The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Friday, February 3, 2017

Gold demand soaring to four year highs across the world as central banks and individuals pile into metals

There were a number of different stories published this week that validate why gold demand is not only increasing, but hitting four year highs as currency and economic fears push both central banks and individuals into the precious metals.


China's demand for gold can't be met
A couple of weeks ago, I was in Toronto meeting with gold industry experts. One night, I spoke with a man who has been in the gold business for over 45 years.
For over four decades, this man has bought and sold gold. He has bought and sold gold mining shares. He has bought and sold gold mines. During this time, he has also worked with the Chinese government, Chinese industry and Chinese investors. He knows a few things about gold, and about Chinese gold. 
Here’s what he said to me: “I’ve seen estimates out of China that over 375 million Chinese want to buy gold. But they can’t. They live in the remote interior of the country, not the more open, coastal cities. These Chinese have little or no access to gold markets. And even if they did have access, there’s not enough gold.” 
The man explained that any Chinese with means and access is buying gold. He told me that just the Shanghai Gold Exchange has over 10 million customers. 10 million separate, account-holding customers. Just for gold. - Daily Reckoning
Gold demand rose 2% in 2016 according to World Gold Council
The Brexit vote and the election of Donald Trump drove global demand for gold to a four-year high in 2016, as pension funds and other institutional investors piled into the precious metal while higher prices put consumers off jewellery purchases. 
Global gold demand rose 2% last year to reach 4,309 tonnes, the highest level since 2013, according to a report from the World Gold Council, which represents gold miners. - The Guardian
Gold price continues to climb following inaction by the Fed
Gold hit an 11-week high on Thursday after the U.S. Fed eral Reserve gave no clear signal on the likelihood of a March interest rate increase in its latest statement, prompting another drop in the dollar. 
The U.S. currency slipped to a 12-week low against a basket of currencies and an eight-week low versus the euro after the U.S. central bank gave an upbeat view on the economy, but no hint of accelerating rate hikes. Spot gold struck its highest level since Nov. 17 at $1,225.30 an ounce, and was up 0.9% at $1,219.96. - Fortune
Gold backed bank deposit accounts in Turkey skyrocket
The price of gold, considered a safe haven in investments, has broken records one after another since last year, while the number of precious metal deposit accounts kept in banks are on a rise in parallel with President Recep Tayyip Erdoğan's call on people to convert their foreign exchange savings into gold or Turkish lira in an attempt to help boost the value of the Turkish lira. Having broken successive records since last year, gold became one of the favorite investment instruments in 2016 again. 
According to Banking Regulation and Supervision Agency (BDDK) data, gold deposit accounts in banks soared to TL 16.964 billion ($4.54 billion) at the end of 2016 from TL 10.624 billion at the end of 2015. As far as the last one year's transactions are concerned, this figure corresponds to 51.6 tons of gold, based on the average gold price of TL 122 per gram. 
A total of TL 15.922 billion worth of gold deposit accounts belonged to natural entities, while TL 1.042 billion worth of them belonged to commercial institutions and others in 2016. - Daily Sabah
As more and more individuals, pension funds, hedge funds, and investors come to the realization that historic asset classes like bonds, currencies, and real estate no longer provide sufficient yield for the risk involved, it would only take 1% of the money currently dedicated to these assets to completely wipe out gold and silver supplies, and create the environment where gold no longer has a definable value since it will become priceless.


Long time U.S. vassal state Japan to bypass dollar and SWIFT to transact using China's CIPS system in inter-bank settlement

Ever since China began to duplicate Western financial institutions starting in 2013, more and more nations have begun matriculating towards the East, and away from dollar hegemony.  And one of the most important of these new infrastructures is the Chinese CIPS platforms which functions for the RMB the same way SWIFT does for the dollar.

Yet unlike the way SWIFT charges for swaps when nations have to use the dollar as a middleman since it still reigns as the world's singular reserve currency, CIPS allows for much lower transaction fees and the convenience of bypassing the U.S. currency through direct bi-lateral currency settlement.

Hiroshima Bank and 13 other Japanese regional banks will connect to an interbank payment network that enables direct yuan wiring to mainland China -- a move that will lower transaction fees and boost convenience for customers. 
Joining the China International Payments System will reduce fees and processing days. Juroku Bank and Joyo Bank are also among the Japanese banks taking advantage of the system introduced by the People's Bank of China. They will be connected one by one after the end of the Chinese New Year holidays via the Bank of Tokyo Mitsubishi UFJ, which connected to the system last year. 
Previously, payments to mainland China had to be processed by clearing banks such as those in Hong Kong. CIPS can cut costs by several dollars (10 yuan equals $1.45) per transaction. Payments can be completed on the same day if certain conditions are met. - Asia.Nikkei

As the world continues to reject the dollar and the old financial model of a singular reserve currency, more countries are seeing the benefits of transacting in a bi-lateral environment.  And once enough of these nations decides to follow this new economic model being laid out from Beijing, and create the critical mass needed to bypass the dollar completely, then the reserve currency will simply fade away via de facto consent, and force change onto the Western institutions that have run the global financial system for decades.

Thursday, February 2, 2017

With Donald Trump now in Office, Congress finally gets the courage to put the fear of God into the Fed, and Chairman Yellen

There is an interesting dichotomy that is now occurring since the Republican Party took over control of both houses of Congress, and the office of the President... and that is a new focus on the Federal Reserve and the illegal activities they have been allowed to conduct for eight years under Barack Obama.

Image result for hang central bankers

A number of years ago when Ben Bernanke was still the Chairman of the Fed, Democratic Senator Chuck Schumer gave the central bank carte blanche to do anything they saw fit to try to fix the economy.  And this distribution of both monetary and fiscal policies that were the responsibility of the Congress assured that the Fed would never have any real oversight to do as they saw fit... including the re-distribution of the wealth of the Middle Class into the hands of the 1%.

Image result for chuck schumer banks lobby
It appears that Democrats may be taking a more aggressive stand in urging the Fed to do more easing. 
After 5-minute discussion of the economy, and the ongoing disappointing recovery, Chuck Schumer ended his query of Ben Bernanke at the Senate today with this memorable exchange. 
His conclusion: “Get to work, Mr. Chairman.” — CNBC
But this has all changed now that Donald Trump has taken over the White House, and it appears his willingness to call out the Fed, Chairman Yellen, and even Vice-Chairman Stanley Fischer is leading other Republicans to man up and publicly put the central bank on notice that their days of non-transparent oversight may be over.
In what may be a harbinger of major headaches to come for the Fed, a recent letter (Jan. 31) penned by Republican representative  Patrick McHenry, Vice Chairman of the Financial Services Committee, has lashed out at Janet Yellen, telling the Fed chair in no uncertain terms that "despite the clear message delivered by President Donald Trump in prioritizing America's interest in international negotiations, it appears that the Federal Reserve continues negotiating international regulatory standards for financial institutions among global bureaucrats in foreign lands without transparency, accountability, or the authority to do so." 
His assessment of this ongoing activity by the Fed: "This is unacceptable."
McHenry's emphasis is on "international forums" such as the Financial Stability Board, the Basel Committee on Banking and Supervision, and the International Association of Insurance Supervisors, and he notes that "continued participation" in these forums must be "predicated on achieving objectives set by the new Administration", something which will "likely require a comprehensive review of past agreements that unfairly penalized the American financial system in areas as varied as bank capital, insurance, derivatives, systemic risk, and asset management." 
He then adds that "the secretive structures of these international forums must also be reevaluated" because when the deals were negotiated, "international standards were turned into domestic regulations that forced American firms of various sizes to substantially raise their capital requirements, leading to slower economic growth here in America." 
Here one may recall how the Fed secretly provided tens of billions in under the table "rescue loans" to foreign banks doing business in the US (and others) during the peak days of the 2008 financial crisis. 
His conclusion, however, is what must worry the Fed the most, because  as McHenry notes, "it is incumbent upon all regulators to support the U.S. economy, and scrutinize international agreements that are killing American jobs. Accordingly, the Federal Reserve must cease all attempts to negotiate binding standards burdening American business until President Trump has had an opportunity to nominate and appoint officials that prioritize America's best interests." 
The implication: the current Fed officials do not prioritze America's best interests, and are therefore expendable. - Zerohedge
As the MAGA movement begins to invade all aspects of the government and society, those who are now on board the Trump Train to try to Make America Great Again are realizing that the biggest swamp that needs to be drained is located just down the road on Eccles Street.
McHenry Letter to Yellen by zerohedge on Scribd

Entering into February of 2017, gold following same trek upward as it did in first two months of 2016

Back in January we published an article showing how the gold price was following the same path here in 2017 that it did last year following rate hikes made by the central bank during each of the past two Decembers.

And as we enter into February, that trend appears to be continuing like clockwork with the gold price having risen 3% and 5% respectively in each of the past two Januaries.

January 2016


January 2017


The one difference however between January of 2016 and the same month in 2017 is that the price started off the month $80 higher this year, and ended $100 greater than what it closed out at on January 31 of last year.

As we begin the month of February, expectations of this trend continuing are just as prevalent as they were last year when the price made even greater moves than they did in January.  In fact, at the end of the second month of 2016 gold had climbed another $110, or 9% on top of the 3% rise the month before, and set the stage for gold climbing to its highest level since 2011.

February 2016


 Projecting this same percentage gain for February of 2016 forward into 2017, at the end of this month we could expect to see a gold price of around $1326, or a gain of $109 above what it started out the month.

Wednesday, February 1, 2017

After confiscating much of the nation's wealth, India's government wants to give it back to the people as welfare

After implementing a sudden monetary policy that wiped out a great deal of the people's wealth and set back the economy several years, India's Prime Minister now is looking at trying to save his election chances by offering up free money to the people under the guise of a Universal Basic Income.

In late 2016, Modi declared the two largest currency denominations no longer legal tender overnight, and gave the 1.3 billion inhabitants approximately a month to turn their currency into the banks.  In response to this, the Indian people rebelled with many of them trying to exchange their currency for gold and gold jewelry rather than deposit them in the banking system that less than 40% of the population actually trusts.

Three months later, and with support falling everyday for the Prime Minister, the government is now rushing to implement a new policy which would accelerate the digitization of their monetary system, while also attempting to be benevolent by introducing free monthly welfare checks to large portions of the population.

Image result for brother can you spare a rupee
Prime Minister Narendra Modi shocked his country and the world in November 2016 by announcing that he would fight corruption by rendering 86 percent of the country's currency worthless. The decision wreaked havoc with India's economy for several months, but Subramanian believes that the worst is over, now that plans for a remonetisation are in place. 
"Briefly, the costs include a contraction in cash money supply and subsequent, albeit temporary, slowdown in GDP growth; and benefits include increased digitalization, greater tax compliance and a reduction in real estate prices, which could increase long-run tax revenue collections and GDP growth," the report reads. 
The report also lobbied for a Universal Basic Income (UBI) program to replace India's innumerable social-welfare programs. India has over a thousand such measures, but UBI could replace them all in a system virtually impossible to exploit.  
A UBI in India would provide every citizen, regardless of net worth, a monthly payment with no strings attached. It can be used to provide for basic needs, the theory being that it will be enough to prevent poverty, giving recipients the ability to seek education and recover from economic hardship. - Sputnik News

Tuesday, January 31, 2017

Gold soars up $20 and dollar falls as President Trump brings Europe into the currency war

After spending the latter stages of his candidacy prior to the inauguration going after China's 'manipulation' of the Yuan, President Donald Trump has shifted gears and is now challenging Europe and their policies which he alleges are keeping the Euro undervalued, and affecting fair trade.

On Jan. 31 Peter Navarro, the top trade adviser and member of the Trump Administration, went directly after the heart of the EU's trade alliance by singling out Germany as the primary instigator in the continent's use of monetary devaluation policies to achieve unfair trade advantages.

The Trump administration just fired the first shot in the US-European currency, and thus trade, wars when Trump's top trade advisor Peter Navarro accused Germany of using a “grossly undervalued” euro to "exploit the US and its EU partners", the FT reported noting the comments are "likely to trigger alarm in Europe’s largest economy." News of the statement sent the EURUSD surging and the dollar tumbling to fresh 2 month lows. 
Navarro, the head of Mr Trump’s new National Trade Council, told the Financial Times the euro was like an “implicit Deutsche Mark” whose low valuation gave Germany an advantage over its main partners. While not necessarily novel - Germany has often been accused of being the biggest winner from a weak euro at the expense of peripherla Europe - his views suggest the new administration is focusing on currency as part of its hard-charging approach on trade ties, according to the FT. Furthermore, virtually assuring a deterioration in US-German relation, and in a departure from past US policy, Navarro also called Germany one of the main hurdles to a US trade deal with the EU and declared talks with the bloc over a Transatlantic Trade and Investment Partnership dead. - Zerohedge
In response to the allegations, gold and silver soared to their highest intra-day move of 2017 as the yellow metal climbed back over $1200 per ounce on an early move of over $20.

Live New York Gold Chart [Kitco Inc.]

Sunday, January 29, 2017

Signal or deception? Lady Rothschild tweets that gold is set to go higher

There are interesting dichotomies when it comes to investing, and often it can depend on which source one follows.  For example, entrepreneur and wealth coach Robert Kyosaki advocates that if you want to be rich, do what the rich do.  Yet on the other side of the token if you are a client of top investment bank Goldman Sachs you often receive tips and information that will make you lose money since the bank itself regularly bets against the advice they give to their customers.


So with this in mind it was rather interesting this evening when we noticed that Lady De Rothschild had tweeted out two days ago that gold is poised for a rebound and why it should go higher.
And yes, this is the same Lady De Rothschild that is part of the global banking dynasty, and close friends with Hillary Clinton.

In addition to the tweet, Lady Rothschild also cited an article by CNBC which forecasted that gold should have a pull back here at the end of January due to what is known as Quad Witching (options expiration, Fed FOMC meeting, Jobs Report, and China being off due to the week long Chinese New Year).
With the Lunar New Year holidays starting in China on Friday and markets closed next week, demand for gold will see a decline, the report said. Gold prices have drifted down a bit ahead of the Chinese festival. The precious metal is trading nearly 8 percent higher over a 12-month period but is down more than 6 percent since the U.S. elections. 
"We think gold's performance, as the typical Q1 seasonal demand fades, should provide a good gauge of investor sentiment towards gold at this point." - CNBC
One thing that is always certain regarding given advice no matter from which quarter of the market it comes from... the elite are always ahead of the game when it comes to buying investments and quite often will only drop hints on what they believe assets will do only after they already have bought their desired stake in the stock, bond, or commodity they believe (or wish) will go higher.

Saturday, January 28, 2017

Make Money Great Again: Petition to have government cease taxation on purchases of gold and silver

Alasdair Macleod is a long time precious metal analyst, and relative of a former Chancellor of the Exchequer (equivalent of U.S. Treasury Secretary) in Britain.  And just a few days ago he created a petition for Donald Trump, the newly election U.S. President, to sign an executive order eliminating taxes on the purchase of physical gold and silver.

Calling the movement Make Money Great Again (MMGA), Macleod believes this is the first step in changing the environment for gold and silver to return to being real money from its current status simply as a commodity, and open the door for it to become a part of the monetary system once more as originally deigned in the Constitution.

Make Money Great Again: Vote for Gold
THE PETITION: MAKE MONEY GREAT AGAIN 
We The People request the new administration Make Money Great Again; that gold and silver may freely be used as money alongside United States dollars. 
The Constitution explicitly recognizes gold and silver as money. We therefore petition that:
  1. All tax discrimination against gold and silver must cease, including the removal of all capital gains tax on holdings of, and transactions in gold and silver, and;
  1. That all impediments to using gold and silver as constitutionally-recognized money be removed.
We Petition the Administration to sign this Executive Order to Make Money Great Again. - MMGA
Making money great again by eliminating taxes on gold and silver is already occurring at many state levels, including a recent bill being brought to the House floor in the coming days in the state of Virginia.  And as this movement continues to grow at the local level, it will put more pressure on the Federal government to re-institute gold and silver as part of our overall monetary system.

Friday, January 27, 2017

European Commission proposing ban on using cash for payments following push at Davos for cashless society

This year's Davos World Economic Forum saw lots of economists and central bankers discussing ways in which they could con the public into giving up their cash, and bringing about a completely digital cashless society.  And the conference was a also carryover to the numerous experiments conducted in several countries last year in which they tried to remove certain bill denominations from their monetary systems.

Yet despite the clear backlash of populist movements in the United States and in Europe, the European Commission on Jan. 27 has decided to pointedly ignore them and is proposing a program in which to restrict, and eventually eliminate the use of cash in all commerce and monetary transactions.


One Step Closer to a Cash Ban in Europe
Having discontinued its production of EUR500 banknotes, it appears Europe is charging towards the utopian dream of a cashless society. Just days after Davos' elites discussed why the world needs to "get rid of currency," the European Commission has introduced a proposal enforcing "restrictions on payments in cash."
With Rogoff, Stiglitz, Summers et al. all calling for the end of cash - because only terrorists and drug-dealers need cash (nothing at all to do with totalitarian control over a nation's wealth) - we are not surprised that this proposal from the European Commission (sanctuary of statism) would appear... 
The Commission published on 2 February 2016 a Communication to the Council and the Parliament on an Action Plan to further step up the fight against the financing of terrorism (COM (2016) 50). The Action Plan builds on existing EU rules to adapt to new threats and aims at updating EU policies in line with international standards. In the context of the Commission's action to extent the scope of the Regulation on the controls of cash entering or leaving the Community, reference is made to the appropriateness to explore the relevance of potential upper limits to cash payments.The Action Plan states that "Payments in cash are widely used in the financing of terrorist activities… In this context, the relevance of potential upper limits to cash payments could also be explored. Several Member States have in place prohibitions for cash payments above a specific threshold." 
Cash has the important feature of offering anonymity to transactions. Such anonymity may be desired for legitimate reason (e.g. protection of privacy). But, such anonymity can also be misused for money laundering and terrorist financing purposes. The possibility to conduct large cash payments facilitates money laundering and terrorist financing activities because of the difficulty to control cash payment transactions. 
Potential restrictions to cash payments would be a mean to fight criminal activities entailing large payment transactions in cash by organised criminal networks. Restricting large payments in cash, in addition to cash declarations and other AML obligations, would hamper the operation of terrorist networks, and other criminal activities, i.e. have a preventive effect. It would also facilitate further investigations to track financial transactions in the course of terrorist activities. Effective investigations are hindered as cash payments transactions are anonymous. Thus restrictions on cash payments would facilitate investigations. However, as cash transactions are moved to the financial system, it is essential that financial institutions have adequate controls and procedures in place that enable them to know the person with whom they are dealing. Adequate due diligence on new and existing customers is a key part of these controls in, line with the AMLD. 
Terrorists use cash to sustain their illegal activities, not only for illegal transactions (e.g. the acquisition of explosives) but also for payments which are in appearance legal (e.g. transactions for accommodation or transport). While a restriction on payments in cash would certainly be ignored for transactions that are in any case already illegal, the restriction could create a significant hindrance to the conduct of transactions that are ancillary to terrorist activities. - Zerohedge
The fact of the matter is that the banks, rather than individuals, are the ones aiding and abetting money laundering for terrorist and criminal activities.  In fact, it has been surmised that money laundering for the drug trade was the only thing that saved many U.S. and European banks before the Fed and government bailouts of 2008.

The banning of cash, or restricting its use by the public for normal monetary transactions, has nothing to do with illegal activity, or in the funding of terrorism.  And instead it is a desperate attempt by the elite to protect themselves from a coming liquidity and financial crisis.  Because like the growing censorship that is proliferating social media sites, and the ongoing war to try to ban gun ownership in the U.S. and Europe, the ability to hold and use one's money as they see fit is one of the most important liberties a person has.

Got gold?  You might want to as governments will not stop in trying to steal your wealth held in cash.

Thursday, January 26, 2017

With foreigners avoiding bonds, liquidity should move strongly into gold and silver in second half of the year

With foreigners for the most part selling bonds rather than buying them, signals are flashing that the 30 years bull market in bonds is just about over.  And with foreign economies around the world running into currency problems, slowing growth, and the threat of capital flight, economic Marc Faber believes that a huge portion of foreign capital will be moving into gold and silver in the second half of the year.

Economist Marc Faber, who is known in many circles as Doctor Doom for his oft gloomy forecasts, says that stock markets are overvalued, but stops short of saying that a crash is imminent. Though valuations are high and sentiment is dangerously optimistic, Faber argues in a recent interview with Fox Business that there are huge money flows still making their way into U.S. equities. 
And over the next three to six months Faber says much of that liquidity from foreign and domestic investors may start moving into precious metals and precious metals stocks:
[There won’t be a sell off] in the near future… but if you look at the valuation of stock they’re high. If you look at the valuation of the US dollar it is high… If you look at the money flows in the last few weeks a lot of money has flown into US equities, both from domestic investors and international investors… as a contrarian this is not a particular good sign. 
However, there is a lot of liquidity in the world… the liquidity will move into precious metals and precious metals stocks… so I would be long gold shares, silver shares, platinum and the underlying physical… 
I also think that sentiment is much too optimistic about stocks and far too pessimistic about bonds… - SHTF Plan