The Golden Dragon Roars To Life


It’s never been more clear that China has begun to make it’s move as the reserve currency for the world. For some time now many have speculated that they intend to make the yuan or renminbi the worlds reserve currency, even while denying it just recently when President Hu visited the White House. However, as your momma used to say to you, actions speak louder than words.

As recently as 2007 China was a net exporter of Gold. They were producing more Gold than they were consuming and they were selling the excesses off on the open market. However, the next year they became a net importer of Gold, albeit a very small amount. In 2010 China imported just over 200 metric tonnes of Gold, a big change from 2007.

In 2011 they have imported 200 metric tonnes in each of the first two months! The first indication that rumors are true about positioning itself as a world reserve currency. Backing the yuan or renminbi with Gold is a sure way to allow themselves to be taken seriously by the rest of the world. When a huge downturn comes about, nations using a fiat based currency system will be looking for stability and no currency is more stable then one backed my Gold, as the dollar used to be.


They have some ground to gain on the US as it is reported, but unaudited, that the US has 8,133.5 metric tonnes of Gold and even some of the nations in Europe that are in trouble have over 2,400 tonnes of Gold. China is just sixth in the world with 1,054 metric tonnes, so yes they have a way to go.


Why now? Why 2011? Because, with all the uncertainty in global economics it appears the time is right to begin positioning. More than a dozen countries, including the US, are on the brink of default and it will only take a few more events to push them over the edge. When the collapses begin, it will be a domino effect and even countries with fairly stable economies will fall prey. China to the rescue.


Many experts agree that a big change is coming and with the Fed announcing the absolute end to QE2 in June, most feel that the economy will not be able to sustain itself and that the Fed’s assumptions are wrong. The result will be a collapse that QE3 will be unable to reverse.


Robert Zoellick, president of the World Bank recently spoke of the possibility of a return to some form of gold standard. To further their position and "Spread the Yuan around", they have just this week announced that they will allow cross border trades in the yuan this year.

The People’s Bank of China said that it was “part of plans to grow the currency’s international role” and “would respond to overseas demand for the yuan to be used as a reserve currency.” No smoke signals in that statement.


Even the Chinese people are getting in on the Gold action with reports of Gold bars sold to individuals up 70% over last year at Beijing’s largest jewelry store . And reports at the Malls in are showing massive increases in the purchases of gold bars and jewelry.


The Golden Dragon finally roars to life. It’s going to be a different world soon and I’m not sure we here in the US are going to like it.


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11 Comments Leave a comment

Gordo, do you think Obama could pull an FDR and confiscate Americans' gold? - nt

Mike gamecock DeVine (Diary) Sunday, March 6th at 11:01AM EST (link)

Mike DeVine’s Examiner.com, Charlotte Observer and The Minority Report columns
“One man with courage makes a majority.” – Andrew Jackson

Pried from my cold, dead hands only after they've pried my .38 from my cold, dead hands. nt

Melody Warbington (rwm52) (Diary) Monday, March 7th at 1:29AM EST (link)

The woman saith unto him, I know that Messiah cometh (he that is called Christ): when he is come, he will declare unto us all things. (John 4:25)

 
 

I do GC, I certainly do

GordonTaylor (Diary) Sunday, March 6th at 12:16PM EST (link)

In fact in the past few days I wrote this article about it

http://silveradvisor.blogspot.com/2011/03/will-government-begin-to-confiscate.html

During the 30′s when FDR took over they not only confiscated Gold, but livestock, cotton..anything that could build wealth.

My partners grandfather had the Army come in and cull his cattle herd by 50%. Some the took the rest they shot and put guards on it until it began to rot so as to make the meat useless. His great uncle had 65,000 acres in cotton and they came in and burned half of it.

What most people fail to realize is not only did the FDR administration confiscate Gold, they banned the private ownership of it until Nixon took us off of the Gold standard. One could own Gold, they just could not hold the physical metal, just the paper that said they owned it.

I did not know about the livestock or the cotton

heartlander (Diary) Monday, March 7th at 1:15AM EST (link)

THAT IS CRIMINAL.

I want to hear other people’s views on a moral issue: If one’s livelihood is farmer or rancher, and someone — even if it were the government — were to come and try to steal those things on which your family depends for its livelihood, would you or would you not be justified in defending that property with armed force?

Just curious to hear what people think.

“The still, small voice of God in every human soul is the greatest ally of the pro-life cause, and why it will ultimately prevail.”
–Donald R. McClarey

 

Got some proof? nt

Flagstaff (Diary) Monday, March 7th at 1:34AM EST (link)

“The press is so powerful in its image-making role that it can make a criminal look like he’s the victim and make the victim look like he’s the criminal. If you aren’t careful, the newspapers will have you hating the people who are being oppressed and loving the people who are doing the oppressing.”– Malcolm X, Audubon Ballroom, December 13, 1964

Only what my partner tells me, and he ain't a liar.

GordonTaylor (Diary) Tuesday, March 8th at 12:59AM EST (link)

I'm not accusing him

Flagstaff (Diary) Tuesday, March 8th at 1:16PM EST (link)

or you of lying.

It’s just that family stories from 80 years ago can morph into something other than what they started as.

This story alleges something that you should be able to verify from public records. I know it’s just an anecdote you’re repeating, but if you want it to have some weight, it has to be substantiated, otherwise it sounds pretty much unbelievable or exaggerated. Was it a general policy or did it only happen to one rancher or family? What was the purpose? Why have we never heard of it before?

Those are the kind of questions that come to mind.

“The press is so powerful in its image-making role that it can make a criminal look like he’s the victim and make the victim look like he’s the criminal. If you aren’t careful, the newspapers will have you hating the people who are being oppressed and loving the people who are doing the oppressing.”– Malcolm X, Audubon Ballroom, December 13, 1964

 
 
 

Your statement is a little

powertothepeople (Diary) Monday, March 7th at 2:05AM EST (link)

on the dishonest side. During the FDR years, crops and livestock were not seized/killed in order to bring wealth to a party or to the government, there is a little more to it.

Roosevelt created a regulation group called the AAA which is not to be confused with the auto club. While eventually deemed unconstitutional, their intent was to regulate the cost of food and farmers were paid to destroy a portion of their crop.

Many rural people lived in severe poverty, especially in the South. Major programs addressed to their needs included the Resettlement Administration (RA), the Rural Electrification Administration (REA), rural welfare projects sponsored by the WPA, NYA, Forest Service and CCC, including school lunches, building new schools, opening roads in remote areas, reforestation, and purchase of marginal lands to enlarge national forests. In 1933, the Administration launched the Tennessee Valley Authority, a project involving dam construction planning on an unprecedented scale in order to curb flooding, generate electricity, and modernize the very poor farms in the Tennessee Valley region of the Southern United States.

Roosevelt was keenly interested in farm issues and believed that true prosperity would not return until farming was prosperous. Many different programs were directed at farmers. The first 100 days produced the Farm Security Act to raise farm incomes by raising the prices farmers received, which was achieved by reducing total farm output. The Agricultural Adjustment Act created the Agricultural Adjustment Administration (AAA) in May 1933. The act reflected the demands of leaders of major farm organizations, especially the Farm Bureau, and reflected debates among Roosevelt’s farm advisers such as Secretary of Agriculture Henry A. Wallace, M.L. Wilson, Rexford Tugwell, and George Peek.

The aim of the AAA was to raise prices for commodities through artificial scarcity. The AAA used a system of “domestic allotments”, setting total output of corn, cotton, dairy products, hogs, rice, tobacco, and wheat. The farmers themselves had a voice in the process of using government to benefit their incomes. The AAA paid land owners subsidies for leaving some of their land idle with funds provided by a new tax on food processing. The goal was to force up farm prices to the point of “parity”, an index based on 1910–1914 prices. To meet 1933 goals, 10 million acres of growing cotton was plowed up, bountiful crops were left to rot, and six million baby pigs were killed and discarded. The idea was the less produced, the higher the wholesale price and the higher income to the farmer. Farm incomes increased significantly in the first three years of the New Deal, as prices for commodities rose. Food prices remained well below 1929 levels. A Gallup Poll printed in the Washington Post revealed that a majority of the American public opposed the AAA.

So not sure what you grandfather told you, but no one just came in and wiped out 50% of his livestock. If it happened, it happened because he, like almost every other farmer during those times, agreed to be paid for reducing his product. He may not have liked it, may not have agreed with what they were doing, but he would have agreed because of the situation concerning the economy, he would have agreed because of his need to sell, and maybe agreed due to pressure, but he agreed. And he was paid to have his cattle cut in numbers and he was most likely paid to produce useless crops once the AAA was ruled unconstitutional.

We have enough mistakes to look back on during those years without twisting what actually happened. And we have plenty of mistakes to look at now without twisting what is going on now or putting blame where no blame belongs.

FDR was a the forefather of modern American socialism. His policies were dangerous and gave the government far reaching power. He did order Gold and Silver to be turned in or the person would face jail and they would seize it anyways, but you are stretching the truth when it comes to your grandfathers farm and all the other farms in the country. Farmers wanted what FDR brought, they supported it, and few spoke out against it. There was no guarantee they would sell what they had as people were broke, they were constantly complaining they were being forced to sell their product cheap, and then FDR swooped in and offered free money and they ate it up. Now they got paid just to kill their livestock or plow their fields under, they were guaranteed money and a higher price for their remaining crops/livestock, and then they were given free money to grow useless crops which many did not even do even after accepting the money. So whatever story you heard was revisionist history or a guilty conscience not yet willing to admit the crime that was perpetrated against the people of this country by FDR and his very supporting farmers.

obama

@powertothepeople

GordonTaylor (Diary) Tuesday, March 8th at 1:05AM EST (link)

All I can tell you is what my partners Grandfather told him. He was an old German and steadfast in his ways and Jerry talked to him a length about it when he was still alive.

In NO WAY did he ask anyone to do anything with his heard. Nor did is Grandfathers brother ask them to burn his cotton.

And to be fair, while FDR did confiscate gold they didn’t take it all and what they took was from large holders. Basically, they paid them 4 bucks an ounce for it and when they had a large percentage they artificially created a price.

With all due respect

powertothepeople (Diary) Tuesday, March 8th at 1:20AM EST (link)

to Jerry, his grandfather, his great Uncle, and all memories involved, if he had his crops cut in half and a portion of his livestock killed, he had to have agreed to it, been paid for it, and signed the necessary paperwork. Now, considering you stated he had 65000 acres, I would assume he would have been big enough to be considered for the FDR project, although not sure since I do not know his yield or what constituted “large” farms back then. Same applies to whichever one was the rancher.

But the tell in this whole thing is that you mentioned cattle being killed. Whoever owned that farm would need to be awful big during those days since it was not cattle they targeted, it was pigs. They only wiped out about a 1/4 of a million cattle and tended to target pregnant ones. It was pork that they went after more so than the beef.

But again, whatever happened with your partners family, somewhere along the line memories must have become fuzzy and stories became more than they started out as. The fact about what occurred is not hidden, it is a known fact. Farmers wanted what FDR offered, they supported it, and they agreed to it. No one was forced to participate and no one had crops or livestock killed without first agreeing to it. Most of the farmer saw no wrong in it since their crops or livestock would have been “destroyed’ anyway in order to be used. They simply received a guaranteed payment from the government rather than a maybe payment on the market. And they made more money as well.

Just so you and your partner know, every farmer who had cattle/pigs/cotton killed or destroyed during those times are on the books as well as how much they were paid along with how much was destroyed. It would take a little research, but it is findable. I only know this because my grandfather owned farms in Cerro Gordo IL and Patton MO as well as a ranch in Boyd Texas. He used to tell me the stories about those years, the struggles of the great depression, and some of the tactics used by the government/FDR. His wife, to the day she died, was a hoarder of food due to what she went through during those days. When she died and we went into her basement, the magnitude of food stunned us all. That and neither one of them ever threw anything away that they may “use” again someday.

obama

 
 
 
 

Thanks Gordon Taylor

Vegas_Rick (Diary) Sunday, March 6th at 2:02PM EST (link)

I had no clue. Something else we need to keep an eagle eye on.

“God is great, beer is good and people are crazy.”- Billy Currington

“Nothing in this world can take the place of persistence. Talent will not; nothing is more common than unsuccessful people with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent. The slogan ‘press on’ has solved and always will solve the problems of the human race.” Calvin Coolidge.