Is Europe’s SWIFT Alternative the Beginning of the End for the Dollar?
After threats to establish its own alternative system to enable trade with Iran failed to move the United States government, the European Union went ahead with its plans to operate a “special purpose vehicle” to enable European countries to trade with Iran. The vehicle, known as the Instrument in Support of Trade Exchanges (INSTEX) will initially focus on pharmaceutical,...
Potential for Tighter Gold Supply in 2019 Should Lead to Rising Gold Prices
Those familiar with gold markets know that it’s becoming increasingly difficult and expensive to mine gold. Output of gold from mines is expressed in grams per tonne, with the highest-grade underground mines producing 15 to 21 grams of gold per tonne of rock mined, while open-pit mines only produce 4.5-7.5 grams of gold per tonne. Think about that for a...
Chinese Government Joins the Global Gold Buying Spree
Venezuela is trying to sell its gold while Russia and Europe are buying. Overall, central banks added over 651 tonnes of gold to their coffers in 2018, more than any other year since 1971, the year the gold window closed. Flying under the radar, however, is China, which has started adding gold to its reserves in greater quantities this...
The Taxes That Soak the Rich Will Eventually Trickle Down
With the Democratic takeover of Congress calls have come for new taxes on income and wealth. From calls to raise the highest tax bracket to 70% on the ultra-rich to proposals for an annual wealth tax on the wealthy, ideas abound for ways to soak the rich and get more money for various government programs and projects. On the one...
Italy the Latest Country to Target Its Gold Reserves
With much of the world focused on the political crisis in Venezuela and the Maduro regime’s attempts to get its gold back, the worsening political climate in Europe has been relegated largely to the back burner. But with Italy in the midst of both internal and external political turmoil, it could play a role in an expanding crisis within...
Furor Over Venezuela’s Gold Sales Demonstrates That Gold Is Still Money
While much of the attention over the attempt to force Venezuelan President Nicolas Maduro out of office has focused on Venezuela’s vast oil reserves, less attention has been paid to Maduro’s attempts to sell off Venezuela’s gold. Just over two years into a hyperinflationary crisis created by Maduro’s unlimited printing of money, Maduro is desperate for any cash he...