The 2008 financial crisis brought about some major initiatives from governments around the world, notably the U.S. and Britain, which basically embarked upon a program to borrow and print their way out of debt while the culprits and fraud artists continued to ply their trades. The result has been a new round of asset bubbles in the stock market and increased manipulations of all sorts by the Wall Street fraudsters. Currencies of the worst offenders (US and UK) are taking it on the chin but almost all currencies are being debased to some degree.
Despite the steady stream of encouraging results that are being given play, many in the world community continue to be alarmed as evidenced by the steadily rising gold price, which is now rising against virtually all currencies. Some of the biggest sellers of gold over the last 10 -20 years include Canada and the UK. It is sad that Canada sold virtually all of its official gold reserves during the last 20 years. From 500 tons in 1989 only 3 tons were left by 2003. So now we have less than Bangladesh, Iraq, Guatemala and Serbia. We sold most of it for around $300 to buy "interest-earning $US". I could say a lot more about this scam but I'll leave it for later.
The chart depicts the gold price in $US over the last 10 years or so. It is self-explanatory. So who, outside of investors and speculators, have been the big buyers? China, Russia, Belarus, Venezuela, India, Poland, Romania are a few.
Who are the biggest holders? The U.S. (if you believe that they haven't sold or loaned out most of it. Even some in the U.S. Congress don't believe it and have been trying to have an audit of Fort Knox without success), France Germany and Italy.
The rising gold price suggests that lots of folks are very worried and puts a lie to the notion that all is under control. I hope the worry turns out to be unwarranted but I personally cannot see how borrowing and printing can solve anything except possibly to temporarily put off the day of reckoning but at the cost of an even more impaired overall situation.
For more commentary on the US$ see my Markets page at: http://goldsilverstocks.info
