Clocks Ticking on Gold Backed Currency "Reset" ?
Lots of things pointing that way... as has been true for over a decade as Basel III twists in the wind, not yet really being implemented... three times delayed... currently set for full implementation in 2022...
But, make no mistake, the impacts are HUGELY DEFLATIONARY... it will work to limit banks risk taking... but it limits banks function along with banks risks...
No one comments much... that gold under Basel II was a non-entity... and under Basel III it is promoted to a tier one asset: Banks that own more gold will be able to take more and bigger risks... and the higher the price of gold, the more golden the banks will be...
So, the gold market manipulation is about enabling accumulation... as China and Russia are... and as the bankers who diss YOU for valuing and owning gold... are doing behind your back...
And then, one day, there will be a price reset... and suddenly the banks financial problems evaporate with the sudden increase in the value of the gold they hold...
The suppression, now, operates just like the forced fixed price used to act as a control... In 1971 the fixed price of gold set at $45 per ounce, was "reset" when Nixon "closed the gold window" and broke the fixed price link to the dollar. It soared by 20 times... to $850 an ounce.
Today, the suppression is by market manipulation... but with essentially the same effect... only, since 1971 the creation of un-backed paper and digital currency has only accelerated... and by an order of magnitude.
The same "reset" today as 1971 would require $28,000 per ounce... while expanding the price of gold to make it possible to back currency that has been created with a 100% gold exchange... would require pricing gold at $50,000 to $80,000 per ounce...
Critically, Basel III aligns the systems in a way that makes doing that make sense... for the banks.
When will the suppression end ? Follow the GATA lawsuits ? Watch the DOJ prosecutions ?
And, the current market "difficulties" obviously set the stage...
But, it won't happen... until the trigger is pulled... by the cabal of bankers acting in self interest. |
