Trace Mayer

Vietnam: Gold Already Trading at $1,300 Per Ounce

Nice Roger! You honed in on the issue: What is an ounce? A tael is 37.429 grams. There are 28.35 grams per ounce and 31.1 grams per troy ounce.

Would sure be nice if we could likewise resolve the issue: What is a dollar?

www.runtogold.com/2009.../

What in the world are we talking about Berkshire in this thread for?

On Nov 13 08:56 AM Roger Knights wrote:

> PS: What I mean is this: were ordinary ounces used in the conversion
> from taels?

Gold Bug Feeding Frenzy

kohalakid, please provide a credible and verifiable citation for your assertion that 'The GLD prospectus specifically says the fund does not lease gold and does not use futures or forward contracts. The only way to create GLD shares is to deliver physical gold to the trustee's custodian depository.'

I have thoroughly analyzed the GLD documents for the prospectusly impaired:

www.runtogold.com/2008.../
www.runtogold.com/2009.../

Additionally, in a report from Deloitte, a big four accounting firm who also performed the audit of GLD's 2008 10K, there is a statement in direct opposition to your assertion. On page 4 it states, "If the proposed ETF tracks a commodity, it buys ***or borrows*** certificates of ownership of that commodity." [emphasis added]

(page 4) runtogold.com/images/D...
(audit statement on page 70-71) www.spdrgoldshares.com...

Consequently kohalakid your statement appears to be unsubstantiated, unverifiable and in opposition to recognized authoritative statements contained in the official documentation and in reports by recognized authorities.

Doc224899, the illusion of security and stability is there isn't it! You heard about the Royal Canadian Mint scandal right? Darn Canooks!

www.runtogold.com/2009.../

Gold Party Intermission Is Nearly Over

Looks like this article was syndicated through SA a little late as I published it Oct 28 on www.RunToGold.com. Gold has since risen from about $1,030 to $1,060 or about 3%. Sorry SA readers for missing the actionable trade. If you want to get free email updates when a new article is posted just head over to the blog and sign up.

On the Rise of Gold

Hi Slvrizgold,

Thanks.

I noticed a similar comment elsewhere on the Interwebs about being cutoff about the carry-trade issue.

In defense of BNN we were well beyond the time allocated for the interview and had strayed outside the points I had given them in the summary. The interview was live, impromptu and guided by notes I provided to them. I did not feel 'boxed in' nor did I feel treated like a hostile witness and I know how to cross examine hostile witnesses :) Takes one to know one! Overall and from my perspective I think they were very generous.


On Oct 19 01:39 AM Slvrizgold wrote:

>Did
> you notice how the BNN guy cut him off when he started talking about
> how the US dollar is becoming the new carry currency? People always
> make general broad brush arguments that "its not in anyone's interest
> for the dollar to fall". BS!!! People with lots of capital will
> make large bets and will benefit massively via the dollar carry trade.

Gold Rises, the Dollar Falls: Is This Really a Good Thing?

Trader Mark, You are right that this rise for the monetary metal is just getting started because of the unwinding of the gold carry trade and start of the dollar carry trade. Mr. Alan Greenspan testified twice before Congress saying 'Central banks stand ready to lease gold in increasing quantities should the price rise.' Central banks carry gold in the vault and gold out on loan as the same line item; in effect they report cash and accounts receivables as the same thing. As a result, central banks have only 1/2 to 1/3 of the physical gold as reported on their balance sheets.

This means they hold not 30,000 tons but more like 8-15,000 tons of physical metal. All of this has been thoroughly documented by publicly available documents. To add further pressure the dollar is now becoming the carry trade currency. The unwinding of that massive central bank position will be extremely bullish for the monetary metals priced in their fiat coupons. As the value of their fiat currency coupons are valued like the common stock of nations and because of gold's rise in all major currencies it does not bode well for governments worldwide.

www.runtogold.com/2005.../

Gold: You Can't Sell High If You Didn't Buy Low

Dudley, Even at $1200 the price of gold will be extremely low because of the unwinding of the gold carry trade. Mr. Alan Greenspan testified twice before Congress saying 'Central banks stand ready to lease gold in increasing quantities should the price rise.' Central banks carry gold in the vault and gold out on loan as the same line item; in effect they report cash and accounts receivables as the same thing. As a result, central banks have only 1/2 to 1/3 of the physical gold as reported on their balance sheets. This means they hold not 30,000 tons but more like 8-15,000 tons of physical metal. All of this has been thoroughly documented by publicly available documents. The unwinding of that massive central bank position will be extremely bullish for the monetary metals priced in their fiat coupons.

www.runtogold.com/2005.../

The Arithmetic of Gold: Why Its Price Has No Ceiling

JudeJin, perhaps accuracy should start with you. Alan Greenspan testified twice before Congress saying 'Central banks stand ready to lease gold in increasing quantities should the price rise.' Central banks carry gold in the vault and gold out on loan as the same line item; in effect they report cash and accounts receivables as the same thing. As a result, central banks have only 1/2 to 1/3 of the physical gold as reported on their balance sheets. This means they hold not 30,000 tons but more like 8-15,000 tons of physical metal. All of this has been thoroughly documented by publicly available documents.

www.runtogold.com/2005.../


On Oct 07 09:21 AM JudeJin wrote:

> whoever comments on gold please get the facts straight. central banks
> only have 30000 tons of gold. the fed has 8000 tons, china's central
> bank has 1000 tons. at today's price, china's fx reserve can buy
> around 60000 tons of gold, that's 30 years of world's production.
>
>
> the world only has around 150000 tons of gold ever mined since the
> big bang.

Spiegel Interview Exposes Irrational Disdain for Sound Money

"Now just imagine that somehow, someway, a monetary system could be developed where computers would keep track of gold-based money and you could just swipe a card to pay for goods and services just like you swipe a debit card."

There already is a service with over $700M within the system, www.mygoldmoney.com, and you can use it in ordinary daily transactions like buying an apple or in large transactions like a super oil tanker. While a debit card is not yet available there are plans and additional tools like that should be available soon.

Fiat currency and fractional reserve banking are barbarous relics compared to the monetary evolution that is going on. The current implementation of credit and debit cards is a lot like the horseless carriages that were early attempts at automobiles. Change has come to money and currency and it is continuing to gain momentum.

The gains are “strictly a monetary phenomenon,” Greenspan said today at an investment conference in New York. Rising prices of precious metals and other commodities are “an indication of a very early stage of an endeavor to move away from paper currencies,” he said.

www.bloomberg.com/apps...

Spiegel Interview Exposes Irrational Disdain for Sound Money

"Now just imagine that somehow, someway, a monetary system could be developed where computers would keep track of gold-based money and you could just swipe a card to pay for goods and services just like you swipe a debit card."

There already is a service, www.mygoldmoney.com, and you can use it in ordinary daily transactions like buying an apple or in large transactions like a super oil tanker. While a debit card is not yet available there are plans and additional tools like that should be available soon.

Fiat currency and fractional reserve banking are barbarous relics compared to the monetary evolution that is going on.

Kinder Morgan's Dividend Payout Rate Is Unsustainable

@145964, I think it is organic also and receives tax breaks as being part of the green economy.

Paul, in all seriousness, you may want to take your stripes with this one and learn. Passion and diligence are essential traits for being a successful financial commentator and I think you have both. You do need to tighten your arguments, use more relevant analogies, refine the organization, polish the language and correct the factual ambiguities and errors. We work with words and they are to be clear, concise and accurate.

For example, PWE is not a 'stock' but it is 'an open-ended, unincorporated investment trust'. Stocks are shares of ownership of a company. PWE is a trust with units.

It takes courage, or stupidity, to throw your ideas into the battlefield for public scrutiny. The Seeking Alpha audience is very sophisticated. Poorly communicated or weak ideas get thrashed pretty quickly. Most read, few comment and the rare elite actually craft an article for publication. Critics are people with no legs who tell people how to run.

With experience the better your writing will become and the larger your audience. But tasty investor food attracts plenty of trolls and haters. I know as I get plenty because of my subject matter. But do not mistake the trolls for genuine constructive criticism, which I think the majority of the comments have been. Take your lumps with this article and keep on trucking; it will be water under the bridge in a week.


On Jul 28 01:18 PM User 145964 wrote:

> Natural gasoline pipelines??

Unlocking the Money Matrix: Gold Price Suppression

Nice article Jake. You have distilled many important facts and synthesized them into a very helpful organizational structure.

Here is the link to The Alchemists article where Adrian Douglas found the missing link and tied together my work on the ETFs, COMEX and gold price suppression:

marketforceanalysis.co... OR tinyurl.com/nxxwzx

Potential Comex Gold Fail:
www.runtogold.com/2009.../

ETF Problems:
www.runtogold.com/2008.../

Why It's Time to Raze the Fed

Why do you think there are taxes on gold and silver?

So they are not as competitive in the currency market as their competitor; FRN$s. But gold and silver pose mortal threats to the fiat paper franchise. That is what would replace the worthless illusions. Article 1 Section 10 Clause 1 of the United States Constitution.


On Jul 13 02:41 PM Living4Dividends wrote:

> This article has a silly title - when you raze the fed, you replace
> it with what??
>
> I only agree with one point you made: there should be no taxes on
> gold or silver.

Why It's Time to Raze the Fed

Looks like the disclosures did not get syndicated. Disclosure: Long physical gold and silver and no position the problematic GLD or SLV ETFs.

www.runtogold.com/2008.../

Unemployment 'Paychecks' Double

Like one of my friends a JD/CPA formally with KPMG but cannot find a new job, now surfs all day and paradoxically has more free cash flow every month because CCs and other debt were suspended.


On Jun 18 06:09 PM smitty223 wrote:

> Unemployment payout is determined by past income and number of dependants.
> Could be that higher-wage family earners are making up more of the
> layoffs now, instead of low-wage young'ns.

Potential COMEX Gold Fail

kohalakid, Exactly. Perhaps you should study your Constitution a little more.

Article 1 Section 8 Clause 5: "To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;"

Article 1 Section 10 Clause 1: "No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility."

I explain and outline the arguments here:

Constitutional intrepretation: www.runtogold.com/2009.../

Define the Dollar Or Else:
www.runtogold.com/2009.../


On Jun 19 10:27 PM kohalakid wrote:

> If the Federal government did only what the Constitution gives it
> a mandate to do, we wouldn't have 99% of our budget problems.
> Like I said, it's the implementation of bad (unconstitutional) ideas
> that cause the problem, not the basis system.