"Russia and China are almost certainly aware of the lack of gold in Western central bank vaults: they are fully capable of thorough due-diligence in this respect."
"Until now, payment for Russian energy and Chinese goods in foreign currencies has been welcomed, because it has allowed the Russian and Chinese elites and middle classes to accumulate wealth. This balance of interests can only be maintained for so long as Russian and Chinese governments and their citizens can hedge foreign currency risks through an offsetting accumulation of foreign-owned gold.
This is no longer the case, because to all intents and purposes western capital markets are cleaned out of physical supplies, and the ability of the Western central banks to supress gold prices appears to be ending."
I note the related info from GATA (I think it was) that going back to 1991 (1991 to current) just adding up the gold exports from the USA, the total is 4000+ Tonne more than the US produces. So, WHERE did the US get 4000 Tonne of gold to sell/lease to foreign people. All GATA did was add up the exports from the US public, govt documents.
So, honestly, the gold really is not in the US and the bullion banks. Germany's gold really is not there. Fort Knox cannot be audited because it is a bit skinny on holdings.
To be honest, this is all OK stuff. I mean the banks and govt were legally allowed to 'lease out' 'sell' the gold. I mean it makes financial sense. You lease out gold at 1%, then you use the $$$ you get back to play the stock market, and you make more than 1%.
But 'oopsey' when you need to start coughing up the gold. EG Germany wants their gold back.
I liked the article the other day (it was KWN, so I tried to find how to send them an email and call them liars, but they did say this...), in Switzerland, big private bullion holders are told 'you cant see your allocated gold AND you can only take it out to the tune of $100,000 per year). The reason I wanted to call KWN liars was because it is a mate of a mate story. I want to know the actual banks that refuse sight of allocated gold or refuse to allow holder to take out. I would actually send the bank a letter to say 'I will like to deposit $10 mill of gold oz with you; if I do, can I withdraw whenever I like'. They will answer me one way or the other.
