– The Best Reason in the World to Buy Gold
– US Dollar’s Demise is 2 steps closer
– Silver Manipulation
– Gold in $NZ – How much longer at these levels?
As we mentioned a few weeks back, according to Jim Sinclair the US was poking itself in the eye with its move to stop Iran trading oil with other nations in US dollars.
Bizarrely and co-incidentally as we wrote the above, the following email arrived into our inbox…
“Beijing is planning to avoid U.S. financial sanctions on Iran by paying for oil with gold. China’s imports of the metal are already large, and you can guess what additional purchases are going to do to prices. On the last day of 2011, President Obama signed the National Defense Authorization Act for Fiscal Year 2012. The NDAA, as it is called, attempts to reduce Iran’s revenue from the sale of petroleum by imposing sanctions on foreign financial institutions conducting transactions with Iranian financial institutions in connection with those sales. This provision, which essentially cuts off sanctioned institutions from the U.S. financial system, takes effect on June 28.”
We haven’t yet seen this reported anywhere else so even though it is from Forbes, (albeit more a blog post than a formal story), we can’t be 100% certain to it’s accuracy. This really would be huge news with significant implications for much wider spread use of gold
But even if it doesn’t prove to be true, it seems the US is now sharpening another stick ready for poking it’s other eye out. You may or may not have read about a current Bill before the US Senate that will enable the authorities to revoke or deny a passport to anyone who has “seriously delinquent tax debt”.
No great surprise as the US and much of the western world moves closer to full “Police State” status. However we hadn’t read anywhere else about Title II of the bill– ‘Stop Taxhaven Abuse.’ Sovereignman.com reports [emaphasis added is ours]:
Perhaps most important, though, is Title II of the bill– ‘Stop Taxhaven Abuse.’
Long story short, if the US government decides in its sole discretion that a foreign jurisdiction is impeding tax enforcement, Uncle Sam can shut them out of the US financial system, no questions asked.
It’s just another measure to turn foreign banks into unpaid spies of the federal government… and limit financial freedom for US citizens.
This is a bully move, plain and simple. Most of the global financial system depends on US banks for correspondent accounts. When you wire money from Cambodia to Brazil, for example, the funds pass through New York.
But these kill switch provisions are actually on very shaky legal ground. As several banker and attorney friends of mine in popular offshore jurisdictions like Panama and Labuan have told me, the new bill violates a host of trade agreements.
Moreover, it may prove to be the final nail in the coffin for US dominance in global banking… it’s almost as if Congress is daring the international community to come up with a better alternative.
As China opens its currency and economy more and more each day, it seems painfully obvious that a new solution is coming soon.
As they say, along with already shutting Iran out of the SWIFT bank transfer system, this bill if enacted will also encourage the rest of the world to come up with other ways of transacting business.
Seems the US dollar’s demise just got a little closer this week.
It’s manipulation madness this week…
We’ve got an article from Bix Weir on silver manipulation and JP Morgan. We’ve been reading quite a bit of Bix Weir’s writings of late – if you want a mind bending trip down the rabbit hole looking at evidence supporting some interesting gold and silver conspiracy theories, then head over to and check out the past articles too. But if you prefer to watch and listen over read, we have a 2 part video also on silver manipulation.
This is as good a summary as we’ve seen of the manipulation argument.
We also heard the same from insider Jim Rickards on how the gold price is “managed” by central banks in this interview. In the same interview Rickards also predicts QE3 will kick off in the next 3 months.
Our feature article this week looks at how to value on gold and come up with a future price prediction. With a great site we’ve discovered to keep a track of this measure for free. How do you value gold – What price could it reach?
And then to finish an interview with the always thought provoking Doug Casey.
Gold has still been holding up pretty well. In NZ dollars we are still above $2000 per ounce. It remains below its 200 day moving average (red line). As you can see in the chart below it’s been that way for 2 months now. How long will it remain there? Who knows for sure, but the last time it was under its 200 day MA for a significant period of time was in 2009 where it took about 5 months to again head higher.
The fact we’re holding at $2000 is promising. As ever patience is key with precious metals. You need to be on board as the price can move higher quickly. As you can see in 2009 when in November it bolted $300 higher in no time.
If you’d like to get on board the gold (or silver) train we are only too happy to help. As usual give David a call, email, or livechat and he can get you a specific quote for either metal.
1. Email: firstname.lastname@example.org
2. Phone: 0800 888 GOLD ( 0800 888 465 )
Have a golden week!
Glenn (and David).
Gold Survival Guide
P.S. Before we sign off – if you’ve had trouble getting your head around the whole European Sovereign Debt Crisis thing, this week we came across a short article that summarises the whole situation brilliantly… The European Debt Crisis in 1,000 Words
This Weeks Articles:
This week: – More gold bears than gold bulls – time to buy? – Free Aussie Gold Stock pick – China’s gold imports up tremendously More gold bears than gold bulls – time to buy? A week of great charts for you this week. This first one is of the Bloomberg gold bull/bear sentiment […] read more… $8,250/oz Silver and ONE BANK!
2012-04-23 03:55:23-04 If you’ve heard about manipulation but haven’t managed to get you head around it, here’s a great article that summarises a good deal of the evidence relating to the manipulation of the silver market without having to read too many pages. At the end Mr Weir also comes up with what would be an […] read more… Silver Manipulation: Videos Part 1 & 2
2012-04-23 06:57:43-04 It’s a bit of manipulation madness this week. Following on from the article on silver manipulation we posted earlier are a couple of great videos on the subject. These 2 very informative videos give about as good a coverage of the silver manipulation as we’ve seen and cover: – Why is silver manipulated? – How […] read more…
2012-04-23 19:08:50-04 We received a question recently from a reader “What will the future resale value of gold be?” Or rather what they were really getting at, what price will gold likely reach in the future? They accepted we did not have a crystal ball, (that would be handy!) but were after some kind of methodology to […] read more…
2012-04-24 00:04:00-04 Whatever Doug Casey says is always worth listening to as his opinion is more often than not from left field. In this interview he discusses the current global “recovery” and whether this is sustainable. Interestingly he also talks about the likelihood of gold backed digital currencies, something we think seems more and more likely in […] read more…
The legal stuff – Disclaimer:We are not financial advisors, accountants or lawyers. Any information we provide is not intended as investment or financial advice. It is merely information based upon our own experiences. The information we discuss is of a general nature and should merely be used as a place to start your own research and you definitely should conduct your own due diligence. You should seek professional investment or financial advice before making any decisions.