OUT OF MIND
Would you like to react to this message? Create an account in a few clicks or log in to continue.
Latest topics
» Died Suddenly's - 01/26/23
Germany Repatriates It’s Gold! EmptyYesterday at 11:53 am by PurpleSkyz

» Earth’s Core Has Stopped and May Be Reversing Direction, Study Says
Germany Repatriates It’s Gold! EmptyYesterday at 11:48 am by PurpleSkyz

» Transgender Agenda News
Germany Repatriates It’s Gold! EmptyYesterday at 11:33 am by PurpleSkyz

» Parsing an Ungrateful Generation
Germany Repatriates It’s Gold! EmptyYesterday at 11:22 am by PurpleSkyz

» ‘Engineered’, Yes,…But In The Wuhan Lab?
Germany Repatriates It’s Gold! EmptyYesterday at 11:18 am by PurpleSkyz

» It's Hammer Time - San Francisco judge orders police bodycam footage of Paul Pelosi attack to be released
Germany Repatriates It’s Gold! EmptyYesterday at 11:16 am by PurpleSkyz

»  Establishment Demands You Stop Damar Hamlin Conspiracy Theories
Germany Repatriates It’s Gold! EmptyYesterday at 11:10 am by PurpleSkyz

» Record Renewable Energy Generation in Australia Led to Record Low Demand and Emissions in Fourth Quarter of 2022
Germany Repatriates It’s Gold! EmptyYesterday at 1:03 am by PurpleSkyz

» Consuming medicinal cannabis oil improves sleep in adults with insomnia
Germany Repatriates It’s Gold! EmptyYesterday at 12:53 am by PurpleSkyz

» Major Blow as Experimental HIV Vaccine Fails in Late Clinical Trial
Germany Repatriates It’s Gold! EmptyYesterday at 12:35 am by PurpleSkyz

» Oh Oh!! - 90 seconds to midnight
Germany Repatriates It’s Gold! EmptyYesterday at 12:31 am by PurpleSkyz

» NASA is building a nuclear rocket to get to Mars in just 45 days
Germany Repatriates It’s Gold! EmptyYesterday at 12:29 am by PurpleSkyz

» BOMBSHELL: New Project Veritas video hits it out of the park!!! Watch now!
Germany Repatriates It’s Gold! EmptyYesterday at 12:17 am by PurpleSkyz

» This gigantic Face discovered on a mountain near the village of Sardi Khola in Nepal
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 11:35 am by PurpleSkyz

» Meanwhile…here on planet vaudeville…
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 11:12 am by PurpleSkyz

» I Want To Stop CBDCs – What Can I Do?
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 11:07 am by PurpleSkyz

» Good People Doing Good Things — Dr. Kwane Stewart
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 11:03 am by PurpleSkyz

» Priests Doing What Priests Do
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 10:28 am by PurpleSkyz

» Died Suddenly's - American Fashion Model Jeremy Ruehlemann Dead at 27 plus more
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 12:39 am by PurpleSkyz

» Damar Hamlin is officially Tiffany Dover the sequel after sloppy propaganda display during Bengals at Bills game
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 12:35 am by PurpleSkyz

» Non-Violent J6 Protester Who Put Feet Up On Pelosi’s Desk Found Guilty On All Charges, Faces Life in Prison
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 12:28 am by PurpleSkyz

» City adds defibrillators to 4 Las Vegas parks
Germany Repatriates It’s Gold! EmptyWed Jan 25, 2023 12:24 am by PurpleSkyz

You are not connected. Please login or register

OUT OF MIND » THE INSANITY OF REALITY » FINANCIAL COLLAPSE » Germany Repatriates It’s Gold!

Germany Repatriates It’s Gold!

Go down  Message [Page 1 of 1]

1Germany Repatriates It’s Gold! Empty Germany Repatriates It’s Gold! Tue Jan 15, 2013 8:08 pm

PurpleSkyz

PurpleSkyz
Admin

Germany Repatriates It’s Gold!
16/01/2013 · by travellerev

Just in case anybody can tell me; does New Zealand have it’s own gold in some vault somewhere and if so where?

Yesterday the Bundesbank announced it would repatriate all of it’s considerable gold stock back from France and some of it’s gold from New York.

As far as I am concerned this is huge news! What does it mean for a Reserve bank to repatriate a countries gold?

————————————————–

Germany isn’t the first country to ask questions about its gold, let alone repatriate it. Switzerland is also raising plenty of questions and Venezuela finished repatriating their gold earlier this year. So what does repatriating the country’s gold say about the sovereignty?

1. Changing geo-political landscape

There are two geopolitical reasons for a country taking custody of another’s gold; the first is for ease of transport for payment purposes, the second is to protect the gold from geopolitical risk.

The ease of transport for payment purposes can be argued to still be a relevant reason, particularly given moves by China, India, Russia and Iran to make gold payments for oil and wheat. However, the chances of the US, UK and France demanding payments in gold in the near future as they desperately try to prop up their own currencies is unlikely, particularly as Germany is a successful export nation to these countries. This was one of the reasons for Venezuela’s movement of gold into Brazilian and Chinese custody – they’re trading partners with useful exports and are more likely to accept gold.

Germany’s gold was primarily kept in the US on account of the physical threat from Russia. This seemed reasonable at the time; the US was the bigger and lesser of two evils. The big guy in the playground can be an ally, for a time.

Much of Germany’s gold held in the US has never made it to Germany; it started life as German gold reserves in a US vault somewhere. This was on account of the European country running trade surpluses between the 1950s and the end of the Bretton Woods. German gold reserves between 1950 and 1971 went from zero to 3,600 metric tonnes, in the same period US reserves fell by 11,000 tonnes.

But the threat no longer remains, so why hasn’t the gold been moved back to Germany?

2. Do not trust the custodian country to keep track of it when lending it out

Back in the mid-1920s, the head of the German Central Bank, Herr Hjalmar Schacht, went to New York to see Germany’s gold. However the NY Fed officials were unable to find the palette of Germany’s gold bullion. The Chairman of the Federal Reserve, Benjamin Strong was mortified, but to put him at ease Herr Schacht turned to him and said ‘Never mind, I believe you when you when you say the gold is there. Even if it weren’t you are good for its replacement.’

Both GATA and Bring Back Our Gold argue that central banks have either loaned or “sold short” the majority of the country’s gold. As GATA found out between 2008 and 2009 the Fed has gold-swap arrangements with foreign banks but keeps them secret. This practice of loaning out gold is not uncommon; it’s the worst kept secret ever. However as Zerohedge point out this can lead to the eventual problem that no-one’s sure whose gold is whose anymore having been a sort of pass-the-parcel for many years. There is now a debate as to whether Germany, or anyone else storing gold in a central bank abroad, owns allocated gold or is merely a ‘creditor’ on a metal statement.

Read more

Thanks to: http://aotearoaawiderperspective.wordpress.com



  

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum