Posted on 03/31/2022 4:54:12 PM PDT by markomalley
Step 1: Offer a premium fixed price for gold to domestic Russian banks who can't sell their gold internationally due to sanctions, encouraging domestic gold flows into Bank of Russia.
Step 2: Strengthen the Ruble internationally by insisting on energy payments in Rubles, turning fixed price into a premium internationally as well, encouraging international gold flows into Russia.
Step 3: Turn the Ruble into a credible gold substitute at a fixed rate.
The 5000RUB window closes June 30. Does Russia declare the Ruble convertible to gold after that? At what rate? Rather than speculate on the Ruble, just buy the gold. This idea was discussed in more depth with members of my private investing community, The End Game Investor.
(Excerpt) Read more at seekingalpha.com ...
So how's that economic warfare working for you, Joe?
It’s only to keep it stable during the war.
The war ends, I think they will reverse everything.
I have a question - who decides how much Gold is worth?
If it is the same markets that decide everything else, it is all SUBJECTIVE as the value of our dollar is.
Who runs the markets?
Russia will exchange their currency and gold at a specific price.
Will he ever come to his senses and Tax The Rich?
If it is the Ordinary Joe, and he bases that decision on how easy it is to use Gold in the marketplace, You have a very good point.
Its a great scheme to stop people from shorting the ruble. But there is one catch. Since banks can’t do business with Russia they can’t sell their rubles to anyone at any price. So its hard to get any money for their rubles. Even if Russia is guaranteeing it. The banks aren’t allowed to take them up on it.
But can banks sell the rubles to China, who isn’t recognizing sanctions? Then China exchanges it for gold. Using a “friendly” third-party to facilitate the transactions.
But can banks sell the rubles to China, who isn’t recognizing sanctions? Then China exchanges it for gold. Using a “friendly” third-party to facilitate the transactions.
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Why should China hide it?
Russia should have considering what you’re mentioning when they decided the price to sell gold for rubles.
“The war ends, I think they will reverse everything.”
Not the idiot US. They’re committed to getting rid of Putin, no matter how much We, The People suffer. The CIA and State Department, and 10,000 neocons, are after the Great White Whale—Putin. They won’t remove a single sanction on Russia, even if the war ends tomorrow.
Part of the equation is Russia is the second largest producer of gold in the world.
There is also a lot of gold in Africa and some leader over there wanted to implement a Gold Dinar, whose value would be based on commodities Africa produced.
I think his name was Colonel Gaddafi. Something really bad happened to him shortly thereafter. Maybe he committed Arkancide.
“The war ends, I think they will reverse everything.”
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Places that are buying from Russia now are going to stop after the war and after sanctions are dropped? I mean, they don’t give a flying gilded shite about threats from the US and demands they stop now - but they will stop when even that is gone?
In 2020 and 2021,the Russian central bank sold some of their gold in London. When the war started, many in Russia were shocked at how little they had since they said they had been “accuminlating” since 2009. Where did the money go for the gold sales?
No one trusts them, they’ve broken every agreement ever signed. They don’t trust their own central bank.
Doesn’t sound like good news for the Fed. Reserve.
I meant they will stop selling gold.
Tue ruble is approximately what it was before the war started, so they accomplished their objective of stabilizing it.
Mining
“I have a question - who decides how much Gold is worth?”
The market decides it.
If the market price of gold and other commodities rises in terms of rubles, they know they are expanding the money supply too fast. If it falls, they aren’t expanding it fast enough.
I think it’s great idea and we should follow suit.
Reagan and Volcker kept the price of gold around $400 per ounce for eight years and eliminated Carter’s inflation completely. Bush Sr. and Clinton kept the price at that level too, and experienced little to no inflation.
Around 2005, the price of gold started creeping up, and inflation began to rise as well. Instead of limiting the money supply, the Feds hid the inflation by changing the way they calculate it, but nobody was fooled.
Now, gold is nearly $2000 per ounce and inflation is back in spades. Coincidence? I don’t think so.
I have a question - who decides how much Gold is worth?
————
The LBMA and COMEX fixes the daily gold and silver price. Both set the world’s bullion prices,24 hours, by paper contract orders and futures. The LBMA is in London, Comex in the US. For decades they have been accused ( and proven guilty ) of corruption. They base the price level on buy/ sell orders, and often do NOT have the actual bullion on hand when entities “ take delivery “. We are fast approaching the day they default on a delivery, in which if that occurs the price will go vertical, came close a year and half ago in the silver market, but the LBMA ( London) had to ship tons of bullion by plane to the Comex depositories in the US to avoid contract default.
Gata.org has been exposing them for years.
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