Saturday, April 10, 2021

Paradise Lost

by John Rubino, Dollar Collapse:

So a single political party gains control of a lockdown-battered country desperate for any and all forms of government spending. Direct payments, loan forgiveness, infrastructure, all of these and more are not just possible, but popular. The president and his Congressional allies simply write the bills, pass them, and bask in the near-universal admiration of their generosity. In fact, the only real criticism comes from their own party’s left wing, which demands even higher spending, bigger deficits, and faster money printing. It’s like being a kid in a candy store.

Demonetizing Precious Metals

by Serena, Survival Blog:

WHAT GOT US HERE:

In the coinage act of 1792, Congress in the United States declared the definition of our monetary units (The Dollar and the Eagle) and defined the character of each of these units with specified weights, measures, and the number of grains in silver or gold for each of these monetary units. They went on to declare the silver to gold ratio to be 15:1 which at the time was a worldwide standard. Should that balance not be declared and maintained the undervalued units would naturally migrate to other world economies. In the following 80 years, our economy had grown to include $7.55 billion almost equally divided between silver and gold.

HUNGARIAN CENTRAL BANK TRIPLES ITS RESERVES FROM 31 TONNES TO 94 TONNES OF GOLD

by Harvey Organ, Harvey Organ Blog:

GOLD CLOSED DOWN $1.25 TO $1740.70//SILVER ROSE 3 CENTS TO $25.18//GOLD TONNAGE AT THE COMEX ROSE SMARTLY UP 1 FULL TONNE TO 79.9 TONNES//SILVER HELD FIRM AT 14.210 MILLION OZ//MAY OPEN INTEREST FOR SILVER REFUSES TO CONTRACT AND REMAINS AT 116,000 CONTRACTS//CORONAVIRUS UPDATE/VACCINE UPDATE//HUNGARIAN CENTRAL BANK TRIPLES ITS RESERVES FROM 31 TONNES TO 94 TONNES OF GOLD//USA MULLING THE IDEA OF BOYCOTTING THE BEIJING OLYMPICS//RUSSIA VS UKRAINE UPDATES/YELLEN TO REVEAL HER $2.5 TAX RECLAMATION PLAN: SHE THREATENS TO WITHDRAW ACCOMODATION//HIGHEST EVER USA DEFICIT IN FEB AT $71.1 BILLION//ARCHEGOS UPDATES/SWAMP STORIES FOR YOU TONIGHT

LOVE YOUR SERVITUDE, SLAVE. — MICHELLE FORD

As Aldous Huxley wrote, and Julian Huxley later boasted, “A really efficient totalitarian state would be one in which the all-powerful executive of political bosses and their army of managers control a population of slaves who do not have to be coerced, because they love their servitude.” The plan unfolding now friends is tracking, tracing and total global tyranny, Michelle Ford returns to SGT Report to discuss.

Gold to Rise to $2,000 on Low Rates, Weak Dollar: Aberdeen Standard Investments

from Birch Gold Group:

This week, Your News to Know rounds up the latest top stories involving gold and the overall economy. Stories include: Gold’s road back to $2,000, India’s gold imports reach a monthly record, and why silver deserves the commodity spotlight.

Rising bond yields could pave the way for $2,000 gold

In an interview with Kitco, Aberdeen Standard Investments’ head of exchange-traded products Steve Dunn spoke about why gold appears to find itself in temporary rut, and why the fundamentals could soon shift things in the metal’s favor. While hardly a precipitous fall, gold has inched downwards gradually from its all-time high of $2,070 set in August and is now trading around the $1,700 level.

Undesirable Unallocated Unavailability

by Craig Hemke, Sprott Money:

Two weeks ago in this space, we brought to your attention a looming and growing problem within the fractional reserve bullion industry. The situation has seemingly gotten more dire in the past few days, so we thought we should write about it again today.

First of all, if you missed the post from last month, you should read it now. It contains all sorts of relevant information for today’s update: When “Unallocated” Becomes Unavailable

But let’s stop there. In the two weeks since, even more content on this subject has been added to this site and others. So for further background, you might check these links as well:

JPMorgan’s Dimon Admits “Something Has Gone Terribly Wrong” In America… And China Knows It

from ZeroHedge:

As his bank tries to offload big blocks of Manhattan real estate, JPMorgan CEO Jamie Dimon proclaimed in his latest annual letter to shareholders, published Wednesday morning, that the economic expansion in the US could run through 2023, which would justify lofty equity valuations which recently pushed the S&P 500 north of 4K.

And the CEO who once called for the US to raise taxes on the rich and adopt more explicitly socialist policies to expand access to higher education, housing and child care, praised the federal government’s response to the economic crisis caused by the COVID pandemic. Consumers who are now flush with savings will help drive an economic boom, Dimon wrote in his 34K-word missive.

Bank of Canada Now Owns 40% of Government of Canada Bonds. Fed a Saint in Comparison. Taper on the Table

by Wolf Richter, Wolf Street:

“Makes you wonder if there’s a potential mid-QE-life crisis taking shape in Ottawa”: strategists at the National Bank of Canada in a note that would be hilarious if it weren’t so serious.

The Economics and Strategy shop at the National Bank of Canada, the country’s sixth largest bank, sent a missive to clients today that would be hilarious if it weren’t pointing at such a serious and massive issue: It celebrated “40,” referencing a 40th birthday, but instead of a birthday, it referred to the Bank of Canada’s ballooning holdings of Government of Canada (GoC) bonds, which will hit a stunning 40% of all GoC bonds outstanding this Friday.