Thursday, May 31, 2012
Wednesday, May 30, 2012
BIS: Gold To Become Tier 1 Asset For Collateral - Gold To The Moon Alice!?!
The BCBS - Basel Committee on Banking Supervision, part of the the BIS - Bank of International Settlements is meeting to discuss
making gold a tier 1 asset. What does this mean to the banking world and how does it effect you?
Ross Norman CEO of Sharps Pixley comments.....
In short, they are meeting to consider making gold a Tier 1 asset for commercial banks with 100% weighting rather than a Tier 3 asset with just a 50% risk weighting as it does today. At the same time they are set to increase the amount of capital banks must set aside as well. A double win potentially.
This could easily explain why countries like China, India, Russia, Vietnam & Mexico have been gobbling up all the gold they can get their hands on for the last two years. They know gold is a financial asset.
These countries are the global financial centers of the next hundred years
and you would be stuffing your head in the sand to ignore this blatant fact. These countries know that gold is a valuable financial asset and can support their currencies as hard, tangible assets. No wealth by "fiat" here. Western countries like the US, Britain and Europe are not buying gold because they are afraid their fiat currencies will collapse, if, by buying gold, they admit that there is no "there, there" in their currencies.
What to do? What to do? Fire up the western financial press, thats what!
And once again the financial prevaricators at Bloomberg, CNBC, CNN & the rest of the moronic "we didn't see it coming" media, screaming at anyone within earshot that gold is in a bubble. The repeated drum beat of...gold has no value, you can't eat gold, gold isn't a safe haven, gold doesn't earn a dividend come blaring out of the digital, financial fog.
Gold as a Tier 1 asset in the banking system must be scaring the governments in Washington, London and Berlin.
This helps explain why you have heavy weight, insider investors like Warren Buffett & Charlie Munger disparaging gold. Why would men who gained great wealth from buying insurance companies denigrate gold?
The same arguments can be made against owning insurance.. insurance doesn't produce or build anything, you can't eat insurance... insurance is only valuable if you can make a claim and the insurer has capital. So for Buffett and Munger to malign gold and dissuade any thought that the average man on the street, should NOT consider gold as a safe haven, as financial insurance, is claptrap from disingenuous fabulists. These negative illusions regarding gold continue with comments from Ben Bernanke, FED Chairman, on his recent road show. Chairman Ben has gone so far as to appear on 60 Minutes, meet with military personnel and lecture students at George Washington University that gold has no monetary value and that considering a gold standard is monetary policy folly.
Here is his comments to Rep. Ron Paul, who is currently running for President of the USA, regarding gold as money... 38 seconds in..
Link Here.
I guess they don't get 60 Minutes in China or India or Russia or Vietnam or Mexico or or their Netflix dvd's are running late.
Do you really think that these countries and their leaders are nattering nabobs and buying HUGE sums, 1000's of tons of gold because it is pretty?
If you aren't interested in insuring your wealth with physical ownership of gold or silver, you will have missed a huge opportunity to protect your family and your future.
Please read the essay from Dave From Denver. He comments on the future of gold below.
From The Golden Truth:
Dave In Denver:
The real evidence comes from looking at what the big buyers of gold are doing. I think many of you have already seen the recent articles which report the latest Central Bank gold accumulation in primarily eastern and southern hemisphere countries. As I mentioned yesterday, China imported the equivalent of about 10% of the world gold production in 2011. In Q1 2012, China imported 50% of the amount it imported for all of 2011.
Venezuela has repatriated most of its gold (200 tonnes) that was being held outside of the country by western country Central Banks (England, U.S., Switzerland). Mexico has been recently accumulating physical gold. And Viet Nam is now known in global gold circles as "little Switzerland." In other words, it seems that every country other than the U.S., Japan and EU countries are actually aggressively accumulating physical gold (and silver).
One reason is that the B.I.S. - Bank for International Settlements, the Central Bank for all global Central Banks - is looking into reclassifying gold as a Tier 1 asset: LINK What this means in short is that it would elevate gold held by banks to the same asset class status as paper currency. In other words, "gold is cash." Currently gold is classified as Tier 3 asset, which means that any gold held by a bank gets a 50% haircut to market value in accounting for a bank's required capital reserves held against liabilities. Tier 1 status would elevate gold to 100%, same as cash. Hmmm...
Read the rest of the article here......
making gold a tier 1 asset. What does this mean to the banking world and how does it effect you?
Ross Norman CEO of Sharps Pixley comments.....
In short, they are meeting to consider making gold a Tier 1 asset for commercial banks with 100% weighting rather than a Tier 3 asset with just a 50% risk weighting as it does today. At the same time they are set to increase the amount of capital banks must set aside as well. A double win potentially.
This could easily explain why countries like China, India, Russia, Vietnam & Mexico have been gobbling up all the gold they can get their hands on for the last two years. They know gold is a financial asset.
These countries are the global financial centers of the next hundred years
and you would be stuffing your head in the sand to ignore this blatant fact. These countries know that gold is a valuable financial asset and can support their currencies as hard, tangible assets. No wealth by "fiat" here. Western countries like the US, Britain and Europe are not buying gold because they are afraid their fiat currencies will collapse, if, by buying gold, they admit that there is no "there, there" in their currencies.
What to do? What to do? Fire up the western financial press, thats what!
And once again the financial prevaricators at Bloomberg, CNBC, CNN & the rest of the moronic "we didn't see it coming" media, screaming at anyone within earshot that gold is in a bubble. The repeated drum beat of...gold has no value, you can't eat gold, gold isn't a safe haven, gold doesn't earn a dividend come blaring out of the digital, financial fog.
Gold as a Tier 1 asset in the banking system must be scaring the governments in Washington, London and Berlin.
This helps explain why you have heavy weight, insider investors like Warren Buffett & Charlie Munger disparaging gold. Why would men who gained great wealth from buying insurance companies denigrate gold?
The same arguments can be made against owning insurance.. insurance doesn't produce or build anything, you can't eat insurance... insurance is only valuable if you can make a claim and the insurer has capital. So for Buffett and Munger to malign gold and dissuade any thought that the average man on the street, should NOT consider gold as a safe haven, as financial insurance, is claptrap from disingenuous fabulists. These negative illusions regarding gold continue with comments from Ben Bernanke, FED Chairman, on his recent road show. Chairman Ben has gone so far as to appear on 60 Minutes, meet with military personnel and lecture students at George Washington University that gold has no monetary value and that considering a gold standard is monetary policy folly.
Here is his comments to Rep. Ron Paul, who is currently running for President of the USA, regarding gold as money... 38 seconds in..
Link Here.
I guess they don't get 60 Minutes in China or India or Russia or Vietnam or Mexico or or their Netflix dvd's are running late.
Do you really think that these countries and their leaders are nattering nabobs and buying HUGE sums, 1000's of tons of gold because it is pretty?
If you aren't interested in insuring your wealth with physical ownership of gold or silver, you will have missed a huge opportunity to protect your family and your future.
Please read the essay from Dave From Denver. He comments on the future of gold below.
From The Golden Truth:
Dave In Denver:
WEDNESDAY, MAY 30, 2012
Gold Isn't Just For Goldbugs Anymore...
I don't think China really cares about the Comex other than the fact that the Comex operators do a great job keeping the price of gold and silver artificially low for China as the world's largest buyer of gold and silver. - Dave in DenverAnyone who buys into the "gold is in a bubble/bear market" proclamations being tossed out on CNBC, Bloomberg and other mainstream disinformation sources needs to examine the real evidence. The real evidence does not come from some asswipe working for a big bank brokerage firm who examines pretty lines drawn on a chart or has spent the last 10 years conning the public into buying stocks like Facebook.
The real evidence comes from looking at what the big buyers of gold are doing. I think many of you have already seen the recent articles which report the latest Central Bank gold accumulation in primarily eastern and southern hemisphere countries. As I mentioned yesterday, China imported the equivalent of about 10% of the world gold production in 2011. In Q1 2012, China imported 50% of the amount it imported for all of 2011.
Venezuela has repatriated most of its gold (200 tonnes) that was being held outside of the country by western country Central Banks (England, U.S., Switzerland). Mexico has been recently accumulating physical gold. And Viet Nam is now known in global gold circles as "little Switzerland." In other words, it seems that every country other than the U.S., Japan and EU countries are actually aggressively accumulating physical gold (and silver).
One reason is that the B.I.S. - Bank for International Settlements, the Central Bank for all global Central Banks - is looking into reclassifying gold as a Tier 1 asset: LINK What this means in short is that it would elevate gold held by banks to the same asset class status as paper currency. In other words, "gold is cash." Currently gold is classified as Tier 3 asset, which means that any gold held by a bank gets a 50% haircut to market value in accounting for a bank's required capital reserves held against liabilities. Tier 1 status would elevate gold to 100%, same as cash. Hmmm...
Read the rest of the article here......
Tuesday, May 29, 2012
Can Cali Be Fixed? Victor Davis Hanson Has A Few Thoughts
May 29th, 2012
Can California Be Fixed?
NRO’s The Corner
Recently, I was driving down pot-holed, two-lane, non-freeway 101 near Monterey (unchanged since the 1960s) when the radio blared that on a recent science test administered to public schools, California scored 47th in the nation. As I looked at the congested traffic on the decrepit highway and digested the idea that our public schools are competitive only with Mississippi and Alabama, I wondered — is that what we get for a more than 10 percent income tax, 10 percent state and local sales taxes, and the highest gas taxes in the nation?
To sum up why California has yet another deficit — this time a $16 billion whopper — is pretty easy: The number of demonized one-percenters who pay over 10 percent in their salary to the state has been shrinking, as thousands flee with their ideas, energy, business, and capital to nearby no-taxstates, and others make less money due to more and more costs and regulations — while the number of those receiving all sorts of state housing, food, medical, education, and legal support is soaring. (In crude parlance, California increasingly is seen by some as a very bad deal, in terms of the sort of schools, safety, transportation, and housing per taxes paid in comparison to Reno, Tahoe, or Austin, but by far more people as a very good deal in comparison to the costs versus benefits in, for example, Oaxaca or El Salvador.)
In the last two decades, the number added to the prison rolls (ca. 115,000) was not that much smaller than the number of new tax-filers (150,000). And of the last 10 million added to the state’s population, 7 million are on Medicaid.
But California being California, such reductionist thinking is taboo, and we are not allowed to make any suggestion that there is a connection between fleeing entrepreneurs, massive and illegal influxes of undocumented foreign nationals in recent years, and record public salaries and unfunded pensions.
So that said, are there any out-of-the-box things California might do to save or make a few billion dollars, other than the obvious measures of slashing spending and dismantling burdensome regulations?
Read the rest of Mr. Hanson's thoughts here....
Can California Be Fixed?
NRO’s The Corner
Recently, I was driving down pot-holed, two-lane, non-freeway 101 near Monterey (unchanged since the 1960s) when the radio blared that on a recent science test administered to public schools, California scored 47th in the nation. As I looked at the congested traffic on the decrepit highway and digested the idea that our public schools are competitive only with Mississippi and Alabama, I wondered — is that what we get for a more than 10 percent income tax, 10 percent state and local sales taxes, and the highest gas taxes in the nation?
To sum up why California has yet another deficit — this time a $16 billion whopper — is pretty easy: The number of demonized one-percenters who pay over 10 percent in their salary to the state has been shrinking, as thousands flee with their ideas, energy, business, and capital to nearby no-taxstates, and others make less money due to more and more costs and regulations — while the number of those receiving all sorts of state housing, food, medical, education, and legal support is soaring. (In crude parlance, California increasingly is seen by some as a very bad deal, in terms of the sort of schools, safety, transportation, and housing per taxes paid in comparison to Reno, Tahoe, or Austin, but by far more people as a very good deal in comparison to the costs versus benefits in, for example, Oaxaca or El Salvador.)
In the last two decades, the number added to the prison rolls (ca. 115,000) was not that much smaller than the number of new tax-filers (150,000). And of the last 10 million added to the state’s population, 7 million are on Medicaid.
But California being California, such reductionist thinking is taboo, and we are not allowed to make any suggestion that there is a connection between fleeing entrepreneurs, massive and illegal influxes of undocumented foreign nationals in recent years, and record public salaries and unfunded pensions.
So that said, are there any out-of-the-box things California might do to save or make a few billion dollars, other than the obvious measures of slashing spending and dismantling burdensome regulations?
Read the rest of Mr. Hanson's thoughts here....
Saturday, May 26, 2012
Friday, May 25, 2012
Thursday, May 24, 2012
Wednesday, May 23, 2012
Monday, May 21, 2012
Saturday, May 19, 2012
Thursday, May 17, 2012
Wednesday, May 16, 2012
Monday, May 14, 2012
Friday, May 11, 2012
Tuesday, May 8, 2012
Sunday, May 6, 2012
Friday, May 4, 2012
Another MF Global In The Offing?
If you haven't gotten out of the paper markets yet, heed another warning.
There are signs from many quarters that we are heading for another market crash like 2008. Take a look at our jobs report today and see a major miss as well as a government manipulation of erasing 500k plus of job seekers from the labor force to make the unemployment number "look" better at 8.1%. This is all being staged to make American's feel better and reward Mr. Obama with a second term in November. It doesn't matter who is elected in November. The problems we face were created by both parties and they won't offer up any real answers to the American electorate, because they couldn't get elected by offering the unvarnished truth. So, they will kick the can down the road, blame everyone else, ask you to tighten your belt, as they try to steal all they can from you, hiding obvious financial facts to keep power as long as they can.
Don't be fooled by the government numbers manipulation. Take note that the market is extremely shaky and there is no volume to back up these heady numbers.
The market didn't like the jobs number either - nor should they - and took a 168 point dive, making this the worst week for stocks this year.
Ann Barnhardt, former commodities trader and market analyst is reporting that Penson Worldwide, a major commodities clearing brokerage is on the verge of collapsing. She explains that if this becomes another MF Global where the client funds are stolen and the CME does not backstop client accounts, the market will crash big time.
And while you may not care for her religious views, her market analysis is spot on. You can read her thoughts here.
Another does of "bad" news for the dollar is that the BRIC countries, which had a major meeting in April, have been calling for the return to the Gold Standard to resolve the world's financial crisis, are working to make this a reality in the near future. This is the real deal here folks. The rest of the world is tired of the Western bank shenanigans, led by the US Fed and want a return to real money. You can read "The Golden Truth's thoughts on returning to the Gold Standard here.
Our government and the financial media don't take this issue - a world wide Gold Standard - seriously, but it is coming and will happen quickly, over a week or two. Then we will see a stunningly fast lost of value in the dollar and 30% minimum inflation overnight. This will be most unfortunate for anyone in the US and the west holding large amounts of US currency.
There are signs from many quarters that we are heading for another market crash like 2008. Take a look at our jobs report today and see a major miss as well as a government manipulation of erasing 500k plus of job seekers from the labor force to make the unemployment number "look" better at 8.1%. This is all being staged to make American's feel better and reward Mr. Obama with a second term in November. It doesn't matter who is elected in November. The problems we face were created by both parties and they won't offer up any real answers to the American electorate, because they couldn't get elected by offering the unvarnished truth. So, they will kick the can down the road, blame everyone else, ask you to tighten your belt, as they try to steal all they can from you, hiding obvious financial facts to keep power as long as they can.
Don't be fooled by the government numbers manipulation. Take note that the market is extremely shaky and there is no volume to back up these heady numbers.
The market didn't like the jobs number either - nor should they - and took a 168 point dive, making this the worst week for stocks this year.
Ann Barnhardt, former commodities trader and market analyst is reporting that Penson Worldwide, a major commodities clearing brokerage is on the verge of collapsing. She explains that if this becomes another MF Global where the client funds are stolen and the CME does not backstop client accounts, the market will crash big time.
And while you may not care for her religious views, her market analysis is spot on. You can read her thoughts here.
Another does of "bad" news for the dollar is that the BRIC countries, which had a major meeting in April, have been calling for the return to the Gold Standard to resolve the world's financial crisis, are working to make this a reality in the near future. This is the real deal here folks. The rest of the world is tired of the Western bank shenanigans, led by the US Fed and want a return to real money. You can read "The Golden Truth's thoughts on returning to the Gold Standard here.
Our government and the financial media don't take this issue - a world wide Gold Standard - seriously, but it is coming and will happen quickly, over a week or two. Then we will see a stunningly fast lost of value in the dollar and 30% minimum inflation overnight. This will be most unfortunate for anyone in the US and the west holding large amounts of US currency.
Tuesday, May 1, 2012
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