re <<There seems to be a steel ceiling at $1000; when breached decisively, POG should do very well>>
just in in-tray
that started just so ...
Past $2 trillion and still counting… That was the message when the People’s Bank of China released data recently showing that the country’s foreign reserves had hit $2.13 trillion at the end of June.
The real figure is actually a bit higher. Another $300 billion or so has been filtered away from the reserves proper, into the state-owned banks or as seed money for Beijing’s sovereign wealth fund, the China Investment Corporation (CIC).
[edit by tj: the fellows and fellowettes at the tallying table left out money rock hong kong (200 bil), freedom mountain kowloon, fantasy isles macau (20 bil), and off shoot taiwan (300 bil) soon enough to be fully embraced.]
Still, a couple of trillion goes a long way. Enough to bid on all the land and property in New York City, Los Angeles and Boston, according to the calculations of Eswar Prasad and Isaac Sorkin at the Brookings Institution [edit by tj: the supposed worth of nyc, la and boston will not hold as the detroit discount takes grip]. Alternatively, it would have bought you three quarters of Nasdaq, or 25% of the S&P 500, as at the end of June.
China’s stock of foreign reserves is now the world’s largest, and a little too reserved? more than double that of second placed Japan [edit by tj: i am guessing that china reserve could flatten out at 5-8 x japan even if china should expedite spending by 2x, a pace limited by a whole lot of issues]. And there is little sign of a slower rate of growth. The pace seems unrelenting: $81 million an hour, $1.95 billion a day, and $13.7 billion a week in the most recent quarter.
recommendation: getgold, pileplatinum, seizesilver, carrycopper, and front run on hk real estate and kowloon real estate shares ...
admonition: last one out of cash is out of luck, but if exchanged cash for wrong assets, financial death, and if right asset wrong location, economic ruination
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