- Do not be too concerned with the current take down of gold and silver prices on the Comex. They are just the usual manipulation by the bullion banksters. They are fighting a losing battle. It is basically a retrograde action to get out as fast as they can before the gold and silver price explosion upwards!
Chinese Silver Demand Surges Incredible Four Fold in Just One Year
The fact that silver is again in backwardation at the front end of the curve suggests that tightness in the physical bullion market continues and may even be deepening. Indeed, the massive increase in silver bullion demand from China (confirmed overnight – see above) suggests that silver’s bull market remains very much intact despite becoming overvalued in the short term towards the end of 2010.
Surging inflation in China, India, wider Asia and much of the world is of course positive for gold and silver as it will likely lead to an even greater appetite for the precious metals in order to protect against the ravages of inflation and the further depreciation of paper currencies.
A theme we have written about for many years is China’s growing importance to global financial markets and the global economy. As the most populous and largest creditor nation in the world, China’s influence and power continues to grow. Chinese power is being seen in currency, bond, commodity and other financial markets.
It is particularly seen in China’s huge appetite for precious metals and this is only being appreciated gradually. Many in western markets and finance continue to not realise the profound changes and long term ramifications of China’s emergence as a global superpower. The world has changed and we are not reverting to the financial, economic and geopolitical conditions of the late 20th Century.
China’s influence and massive appetite for precious metals is important both from a monetary and a geopolitical perspective. We warned of this some years ago – specifically writing about how the Chinese would gradually attempt to position the yuan as the global versus reserve currency, thereby replacing the petrodollar. We also wrote how the Chinese could use precious metals, and gold in particular, as a geopolitical weapon against the US and the west. Recently analysts, including the respected Jim Rikards, have eloquently outlined this real and growing risk.
China’s impact on the gold and silver markets will likely have ramifications for the western monetary and financial system and that is why China’s impact on the silver market is increasingly important. This is something we have wrote about for some time and one of the important factors driving silver’s bull market.
- Economic recovery? Yeah right! Pigs can fly!
Cash-Strapped States Seeking A Way To Declare Bankruptcy
States are looking for relief.
As they confront massive debts and diminished revenue, some state officials are trying to determine whether they could take a drastic and illegal step: declaring bankruptcy, the New York Times reports. Such a move, though currently out of the question, might free states from some of their most burdensome debt and allow them to rebuild their crippled finances.
After years of spending generously, and after decades of hiking pension promises to employees, states now find themselves squeezed. Diminished tax revenue is, in many cases, insufficient to cover long-term obligations, as states face a combined pension fund shortfall of $3 trillion, according to two finance professors’ estimate. Bankruptcy would, in theory, allow states to rework these obligations, potentially causing pain for retirees and bondholders, and likely spreading uncertainty through financial markets.
Even holders of state bonds — traditionally considered a rock-solid investment — could end up taking a loss, the NYT says. All talk of state bankruptcy is in hypothetical terms, as there remains little, if any, precedent. The most recent example of a state credit event happened during the Depression, when Arkansas defaulted on its debt. But legal bankruptcy protection, in which states would theoretically be able to restructure their obligations in court, is unconstitutional, since states are considered sovereign entities.
Even municipal bankruptcy, which is allowed under some state constitutions, is rare. The current poster child is Vallejo, Calif., which was driven into bankruptcy nearly three years ago in an attempt to escape mounting labor costs. The biggest example is Orange County, which declared bankruptcy in 1994 after the treasurer gambled on Wall Street with the public money, and lost. He was later sentenced to prison time.
Some American cities have flirted with bankruptcy. Harrisburg, Pa., has gotten legal advice on a potential filing. Hamtramck, Mich., has sought bankruptcy protection and been denied by the state of Michigan.
Perhaps the only precedent one can point to is a crisis simulation at The Economist‘s Buttonwood Gathering in New York City, held in October. Performing the roles of Federal government officials were, among others, former Treasury secretary Robert Rubin, former National Economic Council director Laura Tyson and former chief of staff Josh Bolten. Their task was to simulate the Federal government’s response to a state’s request for a bailout.
For the most part, the actors were able to stay in character — until Tyson fumbled, accidentally referring to the fictional state New Jefferson as “California.” Analyst Christopher Whalen, for his part, says he believes California will default on its debt.
Bilderberg Owned Publication The Economist: Yes, Powerful “Globocrat” Elites Are Running Things, It’s Not A Conspiracy!
“We are grateful to The Washington Post, The New York Times, Time Magazine and other great publications whose directors have attended our meetings and respected their promises of discretion for almost forty years. It would have been impossible for us to develop our plan for the world if we had been subject to the bright lights of publicity during those years. But, the work is now much more sophisticated and prepared to march towards a world government. The supranational sovereignty of an intellectual elite and world bankers is surely preferable to the national autodetermination practiced in past centuries.”
David Rockefeller, founder of the Trilateral Commission, in an address to a meeting of The Trilateral Commission, in June, 1991.
- The Illuminists are coming out into the open. This means that they are very confident their plan will succeed despite the public exposure. Although their organizations are identified in neutral corporate sounding names, you should have no doubts that they are part of the Illuminati! Their religion is a cult of death: Satanism!
Bilderberg Owned Publication The Economist: Yes, Powerful “Globocrat” Elites Are Running Things, It’s Not A Conspiracy
Agenda for global centralized control system is public and out in the open
We have referred many times to the push for a centralized world government control system as the “open conspiracy”. Groups such as Bilderberg, The Trilateral Commission and The Council on Foreign Relations are kingpins of this agenda, shaping the policies of the politicians and power brokers that they have effectively bought.
A rather bizarre article in The Economist today addresses this power structure and far from dismissing it as a conspiracy theory, simply reaffirms the fact that “the cosmopolitan elite” do indeed “flock together” at such gatherings and elusive clubs to shape the world that the “superclass” wishes to inhabit.
Of course, The Economist is a perfect avenue for the open conspiracy to be flaunted, given that its editor is a regular attendee at the annual Bilderberg conference, an admission the piece proudly discloses in its opening paragraphs. Tongue firmly in cheek, the piece describes Bilderberg as “an evil conspiracy bent on world domination”, and then goes on to affirm that actually yes, the group really does dominate world events.
It was responsible for the single European currency, it plays host to the world’s most influential aristocrats and business people, as well as a small cadre of journalists, representing the biggest global media corporations, who are sworn to comply with Chatham House rules, meaning they cannot disclose any of the “big ideas” that are hatched at Bilderberg.
“The world is a complicated place, with oceans of new information sloshing around.” the piece continues, “To run a multinational organisation, it helps if you have a rough idea of what is going on. It also helps to be on first-name terms with other globocrats. So the cosmopolitan elite–international financiers, bureaucrats, charity bosses and thinkers–constantly meet and talk. They flock to elite gatherings… They form clubs.”
The most influential of those clubs, according to the article, are Bilderberg, The Council on Foreign Relations, The Trilateral Commission, The Carnegie Endowment for International Peace and The Group of Thirty. They are now shedding their secretive natures and revealing themselves to the world. The “globocratic shindigs are opening up”, the piece acknowledges. The article goes on to give some examples of major international events that have been shaped over the years at elite gatherings, including diplomatic agreements and even decisions on major wars.
“Such meetings are ‘an important part of the story of the superclass’, The Economist quotes former Kissinger luminary and international elitist David Rothkopf, the author of the book The Global Power Elite and the World They Are Making.
“What they offer is access to ‘some of the world’s most sequestered and elusive leaders’. As such, they are one of ‘the informal mechanisms of [global] power’, Rothkopf adds. Don’t blame the international “globocrat” elite for the financial crisis though, the piece urges, claiming that the superclass were “caught napping”. And while the piece admits that some international bankers are responsible for looting the system wholesale, it attempts to convince readers that ultimately the presence of an inter-connected international elite actually saved the world from complete financial meltdown – so you can sleep easy at night.
Of course, anyone who closely follows the activity of such elite groups will tell you that they absolutely were not caught off guard and were fully aware that the crisis was being carefully massaged back in 2006. Reports from the Bilderberg meetings in Canada in ’06 and in Turkey in ’07 predicted a global housing crash and forecast a prolonged financial meltdown as a result. The group has since been debating exactly how it should move to shape the economic situation in order to further its own global influence and that of the (honestly, we’re not evil at all) “superclass”.
A decade ago anyone who even spoke of the existence of Bilderberg, let alone suggested it was a major manipulator of world events, was roundly categorized as a crazy tin foil hat wearing kook. Today the very same assertions make up the stuff of editorials in the world’s global press.
- A One World Currency backed by gold is coming! We now have 3 key insiders supporting a gold standard: Zoellig, Hoenig and Greenspan!