Russia Adds ASept Record 1,200,000 Ounces Of Physical Gold To Their Reserves

wow they took advantage of the price drop last month and bought a huge amount,to try to counter the us dollar that will be bumping up to the 18 trillion dollar debt shortly now at $ 1 7 , 9 0 7 , 9 5 4 , 0 2 3 , 9 8 5 . 0 7 and it will make the news all over the networks.
http://etfdailynews.com/2014/10/21/...00-ounces-of-physical-gold-to-their-reserves/

 

Russia wants to be paid in gold and China is accumulating a lot of gold reserves...but we want to print dollars. Doesn't sound too good now does it?

 

I am not proficient in economics, but it seems crazy, trying to solve economical problems by printing more paper money only and keeping huge military.

 

This one line from your source makes me skeptical:

"This article is brought to you courtesy of Gold Silver Worlds, who advocates to own physical gold and silver outside the banking system."

...and a quick (not exhaustive) search turned up no immediately corroborating hits.

Are you sure this isn't just a pump and dump?

 

Look at it this way, what happens if China wants its money back? That's why the U.S. needs its military.

 

It sounds feasible because it mentions that they don't know where the gold came from, and that it exceeds the amount Russia is able to draw out from the ground. It seems to me Russia is being paid in gold rather than dollars for its oil. Russia is also dumping a large amount of U.S. bonds.

 

The BRICS may be using Gold as a standard currency instead of the dollar.
Observe for similar activity from Brazil, India, South Africa and the members of the Shanghai Conference of central Asia and their minerals.

Y'think ?
Another victory for Obama economic and foreign policy on the path to demote America.


Moi
Impeach Obama
Incompetence is Good Enough for me.


r > g

No ​

 

Why not? Gold is an old good currency. A kind of 'organic money' for entire humankind.

 

The US Dollar is still the global reserve currency despite attacks from China and Russia. Witness the fact that the Dollar has soared since July. See http://research.stlouisfed.org/fred2/series/DTWEXM Of course a rising Dollar means falling gold. So I agree with Trucker that Russia took advantage of the recent price dip to get more gold.

China and Russia seek to displace the Dollar for both economic (an increase in their own purchasing power) and political (increase in their own power) reasons. China has been accumulating gold for several years, and is the world's largest buyer. China is opening its own gold exchange, and openly encourages its citizens to save gold. Chinese grannies now sock their savings in gold; gold stores have opened all over China. Russia is late to the game but has similar goals.

China and Russia have both been burned by hyper-inflation in the past, and are sensitive to currency risk, unlike the addled spendthrift Obama Administration. Any government with currency worries will seek gold, and there are reports of inflation in China now. And not only gold. China is seeking tangible assets all over - businesses and commodity sources in the US and elsewhere. (After declining for years, commodities are starting a new rise.) China's policies make so much sense an American can only be lost in wonder that our government does not do the same.

 

The dollar isn't rising due to a recovering economy but is a response to increasing problems in Japan and at the ECB. The dollar rising is actually not good for our economy as it relates to oour exports and is a direct contradiction to the feds plan to export deflation. The currency wars are actually in a "race to the bottom" mode right now. Who can devalue their currency fastest.

 

You're entirely right, Freemarket. I've posted the same in other threads. My point here was that the recent Dollar run-up created a buying opportunity for gold, and that the world hasn't yet abandoned the Dollar, even if only because other countries have even bigger problems than the US.

 

At the end of each month I wonder "is this the month that when options expire will China cash out of the table" All they would have to do is not roll over their COMEX contracts and say "No thanks we think we will take physical position of our winnings now" Im with you though. I don't think they will do that till they think they have stripped the West of all the physical gold it has to offer at these rock bottom basement prices The central bank is manipulating to keep investors from running to a safe haven asset.

 

Look Russia wants revenge on the US and I don't think he cares if Russia will have a little hardship. America has been screwing with Russia for a while now and much more lately.

 

China wants to lower its exposure to the US Dollar - I think it was $1.3T at peak - but it can't afford to do that too fast. They can't just dump and cause a panic without erasing the value of their remaining holdings. Also, remember they have big direct investments in US businesses, land, and natural resources. They just don't want to put all their eggs in one basket, especially since they see profligate and irresponsible fiscal and monetary policies here. Take a look at this open letter to Obama from Dee Woo, an economist in China, published in 2011 - http://www.businessinsider.com/the-china-trade-war-and-the-end-of-the-dollar-and-globalization-2011-6

 

The Brics wanted to drop the dollar for quite some time, probably to stop the Pentagon's war machine, but it takes time to adjust the banks. The Brics are grateful that Russia took the initiative. The president of Total, who I sincerely believe was assassinated for wanting to go off the petro dollar, said that oil companies can think in terms of dollars when they negotiate costs, but should do the actual sales in other currencies such as rubles or gold.

 

I think something is going on, because China and Russia have been suspect in the latest stock market drop.

 

sorry, but Russia's economy is going straight to hell

 

You do realize that this is only approx. $1.44 Billion Dollars right?

That is using 1.2 Million Ounces of Gold at $1200.00 an ounce.

My state of Massachusetts...a small U.S. state with a population of only 7 Million in a Nation of 320 Million People....my state spends $1.2 Billion a DAY on GASOLINE for cars! LOL!!!

This will have ZERO EFFECT!!

AboveAlpha

 

I think a good winter they will do fine for a while. They have enough oil to sell for hearing through out Europe.

 

Russia is SCREWED!

Almost 12 years ago Putin cancelled the Russian/American Siberian Infrastructure and Oil Development Plan.

Putin told Russian's that Russia did not need the U.S. and could do this on her own.

There is LESS Oil coming out of Siberia now than there was 12 years ago.

Russia having P!$$ED us OFF....now looks to China to help them develop Siberian Infrastructure necessary for making it worth going after Siberian Oil.

Problem is because the United States is now coming close to the end of a long term program to become completely ENERGY SELF SUFFICIENT BY 2025....the U.S. is now pumping out HUGE amounts of Oil.

This is causing Oil Prices TO DROP LIKE A ROCK and they are now below $79 a Barrel.

This is also because the United States has figured out how to refine massive amounts of Shale Oil and will soon be the #1 Shale Oil Exporter IN THE WORLD.

By the time Russia has exploited Siberian Oil reserves....prices will be so low it will not be cost efficient to pump it out of Siberia.

RUSSIA IS SCREWED!!

AboveAlpha

 

Reagan waged an economic war against them now they're returning the favor.

Sting is wrong about the Russians.

 

The suspicion is that the latest stock market drop was caused by China and Russia. Anyway there is a lot going on, and I don't like what happened with the president of Total. I sincerely believe that he was assassinated for working with Russia on certain oil and gas projects, and for his willingness to drop the petrodollar. The timing of the accident seemed a little too convenient for the U.S. Putin is going to retaliate and it might be the start of WWIII.

 

The Ruble has been trending down against the Dollar since 2011. See http://www.xe.com/currencycharts/?from=USD&to=RUB&view=5Y Russia's economy is commodity-based and generally weak. Now that the US is becoming the world's biggest energy producer and an exporter of oil, Russia's position becomes weaker still. I'll charitably overlook your political speculations, which have no bearing on economics.

 

It should be getting harder to toe the Krugman line as Japan's economy flounders, major powers like China and Russia buy up gold and Kruggers is moving on from Princeton, but the left has never let reality get in their way in the past so why start now...

 

A counter punch of the on going oil price slump in the market nowadays.