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China to defeat US Market Rigging on Gold prices - force a key RV of currencies

OWoN: China will defeat US Market Rigging on Gold prices and use escalated prices to force a key RV of currencies.




China will use gold and gold pricing to force global currency reset


Examiner
1 October 2014

On Sept. 30, statistician and economist Dr. Jim Willie was a guest on the Caravan to Midnight radio show to talk about current financial, economic, and geo-political events. During his three hour interview, Dr. Willie stated that one of the purposes behind China's creation of the new Shanghai gold exchange is to eventually take over global price controls for the monetary metal away from the Comex, and then force a global currency reset by raising the price of gold to its true or actual value.

The way this will come about in the near future according to Dr. Willie, is that China will demand physical delivery on their massive number of gold contracts they currently hold in the U.S. futures market (Comex). And based upon supply details for the Comex over the past two years, America's primary gold exchange no longer settles their contracts through the delivery of physical gold, but instead settles in cash payments or through the hedging of gold using derivatives. Subsequently, once this failure to deliver takes place, then China, through the Shanghai gold exchange, will become the default market for price discovery, and at that point will re-adjust gold to its true value, instantly causing massive chaos in the fiat currency markets and leaving the world little alternative but to implement a complete currency reset.

Dr. Jim Willie: When we get this next global currency reset, it's going to be a complete reset. It apparently will happen predominantly in the gold world. They are going to change the price of gold, and jam it down the U.S.'s throat.

Take a look at the Comex. Since the middle of 2012 or so, they've been forcing gold contracts to settle not in metal, but in cash. And if you don't like it, they'll ban you from the Comex. There's been very little if any settlement of gold futures contracts for two years in gold metal. They're not a gold market anymore, they're a derivative market for gold instruments.

So, in late September... about a week ago, Shanghai started offering a gold and futures contract, and they're settling in metal. And this is rabidly threatening the United States and London. And interestingly, you will notice shortly after this new exchange opened there are now uprisings in Hong Kong.

But this is the final phase... the end game of the next reset. They are going to do this in Shanghai and with their global gold contracts, with the real big event that's going to create mass disruptions in the currency markets. And those disruptions will be from the Asians declaring what the gold price is, and with the Asians delivering and supplying physical metals at that gold price. - Caravan to Midnight, Sept. 30

Several economic analysts, including John Williams, Peter Schiff, Dr. Paul Craig Roberts, and Gerald Celente all gave predictions earlier this year that a global currency reset event was going to take place in 2014, with most believing it would come before the end of summer. However, with the U.S. not on board with the rest of the world, and instead seeking military conflicts to delay the end of the petro-dollar system, both Russia and China have had to accelerate their efforts to create infrastructures that will allow a more fluid transition for global trade once a currency reset actually takes place.

Over the past several weeks, the dollar has grown in strength at the same time the rest of the world's currencies have been collapsing. And because of this, global accumulation of physical gold at depressed levels is running at or near historic highs in an attempt to hedge sovereign currencies that have run out of muster from years of low interest rates and slow money velocities. And as several global financial indicators begin to reach a nexus, and threaten once again to bring the world into another economic crisis, China is recognizing that physical gold is the ultimate catalyst to force an end to the domination of purely fiat finance, and that by revaluing gold to its rightful price will have the effect of both protecting their own currency, and wresting financial control away from the West and the system of dollar hegemony.

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Caravan to Midnight
By Jim Willie
30 September 2014


The United States has suffered a sequence of devastating breakdowns. The housing and mortgage bust in 2006 was the result of a refusal to endure a secular recession after the tech/telecom bust from the 2000 stock insanity. The Lehman targeted failure in 2008 was followed by a period of extreme insolvency in the banking system, whereby the major banks have been legally permitted to falsify their accounting by the FASB. Nothing was therefore fixed, the taboo step being the required step. The Wall Street banks were never liquidated, the primary step toward a solution in a capitalist nation. The control the USGovt. The USA is no longer a capitalist nation, but rather a nation on official abusive corrosive monetary life support and deeply engrained socialism. The Zero Interest Rate Policy begun in 2009 is a stuck policy, ruining financial markets, misallocating assets, and subduing savings, while the heart pump in the USEconomy is on the slow setting. The free money rate will remain at 0% cost forever. The Quantitative Easing policy begun in 2011 is a stuck policy, ruining the bond market, raising the entire global cost structure, forcing capital into retirement, alienating all trade participants, and urging a rejection of the USDollar in its global reserve status.

The global financial crisis cannot logically be resolved. The ZIRP, QE, and $1 trillion annual USGovt deficits guarantee a rallying around the Gold Trade Standard. The movement does not come from the West, led by the United States or England or Western Europe. The movement is led by Russia & China, as emerging leaders of the upstart feisty virtuous BRICS nations that shows the path to monetary integrity. The impact of moving step by step toward the usage of Gold in trade settlement is lost on the West, its analysts, its effete snob criminal bankers, and surely the majority of the stripped population. As trade is settled more in Gold, or in a standby like the Chinese Yuan, the Western banking systems will be compelled to diversify out of the USTreasury Bond. It will not just be the Eastern nations led by the BRICS, but the Western nations plus South Korea, Australia, and others. The next big kick out for the King Dollar throne legs will be the Saudis accepting non-USDollar payment for crude oil. The announced change will be followed by all the OPEC nations accepting any major currency in oil payments. They will gravitate toward the Yuan. The Petro-Dollar is effectively dead here and now, but when the Saudis join Russia in the non-USD sphere of global energy trade, the King Dollar will be flat on its face on stage, its robe askew, having fallen off the throne.

The USDollar has long been accused of being the beneficiary of a military defense. In the 1960 decade the USD was defended by the USEconomy and strong growth. In the 1970 decade it was defended by the fresh arrival of the Petro-Dollar defacto standard in response to the Arab Oil Embargo, with all that Arab surplus recycling. In the 1980 decade it was defended by the colossal USMilitary buildup which delivered laser weapons and transportation off the planet. Star Wars research was a huge but costly success, leading to the breakaway. In the 1990 decade it was defended by the Greenspan Fed and its irrational exuberance, the financial Pied Piper effect in clean industry. In the 2000 decade it was defended by the stock & mortgage asset bubbles, complete with massive fraud, the climax bust event to mark the point of no return for the grotesquely imbalanced USEconomy and global financial structure itself. In the 2010 decade it has been defended by the USMilitary in more clear terms, with a series of wars and central bank thefts in true fascist style. The entire world is in rebellion on both the economic front and monetary front, spreading onto the geopolitical stage. While this entire viewpoint seems simplistic, it is critical to see the big picture. Only then are the numerous events more visible without the propaganda cloud cover and din of war.

Cyprus was an attack on Russian banking channels that used the copper island as a window, even as a site to convert USTBonds to Gold bullion. The bank bail-in was largely a side show, although real. Syria was an attack on Russian Gazprom to halt its tap of Iranian natural gas. It marked a clear pipeline war event. Ukraine was an attack on Russian Gazprom and an intercession to prevent the marriage of Russia with Europe. The union of Europe with Asia in the formal structure of the Eurasian Trade Zone would not only usher in the Gold Standard, but also leave the United States out in the cold. The pipelines form the interdependent embrace. The US is on the verge of becoming horribly isolated as a nation, even a rogue pariah nation. The climax for such recognition will be the USGovt debt default and restructure, however preceded by the introduction of a Scheiss Dollar for domestic usage. The resulting chaos from price inflation, supply shortage, and civil disorder will be disruptive to the highest order. Thus the conversion of the nation’s local and state police forces into military gear makeup is underway. The debt default has been given preview with the suspension of debt limit and the permanence of hyper monetary inflation. Amazingly, the USGovt debt securities have almost no buyers. That inflation of the worst type, unsterilized, is called stimulus means the nation has lost its way, with complete monetary blindness and full inflation dependence. Gold & Silver represent the refuge, with the US being perhaps the last nation to comprehend such high truth. The East is fully committed, having drained London of perhaps over 20,000 metric tons of Gold since 2012. A Global Paradigm Shift is in its late stage. The End Game is becoming visible. The Gold Standard is the viable solution. Mother Nature will not be denied.

link

Jim Willie interview by John B. Wells at Caravan to Midnight can be purchased here

Interview is now posted on You Tube:

28 comments :

  1. This might be a rodeo ride instead of roller-coaster ......, from roller coaster is not that easy to fall off....

    .....what is ahead? Uncertainty principle......

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  2. America/Ob--ass-a prefers war to an RV. If that were not so, we would of had an RV already. A war puts money in the pockets of the elite. Ob-ass-a gets to ride out the the next two years in the sundown with trillions in his pocket on his way to Hawaii. Now, that is given RUSSIA fights a non-atomic war, per previous agreements. And, that is the gamble he and his owners are not certain of. Please say that is not so. Thanks You

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    1. This reasoning seems sound...they have not interest to recover economies.....

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    2. If they can thwart the RV then they can walk with their million only trading on isolated platforms within UsA and countries who are willing to take the liar money.

      But when, not if; the money RV then they will have to account for all of the stolen funds. This is like calling in a note; meaning a full accounting of unaccounted money...Questions like:
      Where did these funds come from? How did you accumulate these funds? Show receipts?

      Thus, on the exchange it will be trillions back into the treasury and $0.00 for them...this is a true reckoning!

      This is why it is so convenient for UsA to be involved in war because this prolongs the inevitable...even changing our monetary system to gold back will yield the same results. They are cornered...the Rats!

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  3. John

    Petrodollar is going to tank hard very soon and with it will fly fiat dollar pegged currencies .... wealth is finite ... so we are talking about reset or wealth adjustment so the phenomena could be described as 'communicated vessels' when the plug in pipes that disconnected those vessels will be unplugged and vessels will be connected and adjusted their masses .... one of which vessels is fiscal and the other is real economy .... for a while we will have swings back and forth till stillness will adjust ..

    ;;;;;;
    Is it a propriety illustration? How hard fiat currencies will be hit?

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    1. Good illustration. It has been said that if we don't change with the flow of everyone else changing UsA will be left in the stone ages and chaos will ensue. The only way that they can keep power is to continue under this fiat (no real value backed currency) system. Time heals all wounds...

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  4. Vlastimil

    America has 2 monetary platforms.
    First its on balance Fiat system via the US Fed which is hopelessly insolvent. Also note the Fed no longer has its Jekyll Island contract. Under Basle 111 Accord Books have to balance and budgets open for Public appraisal of performance.
    But the Agencies and Cabal also have the vast Grey, Black and other screen systems run via FRB New York and their CIA Base in Frankfurt. That generates vast Trillion of Off Balance Sheet money which simply prints to pay for Black operations, its Cosmic Program, the Ultra Programs and to create money to cross balance its Ponzi fraud within the normal Treasury and Fed.
    This is the major battle raging now as Asia and Russia distance themselves and the lies of this totally dysfunctional mind boggling criminal regime faces Global constraint with a Military Agency who will not be denied. The US Agencies are totally out of control. Like its monetary systems. So, the big question, how much longer can this gross monstrosity of a Fraudulent Sperm Whale nation go on posing as a Democracy?

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    1. This fiat money system was designed to fail, along with all of the lies told for centuries. The system is all rigged from the Financial Accounting Standards Board, SEC, who are supposed to enforce fair accounting practices; these are overseen by federal regulators who are employed by the government...so the system is broken and must be revamped...simply. Everyone is in each other's pocket and they turn a blind eye to the fraud and deception going on. Who can trust dealing with such a flawed, one way system...which acts as the government's casino...always cashing in...

      Software developers should also be held accountable for creating loopholes and back doors in the software which allows for illegal operations. Also, with the Sarbanes Oxley Act auditors and accountants are supposed to be independent supposedly...but this isn't happening especially with being employed by the government. These are criminal enterprises operating as legitimate...

      The FRB doesn't have any rights to print money, this is the responsibility of the UsA Treasury...however, since everything is steeped in deception and nothing is as it appears...they have all got to go...there is no integrity in government.

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    2. Find it amazing the JP Morgan can be hacked affecting 76M account holders, but that the cabal's grey, black, green, etc screens and accounts haven't been. Realize we may not have heard about it also. Did those software engineers create loopholes in their programming like they did for the rest of the system?

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    3. P, you know it. The microsoft applications on the trading platforms and the monetary system is fraught with backdoor access for the purpose of siphoning off with advanced algorithms and split second trading. This is pure outright theft. The insurance companies must be dizzy with this new scam with the hacking of accounts and information...you would think that the largest bank in the world have an advanced security system compartmentalized...this way, it creates its own checks and balances where no one person has access to the overall system for security and protection of information.

      This is a major crime!

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    4. Fedup, JP Morgan, no matter how big, just couldn't resist stealing on the scale they were and somebody came along and took advantage of the system in place. All those weekend sweeps across accounts, how much did that net them on a regular basis? With them doing that week in and out, year after year, had to be quite a stash they stole from their customers. Sounds like somebody had enough and hacked in and showing the weakness of the system. That's why it wasn't compartmentalized, they could sweep with minimum effort and trade. Checks and Balances just may be what comes as a result of this as well as an end to sweep trading without their customer's knowledge or consent.

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    5. Agreed P, the grand sweep prior to the system take down and change.

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  5. This comment has been removed by the author.

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    1. Fulford stated they have until October 17 to stay solvent.Technically insolvent as of Oct. 1st. Insanity continues with some glimmer of hope in sight. ~darylluke.

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    2. If the FRB continues to print money we are going to shift into hyperinflation and most working Americans will be priced out of the market. There will only be the very, very rich; and the very very poor...the middle class has already been decimated by these tactics. Fiat dollars just do not have any value and with this quantitative easing; it liquidates the true value of a dollar.

      What use to cost $1.00, now costs $5.00. In Philadelphia to support the school system funding shortfall they just implemented a cigarette tax of $2.00per pack on top of the already over the top price of over $6.00 per pack. And they keep hiding consumer costs as taxes which increase cost, causes unemployment, and basically liquidates the value of the dollar.

      Pull the plug, and pull out the handcuffs...this is a totally engineered collapse. Lawlessness leaves the doors open for theft and deception and poverty.

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  6. Miracle Man (Who Invented Off-Balance-Sheet Financial Engineering that’s still Sinking Companies Today)
    http://wolfstreet.com/2014/09/28/miracle-man-who-invented-off-balance-sheet-financial-engineering-thats-still-sinking-companies-today/

    Ivar Kreuger was an industrial and financial genius who sought complete control over the operations of his global match conglomerate. At the height of his power, Kreuger ran a monopoly that controlled 75% of all global match sales. Kreuger succeeded, in part, by introducing innovations in finance that are still being used today, but which have also been used by companies such as Enron and others to deceive investors. His insatiable desire for complete control and the promises Kreuger made that couldn’t be kept led to the collapse of his company in 1932 and billions of dollars in losses to investors.

    Like a hamster on a wheel, Kreuger had to run faster and faster to maintain the appearance of success.

    Freely manipulating balance sheets was not uncommon in the 1920s and 1930s, but no one had pushed accounting to the creative levels of Ivar Kreuger. In part, it was because of Kreuger’s actions that the SEC, when it was formed a few years later, introduced the concept of generally accepted accounting practices to avoid the future fleecing of investors. This hasn’t prevented the deceit and lies of an Enron or a Bernie Madoff, but it has reduced the number of frauds.

    Kreuger was a flawed genius. The way he ran Kreuger and Toll, the collapse of the company seemed inevitable despite the monopolies and highly profitable businesses which made up his conglomerate.

    (Read entire story at link above)

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  7. Does this imply an imminent VND RV? thnx. ~darylluke.

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    1. DL

      It looks like to me ..... not sure imminent though. I just can the swing that will come since wealth is finite as John keep saying.....gold is the balance created so is silver...

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    2. DL,

      There's a full blood moon lunar eclipse next Wednesday on 8th October. 8 is considered a lucky number in China. Major events are often timed to coincide with significant astronomical alignments.

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  8. Russian President Vladimir Putin has signed a law ratifying a historic treaty, committing Russia to an economic union with Belarus and Kazakhstan. The Eurasian Economic Union will come into effect in January 2015

    ;;;;;;
    What does that signatory really means?????
    :::::::
    ......I am just listening to Jim Willie......

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    1. I guess Germany will get in it, i mean into EEU...Putin had lately number of privet calls with Merkel......

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  9. John

    I listened to Jim Willie ... he made a good point. How did actually UK got reconciled with China for Opium War? And he adds that Germany never had a conflict with China .... and China at a longer run will favour Germany to England just because of history of Opium War.....

    ;;;;;;
    Beside Willie is pretty pissed off.....that makes me to feel kind of OK....

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    1. Vlastimil,

      I also downloaded the interview. Jim always has something new and shocking to disclose: in this case for me the revelation that an average of two children every day "go missing" at Disneyland, to be sacrificed or subjected to Ultra mind-control methods developed with Dr Mengele after the war. He mentioned Britney Spears, Miley Cyrus and Lady Gaga as victims. The evil runs deep - far deeper than I could ever have imagined.

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    2. Vlastimil

      British diplomacy is way too smart to be sidelined by an Opium war. Germany carries 2 World Wars on its history file and tens of millions dead. It will never be forgiven.

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  10. Don’t interfere in our internal affairs: China tells US
    http://www.theeventchronicle.com/news/asia/dont-interfere-internal-affairs-china-tells-us/

    (BRICS Post) China has said no country must interfere in its internal affairs even as the Occupy protestors in Hong Kong refuse to disperse, threatening to occupy government buildings if the current chief executive does not resign.

    “Secretary Kerry mentioned Hong Kong. The Chinese Government has very firmly and clearly stated its position. Hong Kong affairs are China’s internal affairs. All countries should respect China’s sovereignty. And this is also a basic principle governing international relations,” Chinese Foreign Minister Wang Yi said in Washington on Wednesday.

    Wang was meeting US Secretary of State John Kerry to discuss regional and international issues of mutual interest.

    “I believe for any country, for any society, no one will allow those illegal acts that violate public order. That’s the situation in the United States, and that’s the same situation in Hong Kong,” Wang said in an apparent reference to US police clashing with demonstrators at protest rallies in Ferguson, Missouri, where black teenager Michael Brown was shot to death by a white police officer in August.

    “We believe that the Hong Kong Special Administrative Region’s government has the capability to properly handle the current situation in accordance with the law,” Wang added. (more)

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    1. I'm wondering how long it will be before John McCain shows up in Hong Kong to offer his support to the protesters, and Victoria Nuland to hand out Fortune Cookies.

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  11. Why do we try to beat a dead horse?

    Russia does not do it neither China, if they do, we are dead as that dead horse......

    ;;;;;;;;;
    Do what is necessary and USA has to fold to submission by force eventually.....

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  12. So, since China is stopping the rigging of markets and implementing the gold standard...UsA does this:
    http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2014/10/20141004_HK4.jpg

    This picture says it all, and the magnitude of the protest is tremendous; however, if this is another Tienenman Square then the UsA will try to get involved and thwart the plans to stop the market rigging and the gold standard implementation. It doesn't take a rocket scientist to see.
    http://www.ascensionwithearth.com/2014/10/violence-erupts-as-hong-kongs-leader.html#more

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