It’s gotten to the point at which, if Obama got on t.v. and stated that the sun came up in the east today, I would have to search the internet to make sure there was not any evidence that it didn’t. But of course, the majority of the U.S. population is now nothing more than what I’ll call “television zombies.” The Government is well aware that if they plant anything on CNN and Fox News or in the NY Times and Washington Post that most Americans will believe it.
On Monday this week, reports started surfacing that Russia was selling gold. First Soc Gen and then JP Morgan. The reports cited “sources in Russia.” When I read these reports I almost fell of my chair with laughter. This is one of those examples in which American t.v. zombies will believe anything. This is a “tell ’em 2 plus 2 equals 1 and I bet they swallow it hook, line and sinker” report.
To begin with, Russia has no need to sell gold. In fact, Russia added 150 tonnes of gold to its Central Bank holdings in August, September and October. It didn’t make any sense that Russia would then turn around and sell gold. Why? Russia runs a current account surplus – LINK. It has cash on its balance sheet. Something the U.S. can only dream about, as the U.S. Government has to issue debt every hour to fund itself. The last time the U.S. sniffed a positive balance of payments was in the 1980’s.
Second, Russia just got through paying down a big chunk of sovereign debt during Q3. It’s current Debt/GDP ratio is 10%. The U.S. Treasury Debt to GDP is over 100%. Note: this does not include direct obligations like the debt of Fannie Mae and Freddie Mac now guaranteed by the U.S. Government. The last time the U.S. had Debt/GDP of 10? I don’t know, the Fed records only go back 1966 and the lowest that ratio got between then and now was about 30% – LINK.
The story planted in the media by the U.S. elitists just did not add up. And then Russia released its November Central Bank balance sheet which revealed that it had bought another 600,000 ozs/17 tonnes of gold in November (source: goldchartsrus.com):
Well, so much for the lie that Russia was selling gold to raise capital. In fact, if Russia had sourced the gold it bought in November from the Comex – assuming the Comex reports, which are sourced from banks which lie, are valid – the purchase would have wiped out 78% of the gold which is listed as being available for delivery. Russia did dump $10 billion in Treasuries in October. Yes, Russia is selling U.S. Government bonds, not gold.
As the U.S. Government and Wall Street become increasingly desperate to hold onto their power – power which enables them to suck all the wealth out of our system – their lies and propaganda become increasingly blatant and absurd. Of course, they can get away with it because they know that American zombies will believe it as long as CNN, Fox, Bloomberg or CNBC reported it.