The IMF is about to issue a $650 billion general SDR allocation. This dwarfs the 2009 allocation. The money is created with a press of a button and issued to the world central banks. All central banks are using this money to buy failing assets in a attempt to prop up the system. To ensure they get the SDR's off to a good start they smashed the gold price because that is one assest that they have no control over (in a physical sense) it's the only assest that CAN be taken OUT of the system. This insane money printing is now completely out of control. I note there has been recent talk of raising rates, I fail to see how this is even remotely possible. You have world economies mortgaged to the hilt on housing, you have record levels of margin lending, every country in the world has massive debt, so raising rates would be like pouring fuel on the fire. I think the "reset" theory is about the only one that makes sense. We should think about how they would structure that system and get ahead of the curve.
