Bangladesh Buys Gold
Bangladesh is buying gold from the IMF. One of the poorest countries in the world somehow found the money to buy 10 tonnes of gold.
Meanwhile, U.S. representative Ron Paul introduced a bill that would require and audit of the gold held at Fort Knox. Fort Knox has not had a real audit since (I think) the 1950's. Why? They've refused all efforts to audit their gold.
China keeps saying it's not all that interested in gold. But China has become the world's largest producer of gold. That's right, gold mining companies in China now produce more gold than any other country. And China does not allow any of that gold to be exported. The government buys it all at market rates. In addition, China has recently made it legal and more convenient for regular Chinese people to buy and own gold.
So when the Chinese downplay any interest in gold, you know what's going on. They don't want the price to go up too much because - right - they're accumulating gold.
I could go on about all the interest in gold around the world - interest everywhere but here in the U.S. Here, our government - and most major investment houses - will barely mention gold. And if they do, it's in the context of gold being some kind of problem: it's overpriced and ready to collapse; it's not useful; it doesn't pay any interest or dividends.
We're just about the only country that's been talking down gold.
Oh, there's the UK. But maybe that's because the UK sold much of the Bank of England's gold while the price was still under $300 per ounce back in the late 1990's, early 2000's. The Chancellor of the Exchequer (a similar position to our Treasury Secretary) at the time was Gordon Browne. You remember him, right? He was just ousted as Prime Minister.
Imagine rewarding the guy who sold your gold at its lowest price in decades by electing him Prime Minister! Maybe that's why the UK doesn't talk up gold much.
What's really interesting about this is that the countries buying gold are mostly in Asia. And there is this tendency throughout history for gold to flow to countries that are on the way up - and away from countries on the way down.
And who are the two most powerful countries in the West over the last few centuries? Well, that would certainly be Britain and the U.S. - two countries who seem to have been leaking gold for a while now.
Not the point here isn't to say that the U.S. is on the way down. But you do have to wonder why the government's been so reluctant to allow an audit of Fort Knox - especially in light of years of rumors that the gold that's claimed to be there really isn't there anymore.
Then again, it's usually best not to get hung up on rumors, so let's not.
Of course, if Ron Paul's bill gets sandbagged (like his bill to audit the Fed - hmmm...any connection?) then I wouldn't be surprised to see the "Is there really all that gold at Fort Knox" rumor fire up again.
Well, one thing we will know for sure is that Bangladesh will soon own about 10 tonnes of gold.
You've heard the phrase: "follow the money"? I guess now we'll have to add "follow the gold," eh?
Wait! What's this? Gold just hit a new all-time high this week. Interesting, don't you think?
Meanwhile, U.S. representative Ron Paul introduced a bill that would require and audit of the gold held at Fort Knox. Fort Knox has not had a real audit since (I think) the 1950's. Why? They've refused all efforts to audit their gold.
China keeps saying it's not all that interested in gold. But China has become the world's largest producer of gold. That's right, gold mining companies in China now produce more gold than any other country. And China does not allow any of that gold to be exported. The government buys it all at market rates. In addition, China has recently made it legal and more convenient for regular Chinese people to buy and own gold.
So when the Chinese downplay any interest in gold, you know what's going on. They don't want the price to go up too much because - right - they're accumulating gold.
I could go on about all the interest in gold around the world - interest everywhere but here in the U.S. Here, our government - and most major investment houses - will barely mention gold. And if they do, it's in the context of gold being some kind of problem: it's overpriced and ready to collapse; it's not useful; it doesn't pay any interest or dividends.
We're just about the only country that's been talking down gold.
Oh, there's the UK. But maybe that's because the UK sold much of the Bank of England's gold while the price was still under $300 per ounce back in the late 1990's, early 2000's. The Chancellor of the Exchequer (a similar position to our Treasury Secretary) at the time was Gordon Browne. You remember him, right? He was just ousted as Prime Minister.
Imagine rewarding the guy who sold your gold at its lowest price in decades by electing him Prime Minister! Maybe that's why the UK doesn't talk up gold much.
What's really interesting about this is that the countries buying gold are mostly in Asia. And there is this tendency throughout history for gold to flow to countries that are on the way up - and away from countries on the way down.
And who are the two most powerful countries in the West over the last few centuries? Well, that would certainly be Britain and the U.S. - two countries who seem to have been leaking gold for a while now.
Not the point here isn't to say that the U.S. is on the way down. But you do have to wonder why the government's been so reluctant to allow an audit of Fort Knox - especially in light of years of rumors that the gold that's claimed to be there really isn't there anymore.
Then again, it's usually best not to get hung up on rumors, so let's not.
Of course, if Ron Paul's bill gets sandbagged (like his bill to audit the Fed - hmmm...any connection?) then I wouldn't be surprised to see the "Is there really all that gold at Fort Knox" rumor fire up again.
Well, one thing we will know for sure is that Bangladesh will soon own about 10 tonnes of gold.
You've heard the phrase: "follow the money"? I guess now we'll have to add "follow the gold," eh?
Wait! What's this? Gold just hit a new all-time high this week. Interesting, don't you think?
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