Imagine what the price of gold or silver would be if just 5% of the world's investment income went into precious metals

11:43 AM dollar, fiat currencies, gold, gold price, investment, investment income, silver, silver price, value No Comments

On Aug. 19, long time money manager Mark Mobius spoke with Bloomberg Business and doubled down on a previous statement that the investment public should not only get into physical gold, but also that it should encompass 10% of their investment portfolios.

Yet gold is not the only precious metal that serves as a monetary safe haven to protect oneself from devaluing fiat currencies.  And looking back at an infograph made by the Visual Capitalist back in 2017, we have to beg the question... how much would both gold and silver be priced at if just 5% (vs. even 10%) of the world's investment income was dedicated towards these metals.

(Note. according to {Peter Schiff, just 1% of all investment income is currently dedicated towards gold and silver, with the majority of it being in the form of paper derivatives.)



The current value of all available silver at the time of this project was around $77 billion, while the value of gold was estimated to be at around $7.7 trillion (now valued at $9.058 trillion at $1505 spot price).  Meanwhile the estimated total of combined equities, real estate, and derivatives (also not counting bonds) back in 2017 was around $834 trillion.

So taking these figures of investment values within the overall market, the percentage of money currently placed in either gold or silver is 1/100th of a percent, or .01.

Now imagine what the price of metals would be if this were to go from .01 to 5% (500 times), while also noting the recent works of SRS Rocco which shows that we reached Peak Gold production back in early 2018 and where central banks hold the largest accumulation of physical gold which is unavailable to the public.

At some point in the near future, the fiat currency experiment will end and people will be screaming for something that is tangible, and where they can actually hold in their hands.  And while two generations have grown up since 1971 not knowing the true value of gold and silver in the monetary system, when that paradigm finally breaks it will see a worldwide rush into the metals that will make 2017s Bitcoin mania look like a tiny drizzle.

Read More

Trump administration dropping hints that they too are interested in joining the MMT movement through the use of 100 year bonds

11:12 AM 100 year bond, debt, fed, inflation, interest rates, mmt, president trump No Comments

A politician's favorite scapegoat is the fact that by the time their destructive policies ever come to full fruition, they will often be long gone from office.  And while this isn't always the case, (President Obama and Obamacare) for the most part this does fit the pattern for elected officials in Washington D.C..

Which is why a scheme dropped on Aug. 17 by President Trump's Treasury Secretary Steve Mnuchin may actually see Modern Monetary Theory (MMT) enacted by a conservative administration long before the Democrats get control of the White House to implement their own version.

And the mechanism to introduce unlimited money printing? The 50 and 100 year bond.

As Bloomberg first reported, the Treasury’s Office of Debt Management is again conducting a broad outreach to Wall Street to refresh its understanding of market appetite for a potential Treasury ultra-long bond, according to a statement Friday. Specifically, the US Treasury is once again looking at the market interest in 50- or 100-year bonds, although it has not yet reached any decision whether to issue such a product. - Zerohedge

With the advent of the credit based system and completely fiat dollar, debts require a combination of inflation and future devalued currency to be able to pay off the obligations.  And since the Federal Reserve has been reticent lately to lower interest rates to allow the upcoming $6 trillion in national debts to be rolled over at a lower rate of interest, introducing a bond that will not have to be paid back until the 22nd century seems just as good for President Trump.

Got gold?

Read More

Is next week's Jackson Hole meeting where the Fed will seek to create the new cashless system built on negative interest rates?

10:56 AM alan greenspan, cashless society, debt, fed, fomc, jackson hole, negative interest rates 1 Comment

While the world chokes on $15 trillion of debt bound to negative interest rates, the Federal Reserve has suddenly been laying down hints that they too are in preparation for bringing bond yields down below 0.

Former Federal Reserve Chairman Alan Greenspan said nothing is stopping the U.S. from getting sucked into the global trend of negative yielding debt, Bloomberg reported Tuesday. 

“There is international arbitrage going on in the bond market that is helping drive long-term Treasury yields lower,” Greenspan said in a phone interview. “There is no barrier for U.S. Treasury yields going below zero. Zero has no meaning, beside being a certain level.” - CNBC

Additionally, Chairman Powell hinted at something during his last FOMC meeting that has for the most part gone completely under the radar.

Part way through delivering a press conference following the Federal Reserve’s first rate cut since December 2008, chairman Jerome Powell let it be known that the central bank was ‘looking carefully‘ at developing a new faster payments system. Unsurprisingly, his words on the subject proved the equivalent of screaming into the face of a force ten gale. Besides a handful of financial outlets, nobody heard him. All that analysts and observers were really interested in was the Fed’s stance on interest rates. – Steven Guinness

So with these two nuggets being dropped leading up to this week's annual Fed meeting in Jackson Hole, WY, the questions that needs to be asked are, is the Fed truly preparing to join the rest of the world in taking the Funds Rate negative, and in doing so, are they also preparing the banking system to go completely cashless in order to keep depositors from taking their money out of the system?

Perhaps the last hint regarding this was CNBC's bringing on stage Larry Summers last week who has long been a staunch advocate of banning cash.

Read More

The latest fraud coming from Buffett's favorite bank is in charging fees on the dead... dead accounts that is

10:37 AM accounts, fees, fraud, warren buffett, wells fargo No Comments

In this Brave New World of digitalization, no one can ever be fully disconnected from something they have once signed up for.  And whether that means agencies such as Facebook, church ministries begging you for money, or a prior bank account you once owned, getting completely away from any of these is a task greater than even what John Wick had to do to 'get out'.

So it should not be surprising to discover that one of the most corrupt banks in the financial system has been charging overdraft fees on accounts that customers supposedly thought they had closed.

Graphic courtesy of Caglecartoons

Xavier Einaudi did not want to wait for Wells Fargo to send him a check. 

The bank informed Mr. Einaudi that it was closing all 13 of the checking accounts it provided his roofing company, CRV Construction, for a reason it called “confidential.” The letter said the accounts would be closed on June 27, and he would be mailed a check for the balance in his accounts. 

Mr. Einaudi went to his branch and collected the money, so he did not have to wait for a check to arrive in the mail. But the accounts did not close on the preset date.
For weeks after the date the bank said the accounts would be closed, it kept some of them active. Payments to his insurer, to Google for online advertising and to a provider of project management software were paid out of the empty accounts in July. Each time, the bank charged Mr. Einaudi a $35 overdraft fee. 

Mr. Einaudi called the bank’s customer service line. He went to his local branch. Nobody could help him. “They told me, ‘The accounts are closed out — we cannot do anything,’” he said. 

By the middle of July, he owed the bank nearly $1,500. 

“I don’t even know what happened,” he said. 

Current and former bank employees said Mr. Einaudi got charged because of the way Wells Fargo’s computer system handles closed accounts: An account the customer believes to be closed can stay open if it has a balance, even one below zero. And each time a transaction is processed for an overdrawn account, Wells Fargo tacks on a fee. - New York Times

To put it into perspective just how corrupt Wells Fargo is, since 2008 alone the bank has been fined or sanctioned 43 times.

Following the 2008 financial crisis and subsequent 'bank reform' act that was passed two years later, holding money in a bank is one of the most riskiest decisions one can make if they want to ensure their money and wealth is protected.  Yet even without the fear of banks using your deposits as a bail-in mechanism, it appears that even just trying to close your account with Warren Buffett's favorite bank can end up costing you thousands of dollars.

Read More

Sunday night begins next attempt for gold to break through $1450 hard resistance level

7:00 PM asia, gold, gold price, resistance, tariff, trading 1 Comment

As Asian markets commence trading on Sunday Evening/Monday Morning of Aug. 4 across the globe, gold prices have surged up in a continuation of Friday's post tariff move.  And as technical charts show, $1450 is the hard resistance level that needs to be breached with earnest if the next leg up in this Bull market is to take place.

The night is still young...

Read More

Video gaming now pays more than winning the British Open or Wimbledon

3:34 PM british open, fortnight, fortnight world championship, prize pool, wimbledon 1 Comment

While prize fighting remains hands down best way to earn millions of dollars in a single event, another 'sport' is showing that being the best in it can earn you more than winning Wimbledon or the British Open.

On July 28, a 16 year old boy won the Fortnight World Championship and earned a prize that was greater than what the recent winners of Britian's most prestigious events did.

16-year-old Kyle "Bugha" Giersdorf of Pennsylvania has won a record-breaking $3 million prize in the Fortnite World Cup finals.

In fact the entire prize pool for this video gaming event was nearly four times greater than the pool for the British Open and about even with what was given out in prizes for Wimbledon.

Is it any wonder why the military is establishing video gaming units in order to try to recruit today's top joystickers for tomorrow's wars?

Read More

Are the Fed's days numbered? CNBC's central bank mouthpiece drops bombshell in saying it is a distinct possibility

1:28 PM audit the fed, central ban, cnbc, fed, fomc, interest rates, president trump, steve liesman, tulsi gabbard No Comments

Of all the financial news networks available, none are more vilified and also satirized than CNBC.  This is because the channel has become little more than a stock hawking site that ostracizes anyone who disagrees with their agenda.

Cue Peter Schiff, Michael Pento, etc...

So when CNBC's biggest central bank tool and Fed propagandist Steve Liesman out of nowhere makes a mindboggling statement that the real reason that the Federal Reserve will lower interest rates on July 31 is because there is a real threat that they could be shuttered by the President if they do the wrong thing, then you know that something major is taking place in the arena of confidence for the central bank.

"If The Fed gets this wrong, I think that they think if they make a mistake here, The Fed could be gone..." 

Liesman expands on his ominous view: 

"Think about what happens when a person gets up at a rally and starts railing against The Federal Reserve, and starts to create what could lead to Congressional pressure on The Fed, then you could imagine that their could be support for a different system.""I think they think there's a lot of political downside risk to getting this wrong." - Zerohedge

We may see first reduction in the Fed rate since 2008, says Fred Kempe from CNBC.

Interestingly, Trump isn't the ONLY Presidential candidate seeking to hold the Fed's feet to the fire as just last weekend, Rep. Tulsi Gabbard signed on with Republican partisans to audit the central bank.

Read More

Presidential candidate Tulsi Gabbard has picked up the Ron Paul torch in demanding an Audit of the Federal Reserve

10:00 PM audit the fed, democrat, presidential candidate, ron paul, tulsi gabbard No Comments

For the most part, the Audit the Fed movement has been a libertarian thing that gained a lot of steam following the 2008 financial crisis.  And at the tip of this spear was the former Congressman and Presidential candidate Ron Paul.

But with his retirement a few years back, the momentum to Audit the Fed has fairly died down.  That is until this weekend when it was announced that Democratic candidate for President Tulsi Gabbard signed on to a House Bill which would bring about at long last an auditing of the central bank.

Representative Thomas Massie (R-KY) told Luke Rudkowski of "We Are Change," a libertarian media organization, that Democratic presidential candidate Tulsi Gabbard has just signed on as a co-sponsor of Audit the Fed bill, officially known as H.R.24 The Federal Reserve Transparency Act of 2019. 

The bill authorizes the General Accountability Office to perform a full audit of the Fed's conduct of monetary policy, including the Fed's mysterious dealings with Wall Street, central banks and governments. 

During the interview, Massie said the latest development in attempting to audit the Federal Reserve is that Gabbard signed on as co-sponsor. He believes the topic will "get some airtime" in the upcoming presidential debates. - Zerohedge

Read More

Central banks abandon their 20 year gold manipulation scheme as they are soon to engage in a monetary metal free for all

9:36 PM central banks, gold, gold price, lease, manipulation, negative rates, qe, zirp No Comments

One of the biggest frauds engendered by central banks over the past few decades has been the scheme where they sold actual gold from their vaults, but accounted for it under the guise of a 'lease'.  This means that they could manipulate the price of gold in the Spot market while at the same time fudging their books to make it appear like they had ample gold reserves.

But as many central banks begin to rapidly lose credibility following a decade of QE, ZIRP, and even Negative Interest Rates ($13.7 trillion and counting in negatively yielding bonds), a sudden flight back into gold has emerged for these same central banks, and on July 26 they officially abandoned their 20 year agreement to cooperatively manipulate precious metal accounting.

Last month, a BullionStar article titled “The Fifth Wave: A new Central Bank Gold Agreement?” brought your attention to the fact that the fourth and current round of the Central Bank Gold Agreement (CBGA) run by a cartel of heavyweight central banks in Europe was about to expire, and that these gold agreements, which have been running in rolling five year periods since September 1999, were not designed for the purposes they claimed to be. 

That CBGA1 and CBGA2 from 1999 – 2008, were not intended to help the wider gold market by limiting central bank gold sales, but were really a cover by the central bank syndicate members to account for nearly 4000 tonnes of gold that had already been sold or leased in the 1990s. That CBGA3 was then used to distract the gold market about the secretive ‘gold sales’ that the IMF claimed to have undertaken in 2010, which were really another book squaring exercise for disposed IMF gold. 

The heavyweight signatories to the central bank gold agreements (CBGAs) include Eurozone member banks such as the Bundesbank, the Banque de France, Banca Italia, De Nederlandsche Bank, National Bank of Belgium, the European Central Bank (ECB) itself, as well as the non-Eurozone Swedish Riksbank and the Swiss National Bank. In its composition, the consortium replicates the nexus of the 1960s London Gold Pool (Switzerland, Germany, France, Italy, Netherlands, Belgium) and the nexus of the central banks which met at the Bank of International Settlements (BIS) in 1979 and the early 1980s to plan a secretive new 1980s gold pool. – Bullionstar via Zerohedge

Sadly for Europe and much of the Western central banks, the gold they sold to China and Russia will NOT be returned to them despite their ledgering the transaction as a 'lease'.  And this means that if they want to buy gold on the open markets, it will become apparent very soon that the cost will be much greater than if they had simply abandoned this scheme a decade ago.

Read More

Iran approves Gold Standard in creation of new sovereign cryptocurrency

8:43 PM blockchain, china, cryptocurrency, gold, gold standard, iran, money, russia 1 Comment

Many in the cryptocurrency community have forecasted that unbacked digital currencies such as Bitcoin will either compliment, or even one day supplant sovereign currencies as the primary medium of exchange.  But what most of these cryptocurrency advocates fail to take into account is that governments are the ones who hold the power to determine what is and isn't legal tender.

For now cryptocurrencies do have their uses in the burgeoning technology known as a the Blockchain, but in what could become the first of many sovereign created cryptos, the nation of Iran announced on July 20 that they are preparing for the implementation of a gold backed cryptocurrency.

Who says the gold standard is dead?

The Tehran News agency has reported that Iran intends to launch a gold-backed cryptocurrency. This comes less than a week after President Trump slammed virtual currencies on Twitter amid tensions between the historic foes. The New agency reported the development on its English website. 

Accordingly, the Central Bank of Iran (CBI) has approved the issuance of new cryptocurrencies. This is according to the CEO of Iranian Information and Communication Technology (ICT) FANAP, Shahab Javanmardi.
Shahab described the measure as follows: 

“IRAN’S CRYPTOCURRENCY WILL BE SUPPORTED BY GOLD, BUT ITS FUNCTION IS SIMILAR TO OTHER CRYPTOCURRENCIES. THE CRYPTO ASSET IS DESIGNED TO MAXIMIZE THE USE OF IRANIAN FROZEN BANK ASSETS.” - Asia Crypto Today

Interestingly as well, both Russia and China are also in the process of creating sovereign cryptocurrencies that will most likely be gold backed in some form or fashion.  And with the most recent numbers out on bi-lateral trade along the new Silk Road 2.0 showing $600 billion worth of dollar and non-dollar transactions, it will only require a few simple steps to transition these agreements from fiat to gold now that the Blockchain is ready to supplant the global financial system.

Read More