Gold

The End of Capitalism? – Fascism 2.0?

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To many, Capitalism, is what makes the world go round. But many others don’t really know what that is.

Population growth - From Jesus Christ until 2050. Where will all the food come from to feed these extra mouths?

So what is Capitalism?

Capitalism the word, derives from the word Capital – and Capital is…. “Savings”.

Of course savings, are generally stored in Banks, and that “capital” should generate interest. Of course interest is what the Banks give to the owners of Capital, and traditionally, the Bankers loaned out that capital to business people who would use that injected capital to increase profits, and those increased profits, would pay back the loan, and add value so that the expenditure of the capital is justified.

If we have a population explosion, such as happened after the second world war – the baby-boomers – we have a situation where fast approaching retirement the ‘boomers’ are now saving like crazy in their pension accounts, insurance or assurance policies, bank accounts and stock market brokerage accounts. Of course those who retire inevitably need income from their savings (some of which went into buy-to-let property which led to the boom, between 2002-2007) And yet interest rates have been lowered to zero per-cent or close to it, in Europe, the UK. and the U.S.

So as these savers are looking for yield from their savings, this has driven down Bond yields (A bond is a loan, to a country – such as aTreasury Bill, or Gilt – or a corporation, which generates interest to the holder.).And we know that to produce that interest, we need to generate growth – in the economy, and in the corporation.

BUT, all that growth relies on energy, and despite recent price falls in oil and gas, longer term, much of what happens in the sphere of energy is reliant on oil and gas production, which because of something economists are famiIiar with – EROI – Energy Return, On Energy Invested – we know that we are close to or past the Peak, and the energy cost of producing more energy, will lead ultimately to a collapse in the economy.

But few in the mainstream media, or among our politicians are willing to discuss this or how we might resolve this issue. Fracking is the U.S’s attempts, but as energy prices have fallen, the financial cost of Fracking is now placing undue strain on oil and energy suppliers, and upto 100,000 workers have been laid off in the U.S., and numerous oil companies are either in, or facing bankruptcy.

In the UK, the government has given corporations the power to search for oil and gas under homes, without the normal permissions processes, that the local community normally have, through the licensing process, and through local council control and planning laws.

This therefore begs the question, what should we be told, and if we should what we need to do about it.

This video over an hour long explains how we have been duped.

Video:

At almost two and a half hours long this video below gives a full picture of how those in power, are still duping us.

Video:

As these videos suggest, the rise of the corporation and its influence of the political process, suggests we are well on the way to neo-fascism along the lines of Hitler’s Germany. And the energy revolution I spoke of in a previous post can’t come soon enough.

And Michael Ruppert who you saw in the first film, was a man on the inside, who having been threatened and shot at by CIA operatives, left the police force to investigate how the world really works. Here he discusses his findings, shortly before his untimely death at his own hand.

Video:

According to one recent Reuters article, China has now decided to update the world with its Gold holdings on a monthly basis, and has informed us, that they have added another 19 tonnes to their holdings. Not a huge figure given what we have learned of imports and production in recent years, but perhaps it is an attempt to ratchet up pressure on those pesky western bankers in the IMF that have refused entry to the SDR currency basket?

Time you made some changes in your life?

Time to get some Gold? Or Silver? Or Crypto-currency?

W.

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WHY has the Gold price NOT Risen exponentially – YET?

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BoE

Central Bank Manipulations?

The reason Gold has not exploded yet, is because Gold as a physical asset, is undervalued in the West (in general), and highly valued in the East for historical reasons. (Partly as a result of Western Central Banks, having too much power, and thus ensuring regulation gets passed to limit Gold’s usefulness as a store of wealth and partly, because the Chinese had their education in paper currency back in the 11th Century, and others in the Far-East had their education more recently, with the currency crises of the late 1990s.)

As Gold heads east, it is in the interests of those who wish to accumulate it, to play devil’s advocate and allow the manipulations to continue. As I stated in my last post, both Russia and China, are unimpressed that when they sell goods on International Markets, they receive a depreciating currency, that can be conjured up out of thin-air [or to be more accurate – digits on a computer] by its manipulators…

When the Tide goes out (to borrow a phrase used by Warren Buffet) i.e. When Gold becomes part of the process for settling International Trade again, then we will see who is wearing no shorts – (i.e. a fast-reversal back to Bretton-Woods) i.e. which countries, are spending more than they earn – Internationally speaking – and who is managing their economy well, by exchanging physical goods, for physical goods (in the form of physical Gold, or a gold backed currency which can be exchanged for Gold)

China’s approach is therefore like an aeroplane coming into land, and on the approach path to forcing the world’s trading nations to stop using currency inflation to buy up scarce natural resources, and Gold will at that time achieve its real value.

That time will happen when the first country breaks ranks, and demands Gold for its goods, and has enough Gold to withstand a draw of its currency for International Trade, and the only country that comes even close to that is China (and perhaps Russia) and therefore when China finally – officially – releases its Gold holdings – which Pravda in a recent article suggested was 30,000 tonnes, (because they have re-smelted their Gold, and re-cast it into 1Kg bars) then the value of Gold will achieve the exponential rise we have all been expecting.

By end 2015, China, has to float its currency, (WTO regulations) so perhaps is hedging its bets, by holding huge Gold reserves to act as a floor under the value of their currency. Reference – http://english.pravda.ru/news/business/21-05-2015/130683-china-0/

That to me makes perfect sense. It will also mean those countries of Africa, South America and other developing nations, who sell raw materials, will experience rapid rises in living standards, and many will end up paying their political masters huge sums, unless the corruption that has been endemic in some of those countries, suddenly vanishes. (Just as happened during the 1970s which may in itself cause other problems as it did, during the decade and the one following.)

Of course, the poor westerner, will experience rapid price inflation for all their most important needs. And those countries who use the American Dollar as their currency system, would be well advised to consider a replacement.

Food, and raw materials, such as oil, gas, copper, tin, lead, zinc, and precious metals, too will all be more highly valued.

Those with good stores of these commodities, will flourish, those who depend on government largesse for their income, will not fare so well.

And paying for things internationally, will require some form of internationally accepted money – one I have been reading quite a bit about in recent weeks is BitGold.

This manages to marry the best of both crypto-currencies, and precious metals.

To widen your reading and viewing material, you might like to visit these channels on You-tube, and search terms and web-sites.

Recommended YouTube Channels:
SGTReport,
TheDailyCoin,
SilverDoctors,
ChrisMartensondotcom,
USAWatchDog,
X22Report,
AMTV,
TruthNeverTold,
SchiffReport,
BrotherJohnF,
Ron Gibson – WhatReallyHappened 2015 (Mike Rivero),
Gregory Mannarino,
FinanceandLiberty,
HyperReport,
Mike Maloney – GoldSilver.com – WealthCycles,
GoldSeek,
RT BoomBust,
RT KeiserReport,
NextNewsNetwork,
Cambridge House,
TrendsJournal.

YouTube Search Key Words:
Dollar Collapse,
Dr. Paul Craig Roberts,
Alasdair Macleod,
James Turk,
Chris Powell,
Jim Murphy (GATA),
G. Edward Griffin,
Peter Schiff,
Marc Faber,
Jim Grant,
Jim Rogers,
Rob Kirby,
Jim Sinclair,
David Morgan,
John Williams, (or Shadowstats.com)
Catherine Austin Fitts,
Bill Holter,
Ellen Brown,
Nomi Prins,
Andrew Hoffman,
Ron Paul,
Axel Merk,
John Rubino,
Mike Maloney,
Jim Willie,
HiddenSecretsOfMoney.

HIGHLY RECOMMEND:
ZEROHEDGE.COM

W.

A New Russian Winter, or the Calm before the Storm?

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Some weeks ago, before Xmas, I floated the proposition that “The West” might be about to shoot itself in the head, heart, AND foot, just to make sure.

My reasoning was that Russia, might be about to demand payment in Rubles for their gas and oil and other things, which would effectively shoot the west in the aforementioned organs, as they sought to ratchet up pressure on President Vladimir Putin.

The U.S. through its monetary influences and power in International Organisations – the World Bank, the IMF, BIS, Federal Reserve, and of course the ECB, Bank of England, U.N. and Bank of Japan etc, is waging a war against Russia, in a vain attempt at defending and extending its influence in the middle-eastern region, and throughout the near east, ostensibly to protect itself from the rise of China and a resurgent Russia. (more of which later)

The beginnings of this madness began with the end of the Soviet Union. The west in NATO, and through European organisations made agreements with the Soviets, to not encroach into former soviet countries, yet many of those countries, in order to avoid the risk of re-colonisation, chose to join the North Atlantic Treaty Organisation (NATO) and/or the European Union. (E.U.). This was also of course to strengthen the U.S’s Federal Reserve backed monetary system, which as I’ve mentioned numerous times is now no longer backed by physical precious metals.

Of course, when the U.S., under its attempt to extend its influence in the region, encouraged the western larger part of Ukraine to throw off its recently elected leader as it were, to rub Putin’s nose in it, and incurred the wrath of the Crimean Russians, and the Russian speaking ethnic Russians east of the Dneiper River, it essentially wandered into Russia’s back-yard, and that was the straw that broke the camel’s back.

The Crimeans, who are predominately ethnically Russian, were backed into a corner, as the new western backed government in Kiev, made the Russian language illegal.

Imagine if you were a Welsh speaking Welsh person, and the incoming British government, made your language illegal? Or Irish? or Highland Scottish and they tried to make Gaelic illegal?

You’d be pretty PO’d too…

The Crimeans, who felt Russian, spoke Russian, and historically WERE Russian – If we remember our history – Balaclava, near to Sevastopol, on the western coast of Crimea, is where the British Light Brigade, charged the Russian guns, to such detrimental effect, in 1854, and it is remembered in the rousing poem by Alfred, Lord Tennyson. So, a hundred and fifty years ago, this part of the world, was as Russian as it surely is today.

The President, of Russia, kept a low profile recently, and even disappeared from view for ten days, prompting mass media speculation by western media about his health. Of course, when he reappeared, the President issued a wry smile, and joked about “gossip”.

But behind the scenes, the Russian bear is fighting back against the Dollar hegemony. Of course the war of words is being ratcheted up as American military conduct war games in Estonia, this week-end, a former Soviet satellite nation, and right next to the Russian mainland.

Guyane Chichakyan a journalist for RT, posed an interesting question to one of the U.S. government’s PR spokespersons today (Saturday) when she asked Jeff Rathke of the U.S. State Department: Why was it that when Russia conducted military exercises on their own soil, it was supposedly raising tensions, but when Americans conducted military exercises several thousand miles away from home on Russia’s borders, it was in the guise of international peace and security.

The PR guy nearly choked on his reply, denying that they had ever said such a thing, to which, RT showed a clip of Jen Psaki of the U.S. State Department, on August 14th, 2014, doing just that, when referring to events in Ukraine and close to the Ukrainian border. As I mentioned some months ago, the next world war has already begun as a war of words, and for people’s hearts and minds. Every channel, both public and private will be used. It will in all inevitability end in a military war, though perhaps not on such a full-scale as the last one in 1939.

But perhaps also the anti-U.S. state of mind is gathering steam… As I mentioned some weeks ago, Britain applied to become a founding member of the AIIB (Asian Infrastructure Investment Bank) the alternative to the U.S. dominated World Bank and IMF, and we hear from the New York Times, that now Germany, France and Italy wish to join in defiance of U.S.’s (cough) “requests”.

Perhaps the dollar’s end as a major world currency is finally coming to an end, as a result of the mass Q.E. exercise of recent years.

It is time we all engaged our brains.

And then last week, I read this… http://russia-insider.com/en/2015/03/19/4696 which discusses just that.

If a shooting war does begin in earnest, money – hold in your hands money – will allow you to survive the inevitable inflation that will ensue, and the grey market will offer up far more than the government enforced, and controlled ones. If you value your freedoms, liberties, and the health and well-being of your family and friends, I strongly suggest you begin preparing – if you haven’t already.

Gold and Silver coins and widely accepted silver and gold ingots of widely known mints will prove to be good ways to secure your own future “essentials”. And Bitcoin, and other [Alt-coins] will enable international transactions. You can begin your own FREE collection of these precious [Alt-coins], when you set up an account by merely supplying an e-mail address.

We’re all slaves now…

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Over the previous weekend, I bought a DVD, of a film, I’d been hoping to watch for some time. I would have gone to the cinema, but my wife prefers Rom-Coms, to historical dramas, and my friends all live disparate lives, so I had to watch it home alone.

It featured that giant of the acting world – Daniel Day-Lewis, in a role he was nominated, and won an Oscar for, having been directed by Steven Spielberg – Lincoln.

The film tells the story of Lincoln’s finals months, as he negotiated with the Confederates who were on the point of being beaten in the Civil War, and also with his own Congress to add the 13th amendment to the constitution. Sally Field played his wife, and her part conveyed the pain that she and Lincoln had to endure as their sons enlisted, or were killed, and as his wife blamed him for their loss.

The 13th amendment effectively brought an end to slavery, and set forth the proposition, that all men were created equal in the eyes of the law, and thus the ownership of another human was contrary to God’s Laws.

The final debates took part in January, and after some political back-slapping and chicanery; The vote, took place, if the film was at all accurate, on 31st January 1865 – almost exactly 150 years ago. The Civil War ended barely three months later and the peace treaty was signed in April of that year.

I mention this, because as a resident and citizen of the U.K, like so many U.S. citizens, the politicians have so indebted us, as to effectively make us all debt slaves to the banksters.

When a Central Bank creates money out of thin-air, to buy up assets, the Bank owners effectively are able to buy assets on the cheap, that they can either sell later at inflated prices, or use to earn income from as a “Rentier”. Bonds being the case in point.

The term “rentier” derived from the French term just prior to the French Revolution, when the various kings, but especially King Louis XVI granted privileges to certain nobility and others who were similarly closely connected to the money power. These privileges granted (for example) the right to collect a toll on a bridge, river crossing or road.

The right to be the monopoly supplier and thus to extract monopoly profits from the citizenry, who became increasingly disenfranchised, dissolute and the poorer while the idle rich were kept in the lifestyles to which they felt obligated.

However, these changes over time, slowly strangled the economy to the point where free trade was stifled. To paraphrase Mrs Thatcher who once intoned something akin to – “They know the price of everything, and the value of nothing.”

These changes ultimately led up to the Revolution, and the former wife of the king – Marie Antoinette issuing her now infamous phrase. When she asked the king why the people were revolting – his reply was “they have no bread” (or words to that affect) to which her reply has become the stuff of legend: “Well let them eat cake.”, though historians suggest this was just “journalistic cliché”

Although these events were important, it wasn’t the real source of the revolution – that was probably because of the financial situation. John Law, a Scot, had introduced in the early 18th century a financial system that inflated land and property prices, disenfranchising those without property, though the economy was also not healthy due to poor harvests, rising food prices, and an inadequate transportation system (due to those privileges mentioned) that made transporting of goods costly and therefore food even more expensive.

The sequence of events leading to the revolution involved the national government’s virtual bankruptcy due to its poor taxation system and the mounting debts caused by numerous large wars between the British and the French.

However, the Americans too once were being bled dry by over taxing authorities in the form of taxes from King George III, and this led ultimately to the Boston Tea Party, where British Cargo Ships were boarded in the dark of the night, and their cargoes of tea bound for England were thrown overboard into Boston Harbour. Thus began the American Revolution.

Which leads me to today.

In the world of offshore asset protection and personal finance, you nearly always come across the claim that there are only two countries that actively tax their residents’ worldwide income: the United States and Eritrea. All other countries only tax income earned at home, though the UK is making steps in that direction.

But, that rule is apparently no longer true.

It turns out that in the early 1990s, Chinese tax officials went on a series of fact-finding missions around the world. One team enjoyed what The New York Times describes as a “long visit” with the IRS, and came away with “a two-volume bound copy of the U.S. tax code and a five-volume copy of I.R.S. regulations.”

After reviewing the materials, the Chinese government decided to write a tax code that would allow them to tax their residents’ worldwide income … the only problem is, they had no idea how to enforce it. And then FATCA came along. Now China knows how to achieve the same.

And given the recent spending on saving American, and other nation’s Banks, the Federal Reserve, have now indebted the people of America and the customers of Europe’s bailed out Banks, to the tune of more than $30 trillion.

With just 325 million Americans, and according to recent evidence, only 63% of the population actively engaged in the workforce, paying that debt has only two possible outcomes – little possibility, and no possibility.

Roughly, 180 million taxpayers, will need to pay almost $95,000.00 each, plus interest (whenever interest rates begin to rise) to pay down this debt, and that’s before any further spending by the successors to Obama’s legacy, or of the unfunded liabilities in medicare, medicaid, pensions or social care.

This indebtedness, is the basis of modern slavery. The UK debt per household is not quite as bad, but is bad enough. the last time I calculated it, it was a mere £76,000 per household of four, but when you break it down to taxpayers, it goes way up.

So you can be forgiven for trying to protect yourself. In the years that follow, I expect governments on both sides of the Atlantic to come after retirees pension pots. We hear so much of how political parties have learned their lessons in regards to spending, but people have short memories, and the parties have too often broken promises, then asked for forgiveness afterwards.

But, one of the ways that you can protect yourself, is with precious metals.

I know, you’ve probably heard this too many times over the last 15 years… You’re probably thinking – “What makes you think precious metals are the answer? “, or “Yeah, right!”.

In the last 15 years, Central Banks have again begun buying Gold, after 30+ years of sales, and falling interest rates, many have asked for their Gold back – Venezuela, Holland, Austria, Germany, or asked to audit their holdings – like Australia.

China has been buying up Gold like there is no tomorrow. India, has historically been the world’s largest buyer, but this has now been overtaken by China’s insatiable lust. And China has been covertly buying from its wholly owned miners, as well as using its huge dollar reserves to buy on the open market, as the Gold price has fallen from its high of 2011.

In fact Jim Rickards has mentioned that he believes that the intention is to protect its huge dollar reserves as the expected dollar collapse occurs, and they’re buying using the dollars they’ve earned selling to the U.S., and loaned the U.S. buying up the Treasury Bonds that have been issued over the last 8+ years but it appears they are now, along with Russia, net sellers of Bonds, and as Jeff Opdyke, Investment Director of Sovereign Society has regularly posted, when China announces its official holdings to the world – all hell will break loose. (though that was done last year in 2015, and to little fanfare)

Because now, they’re increasingly worried about the value of those dollar bonds, and as so many attest, the Chinese are masters of the long game.

It is even possible that China, through the BRICS Development Bank, which Britain recently joined, is seeking to back its currency (at least partially) with Gold, giving it the status that the U.S. has hitherto had.

As inflation begins to pick up in the years ahead, the urge to buy gold, to protect large dollar holdings, will gain traction, and all assets that rise in value with inflation will be chosen as the protection of last resort. But any asset that is the liability of someone else, that may fall to zero, will be sold. And what happens to any asset when everyone wants to sell at the same time?

As interest rates rise, loans will get more expensive, Bond values will fall, and loans will get called in.

Asset values, secured against loans, such as mortgages on property, will fall in value, just as they did in 2008, and that will mean we are back where we were in the “Lehman moment”. Except now, the debt load worldwide, has risen to such a size, that there is no-one big enough to bail out the Central Banks of the world.

Then governments will do what they have always done – seize their citizen’s wealth. (Chancellor Denis Healey famously remarked, he would ” Tax the Rich, until the pips squeaked.” in 1974)

Banks that fail, will seize their depositors money – Cyprus times ten – and Deposit Insurance will not be enough to save the Bank or its Depositors – too Big to fail.

Only precious metals held in the hands, or in secure vaults as custodian assets in safe political environments, with a history of ensuring the sanctity of custody and ownership – not deposit boxes, which governments have now legislated are Bank’s assets, will be safe.

Overseas held precious metals miners too, will mean an opportunity to increase your wealth as the coming collapse unfolds.

One junior miner with assets in at least four countries in Africa, with 18% of a Diamond mine in South-Africa, a 75% ownership of a Nickel mine and smelter in Zimbabwe, a similar ownership of a Gold mine and refinery in the same country, Diamond assets in Angola, and a growing asset base in Democratic Republic of Congo, with a huge gold-copper find there.

To-date, this 9 kilometre rift has only had 3 kilometres explored, and already 2.9 million ounces have been defined as a resource. This miner has a P/E of just 4 (meaning the company earned a quarter of its share value in one year)

Anyone, who has studied markets for any length of time, knows that on average a healthy PE ratio of about 15 is considered normal. Values in excess of 20 are considered expensive, and values below 10, are considered cheap. So a value of 4, means that if the value of the company increases 3 fold, it would still be cheap. I’ll leave you to draw your own conclusions…

And this mysterious company is? ASA Resources on two exchanges – London (AIM: ASA.L) and was  targetted for a hostile takeover, when its board were removed, and its name changed from Mwana Africa (MWA.L).

Of course, this is not a recommendation to purchase, but perhaps an instigation to do your own research…

And if silver is more your thing… One company I have followed for several years which to be honest has only just managed to survive the onslaught of the falling silver prices from the highs of 2011 down to the current silver price of around $16 might be worth your investment research. For many silver miners, the current silver price is below operating costs, but this miner, which was a producer for several years using a toll-mill agreement (i.e. Leasing someone else’s mill and smelter) has managed to survive after divesting itself of some assets, after a failed financing agreement had to be called in and payments went unmade.

There are many, who feel that the silver price, that has fallen so low, will equal the price of gold, as Silver’s industrial uses rise, silver has a wide range of applications. It is found in jewelry, electronics, batteries, mirrors, solar energy, and water purification, just to name a few (10,000 and rising) and the amount of available silver falls. Seventy five years ago, as U.S. president FDR, confiscated that nation’s silver (and Gold), the above ground stocks of precious metals had a 5:1 ratio in favour of silver. In 2013, that ratio had totally reversed, and there was now a 5:1 ratio in favour of gold. Furthermore, there are those who think we may run out of available mine-able silver – TOTALLY – by the mid 2020’s.

Silver is used in small amounts, so small, that recycling would be so costly as to make it almost impossible to achieve economically. And we currently use circa 680 million ounces each year. Though demand in recent years has risen so far, and so fast, with U.S. Silver Dollar Eagle sales rising to previously unheard of levels, that the current price of silver, which is widely believed to be manipulated to protect the dollar hegemony is likely to rise spectacularly, when the price can no longer be held down.

There are a number of reasons why silver may begin its meteoric rise this year. It has already risen from the low $14.00 range to $17, and most of that came in short bursts in February, and April.

India is the single largest consumer of bullion in the world. As the silver price went down globally, consumption went through the roof in India. India’s first quarter 2013 silver demand was up to $1.78 billion — a 311% increase from the previous year. In the first eight months of 2013, silver imports in India reached 4,000 tons, more than doubling imports during the entirety of 2012.

There were two driving forces behind this trend. First, India placed extremely tight restrictions on gold imports. As a result, sentiment in precious metals shifted towards silver. The second factor here is inflation. With the Indian Rupee inflating a staggering 9.3%, it’s no wonder the nation was buying as much silver as they can get their hands on. The peak silver import hit 5,819 tons in 2013, which was the all-time highest it had ever been.

Industrial applications for silver make up nearly half of global silver consumption, and a rebound in global manufacturing is going to drive up demand. The JP Morgan Global Manufacturing PMI has indicated growth for 19 months straight, while factories in the U.S., UK, and Asia reported increases in activity.

In 2013, there were two devastating landslides at Rio Tinto’s (NYSE: RIO) Bingham Canyon mine in Utah, one right after the other. Over 165 million tons of rock went down to the mine floor, suspending production indefinitely.

This event was, without exaggeration, a catastrophe. It was called the biggest non-volcanic landslide in the history of the United States, and is considered the first landslide to have triggered earthquakes (instead of the other way around, which is common). Fortunately, no one was injured by the slide.

The Bingham County mine is the second largest silver mine in the U.S. and accounts for a staggering 16% of national silver production. So we’re talking about four million ounces of silver per year that have essentially vanished — a strong catalyst for a rise in prices

Silver hit its peak value in 2010, going from $16.94 per ounce all the way up to $49. Since then, the price has come down, but demand hasn’t – it has only grown.

In the first quarter of 2013, silver ETFs purchased 20 million ounces of silver.  And in June of 2013, the world’s largest silver fund added a record of 572 tons to its inventory — more than all of its 2012 purchases combined.

This is incredibly important, because it shows us where smart money is going in the market.

And the company I was telling you about has a property in Zacatecas in Northern Mexico, a historical silver mining district. Four rounds of drilling have identified 50 million ounces in the proven category, and 80 million ounces in the probable category, The company is Arian Silver (AIM: AGQ.L)  with  113.69 million shares in issue, at 1.25 pence, when the silver price rises to $100.00+ I have been expecting, this company will rise with it.

 

However, I have also learned of another Copper, Gold and Silver miner, with huge reserves, and the cash to develop it, though some political interference from the government has squashed some of the enthusiasm, and taken some of the shine off it in Mongolia, which does not have a history of stable political institutions and a threat to improve the 30% government holding by an incoming President, brought the share price down thundering from its highs of $27, to its currentlevel. Turquoise Hill Resources though (TRQ.TSX) has huge resources, and is off the radar for many investors at the moment. A fresh rise in metals prices will bring this miner back into focus, and with such huge reserves, and a major corporation in Rio-Tinto, and with the share price at £1.91(C$3.52) as at 26/4/16 these are set to rise

TRQ - Moonshot in the making?
Production figures show rising production at a time of rising prices…

Inevitably we can not know when the Gold and Silver prices will rise to that extent, but it is my sincere view, that we are about 3-5 years away from the steepest rises, but that we may see smaller rises over the period between now and then.

You pays your money, and takes your choice.

Money, Politics and Media

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This piece will be short and to the point, and full of visual elements, in keeping with modern trends.

Our monetary system has by many independent commentators become corrupted, and this has been allowed because of the benefits to the few. It begins with a discussion of Fiat versus, “Real” money. Continues with discussion on the future, and then finally discusses why we got what we got.

Egon von Greyerz, talks about the currency devaluation over the last 100 years versus Gold, and how with charts he suggests that the U.S. is technically bankrupt.

The end result of which will be a collapse of the currency and with it much of Western Banking and finance.

In the second half of this next video, Max Keiser talks to Bitcoin entrepreneur – José Rodriguez, about crypto-currencies, and how both Mexico, and Argentina, have taken to them, to help solve their financial problems, which have beset the two countries, because of corruption, and the dominance of the American Banking System, which has had a detrimental affect on their nation’s finances.

And the British political scene seems to have opened up in this last election pre-season friendly, as some of the political commentators, seem to have tripped up, and lost some of their moral high ground.

Maybe some good will come of all this.

A corrupt Media system, policing a corrupt political process, presiding over a corrupt monetary system, for its own mutual survival.

Who’d have thought it?

W.

Russian Roulette – Is the west about to shoot itself in the head, heart and the foot – just to make sure?

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The west shoots itself in the head, heart AND foot.
Shooting themselves in the foot, head, heart…That should do it.
One year on, as the Federal Reserve celebrates another birthday, both Gold and Silver were beaten down in the London aftermarket close, while trading was at its lowest. And the Russian Rouble was similarly attacked by those behind the curtain.

As the Russian Rouble recovers some of its losses of the last week, in the last few days, I have been re-visiting some of my reading matter, of the last few weeks.

Ever since Russia annexed Crimea, ostensibly to give citizenship to ethnic Russians, but many feel it was to save its only warm water port, “The West”, has been ratcheting up the tension and the rhetoric on Russia.

The NATO block has interfered in Ukraine, too many times. The American led organisation the IMF, has been interfering, with its money, and the West has provided IMF led financial support to the Ukrainian Government and military, and rumours abound, that the IMF and its minions have taken Ukraine’s Gold – some 40 tons apparently – as a surety. (Rumoured to be the source of Holland’s recently returned 127 tons of Gold).

According to Bloomberg today, Ukraine has sold more of its Gold holdings, reducing its holdings from 26.1 tons, to 23.6 tons (2.5 tons) and Russia has bought more rising from 1,168.7 tons to 1,187.5 tons (18.8 tons).

But Russia is not the one in trouble – the Fed and the U.S. is. Russia’s Debt to GDP ratio is roughly 11 percent. What is the Debt to GDP ratio in the United States? According to the IMF it’s 112 percent. What is the Debt to GDP ratio in Japan? It’s a staggering 230 percent. And Russia is sitting on a lot of reserves of very valuable natural resources.

So Russia is not going to fold because of some pressure coming from the United States or NATO. And the real tragedy of all this is the collapse of the rouble is really hurting the Russian people. This is being done by the West as a method of financial warfare. The latest sanctions against Crimea are just hurting the people of Crimea.

According to Dr. Paul Craig Roberts, Russia could unleash possibly one or more “Black Swan” events. For those not familiar with the term, it is a reference to the fact that most swans are White, but occasionally, one is born Black, but is so infrequent as to be impossible to predict, and here is the scary part.

Both Russia and China now don’t believe in the cold war rhetoric of Mutually Assured Destruction – or MAD as it was known.

Now both appear to be willing to make a “First Strike”.

He also recently said about the Gold and silver markets…

“The downward manipulation of the prices of precious metals prevents the “crisis warning transmission system” from properly functioning. More important, the decline in the price of gold/silver vs. the U.S. dollar conveys the illusion that the dollar is strong at a time when, in fact, the dollar should be under pressure from the over-issuance of dollars and dollar-denominated debt.

What we have been experiencing since the 2008 crisis is not only the subordination of US economic policy to the needs of banks “too big to fail,” but also the subordination of law and the financial regulatory agencies to the interests of a few private banks. The manipulation of the bullion markets is illegal whether done by private parties or on public authority, and so we have the spectacle of the US government supporting a handful of banks via illegal means. Not only has economic accountability been set aside, but also legal accountability.”

What people also don’t know, is that the Russians are ready to shelter the majority of their population in major cities in the event of a nuclear war. By contrast, the United States only has facilities for the elite and key personnel in the form of roughly 234 underground bases. These bases are referred to by the military and the elite as Deep Underground Military Bases (or DUMB).

And reports are surfacing from U.S. food processors about huge orders of food by U.S. government agencies to be delivered to these underground bases. The key is the government has requested immediate shipment of this food so that it can be stockpiled. While this stockpiling, has been going on, reports have also surfaced from store managers from all over the country, that a large selection and quantity of food is disappearing from grocery store shelves in states where these underground bases are located such as Kentucky, West Virginia, Kansas, Pennsylvania, etc.

Also, in 2008, the U.S. government ordered 600 million rounds of soft-nosed hollow-point ammunition – 2 rounds for every person in America to be delivered over 6 years.

These are the type of preparations that would be taken if it appeared that civil unrest, world war, or a possible nuclear exchange was on the horizon.

Meanwhile, the Chinese are buying factories, farms, mines, fresh water resources, etc. Other Far Eastern and Middle Eastern sovereign wealth funds are also accumulating these key resources. The Chinese and the Russians understand that at the end of the day it’s all about natural resources and being able to deliver these natural resources to a market that has the money or gold to pay for these key commodities.

A cyber attack on the West’s Banks could close down the banking system for days or weeks. What would that do to the West’s economies? Just think Sony, only ten or a hundred times worse…

If Russia was attacked or provoked more seriously, they could respond by dumping U.S. Treasuries and Dollars, or by asking for delivery on gold futures contracts forcing a default at the COMEX, and/or LBMA.

Or they could just ring up all the leaders in Europe, and tell them, they won’t sell any more Gas/Oil except in roubles, or sell any to NATO members. Germany, France, Italy, and even the U.K., would cave in a heart-beat.

People used to think that those who were preparing for disaster – “Preppers” – were crazy. Now we see the United States government ordering survival kits for employees of every major bank as well as key personnel at the Office of the Comptroller of the Currency.

On this side of the pond, Europe teeters on the brink of a financial disaster. And if Russia simply stated it would not repay loans it has taken from European and U.S. banks (at least not yet) then it might force a rerun of 2008 which would seem like it was a nice day at the shops by comparison.

The European Parliament, as UKIP’s Nigel Farage is so fond of saying, has become a talking shop, a mouthpiece with no teeth. It also hasn’t had its accounts signed off for several years, making monitoring its politicians all but impossible. It has been called a gravy train.

Finally, I ran across two great quotes from the past. They are food for thought.

“The Roman Republic fell, not because of the ambition of Caesar or Augustus, but because it had already long ceased to be in any real sense a republic at all. When the sturdy Roman phlebeian, who lived by his own labor, who voted without reward according to his own convictions, and who with his fellows formed in war the terrible Roman legion, had been changed into an idle creature who craved nothing in life save the gratification of a thirst for vapid excitement, who was fed by the state, and directly or indirectly sold his vote to the highest bidder, then the end of the republic was at hand, and nothing could save it. The laws were the same as they had been, but the people behind the laws had changed, and so the laws counted for nothing.”

– President Theodore Roosevelt

“It is high time for me to put an end to your sitting in this place, which you have dishonored by your contempt of all virtue, and defiled by your practice of every vice; ye are a factious crew, and enemies to all good government; ye are a pack of mercenary wretches, and would like Esau sell your country for a mess of pottage, and like Judas betray your God for a few pieces of money.

Is there a single virtue now remaining amongst you? Is there one vice you do not possess? Ye have no more religion than my horse; gold is your God; which of you have not barter’d your conscience for bribes? Is there a man amongst you that has the least care for the good of the Commonwealth?

Ye sordid prostitutes have you not defil’d this sacred place, and turn’d the Lord’s temple into a den of thieves, by your immoral principles and wicked practices? Ye are grown intolerably odious to the whole nation; you were deputed here by the people to get grievances redress’d, are yourselves gone! So! Take away that shining bauble there, and lock up the doors.

In the name of God, go!”

– Oliver Cromwell – To the Long Parliament – 20 April 1653.

And tonight Sky News got into the fray, when it ran a programme called “The Doom Boom”, suggesting that those who are preparing for the forthcoming crash are somewhat crazy, or slightly unstable, yet the evidence above would suggest, that they may be just doing the only sane thing they can.

We wish all those who have read this over the last year, a Happy Christmas and Festive Season, and a safe and prosperous New Year.

Global Government – Portent of the Future?

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I’ve been giving quite some thought to events in the political, and financial sphere and Gold and other precious metals markets of late, and trying to figure out what the true goals of the global elite are really upto.

Gold for centuries has been the backing for currencies, and the last time we had a global economic and military crisis, in the period from 1914 to 1946, Gold was eventually taken out of the hands of the American population at the princely sum of $25.00 an ounce by Presidential decree, in executive order 6102 in 1933 – just before it was revalued to $35.00.

Some semblance of order was gained when the Bretton Woods agreement was ratified after 1945. The dollar would be backed by Gold, and exchangeable for Gold and the other world currencies would be fixed to the dollar.

This stood the test of time, until the 1960s when the world’s major economies began growing at different paces, and a war in Vietnam, forced the U.S. to spend more on munitions and men trying to hold back the tide of communism than its economy could comfortably afford.

This led countries such as Spain, France and Britain to exchange some of their foreign U.S. currency reserves for Gold in the Fed’s vaults. The final straw was when Britain told its U.S. ambassador to exchange $3billion for Gold, on 11th August 1971.

Just 4 days later, Richard Milhous Nixon – President, made a direct announcement to the people of America on television, that he was “temporarily” suspending the right to exchange dollars for gold.

The ‘Gold Window’, as it was called has remained firmly shut ever since. The reason? Because they were running out of gold. And we know from our history that – “He who owns the gold, makes the rules.” and the last full audit of the Fed, was conducted… in 1954.

At the time, Gold could be exchanged for $35.00 per troy ounce (ozt) by countries only. Over the ten years after 1971, the Gold price would rise spectacularly as people worried about inflation, which rose to 26.9% in Britain, and 25%+ in America, in 1974, as the world oil price rose, in large part to events in the middle-east, but also the number of dollars being emitted to pay for the oil – until Henry Kissinger had a cunning plan.

So, given the recent events in the middle-east, and the number of dollars that have recently been printed, apparently $4 trillion and counting. Then of course there is the Bank of Japan’s recent pronouncement that it would double down on Quantitative Easing (QE) with its own printing presses, and of course not forgetting the decision to: “Do whatever it takes” by European Central Banker in Chief – Mario Draghi, and of course our own ex Goldman-Sachs executive – Mark Carney – Chief Cashier of the Bank of England has cut the government some slack with its own printing presses, so that the government could spend money it didn’t have, on things we don’t necessarily need.

And the reason they didn’t have the money is because governments, especially socialist government’s have a tendency to bribe the electorate with their own money by making promises, that the tax-payer can’t afford. And then the Bank loans them the currency and expects to be paid back with interest – What is their escape plan?

Eventually, those who pay, end up as wage slaves. As Mr Churchill so famously quoted: “The trouble with Socialism, is, eventually they run out of other people’s money.”

Because, of course, when the nation is paying interest on loans from years ago it has less to spend for the here and now – and in Britain we recently paid off our War Bonds – from 1914… So you can see how long that can have an affect. Central Bankers have a tendency to enslave the population by encouraging governments to spend more than they have, in the full knowledge that they will earn interest for years, possibly decades to come. And there’s nothing like a good war for Banking business.

In business, the owners will frequently look at investments through the eyes of a “Cost-Benefit” analysis, so that they can check – before they spend – whether the investment will reap financial rewards and exceed the investment.

But many governments want to invest in socially desirable investments, where it is difficult – if not impossible – to measure the costs and benefits. Of course politicians want their cut – in the form of salaries too.

Bankers also have a tendency towards centralisation – first on a national level, but increasingly on an International level. In Europe, politicians have still not had accounts signed off for several years, as they give money to their own pet projects.

So to come to the meat of this piece.

Gold has been driven down in the last 3 years since it peaked at circa $1980 in late 2011. So, with Central Banks in Venezuela, Germany, Holland, and now France either requesting their gold back from the Fed, or recommending it to the government, either by politically minded individuals, or opposition leaders; what is the end game? I believe it is simply a “One world government” with the Bankers pulling the strings from behind the curtain.

The Swiss Gold Referendum

Switzerland’s referendum vote on Central Bank Gold, on the Sunday, 30th November, didn’t go as hoped, after the Central Bank began a campaign of fear, and Citibank released a report a couple of days ahead of time, which to be honest, smacked of fear and desperation – On the banker’s part…

http://goldsilverworlds.com/physical-market/the-swiss-referendum-on-gold-whats-missing-from-the-debate/

Despite this, the Gold price held up quite well, after an initial dip.

http://www.mineweb.com/mineweb/content/en/mineweb-independent-viewpoint?oid=241985&sn=Detail

Central Banks’ Love-Hate relationship with gold and Silver.

http://www.mineweb.com/mineweb/content/en/mineweb-editors?oid=261075&sn=Detail

So, why do the Banks have a love-hate relationship with Gold? The Central Banks know that money is power… And remember – “Gold is money – All else is merely credit.” – so said, John Pierpoint Morgan, of J.P. Morgan-Chase Bank fame, and if you have been following this blog for a while now, you will know from my many posts, that ultimately we are owned by bankers, and the main protagonist of these bankers is the Federal Reserve. So their objective appears to be to get Gold out of the hands of the people, because that allows the person freedom, and liberty to do as they see fit – as long as they do no harm, nor cause any loss to others. And if you read anything from Ted Butler, you’ll know he thinks the same. Since the beginning of U.S. independence, the constitution has been chipped away at, leaving it a shadow of its original intent. The constitution says that only Gold or Silver can legally be money, yet by sleight of hand, the Bankers have removed every last vestage of real money from the American People, and when they control the money, they are the rulers.

I’ll leave you this video clip which demonstrates this, and is perhaps instructive of where the world is going.

So, if we return to the main reason for this blog, it is to encourage the reader to become an independent thinking human being, responsible for your own actions and have the freedom, and liberty that you were born with, but your parents gave up so shortly thereafter. But you can take some of it back…

Remember:

“He who owns the gold, makes the rules.” Of course, you can buy Gold with silver, or crypto-currency (or some of the paper that they print for you to use.) And at the moment Silver is on sale. As I was writing this, the price of Gold is $1198.10. Silver is at $16.41. So, Silver is therefore 1/73rd as cheap as Gold, though throughout most of recorded history, it was a lot more expensive – it was about 1/15th or 1/16th the price of gold, and sometime in the future, it will be circa 1/10th.

So if you buy 73 ounces of silver at the moment, for the same money you could buy 1 ounce of Gold. But if you wait a while, and silver rises to the price I expect, then your 73 ounces of silver will likely buy between 3-8 ounces of Gold and one day, I expect to be able to buy a house, for circa 30-40 ounces of Gold.

So, are you going to get some now?

You can start your savings: HERE!

And you can get started with crypto-currencies HERE!

So, what is the ultimate goal that I spoke of at the start of this piece?

I believe that the Bankers are using arbitrage – buying something cheap in one place, to sell it elsewhere where it is more expensive (more highly valued) to send Gold and Silver overseas, as the flow of wealth heads East, these Bankers (I believe) intend to establish themselves where the next world hegemon will likely be, in China, just as these Bankers left the shores of England and Europe to go to America when they realised that England was becoming a spent force.

http://kingworldnews.com/chinas-plan-dominate-world-crush-united-states/

And who will be pulling the strings? – That’s right – He who owns the Gold.

You can read more about how these Bankers came to rule the world: Here!

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