WHY ARE CENTRAL BANKS BUYING GOLD?

8 comments

Posted on 18th April 2012 by Administrator in Economy |Politics |Social Issues

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I wonder what they are preparing for. I thought Bernanke said gold was a barbaric relic and wasn’t really money.

 

 

8 Comments

  1. Hope@ZeroKelvin says:

    The Central Banks know that the USD is totally fucked, duh, as is the US economy.

    They need somekind of wealth preservation until the world sorts out a new reserve currency after the death of the dollar and the resulting crash of the global economy.

    Best git you some, and some silver too.

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    18th April 2012 at 10:50 am

  2. Tampa Gold says:

    “I don’t know. Tradition perhaps?”

    The clueless Bernank in response to a question from Ron Paul during testimony on Crapitol hill.

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    18th April 2012 at 11:08 am

  3. Stucky says:

    Why are the owners of gold selling it for …………PAPER MONEY??

    gold_and_silver_country_is_broke.jpg

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    18th April 2012 at 11:17 am

  4. Bob says:

    Central Banks are usually the last ones on the gold buying bandwagon, and the last to get around to selling. They are a notorious contrary indicator — just look at the chart above for confirmation of that.

    Like or Dislike: Thumb up 1 Thumb down 1

    18th April 2012 at 11:36 am

  5. TeresaE says:

    “Why?”

    Cause shit is fucked up.

    And whatever is coming down the pipe will obviously be tied to real stores of wealth, not fiat.

    Cripes when we live in a world where bankrupt countries are “helping” “bail out” other bankrupted countries, just what would we expect?

    China considers gold money, India considers it money too.

    Better get on the bandwagon, cause I get the feeling what China & India (throw in Russia too) think is going to be much more valuable than what our Harvard grads & leaders are telling us.

    Follow the (trillions of) dollars. They lead right to our money being worth less than toilet paper.

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    18th April 2012 at 12:58 pm

  6. johnnyBoy says:

    They are buying it to control it. If they can simply print fiat in the morning at no cost and exchange it for gold in the afternoon. Gold is the arch enemy of central banks and the ponzi fiat…so keep your friends close and your enemies closer. One day soon, after they have accumulated enough gold, they will do a worldwide central bank dumping of gold taking out all the retail stops and dropping gold $1000. Everyone will have sold in a panic, the CB’s print up some more fiat and take control of the remaing gold stockpile, again, at no cost. Game over for gold. Nice having your own printing press.

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    18th April 2012 at 1:27 pm

  7. card802 says:

    The Central Banks are buying gold because they know Shit is Fucked up and Bullshit.

    Anybody ever see this guy? Other than Ron Paul we have no politicians with the balls to say out loud what British MEP Daniel Hannan has the balls to say out loud, or a media that would report it in a unbiased fashion.

    http://www.youtube.com/watch?v=QyHhe2WWU2A

    The video below is instructive in that I’ll bet one in 10,000 (I would say a lot more) citizens of the good ol USA couldn’t answer Daniel’s question at the 6:41 mark (if you care to listen that long)……………..”What made your country great”………….I’m not a Hanity fan at all but I think Hanity well expresses what probably most Americans would say, or they would have even worse answers.

    http://www.youtube.com/watch?v=qD-gkXANZ_Q

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    18th April 2012 at 2:04 pm

  8. Novista says:

    Nixon took the country off the gold standard on August 15, 1971. By December, he raised the official gold price from $35/oz to $38oz — and devalued again on February 12, 1973 setting the official gold price at $42.22. _Where_it_remains_ … think about that.

    Ask the Franklin Mint what they think of the official policy when TWA ‘lost’ a shipment valued at $250,000 of “numismatic materials”. Worse, the lawsuit in the district court ruled on the basis of the Warsaw Convention covering international air carriage Treaty. The liability was set at $6,472.98 and the Supremes thought that was just hunky-dory.

    Many people know of the “Browm bottom”, UK Chancellor of the Exchequer Gordon Brown selling gold reserves between July 6, 1999 and March, 2002. Fewer people know that Australia’s RBA, the reserve bank, sold 2/3 of the nation’s gold starting in 1997. The official justification was the gold doesn’t pay interest (conveniently ignoring the fact they were leasing it out for a fee since 1986.)

    Almost no one knows Australia’s Banking Act of 1959 has a spiffy little Article 42(1) (albeit dormant) requiring delivery of personal gold to the RBA to be paid for as determined by the RBA. Et cetera and so forth.

    I think there’s a real reason it was termed a barbaric relic … Keynes really did not like “old-fashioned individualism and laissez-faire.” “There is no escape from a ‘managed’ currency.” Ninety-eight years of management has surely paid off.

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    18th April 2012 at 10:54 pm

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