would implementation of Basal III not tend to lower gold pricing as forced paper contract sale meets no physical resistance?
Last time they tried to implement this change... banks started failing. The last video I linked mentions that risk as Basel III containing the potential for sparking off another financial crisis... but I have seen no one making obvious connections between those things with any proper explanation...
But, they kicked the implementation can down the road, in 2011, as that was the result when it turned out that the gold in the banks vaults... had largely been allocated to multiple owners. As the owners caught wind and started withdrawing gold... the slower ones in figuring it out ended up in conflicts with other owners seeking to take possession of the same gold... The banks inability to meet the conflicting demands by simply providing more gold... is the definition of insolvency...
The banks failed... because their "trust" function as a depository of others gold... was being run as a Ponzi scheme. But, note, no one ever answered the question: since the gold deposited cannot be returned... where did the gold that was deposited go ?
And, that's another answer to the question "why did the banks fail"... only as, under the rules bankers have written to "regulate" themselves... once a bank is "failed"... its affairs get gathered up and tucked into a black hole from which no information ever escapes... So, the failure might be less about financial necessity, and more about the need to protect the secrets... like "where did the gold go".
That trade causing banks to fail lacked the component of a publicly traded contract as a paper intermediary... it was driven by people who had entrusted their physical to storage by the bank... and then found they couldn't get their deposits returned...
But, that's why I asked the question in the prior post... "where did all the paper go" ? Did it all exist in the form of options that simply evaporated at the last options expiry ?
The COMEX issues with "settlement" in cash... or in, when they failed to deliver metals back in 2020, were instead enabled in "delivery" through "said to be substantially similar" contracts in London, but those contracts being for multiply allocated gold or silver... versus "unallocated"... meaning held metal allocated to only one owner at a time... ?
I think the first answer is... we don't actually know the impact of the events of the next few weeks... but might guess that much of the impact... whatever it is... will be forestalled by simply enabling "similar" contracts that shift obligations in Zurich or New York... to "deliver" in London... where the rules don't change until January... And, then, perhaps the can gets kicked down the road, again... when the bankers see what collecting all the risks in one basket actually looks like ?
Macron's proposal to sell the gold to "help Africa" ? LOL!!! What's his background ? He has always been an activist seeking to help Africa... or he has always been a banker and a crony of bankers ? The proposal was one to "sell a national stockpile of gold"... not to "help Africa" but to "bailout out the bankers with a fresh supply of gold"... while using African foreign aid as an excuse to justify enabling removing gold from national stockpiles to put it "into the market" for a purpose... the purpose intended only as required in enabling a sleight of hand... to make the gold available ?
That the suggestion was made... seems to me that it is a suggestion that the system still lacks sufficient gold to meet the banks need... that will be generated by a requirement for an honest accounting ?
Lots of history worth knowing... Most recently, since 2008, much of it tied to the failed trades in the derivatives trading of Deutsche Bank...
The Deutsche Bank gold manipulation scandal
Deutsche Bank’s $10-Billion Scandal
But, a sea change from 2008... when (an increasingly common theme) those in the know who understood what was happening... at GATA... were generally derided as conspiracy theory nuts... to articles with headlines like this one:
Yes, Gold Is Being Manipulated. But To What Extent?
So, today... they don't deny the fraud... they just try to convince you that its not all that important ? |
