“... I will tell you something else, both of these countries are aware of everything that GATA has alleged for the past 14 years. I went to a conference in the Yukon back in 2005, and one of the guys attending was Putin’s right hand man, Andrey Bykov. Bykov was fascinated at what was being presented. Not surprisingly, the gold price went up about 60% over the next six months. I believe it was the Russians buying, and we are continuing to see them acquiring gold.
The Russians are one of the largest buyers of central bank gold, and they are aware of the true nature of the gold market. Mr. Putin and his associates are saying that if the US dollar gets into a difficult position, those countries which have a lot of gold to back their currencies are going to be in an infinitely better position than those that don’t. ...
Today acclaimed money manager Stephen Leeb told King World News the reason Germany is only getting small portions of their gold sent to them over the years is because the gold is not at the Fed. Leeb also believes the United States is now running out of physical gold to sell in their price suppression scheme. Here is what Leeb had to say: “There are two main parties engaged in a battle for economic and monetary supremacy in the world. This is China vs the United States. Interestingly, at least for a period of time, both countries don’t want to see the price of gold take off.
"The Chinese don’t want to see the price of gold take off because they still want to buy a lot of it. The Chinese took in at least 1,000 tons of gold last year, and maybe even more. This total represents Hong Kong imports plus their own production.
"This year the Chinese are really going to play the game much more aggressively with these Shanghai markets that are going to have international players actively trading in them. They will also trade derivatives, and the Chinese will accumulate gold through their new ETF. ..."
Our pal, John Butler, has alerted us to this very interesting new report from the OMFIF (Official Monetary and Financial Institutions Forum). The report discusses the likelihood/probability that, one day soon, the world will be offered an additional "reserve currency", the Chinese renminbi.
This new report covers some material that is near and dear to our hearts here in Turdville. However, since it was compiled for the OMFIF by the World Gold Council, some of its conclusions are debatable. Namely ...
Tianjin China Mining Conference highlights overseas acquisitions rush
A recent mining industry conference held in the northern Chinese coastal city of Tianjin has highlighted the concerted effort amongst the country's miners to snap up gold mines abroad.
Caixin reports that conversations amongst gold mining executives at the recent China Mining Conference were abuzz with the topic of foreign acquisitions, with industry insiders anticipating a sustained rise in bullion prices.
Spearheading the overseas acquisitions drive is Fujian-based gold mining giant Zijin (SEHK:2899), which made its initial foray abroad eight years ago.
According to Zijin's president for international affairs, Li Zhilin, the company currently controls six mines in Russia, Mongolia, Tajikistan and Australia. ...
South Africa has become the third largest supplier of iron ore to China as rival exporter India struggles to overcome troubles in its mining sector.
Business Day Live reports that exports of iron ore from South Africa to China leapt a stunning 12% to 40.6 million tonnes in 2012 compared to 2011, while Indian exports plunged nearly 55% to 33 million tonnes.
India implemented a strict crackdown on illegal operations in its mining sector last year, stanching overseas sales of iron ore to the immense benefit of international competitors. ...
No surprise here. China has been on this course for years now.
A gold bar sold by China's state-controlled China National Gold Group showed signs of rust.
BEIJING(BullionStreet): A gold bar sold by China's state-controlled China National Gold Group showed signs of rusting, reports Beijing Times.
According to the tabloid, In October 2010, a man identified only by his surname, Shen, purchased what he believed to be pure gold product manufactured by China National Gold from a Beijing department store for 14,900 yuan ($2,400).
The bar was stored in a bank safe until Dec. 18, when Shen noticed that it had developed red spots and what appeared to be rust corrosion on the base. As the most non-reactive of all metals, gold should never rust unless it has been mixed with other metals or has been contaminated with additives.
On Dec. 24, Shen took the gold back to the store and was offered a refund once staff verified that it was the same item he originally purchased.
Shen refused, saying that all he wanted was an explanation. ...
Analysts said the world's second largest economy needs to add to its gold reserves to ensure national economic and financial safety, promote yuan globalization and as a hedge against foreign- reserve risks.
BEIJING(BullionStreet): As part of it's attempt to increase share of gold in foreign exchange reserves, China have set up a new unit called Co-Financing office.
CHINA'S top currency regulator State Administration of Foreign Exchange, (SAFE) said the new office would supervise entrusted loans of country's foreign currency reserves that provide credit for Chinese businesses investing overseas.
The loans will be provided in line with market principles, the regulator said. ...
The Red Dragon continues to seek ways to add to its horde.