Sunday, 26 October 2014

The China Money Report: Gold At $7,000 Article Goes Viral In Chinese Media.

  

  The timing of this article is very interesting: we have the upcoming Swiss Gold Referendum, China buys record amount of Gold and there are more voices about US Dollar losing its reserve currency status every day. Nobody knows the future, but it is important to note: "... that most of Chinese economist think that the price of gold should be $ 2,400 / once."

Koos Jansen: The Chinese Precious Metals Market Is On Fire.







The China Money Report:


Dan Collins 
CMR 
“Gold going to $7,000″, an article today in the Chinese media is
going viral and one of the most viewed articles in the financial
press. The article references American Jim Rickards and his concept
of comparing inflation-adjusted gold prices. Most Chinese economists
think that the price of gold should be approximately $ 2,400 / ounce,
instead of the current $ 1,235.
The article references estimates by Jim Rickard’s that if Central banks
had to to use gold to support its currency, then the price of gold will
go to $ 7,000/ oz. That only includes the printing that has been done
already, not the continuous printing of fiat currency that continues
unabated by Central banks all over the world.
Todays volatile financial markets are a warning that todays assets have
no actual real underpinning. There is no insurance. Gold stands as the
bulwark.
Although the U.S. Dollar is the reserve currency of the world today,
gold is the key to the new millennium of global trade balances.
The Dollar is losing its reserve status, holdings by Central Banks have
been going down for decades. Meanwhile, Chinese RMB holdings are
skyrocketing across the globe. The U.S. has been running trade deficits
for 30 years, when the Dollars start to go back onshore their will be a
global puke of the financial system and inflation levels the U.S. has not
seen in its entire history.
Are you ready? China Money Report."