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From USA Watchdog:
James Rickards: Financial collapse and massive shortages in gold coming
James Rickards’ latest bestselling book, “The Death of Money,” was released in April. Even Rickards is surprised at how fast the economic situation is unfolding, saying:
“If you ask me what has happened since you finished writing the book that comes as a surprise, I would say a lot of the things I talk about in my book are happening faster than I would have expected. Things that I thought would happen in the 2015 or 2016 time frame seem to be happening now in some ways. If anything, the tempo of events is faster than expected. Therefore, some of these catastrophic outcomes may come sooner than I wrote about.”
On gold manipulation and when it will end, Rickards says, “It will end when the physical shortage gets to the point that someone fails to deliver, which, at that point, there will be a buying panic. There could be a buying panic or what some people call a demand shock. One of the things I said about gold manipulation is if I was the manipulator, I would be embarrassed at this point. The manipulation is obvious. The evidence is coming in from all directions. … The manipulation is clear. When will it end? It will end when there is a physical shortage that pops up somewhere, or it will end with a short squeeze.”
Rickards’ new bestseller begins: “‘The Death of Money’ is about the demise of the dollar. By extension, it is also about the potential collapse of the international monetary system because, if confidence in the dollar is lost, no other currency stands ready to take its place as the world’s reserve currency. The dollar is the linchpin. If it fails, the entire system fails with it, since the dollar and the system are one and the same. As fearsome a prospect as this dual collapse may be, it looks increasingly inevitable …”
Watch the 36-minute video interview here.
From the London Telegraph:
Couple who found gold in back yard are millions of dollars better off
A California husband and wife who unearthed a treasure trove on their property are a few million dollars richer after buyers seized on the ancient gold coins sold at auction. The unnamed couple uncovered eight cans filled with more than 1,400 coins in March, in what is believed to be the most valuable treasure trove ever discovered in the United States.
On Tuesday night they went on sale, and made more than $1 million within the first hour, said Don Kagin of Kagin’s Inc, a firm specializing in ancient coins, which valued the whole horde at $10 million.
Just on Tuesday, sales on online retail giant Amazon’s website and Kagin’s own site notched nearly $4 million, Kagin told AFP.
From Money News:
Barclays fined $44 million over gold price fix
Barclays Plc has been fined 26 million pounds ($43.8 million) for failures in internal controls that allowed a trader to manipulate the setting of gold prices just a day after the bank was fined for rigging Libor interest rates in 2012.
Britain’s Barclays is the first bank to be fined over attempted manipulation of the 95-year-old London gold market daily “fix,” although a source said the fine was a one-off and not part of a wider investigation into gold price rigging. It marks another blow to Barclays’ attempts to put past problems behind it.
Vietnam central bank admits intervening in gold market to support its currency
The State Bank of Vietnam has enough gold bullion that can be sold on a large scale to intervene in the local gold market to ensure its stability, said a senior official of the Vietnam’s central bank.
If there are more fluctuations in the gold market, the central bank will jump in to stabilize it, said SBV Deputy Governor Dao Minh Tu in a press release on Sunday afternoon.
Though the gold prices in the domestic market have fluctuated over the past few days, through monitoring and analyzing market information, the bank has not found any evidence that those changes in price may have been caused by the fluctuations in the world market or the gold supply and demand in the market, Tu said.
Austria seeks audit of its gold at Bank of England
Yet another indicator of doubts being expressed by a country’s citizens over gold held in overseas vaults, a report in the Austrian magazine Trend says the country is planning to send auditors to check on its gold holdings held for the country in Bank of England vaults, reports German website Goldreporter.de.
Austria’s total gold reserves are stated by the IMF to be some 280 tons – comprising nearly half the country’s foreign exchange reserves.
There have been repeated allegations in various countries that central bank gold reserves have been leased out to the bullion banks and thus may not actually be available in the holding central bank’s vaults, although as leased gold the reserves still appear in the central bank accounts. The proponents of this theory are convinced that so much gold has been leased out that it is well beyond the capability of the bullion banks to replace it on demand in bullion in that there is just not enough gold bullion freely available on world markets to do so.
Today in gold and silver …
I saw that the Royal Canadian Mint posted its first quarter report for 2014 on their website yesterday. On pages 5 and 6, they had this to say about bullion sales for the first three months of the year: “Sales of Gold Maple Leaf (GML) coins declined 34.6 percent to 176 thousand ounces compared to 269 thousand ounces in the same period in 2013. Sales of Silver Maple Leaf (SML) coins increased 24.2 percent to 8.2 million ounces from 6.6 million ounces in the same period last year. The decline in GML sales reflects the lack of volatility in the gold price during the fourth quarter of 2013 and first quarter of 2014 as well as continuing activity in the gold bullion secondary market. The increase in SML sales reflects continued strong demand in North America, Europe and emerging markets such as Southeast Asia.”
“Refinery revenues were up slightly in the thirteen weeks to March 29, 2014. Gold rough deposits increased as the Mint competes successfully for a growing market share. This was partially offset by a decline in silver rough deposits due to increased competition in the silver refining sector. Also contributing to this growth was an increase in sales of 1 kg gold bars, which increased 525 percent to 18,099 bars, which offset a contraction in sales of 100 oz silver bars, which decreased 25 percent to 12,562 bars.”
From King World News:
James Turk: The gold and silver plunge and history in the making
On the heels of a smash in the gold and silver markets, James Turk, founder of GoldMoney, spoke with King World News about the smash and what to expect next. Turk also discussed the big picture for KWN readers on a rough day for gold and silver investors in this fascinating interview.
The highlight of the interview:
Eric King: “James, you mentioned the failed London Gold Pool. The price of gold got away from them and soared from $35 to $204 in a matter of years. After that initial run the gold bulls had to endure a nearly 50 percent decline to $108. The sentiment at the end of the correction in 1976, how bad was it?”
Turk: “Sentiment in 1976 was incredibly bad, but not as bad as it is today. This is the worst I’ve ever seen sentiment in gold in my 45 years in the business. And I’ve never seen the gold shares this undervalued either.”
From King World News:
Legend says markets pushed higher to conceal ‘grave danger’
Constant intervention in U.S. markets by the Federal Reserve indicates that the country’s economy is in serious danger of collapse, Victor “Trader Vic” Sperandeo tells King World News. Sperandeo, president and CEO of Alpha Financial Technologies in Southlake, Texas, says, “Every time there is negative news, the Fed comes in, via the banks, and manipulates the stock market higher to keep the appearance of strength. … The U.S. economy must be in grave danger of collapsing. This is why the Fed does not dare allow the stock market to sell off.”
Meanwhile mining entrepreneur Keith Barron tells KWN that economic desperation is worsening in Europe and that gold exports are declining because much gold already has been sold to keep its owners afloat.
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