banks won’t be anywhere near as cooperative during a crisis as they were in 2008.”
While the American-European financial sanctions against Russia and Russia’s counter-moves are being waged in public, the public response of the Korean and Chinese central banks to Japan’s massive devaluation has been limited to grumbling.
“Though the Chinese studies which conclude that astragalus has been used to treat cancer for thousands of years successfully are often targeted by Western medicine as being inconclusive, scientists still don’t understand exactly how the adaptogen works. The herbs’ results are powerful, regardless.” – C Sarich
The herb astragalus has been found in peer reviewed studies to double survival rates of cancer patients undergoing radiation therapy. Every researcher should be studying this herb for its cancer-fighting properties, but the problem is that those in the medical field wouldn’t be able to write a pharmaceutical prescription for an ancient herb that has been boosting immunity for over 2,000 years. Though that doesn’t mean you can’t still take it, and if you have undergone radiation to try to overcome cancer, you’ll want to.
Radiation ‘therapy,’ as it has been called, is arguably highly toxic and does little to actually treat cancer since it also kills healthy cells But for those desperate to overcome a possibly fatal disease, it can be an appealing option, especially since the American Medical Association and the American Cancer Society promote radiation and chemotherapy heavily.
For those who will or have undergone radiation treatment, the Chinese herb astragalus (Astragalus membranaceus) mayprove to be a life saver. A large dose of astragalus daily works as a powerful adaptogen in the body. Continue reading →
Image from siberiantimes.com by Vladimir Pushkarev / Russian Centre of Arctic Exploration
Russian scientists have explored a newly-formed and mysterious crater in Siberia. Theу hope their research will shed light on the origin of the hole in the land that locals call ‘the end of the world.’
The scientists were waiting for winter to freeze the walls of the crater, so that they could climb down 10.5 meters to its base. Director of the Russian Centre of Arctic Exploration and the expedition’s leader, Vladimir Pushkarev,told The Siberian Times, “We managed to go down into the funnel, all was successful. We used climbing equipment, and it is easier to do this in winter than in summer, with the ground now hard.” Continue reading . . .
“Russia and China may not be proposing an alternative system – yet. Still, as the dogs of war, of hate, of inequality – bark, the China-Russia caravan passes. The caravan is selling Eurasia economic integration – not bombs.” – P Escobar
World leaders during the APEC Summit family photo in Beijing November 10, 2014. Australia’s Prime Minister Tony Abbott standing behind Russian President Vladimir Putin (L) and Chinese President Xi Jinping (2nd L) (Reuters / Kevin Lamarque)
There’s hardly a more graphic illustration of where the multipolar world is going than what just happened at the Asia-Pacific Economic Cooperation (APEC) summit in Beijing.
Take a very good look at the official photos. This is all about positioning – and this being China, pregnant with symbolic meaning. Guess who’s in the place of honor, side by side with President Xi Jinping. And guess where the lame duck leader of the “indispensable nation” has been relegated. The Chinese can also be masters at sending a global message.
When President Xi urged APEC to “add firewood to the fire of the Asia-Pacific and world economy,” this is what he meant, irrespective of inconclusive decisions out of the summit.
1) Beijing will go no holds barred for the Free Trade Area of the Asia-Pacific (FTAAP) – the Chinese vision of an “all inclusive, all-win” trade deal that really promotes Asia-Pacific cooperation, instead of the US-driven, corporate-redacted, and quite divisive Trans-Pacific Partnership (TPP).
2) The blueprint is on for “all-round connectivity,” in Xi’s words – which implies Beijing setting up the Asian Infrastructure Investment Bank; Beijing and Moscow committing to a second mega gas deal – this one through the Altai pipeline in Western Siberia; and China already funneling no less than $40 billionto start building the Silk Road Economic Belt and the 21st Century Maritime Silk Road. Continue reading →
Gold expert James Turk says the U.S. dollar is not going to stay strong. Turk contends, “Canada, one of the closest allies of America, just announced a Chinese trade arrangement to deal in Chinese yuan with Canadian dollars. That bypasses the U.S. dollar. So, the outlook for the U.S. dollar is not good, despite this temporary strength that we are seeing now. It’s not good and, to me, the writing is on the wall for the dollar.”
Turk goes on to say, “What the U.S. government will do, though, is everything in its power to protect the dollar’s position, and that means more capital controls. There are already capital controls in place. It’s almost impossible for a U.S. citizen to come over here in Europe and open a bank account. They just don’t want to deal with U.S. citizens anymore. Another type of capital control is that $16 trillion sitting outside the United States cannot come back and be spent in the United States. If that were to happen, all those dollars overseas would fall to a steep discount to the domestic dollar because they would not have the same usefulness if they can’t be spent in the United States.” But wouldn’t that be a default that would crush the U.S. dollar? Turk explains, “It wouldn’t crush the domestic dollar. It would crush the international dollar relative to the domestic dollar. The domestic dollar will be inflated away in any case over the longer run. The immediate impact would be on dollars outside the U.S. and, yes, that is a default.” Continue reading →