Wednesday, June 6, 2012

Chinese Gold Imports Spike to Staggering Record Level

“Today the Chinese had record imports (of gold, roughly 104 tons) from Hong Kong. The point is the Chinese are pretty smart about this and they are buying gold in record amounts.

If you have a race to the bottom with all paper currencies, who is going to win? Is it any accident that the BIS, who define the rules for banks, are actually considering making gold a Tier-1 asset? That could imply a re-pricing of the gold market. I mean massive re-pricing because all of a sudden (gold) is, de facto, backing up some of these currencies.

I think that’s where we’re headed. I don’t see how you avoid it. Gold is taking center stage.”

- Stephen Leeb, via a recent King World News interview: