Posted on 01/15/2014 7:33:03 PM PST by Publius
China National Gold Group Corporation General Manager Sun Zhaoxue has come out and told the world media that the US is suppressing the gold price. The reason for America’s manipulation of gold is to ensure US Dollar dominance on the world stage. America has by default ended up with the world’s reserve currency and therefore gets the world to work for them in exchange for an ever increasing supply of printed greenbacks. He also went on with an excellent analysis of America’s war against Europe and the Euro using their investment banks. Another good insight from Sun Zhaoxue is that while major players like Warren Buffet and Goldman Sachs talk about how they hate gold and forecast price declines, they have made large bets on gold and gold companies.
His comments from the Liujiazui economic forum were as follows:
“The hottest topic at the moment is oil and gold. The ground war we are seeing around the world is, I think, war for oil, whereas gold is the currency war. Why? We observe that integrity was the driver for the US Dollar to become the world reserve currency. The US Dollar and gold decoupling from 1971 caused the US Dollar to depreciate massively. From 1990 onwards, the Eurozone was in consultation to form a strong Euro to counter the US Dollar in order to prevent the latter from stripping Europe of its wealth. The Euro was born in 1999, supported by its strong economy and 11,000 tons of gold.
"With the birth of the Euro, a competitor to the US Dollar was created, and so the US decided to lay a trap for the Eurozone as part of the currency war. Some countries in the Eurozone violated the Eurozone’s norms by issuing bonds. Which entities participated in the issuance? US investment banks. After the debt was issued, it was US ratings agencies that struck a blow to the Eurozone by saying that its economies had problems.
"Only gold remains on par with the US Dollar to benefit from the Eurozone and Euro's collapse. This is why the US began to suppress gold by issuing a statement two months ago that the Eurozone will sell its gold when it is unable to service its debt, then stating three days later that the news was false. Furthermore, Goldman Sachs made a forecast for the gold price at the beginning of the year but suddenly changed its course saying the gold price will fall to $1300. Buffet said that he would not buy gold even if its price fell to 800USD. Our research indicates that Buffet made a lot of money from four gold companies. So his statement is inconsistent with his personal action.
"Bernanke’s speech followed, saying that monetary easing will end, that the US economy is improving. This series of examples shows that the fall of the gold price is premeditated. So I say that this process is a genuine currency war.
"Many people say that gold is just a beautiful thing. Then we have to ask the US why they store so much gold, but instead of selling gold, they issue debt to other countries to rescue the financial market.
"The US owes Germany so much gold but instead of repaying immediately sets a 2020 deadline to return the gold. From this example and process as well as some typical factors, this is a downright currency war to maintain US Dollar hegemony by defeating all other currencies.
"I shall stop here."
What is this thread about?
Collapsing gold prices.
Do collapsing prices mean “hyper-inflation”?
No.
“We don’t *want* the Dollar to be the world’s reserve currency.”
I was responding to this ASININE comment of yours. Not the overall topic of the thread. But you are so brilliant that seems to have escaped your attention. Now F#ck off.
You don’t understand basic economics. A strong Dollar costs the U.S. jobs by making imported goods cheaper.
A weak Dollar makes imports more expensive.
People who want a strong Dollar want the U.S. buying more Chinese goods.
People like you.
I find it a bit treasonous.
...but giving you the benefit of the doubt, it might just be your ignorance.
You jackass. WHERE I come out for a strong or weak dollar? Not that’s it’s the idiot black and white cartoon you portray either “ weak good,strong bad”. Tell Weimar Germans or Venezuelans the beauty of a weak currency.
I pointed out that WHEN the dollar stops the reserve currency it will lead to an economic collapse. If you don’t understand the concept that because the USD is the world reserve currency it allows us to paper over our debt at little or no interest you are clueless.
You don’t understand economics. Ranting and name-calling isn’t going to improve your economics grasp, either.
A weak Dollar buys fewer imports, but more domestic goods.
Wanting the opposite, a Dollar strong-enough to be the world’s reserve currency, is wanting the U.S. to prop up global economies at our domestic expense.
I always love it when the person who starts ranting and name calling gets offended.
“You don’t understand economics”
“NEWS FLASH COWBOY”
“ treasonous”
It’s called “ projection”. Look it up. Maybe you can learn something.
If economics were as simple as “ Weak currency GOOD! “ “ Strong currency BAD!” Zimbabwe would have been an export powerhouse, and Germany would be a basket case. There are some export benefits to a weak dollar. Those have to be balanced against its effect on import costs that drive up inflation and capital flows. My point which HAD NOTHING TO DO WITH THAT TOPIC, was loss of reserve currency status by the US dollar will result in horrific dislocations in the US economy :
“The loss of reserve currency status will be a serious problem for the US.
Through this convention, the US can expropriate resources from foreign countries by buying their goods and services with its own printed money.
Without the ability to expropriate resources from foreign countries, the US government will not be able to honour its unfunded liabilities to its own citizens . What can the US government do? It can repudiate its unfunded liabilities to its own citizens and protect the US dollar (to still function as money) or fulfill them by destroying the US dollar (hyperinflation). It cannot remain solvent and protect the US dollar simultaneously unless it finds a way to expropriate resources from foreign nations by force (i.e. go to war).”
Won’t that be a fun day?
You have a rare blend of ignorance that you believe is knowledge,
coupled with a laughable sense of self righteousness and a small nasty disposition.
Have a nice day.
For you, that's a good thing.
For patriots, expropriating goods from foreign nations means buying foreign goods instead of domestic goods...not a good thing.
Ad hominem again. You got nothing.
Just explaining the ways of the world to ya, kid. Not that you’ll clue in...
Yeah, attacking my patriotism . Spare me.
Not necessarily. Your lack of patriotism is merely one possibility. The other possibility is that you simply don’t understand that a strong Dollar benefits the rest of the world more than the U.S.
And I’m pretty sure you don’t understand anything about economics.
By tha way Mr Patriot, what branch did you serve in?
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