July 29, 2013
Is the paper gold scam about to be brutally crushed by a crippling shortage of physical gold? If so, what will that do to global financial markets? According to the Reserve Bank of India, “the traded amount of ‘paper linked to gold’ exceeds by far the actual supply of physical gold: the volume on the London Bullion Market Association (LBMA) OTC market and the major Futures and Options Exchanges was OVER 92 TIMES that of the underlying Physical Market.” In other words, there is a massive amount of paper out there, but very little actual physical gold to back it up. And right now, we are witnessing voracious hoarding of physical gold all over the globe. This is especially true in Asia. Just see this article andthis article. All of this hoarding is putting a tremendous amount of pressure on those that have made all of these “paper promises”, because the truth is that there really isn’t all that much physical gold on the planet. In fact, Warren Buffettonce estimated that if all of the gold in the entire world was brought into one place, it could be formed into a cube that would only be 69 feet long by 69 feet high by 69 feet wide.
As the emerging shortage of physical gold becomes increasingly apparent, the massive Ponzi scheme that the bullion banks have been running for decades is going to completely fall apart. The following is what Egon von Greyerz told King World News the other day…
Obama’s ‘green’ procurement plan creating ‘de facto ban’
WASHINGTON – At the same time federal agencies like the Department of Homeland Security are buying up ammunition stockpiles around the country and shipping large quantities overseas for use by the military, the Obama administration is now pushing states to mandate “green ammunition” that is free of lead.
The result? Ammo supplies for law-abiding citizens have dried up in recent months, and experts expect it to get worse.
“The potential exists for a de facto ammunition ban,” says Ryan Bronson of the Minnesota-based National Shooting Sports Foundation.
Some sources even describe the developments as a conspiracy to limit Americans’ Second Amendment right.
Blaming political opponents for the shortfall, as it does for other shortages, the embattled socialist government says it will import 50 million rolls to boost supplies.
That was little comfort to consumers struggling to find toilet paper on Wednesday.
“This is the last straw,” said Manuel Fagundes, a shopper hunting for tissue in downtown Caracas. “I’m 71 years old and this is the first time I’ve seen this.”
One supermarket visited by The Associated Press in the capital on Wednesday was out of toilet paper. Another had just received a fresh batch, and it quickly filled up with shoppers as the word spread.
“I’ve been looking for it for two weeks,” said Cristina Ramos. “I was told that they had some here and now I’m in line.”
Economists say Venezuela’s shortages stem from price controls meant to make basic goods available to the poorest parts of society and the government’s controls on foreign currency.
“State-controlled prices , prices that are set below market-clearing price , always result in shortages. The shortage problem will only get worse, as it did over the years in the Soviet Union,” said Steve Hanke, professor of economics at Johns Hopkins University.
President Nicolas Maduro, who was selected by the dying Hugo Chavez to carry on his “Bolivarian revolution,” claims that anti-government forces, including the private sector, are causing the shortages in an effort to destabilize the country.
The government this week announced it would import 760,000 tons of food and 50 million rolls of toilet paper.
Commerce Minister Alejandro Fleming blamed the shortage of toilet tissue on “excessive demand” built up as a result of “a media campaign that has been generated to disrupt the country.”
“The revolution will bring the country the equivalent of 50 million rolls of toilet paper,” he was quoted as saying Tuesday by state news agency AVN. “We are going to saturate the market so that our people calm down.”
Finance Minister Nelson Merentes said the government was also addressing the lack of foreign currency, which has resulted in the suspension of foreign supplies of raw materials, equipment and spare parts to Venezuelan companies, disrupting their production.
“We are making progress … we have to work very hard,” Merentes told reporters Wednesday.
Many factories operate at half capacity because the currency controls make it hard for them to pay for imported parts and materials. Business leaders say some companies verge on bankruptcy because they cannot extend lines of credit with foreign suppliers.
Merentes said the government had met the U.S. dollar requests of some 1,500 small- and medium-sized companies facing supply problems, and was reviewing requests from a similar number of larger companies.
Chavez imposed currency controls a decade ago trying to stem capital flight as his government expropriated large land parcels and dozens of businesses.
Anointed by Chavez as his successor before the president died from cancer, Maduro won a close presidential election April 14 against opposition candidate Henrique Capriles, who refused to accept the result, claiming Maduro won through fraud and voter intimidation. He filed a complaint to the Supreme Court, asking for the vote to be annulled, though that’s highly unlikely to happen since the court is packed with government-friendly justices.
Patience is wearing thin among consumers who face shortages and long lines at supermarkets and pharmacies. Last month, Venezuela’s scarcity index reached its highest level since 2009, while the 12-month inflation rate has risen to nearly 30 percent. Shoppers often spend several days looking for basic items, and stock up when they find them.
Fleming, the commerce minister, said monthly consumption of toilet paper was normally 125 million rolls, but that current demand “leads us to think that 40 million more are required.”
“We will bring in 50 million to show those groups that they won’t make us bow down,” he said.
Associated Press videojournalist Vicente Marquez contributed to this report.
The United Nations on Sunday said 800,000 people in Niger face food insecurity and that some 84,000 are in immediate need of assistance as the humanitarian crisis worsens in the impoverished landlocked African nation.
Struck by droughts and shortages of crops, the United Nations Office for the Coordination of Humanitarian Affairs (OCHA) warned in a bulletin that the hunger season, from June through August, poses a significant danger.
The harvest generally comes in September.
OCHA said that of the 800,000 people facing food shortages among Niger’s 17 million population, 84,000 have no more food reserves and are in need of immediate assistance.
The agency said the eastern Tillaberi and Tahoua regions, as well as the central-south region of Zinder are the most affected by the food crisis.
The crisis has forced some to live on leaves and wild berries, or to sell their cattle or agricultural equipment.
Niger, one of the world’s poorest countries, is regularly hit by food crises.
According to the European Union, 10.3 million people face food shortages this year in the Sahel region which includes Niger.
By Gordon King
Hello to all! God Bless Everyone reading this post!
With all of the chatter regarding the government purchasing up all of the bullets that it can get its hands on, one wonders what they are up to!
Ammo shortages are seen everywhere in America. It is nearly impossible to walk into a store and find any ammo that you are looking for. Why? What are the reasons behind the shortage?
Well, for one thing, the push by the government and President Obama to institute gun control. This is creating a panic among American Patriots to purchase guns and ammo in record number. To uphold their second amendment rights!
Another reason is the fact that the Department of Homeland Security (DHS) is as a matter of fact, purchasing as much ammo as they can. This is creating a national shortage of ammunition. Ammunition that law-abiding citizens and the police force would normally be purchasing in normal quantities. However, there is now talk of police forces nationwide who are not able to supply their officers with the ammunition that they desperately need.
Does the DHS actually need billions of rounds of ammo? In my opinion, NO! Do they need billions of rounds of not only ammo, but, hollow point ammo? NO! They say that they need it for target practice! I say HogWash!!! You do not use hollow point ammunition for target practice. Any gun owner could tell you that for Pete’s sake!!!!
I believe that the government is not only purchasing billions of rounds of hollow point ammunition to use against the population of America, but, also to create a shortage of ammunition for law-abiding citizens!
So tell me, what’s next? Are they planning to purchase massive amounts of food and water also? Thereby, creating a nationwide panic. Grocery store shelves would soon be empty. You see how difficult it now is to purchase even .22 caliber ammo! How hard will it then be to purchase groceries and water?
What about gasoline? Will they also purchase massive amounts of gasoline? Creating another panic among American consumers? If any of you are old enough to have been around in the 1970s, you might understand where I am going with this! The oil shortages of the 1970s created very long lines at gas stations, rationing of gasoline. You could only buy gas on certain days, depending upon your car license plate numbers.
I fear that this is only the beginning of direct governmental control over our basic subsidies! There is no end to what they can and will do to its own population.
Please, everyone take warning. Heed the warning! Prepare for the worst. If you lived in hurricane country, would you not prepare? Wouldn’t you purchase food, water, batteries, flashlights, etc? The same for people living in earthquake country or tornado alley. The warning signs are here.
I am not trying to get anyone in an uproar, or cause a panic. On the contrary. I am just giving my point of view. Preparation is vital. For any catastrophic event. Look at the victims of hurricane Sandy. Thousands of Americans without homes, food, water, the basic essentials for life. This could be a catastrophic event, only that it is created and controlled by our government.
I am not saying that it will definitely happen. Just take a moment and think about it. It could happen. It sure wouldn’t take much for it to happen. Prepare. Prepare for the worst. What happens if you prepare? Then you will be ready to face calamity. You will not have to run to and fro trying to survive!
But, on the other hand if you do not prepare, you will be hungry, thirsty and cold. You won’t know where your next meal is coming from. God does provide for his children. But, God also wants us to be prepared. That’s why he gave us an instruction manual. The bible. He told us to prepare for his coming and gave us many, many signs to watch for. I also believe that he wants us to prepare for hard times as well. We know they’re coming and he wants us to prepare physically and spiritually.
Think about it. Ask God for confirmation regarding this subject. Ask him if you should be preparing physically as well as spiritually. Don’t take my word for it. Ask God to show you the truth. Test all things. Put your faith in Jesus!
God Bless You All! Praise the Lord Almighty! Maranatha! AMEN 🙂
Rank and file told to conserve as Big Sis buys by the billion
At least one branch of the U.S. military is scrimping and saving every bullet it can while the Department of Homeland Security is on a bullet-buying spree.
Marine Corps Commandant James F. Amos blames sequester budget cuts for causing the Corps to have to scrimp and save every bullet.
In a video to Marines, he says, “I ask you to save every round, every gallon of gas, that you take every single aspect, or opportunity, in training to get the most bang for the buck.”
“This is no time to do business as usual. Things have changed. The landscape has changed. I need you to be conservative in the way we do business,” Amos continued.
Sequester cuts do not seem to have slowed down the massive purchase of bullets by DHS. WND bas been closely following the department’s big buildup of ammo, reporting how DHS bought more than 1.6 billion rounds of ammunition over the last year.
Members of Congress are demanding the Obama administration explain why it is stockpiling a huge arsenal of ammunition and weapons. “They have no answer for that question. They refuse to answer to answer that,” said Rep. Timothy Huelscamp, R-Kan.
“I think Congress should ask the department about both of those issues, and I would like a full explanation as to why that has been done, and I have every confidence that the oversight committee … should ask those questions,” said Rep. Leonard Lance, R-N.J.
DHS has argued that it is buying in bulk to save money, explaining it uses as many as 15 million rounds a year for training law enforcement agents. But the 1.6 billion rounds of ammo would be enough for more than 100 years of training.
Additionally, the DHS is buying hollow-point bullets, which experts say are rarely used for training exercices. The DHS ordered 240,000 hollow-point rounds last month and has now placed an order for 360,000 more rounds.
It’s not just the Marines who are struggling to get by. Even local law enforcement agencies are having a tough time finding ammo.
Former Alaska Gov. Sarah Palin said she believes the federal government is building an arsenal to prepare for civil unrest if the country goes bankrupt.
And retired U.S. Army Captain Terry M. Hestilow has written a letter to Sen. John Cornyn, R-Texas warning that “the recent appropriation of weapons by the Department of Homeland Security (DHS) that can only be understood as a bold threat of war by that agency, and the Obama administration, against the citizens of the United States of America.”