Dr. Paul Craig Roberts, Former Asst. US Treasury Secretary: FedRes Desperate To Stop Collapse!

• Dr. Paul Craig Roberts, Former Asst. US Treasury Secretary: FedRes Desperate To Stop Collapse! 
  by www.kingworldnews.com
  Today King World News was given exclusive permission to publish an extraordinary piece by former US Treasury Official Dr. Paul Craig Roberts, which warns that the Fed is now acting out of desperation in an attempt to prevent a total collapse of the financial system.  Dr. Roberts also discussed the Fed’s continued intervention and shorting in the all-important gold and silver markets. Below is a portion of this tremendous piece that KWN was given exclusive rights to publish by Dr. Roberts: 
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  ROBBER BARONS ARE STEALING PENSIONS, BANK DEPOSITS AND DEMOCRACY !
  By Dr. Paul Craig Roberts, April 24 (King World News) 
  “The real concern about US bank deposits is that they are denominated in US dollars, and the supply of new dollars has been increasing by about $1,000 billion per year for the last several years.  The demand for dollars has not been increasing by the same amount.  Indeed, as more and more countries implement measures to settle their trade balances in their own currencies, the demand for dollars is falling. 
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  When the supply increases and the demand falls, the price falls.  The exchange value of the dollar in terms of other currencies has escaped sharp declines because of the dollar’s traditional role as world reserve currency and safe haven and because the sovereign debt crisis in Europe has caused flight from the euro to the dollar.  The Japanese, the Saudis and the oil emirates have large dollar holdings and no interest in destabilizing the dollar. 
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  The Chinese (who also have large holdings) attitude toward the dollar could be adversely affected by Washington’s aggressive “Pivot Asia” policy of surrounding China with military bases. 
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  Nevertheless, the world is watching, and the world sees only feeble efforts by Congress and the White House to balance the $1,000 billion annual operating deficit, a deficit that will rise if the economy turns down.  The world sees the monetization of $1,000 billion in Treasury debt and the banks’ mortgage-backed derivatives per year.  The question is unavoidable:  Who wants to hold dollars and dollar-denominated financial assets when the dollar faces such obvious exchange-rate risk?
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  read more!

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The Secret World Of Gold: Bullion Banksters’ Manipulation of Gold Exposed !

Australia: Bargain Hunters Join the Gold Rush as Prices Drop!

Chasing a good deal: members of the public line up at the Australian Bullion Company on Pitt Street to buy gold. Photo: James Brickwood

• Don’t be a sheeple: last to know/understand what is going on, first to suffer the consequences! It is a publicly stated policy of western central banks and the BOJ of stimulating inflation ie. Currency Debasement! The rest of the world will follow suit in competitive currency devaluations to protect their economies ie. Currency Wars! Got physical gold yet?
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• Bargain hunters join the gold rush as prices  drop! 
  by Julie Power, http://www.smh.com.au/ 
  Sales of gold bullion and gold chains are boiling over as Sydney buyers rush  to buy at bargain prices of around $1332 an ounce, about $200 cheaper than four  days ago and $400 cheaper than when the price peaked two years ago.
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  Not since the global financial crisis have the phones rung so hot from gold  buyers, said Jordan Eliseo, chief economist of the Australian Bullion Company on  Pitt Street.
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  Sales had been so strong the company’s phone system nearly crashed. The  company had to hire temps to deal with customers phoning and waiting in queues  of up to 60 to 80 to get into the company’s already crowded salesrooms.
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  The company’s chief executive, Janie Simpson, only had time to email, ”OMG,  it is bedlam – has been like that for 3 days!!!!” Mr Eliseo said more than 95 per cent of the company’s business right now was  selling gold.
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  ”Everyone who wants physical gold is seeing it [the drop in the gold price]  as an incredible buying opportunity instead of seeing it as the end of the gold  market,” he said. It’s not just sales of physical gold that are booming. Roy Cohen, director of  The Gold Company and First Gold, said interest in  gold savings accounts were also ”exploding”.
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  Froy Fernandez, manager of pawn brokers Andrew Cash & Co in Blacktown,  said sellers were hanging on to gold but there were plenty of people buying  gold, especially 18 and 22 carat bracelets and chains. He’d been surprised by  how many savvy buyers checked the gold price before visiting the store.
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  For consumers, the drop in the gold price to a two-year low means a chance to  buy something impressive for much less. Builder Craig Kilby of Windsor, who was  shopping at Linda & Co Designer Jewellers in Broadway this week, said he was  ”definitely” making plans to buy some gold jewellery to give his wife on  Mother’s Day.
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  The impact of the fall in the gold price had been ”massive,” said Michael  Sobbi, manager of the jeweller. ”We are selling a lot of solid gold chains,” he said. A heavy gold bracelet  which normally retailed for $10,000 would be about $1200 cheaper after the fall  in the gold price was taken into account.

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Paul Craig Roberts: The Attack on Gold is Fuelling Massive Buying of Physical Bullion!

Remember the Golden Rule: He who has the gold makes the rules!

• Paul Craig Roberts: Update to the Update – The Attack on Gold ! 
  by Paul Craig Roberts, http://www.paulcraigroberts.org/ 
  Tuesday, April 16.  The orchestrated attack on bullion in the paper gold market took the spot prices of gold and silver down on Friday and Monday, but actual physical purchases rose during this period. The sales were of paper claims, not of real metal.
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  The demand for physical possession of bullion rose so strongly that large wholesalers such as http://www.tulving.com  and large retailers such as Gainesville Coins reported sold out items. Also, dealers raised the premiums above the spot price that is charged for coins.  From Friday to Monday the premium on Silver Eagles at the large online retailer, Gainesville Coins, rose from $3.75 to $5.99 above the spot price of silver.  The percentage increase in premium was larger than the percentage decline in the silver price. Thus, the price of a silver one Troy ounce coin did not drop despite the drop in the spot price.  Today (April 16) the price of a silver eagle purchased with a credit card from retailer Gainesville Coins is $30.36.  You would never know that the market had fallen out.
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  Today (Tuesday, April 16) Tulving reported 29% of its bar and coin bullion categories sold out and had almost no silver coin stock.  The premium over spot on new gold eagles was $63.95. At large online retailers the premium was $71.  Gainesville Coins has no silver Buffalos and lists shipment of orders to commence when coins are available, estimated to be May 10.
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  What I am reporting are facts, not a theory. We have just had two days of massive sales of paper claims on  bullion, but during these days when the price of gold and silver collapsed under short sales, it was difficult to get your hands on the metal itself.  On telephone orders you wait in long queues to place an order and are told that delivery awaits availability.
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  Listening to the media and to academic economists such as Paul Krugman, you would think no one any longer wants gold and silver.  But try getting your hands on some.
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  The physical bullion market, gold especially, is dominated by Asians. Americans are a minor player. Most Americans still believe in the almighty dollar, but few Asians do.  The Chinese tomorrow would dump their two trillion of US dollar-denominated assets and purchase gold, except that the action would drive down the dollar and drive up the gold price. So, unlike the orchestrated attack on gold, China plays a slow hand, using the orchestrated attack on gold to acquire the metal at lower prices.
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  As I understand it, the open interest or future contracts on COMEX greatly exceed the bullion available for delivery. This is a paper market mainly settled in cash, not by taking delivery. If the contracts had to be settled in bullion instead of cash, the COMEX would fail.
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  One advantage of growing old is that one gains perspective. I remember when gold was $35 an ounce and silver $1 an ounce.  If memory serves, until sometimes in the 1960s, a person could still take a paper dollar to a bank and be given a silver dollar. There were $1 dollar and $5 dollar silver certificates (paper money) that circulated along with Federal Reserve currency. At that time banks did not differentiate. A dollar was a dollar.  Silver certificates today have collectors’s value, but the Federal Reserve currency does not.
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  If memory serves, sometimes after 1966 if a person presented a silver certificate to a Federal Reserve Bank, he received one or five ounces or raw silver in return depending on the denomination of the certificate, which looked like a Federal Reserve note except it said Silver Certificate. I have some of these envelopes of little pieces of silver.
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  When silver was taken out of US coins in the 1960s and copper was taken out of the US penny in the early 1980s, despite my opposition as Assistant Secretary of the US Treasury for Economic Policy, all real constraints on fiat money were removed.
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  Today we see the Fed protecting its protection of “banks too big to fail” with low interest rates by creating enormous sums of money in order to purchase both Treasury bonds and mortgage backed derivatives. These Fed purchasers are at the expense of savers and CD and bond purchasers who receive a negative real rate of interest.
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  Now, to protect its bank rescue policy, the Fed is attempting to drive down the price of bullion, thus depriving Americans of any way of protecting their life savings from the inflation that the Fed’s money printing will ultimately cause.
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  read more!

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Bill Murphy Bombshell: Another Whistleblower Comes Forward?

Gold Now Set To Have A Massive Surge Along With This Asset !

• Gold Now Set To Have A Massive Surge Along With This Asset! 
  by www.kingworldnews.com
  Top Citi analyst Tom Fitzpatrick sent King World News 4 tremendous charts which reveal gold is set to have a massive surge higher in price going forward.  Below is what top Citi analyst Fitzpatrick had to say in his latest report, along with 4 powerful charts. 
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  Top Citi analyst Tom Fitzpatrick:  “In 1995 we saw a major turn in USDJPY  (US dollar vs Japanese yen) after it broke out of the 5 year downtrend while this time around it broke a 4 year downtrend.  However the similarities are greater than just that (the chart below shows the yen weakening dramatically vs the US dollar).
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“War, What War? Don’’t Mention the (Currency) War”!

Click on image for article!

• “War, What War? Don’’t Mention the (Currency) War”! 
  by Gregory McKenna, http://www.news.com.au/ 
  YES, international finance collectives, G7 and G20 have been pulling  their best Basil Fawlty impressions of late.
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  With straight faces they are claiming that the policies they are pursuing,  which have weakened the US dollar, severely weakened the Yen and which will soon  weaken the Euro and Pound, are not currency manipulation.
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  “No, not us! We wouldn’t do that!”
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  Just look at their recent  communique from the G20 and what it said about currencies:
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  “We reaffirm  our commitment to cooperate for achieving a lasting reduction in global  imbalances, and pursue structural reforms affecting domestic savings and  improving productivity. We reiterate our commitments to move more rapidly toward  more market-determined exchange rate systems and exchange rate flexibility to  reflect underlying fundamentals, and avoid persistent exchange rate  misalignments and in this regard, work more closely with one another so we can  grow together.”“Reflect underlying fundamentals”, translates to “we’re weak but you BRICS and Aussies are strong so your currencies and  Economies have to suffer”. It was G20, or more correctly G7 speak for “Don’t  mention the War!”
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  Pulling the trigger Certainly the folks at the Federal Reserve (Fed), Bank of England (BoE) or  Bank of Japan (BoJ) would claim that they have not fired any shots in anger, but  prisoners are being taken all over the world. The Fed’s unconventional policy  has, until very recently, had the twin successes for the Fed of driving stocks  up and the US dollar down, as the US economy has clearly improved relative to  most of the rest of the world. Exports as a proportion of the US GDP are up 3-4%  since the beginning of the GFC.
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Why Are Central Banks Buying Gold?

Remember the Golden Rule: He who has the gold makes the rules! Got physical gold yet?

• Why Are Central Banks Buying Gold? 
  by http://gainspainscapital.com/ 
  Anyone who wants to get to the truth behind the inflationary threats to their wealth should ignore everything the Central Banks say about inflation and look instead at their actions.
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  Worldwide gold demand in 2012 was another record high of $236.4 billion in the World Gold Council’s latest report. This was up 6% in value terms in the fourth quarter to $66.2 billion, the highest fourth quarter on record. Global gold demand in the fourth quarter of 2012 was up 4% to 1,195.9 tonnes.
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  Central bank buying for 2012 rose by 17% over 2011 to some 534.6 tonnes. As far as central bank gold buying, this was the highest level since 1964. Central bank purchases stood at 145 tonnes in the fourth quarter. That is up 9% from the fourth quarter of 2011, and the eighth consecutive quarter in which central banks were net purchasers of gold
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  http://247wallst.com/2013/02/14/central-banks-buy-the-most-gold-since-1964/#ixzz2LMLOfBPK
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  Note… Central Banks, while talking down money printing and denying the presence of inflation, bought more Gold in 2012 that any year dating back to 1964. Indeed, However, since becoming net buyers of Gold in 2010, the Central Banks have been increasing their Gold purchases rapidly.
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  In 2010, Governments worldwide bought 77 tonnes of Gold. In 2011 it was 457 tonnes. And last year it was a whopping 535 tonnes. All told, they’ve accumulated  1,000 tonnes of Gold since 2Q09. At today’s price of $1600 per ounce, this stash is valued at over $56 billion.
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  The key issue here is not the amount ($56 billion in Gold purchases is nothing compared to the over $10 trillion in new money Central banks have printed since 2007), but the trend: Central Banks were net sellers of Gold for decades until 2010.
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  Other major investors are looking to get their hands on Gold… not the promise of Gold, but the actual metal.
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  read more!

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Neil Macdonald: Ottawa Weighing Plans for Bank Failures! Federal Government Looking at ‘Cyprus Solution’!

• Why would anyone continue leaving their monies in the banks with such enacted policies? The answer is: they won’t! The smart money is already fleeing and seeking new safe havens. It is only the sheeple who are easily deceived with propaganda and can’t think for themselves who are still trying to figure out what is happening. Never be a sheeple, last to know/understand what is going on but first to suffer the consequences. If money is not safe in banks, where will they flee to? IMO: hard assets like physical gold/silver. It will stir inflation ie. debase currencies! The logical end to this is hyperinflation and the destruction of fiat currencies.
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  Neil Macdonald: Ottawa weighing plans for bank failures!  Federal government looking at ‘Cyprus solution’! 
  by Neil Macdonald,  CBC News 
  Buried deep in last month’s federal budget is an ambiguously worded section that has roiled parts of the financial world but has so far been largely ignored by the mainstream media.
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  It boils down to this: Ottawa is contemplating the possibility of a Canadian bank failure — and the same sort of pitiless prescription that was just imposed in Cyprus.
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  Meaning no bailout by taxpayers, but rather a “bail-in” that would force the bank’s creditors to absorb the staggering losses that such an event would inevitably entail.
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  If that sounds sobering, it should. While officials in Ottawa are playing down the possibility of a raid on the bank accounts of ordinary Canadians, they chose not to include that guarantee in the budget language.
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  Canadians tend to believe their banks are safer and more backstopped than elsewhere in the world. The federal government enthusiastically promotes the notion, and loves to take credit for it.
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  It may well be true, even if Canada’s six-bank oligopoly isn’t terribly competitive, at least in comparison to the far more diverse American banking universe.
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  But in the ever-more insecure world that has unfolded since the financial meltdown of 2008, it is also increasingly clear that nothing is safe anymore, not even blue-chip bank stocks and bonds or even, in the case of the Cyprus bail-in, private bank accounts.
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  And now, Canada is making a bail-in official government policy, too.
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  “The government proposes to implement a bail-in regime … designed to ensure that, in the unlikely event that a systemically important bank depletes its capital, the bank can be recapitalized and returned to viability,” says Finance Minister Jim Flaherty’s March 21 budget, on page 144.
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  That would be done, the document says, through the rapid conversion of “certain bank liabilities.” Ottawa’s budget document leaves the definition of “certain liabilities” to the reader’s imagination.
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  Bank deposits?
  There has been very little public debate about the plan to date, but Finance Department officials and the banks protest it should never be taken to mean small personal deposits would be seized.
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  read more!

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Gregory Mannarino: This Economic Grand Illusion Is Coming Apart !

Kyle Bass: “Japan Will Implode Under Weight Of Their Debt”!

• Kyle Bass: “Japan Will Implode Under Weight Of Their Debt”! 
  by Tyler Durden, www.zerohedge.com 
  As the fast-money flabber-mouths stare admiringly at the rise in nominal prices of Japanese (and the rest of the world ex-China) stock prices amid soaring sales of wheelbarrows following Kuroda’s ‘shock-and-awe’ last night, it is Kyle Bass who brings these surrealists back to earth with some cold-hard-facting. Out of the gate Bass explains the massive significance of what the Japanese are embarking on, “they are essentially doubling the monetary base by the end of 2014.”
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  It is a “Giant Experiment,” he warns, but when you are backed into a corner and your debts are north of 20 times your government tax revenue, “you’re already insolvent.” Simply put, Bass says they have to do something and they have to something big because they are “about to implode under the weight of their debt.” For a sense of the scale of the BoJ’s ‘experimentation’, Bass sums it up perfectly (and concerningly), “the BoJ is monetizing at a rate around 75% of the Fed on an economy that is one-third the size of the US!”
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  What they are trying to do is devalue the currency to attempt to become more competitive while holding their rates market flat – the economic zealots running the world’s central banks believe they can live in that Nirvana – and Bass believes that is not the case, as they will lose control of rates, since leaving the zone of insolvency is impossible now. His advice, “if you’re Japanese, spend! or take it out of your country. If you’re not, borrow in JPY and invest in productive assets.” Do not be long JPY or Japanese assets as he concludes with the reality of Japan’s “hollowed out” manufacturing industry and why USDJPY is less important that KRWJPY.

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Eric Sprott: Jim Sinclair, $11,000 Gold & Skyrocketing Silver!

• Eric Sprott – Jim Sinclair, $11,000 Gold & Skyrocketing Silver! 
  by www.kingworldnews.com
  Today billionaire Eric Sprott spoke with King World News about Jim Sinclair, $11,000 gold, and a skyrocketing silver price.  Below is what Sprott, who is Chairman of Sprott Asset Management, had to say:
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  Eric King:  “When you talk about the gold market and the fact that there is more demand than there is supply, and that (difference in supply) is coming out of Western central bank vaults, but as they run out of (Warren) Buffett’s silver, Eric, and we’ve run out of the US stockpile (of silver), there is no stockpile (of silver) anywhere.”
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  Sprott:  “Well, the funny part about gold and silver:  If you put all of the gold in the world that is above ground and compare it to the known silver above ground, the ratio is 150 times more gold than silver….
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Ex Asst. Treasury Secretary: Dr Paul Craig Roberts – Fed Desperate To Avoid Collapse!

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• Ex Asst. Treasury Secretary: Dr Paul Craig Roberts – Fed Desperate To Avoid Collapse!! 
  by www.kingworldnews.com
  Today a former Assistant Secretary of the US Treasury told King World News, “… the dollar is the vulnerable spot in the Fed’s policy management, and the popping of the bubble is likely to come from the dollar.”  Former Assistant of the US Treasury, Dr. Paul Craig Roberts, also warned King World News that a financial collapse is coming, and the Fed is desperately manipulating the gold price in an attempt to avoid the collapse.
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  Here is what Dr. Roberts had to say in this extraordinary and exclusive interview:  “A lot of people just can’t imagine that the government would fix the gold price.  And yet, in full view, the government fixes the bond price, and the banks fix the LIBOR rate.  So why is it people can’t comprehend that the government would fix the price of gold (laughter ensues)?”
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  “And you have to ask yourself, who would short gold in a rising gold market?  In the physical gold market the demand for gold rises consistently.  Investors would ride the rise in gold.  Do investors go in and short a bull market in stocks?  Not unless they want to get wiped out.  So why would they short a rising gold market unless the purpose is to stop the rise? So it’s obvious that they are fixing the price of gold because we hear every day that there is more physical demand for people who actually want the metal….
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Another Step Towards an East-West Trade War!

• Another step towards an East-West trade war! 
  by Ambrose Evans-Pritchard, http://www.telegraph.co.uk/ , 8 March 2013
  China’s trade figures released this morning are shocking. They tell us that China is still flooding the world with excess goods, and is once again a net drain on global demand.
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  As you may have seen, Chinese exports surged 22pc in February. Imports fell 15pc. This is exactly what pessimists feared. For all the talk of a great shift by China away from export-led growth to internal demand, the reality is that the Politburo is still propping up the same old system, still shovelling subsidies to loss-making firms and state behemoths to keeps factories open.
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  Investment is still 49pc of GDP. Consumption is still 36pc. China is still a massively deformed economy, and the global effects of its imbalances are getting bigger every year as the economy grows at far higher rates than the West.
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  The trade surplus with the US is the highest in four years. The US Treasury may well have been right to warn in its annual report on currencies that the recent fall in China’s current deficit to 2.6pc of GDP is temporary, to be followed by a rise back to 4pc or more by mid-decade. And remember, 4pc will soon matter as much for the world as 10pc in 2007. It is simple compound arithmetic.
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  Even if you strip out the distortions of the Lunar New Year and lump together January and February, it is clear that China’s trade surplus is growing again. Perhaps there is a lot of hot money pouring into China by the old trick of inflated invoicing, distorting the data. Perhaps not.
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  Societe Generale’s Wei Yao said the trade data is going to cause heartburn around the globe: “If these figures were indeed close enough to the actual situation, we think such strong exports may turn out to be more of a curse than a blessing for China. Against the backdrop of a meagre global recovery and heightened concerns over potential currency wars, China’s bi-lateral trade surplus with the US reached a record high in four years; and China snatched market shares from neighbours.
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Greg Mannarino & Jason Burack: More Money Printing, Hyperinflation, Market Crash & Debt Bubble Burst Imminent !