the people that invented paper, ink, printing press, paper money, and money-transfer banking, as well as golf
… have no particular reason to trust paper money as they have seen more monies dying than possibly most if not all others
otoh, gold was never 'money' in china, and 'only' considered wealth, that which is stored as opposed to tee-ed for day to day transactions
the monetary tradition for transaction was silver and silver derivatives
am doubtful that there is any inkling of interest in beijing for rmb as reserve currency, as opposed to as markers for china in/out trade for goods and services, and so am doubtful that gold would be linked in any formal sense to rmb, especially since rmb printing is just a stratagem w/i a broader game
last week i attended the global antimony conference in guilin, and china produces 85% of global antimony supply, and what resources in largest concentration outside of china is in some sense controlled by fellowship i know well, out of hong kong and in situ australia.
gold is often found where antimony is mined, and by conversation w/ the china antimony miners, all the gold they coincidentally mine are shipped to shanghai gold exchange and does not leave the sovereign, whereas the antimony they produce, in dribs and drabs finds way to world market even as the tap is progressively tightened, and spigot shut, all as a function of environmental protection, naturally.
the traditional large buyers of antimony, the japanese, are feeling a certain tightness, and the new buyers, the indians are cognizant to the allocation schema already in place, and the old significant buyer housed w/i one pentagon-shaped building has turned about face, from unthinking dishoarding to panicked hoarding of antimony petroleumnews.com , even as the processing technology almost entirely resides w/i the civilization state.
the problem of course is that team china is also hoarding antimony metal-pages.com even as price plunges
the officialdom apparently figures that the state bureau of material is not hoarding antimony along w/ other goodies in order to support 'market' price, and feels such logic is faulty to the point of ridiculous. they say they are stockpiling because the price is too cheap, thus a bargain. the folks do not figure that the hoarded antimony would ever see the light of market day.
to the extent the state bureau of materials may hoard gold and silver, along with all sorts of other goodies, such are totally not accounted for on the pboc ledger because they have nought to do w/ the pboc |
