Avernus Posted April 25, 2011 Share Posted April 25, 2011 http://www.examiner.com/finance-examiner-i...ina-debt-policy Silver jumped .84 to open at $47.47 on the world spot market this evening as a new China policy on US debt and dollar reserves reververates through the global markets. As the Asian pre-market trading begins on Monday, April 25th, news of this weekends change in monetary policy by the Chinese central bank is pushing precious metals, particularly silver and gold, higher at the open. Silver closed at $46.63 on Friday afternoon, up more than $1.35 for the day. The continuing pressure on the devaluing dollar is directing many investors and central banks to move to metals for wealth protection, and not government bonds. China on Thursday, and again on Saturday, spoke about a new monetary policy direction of lessening their ownership by nearly two-thirds of their US debt holdings, and this would effect the US economy by dumping $2 Trilion in treasuries onto an already limited market. About a month ago, the world's largest bond insurer Pimco divested itself of all US bond holdings, and is now in fact shorting the bond markets. It appears that their gambit was correct, and if China follows through with their new policy, the bond insurer will profit greatly at the behest of governemt debt. Last week, gold reached a new high of $1510 an ounce, while silver continued to achieve new 30-year highs. The all-time high for silver is just a shade over $50, and it is quite possible that this level could be reached within a few days. As world spot markets open, and silver rises nearly a dollar at the start of Asain trading, the effects of China's new monetary policies are already creating consequences well before the start of US trading. this probably explains why silver shot up over a buck on good Friday when China was the only Country able to influence it.....I wonder what big Ben is gonna do to prevent China from having such an impact on our currency? Quote Link to comment Share on other sites More sharing options...
WaterMan Posted April 25, 2011 Share Posted April 25, 2011 (edited) http://www.examiner.com/finance-examiner-i...ina-debt-policy this probably explains why silver shot up over a buck on good Friday when China was the only Country able to influence it.....I wonder what big Ben is gonna do to prevent China from having such an impact on our currency? According to another conspiracy, Ben's job is to bankrupt the US. Edited April 25, 2011 by WaterMan Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 According to another conspiracy, Ben's job is to bankrupt the US. well, he did say we were going through a deflationary depression by using the housing market to support his argument, nevermind the rising prices elsewhere ... having said that, I can't say he's trying to bankrupt the US...but he's a very-very intelligent man and should know what he's doing.....not to mention that what China is doing is out of his control which may lead to him unleashing the printing press again - which is something he can have an influence on.... either way, this news is very bad... Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted April 25, 2011 Share Posted April 25, 2011 So what kind of consequences are predicted for us and our economy on this news? Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 (edited) So what kind of consequences are predicted for us and our economy on this news? the currency will be devalued....on top of that I really am not even sure, I just know that this is something we did not want to happen..... edit: I am still reading up on what kind of effect this will have..... Edited April 25, 2011 by Avernus Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted April 25, 2011 Share Posted April 25, 2011 China on Thursday, and again on Saturday, spoke about a new monetary policy direction of lessening their ownership by nearly two-thirds of their US debt holdings, and this would effect the US economy by dumping $2 Trilion in treasuries onto an already limited market So, they are talking about a new direction. I wonder if that means that it is definitely going to happen, and if so does it happen overnight or over the course of a couple of years, etc.? Or do you think this is just tough talk in order to pressure the U.S. to get more serious about our level of debt? Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 (edited) So, they are talking about a new direction. I wonder if that means that it is definitely going to happen, and if so does it happen overnight or over the course of a couple of years, etc.? Or do you think this is just tough talk in order to pressure the U.S. to get more serious about our level of debt? I think the tough talk occurred over the past few years and China among other countries have been pushing for a new reserve currency while also holding a good portion of the cards which may be enough to say "we hold all the cards"... the USD will take a massive hit when this occurs....there is no way for us to get serious about our level of debt, they bought US all those treasuries so they could do something like this when the time came.... this is what I heard about 2 years ago when I first started investing in silver and a little bit of gold on top of China telling their people to buy up as much silver as they can which is hugh considering they were just recently allowed to start buying precious metals...which debases the USD also.... they haven't been fighting a military type of war, they have been fighting a currency or economic war which they have played well so far..... edit: I would expect it to either take a year to implement or it could happen overnight.....it depends on the trickle down effect and how long it takes Bernanke to react to this.... my head is still spinning from all the reading so far.....I feel like I haven't even cracked the surface yet... Edited April 25, 2011 by Avernus Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 the silver chart here shows ridiculous volatility and it just got slaughtered after hitting close to the Hunt Bros. high....maybe a hugh sell-off?....I've never seen it behave like this before... http://www.kitco.com/charts/livesilver.html Quote Link to comment Share on other sites More sharing options...
TimC Posted April 25, 2011 Share Posted April 25, 2011 When we sold our soul to the debbil to keep our fake economy going, what did you expect? Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 When we sold our soul to the debbil to keep our fake economy going, what did you expect? exactly Quote Link to comment Share on other sites More sharing options...
sundaynfl Posted April 25, 2011 Share Posted April 25, 2011 The article fails to mention that PIMCO and Bill Gross have lost their azz's since selling and shorting bonds... Quote Link to comment Share on other sites More sharing options...
muck Posted April 25, 2011 Share Posted April 25, 2011 Just talked to a currency trader friend of mine. There is no substance to the rumor above (re: China selling 2/3 of their US bonds). If there were, the 10yr bond would be getting killed, and it's not. Quote Link to comment Share on other sites More sharing options...
bpwallace49 Posted April 25, 2011 Share Posted April 25, 2011 Just talked to a currency trader friend of mine. There is no substance to the rumor above (re: China selling 2/3 of their US bonds). If there were, the 10yr bond would be getting killed, and it's not. Avernus is just trying to spread rumors to jack up the price of silver. He is now swimming Scrooge McDuck style in his vault of silver coins in his backyad . . . Quote Link to comment Share on other sites More sharing options...
peepinmofo Posted April 25, 2011 Share Posted April 25, 2011 the silver chart here shows ridiculous volatility and it just got slaughtered after hitting close to the Hunt Bros. high....maybe a hugh sell-off?....I've never seen it behave like this before... http://www.kitco.com/charts/livesilver.html I got mine already! Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 Avernus is just trying to spread rumors to jack up the price of silver. He is now swimming Scrooge McDuck style in his vault of silver coins in his backyad . . . yeah, duck dodgers reporting in Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 (edited) Just talked to a currency trader friend of mine. There is no substance to the rumor above (re: China selling 2/3 of their US bonds). If there were, the 10yr bond would be getting killed, and it's not. there is substance to it considering it comes at a time where Geitner considers raising the debt ceiling.... if he doesn't raise the debt ceiling, then we're screwed immediately.....if he does raise the debt ceiling then China is screwed now and we're screwed later..... either way, I feel like I have encountered a thai hooker....and I'm pretty sure that if she's burning up, I can put a piece of silver in there to confirm it..... Edited April 25, 2011 by Avernus Quote Link to comment Share on other sites More sharing options...
WaterMan Posted April 25, 2011 Share Posted April 25, 2011 Reagan, Bush Sr., and Clinton all had to take money from SS to pay for debt. I say we are screwed this time. Quote Link to comment Share on other sites More sharing options...
Jackass Posted April 25, 2011 Share Posted April 25, 2011 Just talked to a currency trader friend of mine. There is no substance to the rumor above (re: China selling 2/3 of their US bonds). If there were, the 10yr bond would be getting killed, and it's not. shocking. Quote Link to comment Share on other sites More sharing options...
bushwacked Posted April 25, 2011 Share Posted April 25, 2011 It won't be long now. Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 It won't be long now. what won't? Quote Link to comment Share on other sites More sharing options...
Big John Posted April 25, 2011 Share Posted April 25, 2011 what won't? © moneymakers Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 http://news.xinhuanet.com/english2010/chin.../c_13842843.htm http://www.china-facts.com/3/China_should_...anker_5886.html Quote Link to comment Share on other sites More sharing options...
Avernus Posted April 25, 2011 Author Share Posted April 25, 2011 © moneymakers good stuff, I never knew what he was referencing Quote Link to comment Share on other sites More sharing options...
Brentastic Posted April 25, 2011 Share Posted April 25, 2011 Just talked to a currency trader friend of mine. There is no substance to the rumor above (re: China selling 2/3 of their US bonds). If there were, the 10yr bond would be getting killed, and it's not. I'm not sure that correlation means much. I used to trade the 30 year bond futures and I follow the bonds daily. They have dumped over 10 handles from their highs back in October and this China news has been around for the last year. Just because they're not down today doesn't really mean much, imo. Especially if you consider the big market movers have probably priced this in over the last several months (i.e. the drop from Oct). Let me be clear, I'm neither confirming or denying this rumor. I'm only pointing out that the 'rumor' released today wouldn't necessarily have an affect on today's prices. Quote Link to comment Share on other sites More sharing options...
bpwallace49 Posted April 25, 2011 Share Posted April 25, 2011 the elliot Wave didnt say shit about silver. So put that in yer pipe and smoke it avernus . . . Quote Link to comment Share on other sites More sharing options...
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