It's Official: Canada Has Sold All Of Its Gold Reserves https://t.co/5B7cHVxV4P pic.twitter.com/XQcrhLMVUU
— zerohedge (@zerohedge) March 3, 2016
It’s probably nothing. They’ve probably just diversified into Vancouver real estate.
It's Official: Canada Has Sold All Of Its Gold Reserves https://t.co/5B7cHVxV4P pic.twitter.com/XQcrhLMVUU
— zerohedge (@zerohedge) March 3, 2016
It’s probably nothing. They’ve probably just diversified into Vancouver real estate.
BTW: Fort Knox hasn’t allowed a full audit since… the fifties?
Sounds legit.
Just thought I’d mention it.
I’m all in on plastic futures baby. HDPE.
“In Canada, the currency is apparently based on big-screen TVs”
Money to “LaBomb”.. The Faghag and Notley’s Nazi’s..Just for starters.
Just converting the assets into winter jackets and meal allowances for our guest.
Or maybe using it to keep Bombardier in the black.
It’s the liberal way ,sell low ,buy high .
Or maybe the estimates for the reno on 24 Sussex were a little below market value and need some extra cash to get the dive up to Canadian Royalty Standards?
I thought the goal was a zero based carbon economy, not gold. The new alchemy has
arrived where we try to turn gold into carbon credits.
Those ponies don’t buy themselves.
Can we liquidate the National Galley’s collection next?
Or small screen selfies.
No value just Sunni ways
Hyperinflation on its way
No not voices of fire!
If every Canadian could get a voices of fire we could all be rich. And at what cost ,two buckets of paint from Home Depot and a roller and smooth one side plywood. I got up close to it and could see the masking tape edge
That’s 10 years of payroll the Fibs had to catch up on, a lot of palms to be greased.
Its just a start too, fellas…..
Hang on to your hats, the greentard captains of industry have teamed up with PM Selfie Unicorn Fart to come after our wallets
During the Clinton dot.com economic BOOM … a long parade of (socialist) economists said that in the “new 21st Century economy” … businesses no longer needed to be profitable for everyone to make lots of money. Then it all crashed, and these cockroach economists scurried back into their hidey-holes. I guess Trudeau is trying to prove that Governments don’t need silly things like assets, or a GDP (with a pulse) to give-away vast sums of $$ to every crony-socialist group possible. The predictable crash could get quite ugly.
In all fairness, it is a really impressive stripe.
“Canada’s gold reserves belong to the Government of Canada, and are held under the name of the Minister of Finance,” explained a spokesperson”
Typical Liberals. These gold reserves belonged to the TAXPAYERS OF CANADA and no one else.
That’s the Mafia for you though: they forget who they’re working for the moment they’re hired. Ask their employers (us) first? As if.
What good were Canada’s gold reserves anyway? Serious question.
Gold has actual value in the real world. There are good reasons it’s used to back currency, which you’ll note is made of paper. From Alan Greenspan via Wikipedia, since you’re apparently too lazy to use Google:
“Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard.”
Well, whaddaya know – statists hate the gold standard. Much more to read in the article. You’re welcome.
liberals are like little kids with a pocket full of money they spend it as fast as they can. Never knowing where it comes form or how to get more.
Canada’s Gold reserves were not enough to even rank as trivial but I do like the idea of one more bankrupt state now out of the Gold market. Gold and silver should be a part of everyone’s portfolio, if not for hyperinflation which is a last stage event but now that the central banking brain-trust is into ZIRP and next, NIRP. When the US dollar falls, it will be a race to the bottom in terms of devalued currencies. If one has boundless faith in the morality and integrity of the state, then yes, the yellow metal is just an historical relic of no consequence as the government will always be there for you (and the rest of the herd).
Rabbit: The long answer’s just too long for this blog. The short answer boils down to this: even central banks (Hell, especially central banks) need to be diversified in various forms of currency in order to allow for the management of monetary policy, including how capital flows into and out of a nation-state.
Central banks (just like the rest of us, really) only have two types of currency from which to choose: fiat (from the Latin for “Let there be,” i.e., a command currency designated by a nation-state’s government for the purposes of settling debts public and private) and intrinsic (or, if you will, “democratic”) currency, i.e., something that is considered currency because it is in and of itself valued by the people who use it.
Fiat currencies the world over have counter-party risk attached: a government can declare a sovereign default, for example, or can suffer an inflationary episode, and the value of its currency simply fades away. If you’re a central bank and you have significant holdings of that fiat currency, you’ve got a problem.
Unlike fiat currencies, gold has a 6,000-year (give or take) track record of being considered a valuable currency which people will take in exchange for goods or services, and all without government sponsorship of the currency and without any counter-party risk.
Smart central banks have been loading up on gold over the last few years. China, in particular, has been going ape-sh!t for the stuff. Getting rid of it is actually a signal that the central bank is becoming less diversified, and as anyone who’s studied basic finance can tell you, less diversification is almost universally more risky than more diversification.
Unless it’s a purely short-term play, and our central bank is positioning itself for future purchases of gold to diversify away from counter-party risk, it’s a bone-headed move, frankly.
Just as serious an answer: “gold is a barbarous relic”. – John Maynard Keynes, one of the most influential economist in all of history.
It has no value, rabbit. But I’ll give you a sawbuck for every gold coin you have and a dollar a pound for your worthless gold jewelry.
The value placed on gold is an artifact, no more real than the value placed on paper currency. The value in having gold reserves is that when a currency collapses (think Zimbabwe) a country still has a separate currency whose value is not tied to its national currency, something that could keep the government solvent while it tries to get its financial house in order.
I’m guessing the Liberals see this as a one-time deficit-fighting strategy.
Trudeau met with George Soros a month ago or so…How many here know that?
Soros made sure Trudeau was of the same cloth as the Chretien/Maurice Strong(May you burn in Hell)/Laurentian Elite/Globalists/UN.
Soros wanted reassurance that we had our Obama North, that the Sovereignty of Canada was going to accelerate it’s decent into the Globalist stranglehold a la Europe.
-Sell all Gold. Check.
-Destroy industries competitiveness and fossil fuel extraction/export with Climate Change regulations/extortion (Carbon taxes)/Bad investment in uncompetitive/unreliable renewable energy schemes. Check.
-Indebt Country towards inevitable reliance to Banksters/IMF/Fed Reserve down the road. Check
-Force Country to ask for more security (End game=Police state/Curfews/Martial law) via mass immigration of hostile, unassimilable cultures/Religions.
Reader’s Digest Version: End game is to destroy the country’s independence and Sovereignty and push population into serfdom.
Paging Kevin O’Leary: Start taking notes.
Or is it already too late for the already too Socialist for too long Canad’uh?
Dirtman Y’al have it nailed. Just another Liberal Party of Canada/Ontario/Quebec Crony Payoff scheme using Canadian Tax-Payer Assets.
I think you have it right. The intent is to destroy Canada as an independent nation.
Skweeker said “[gold] has no value, rabbit. But I’ll give you a sawbuck for every gold coin you have and a dollar a pound for your worthless gold jewelry.”
Methinks the “no value” statement’s a bit of a fib. 😉
On a more serious note, “value” is something determined by the market — i.e., the collective, averaged production-and-consumption decisions of millions of human beings at any point in time. I’ll take that collective judgment about the value of virtually anything (including Lord Keynes’ “barbarous relic”) over the pronunciations of central banks, their governments, or academic economists all day long.
“Fiat currencies the world over have counter-party risk attached: a government can declare a sovereign default, for example, or can suffer an inflationary episode, and the value of its currency simply fades away. If you’re a central bank and you have significant holdings of that fiat currency, you’ve got a problem.”
Fine, but there’s no particular reason to hold gold. Holding foreign currencies — the greenback and the Euro are the obvious choices — would protect against a fall in the price of the loonie equally well, and perhaps better.
Jihadi Justin will have absolutely no problem nationalizing gold mines when the SHTF…just saying.
The math does not add up: 1.7 tonnes is 44,973.84 oz of gold, so if they sold 21,851 oz in February, there should still be 0.83 tonnes left, not 77 ounces. That’s 2204.6 pounds per metric ton (tonne) x 12 troy ounces per pound =26,455.2 ounces/tonne x 1.7 tonnes = 44,973.84 ounces. Just saying. I agree with Rabbit – this is a profoundly stupid thing to have done. I’m very stressed out over it, and am going down to the bunker to rub my Krugerrands to calm down.
Paging O’Leary but Trump’s The Worst Thing Ever?
Hard to keep modern conservative thought together sometimes.
Gold is real money, fiat is just paper. There’s a reason countries like India, China and Russia are stocking up on gold. Only a fuc*king idiot like that like muslim turdeau would sell gold instead of acquire more. A pox on all the assholes who voted for this shithead.
But if you are taking the Canadian dollar down to 40 cents US, it is very important you have no gold.
That way your creditors can’t say, “F##k this coloured paper, pay us in gold, Yen or Rubles.
Coming your way soon, how the Libtards made all canadians billionaires.
$5000,000 Turdeaus buys you a loaf of bread.
As a long-term investor, I’ve always avoided buying gold. Real wealth lies in our economy — our ability to produce the goods and services we need and desire. Gold is a shiny metal that’s useful in jewelry but with limited industrial applications, it’s value mostly propped up by the belief that we will always consider it valuable.
Gold is not an investment. Owning Gold is like having fire insurance on your house: it costs money to own gold (it pays no dividend or interest and costs money to store), and similarly, you pay an annual premium for fire insurance. If your house is insured for replacement value, you might actually make a profit if your house burned down, though you would doubtless vastly prefer that your house (and all your belongings) did not burn down. Similarly, gold is insurance against fiat money turning into toilet paper (something that has happened in the past with alarming regularity). I’ve been long gold for years, and I would almost prefer to lose money on my gold holdings, because if the price of gold was to shoot up to, say, $5,000 an oz, it would mean that our currency was rapidly losing all its value. And, just like with fire insurance on your house, you have to have some. Ditto gold: it’s a lousy “investment”, but you have to have some.
Rabbit, anyone who can dismiss 10,000 years of buying power and fiscal stability as just a shiny metal, should not be playing with money. Everything goes up and down, and metals is just another roller coaster to help balance a portfolio, and a country.
Consider it insurance against the notion that a substitute drama teacher and trust-fund baby has inordinate influence over the fate of a faith-based piece of paper or computer entry that is a temporary medium of exchange. It’s temporary due to the historical certainty of a rare shiny metal legacy outlasting the monetary integrity of a declining and demographically bankrupt welfare state currently engaged in the anti-industrial revolution.
oooooh gawd that is funny. tq whoever you are. can I use that in my confabs with the local crew?
oh jeeze that is hilarious. p.s., I sold some gold cufflinks recently, they are after all part of a different time. the joke was I am using the proceeds to pay for a couple gold crowns in my mouth, so I haven’t technically completely divested myself of my gold holdings. LOL !!!
p.p.s., it isn’t ‘finance’ minister anymore under the lieberals, it’s ‘finesse’ minister.
At one time, Canada had 1000 tonnes of gold reserves. It would be worth about $59 billion CAD at today’s price, not much considering how our government likes to spend. We would need what, about 10 times as much to support our currency? Never gonna happen. Besides we have to spend, spend, spend to stop climate change. [/sarc]
Rabbit, you said: “…there’s no particular reason to hold gold. Holding foreign currencies — the greenback and the Euro are the obvious choices — would protect against a fall in the price of the loonie equally well, and perhaps better.”
First off, I actually didn’t mention a fall in the value of the Loonie, if you’ll re-read my earlier statement — I explicitly talked about the counter-party risk of other fiat currencies held by the central bank. Gold doesn’t have counter-party risk (unless all you really hold are some form of ETF certificate, which is nothing more than a bet on the price [and/or the direction of the price changes] of gold).
Second, most “gold-bugs” don’t consider gold an investment — investments, by definition, have risk/reward profiles which can be described mathematically via probability theory. Gold’s much more like an insurance policy, or an option with no expiration date and without a zero strike price. All tangible assets have value, and in many circumstances they’re also free of counter-party risk (though there’s no such thing as a “riskless” asset). Gold’s particularly attractive because of its concentrated value expressed in any existing fiat currency, or in other tangible assets (such as barrels of oil). I don’t know about you, but if I wanted to stock up my central bank with an asset without counter-party risk, I’d vastly prefer one ounce of gold to approximately 40 barrels of WTI crude. 😉
No, the taxpayers don’t own government assets, the government does. The taxpayers own the government’s liabilities.
I value steel and lead more than gold. And knowledge and skill above them.
When comes the crash against which people are stockpiling gold, it won’t be worth food or clean water or fuel, until people with enough knowledge, skill, tools and arms have produced surplus food, clean water, and fuel.
I’ve come to realize that the current Prime Minister is a perfect representation of the average Canadian.
More’s the pity.
Please note I said of not for.
bingo. especially in the historical context of the survival rate of precious metals. the FACT the price has such swings proves its value; all it takes is the crushing collapse of the paper for precious metal to come to the fore.
unless, UNLESS there is a gigantic vein of gold somewhere in the unexplored vastness of the tundra inches from the surface just waiting to be scooped up as fast as it can, then gold will be the last refuge of commerce. it *is* the collective result of those millions of decisions and transactions that give the stuff it value or ‘value’. but gold is the thing. recognized for thousands of years, biblical if you will. and silver its poor cousin. other precious metals of even higher value are not candidates because there isn’t ‘enough’ to be practical, unless coins the size of a pin head are struck. watering it down to manageable physical dimensions wont work either due to the element (pun intended) of distrust when that is done.
ah yes, good old Au. as in eh, you. LOL !!!
the tooner makes a good point. it is a balance.
I cannot understand pretty much anything these leftists do. Realizing it’s always about graft and corruption helps fill in the blanks.
Our gold reserves were an embarrassment for a G8 economy.
Fortunately, no matter what the shiny pony does, we still have one of the worlds largest stocks of gold.
It just hasn’t been dug up yet. Liberals don’t dig.
You can’t print gold into worthlessness like paper funny money. It is for that reason, and the properties/availability of gold itself that made it a currency standard for thousands of years.
This war on gold is the central banks/Wall Street way of removing one of the last obstacles to total
control and dominion of the people, as they move to cashless societies.
“…John Maynard Keynes, one of the most influential economist in all of history. …”
Yes. A bad influence.
Gold = wampum. Nothing more than a physical element for trade. The idea these gold hoarders have is that they will stay alive by trading gold coins for food and water when the shitttt hits the fan. Rabbit has got it exactly right. When the shitttt hits the fan … the best survival commodity is your own wits, intelligence, knowledge, skills, and survival drive/instinct. Gold will ONLY be worth what the majority of the local population believes it to be. If that value is minimal, then I suggest you try fashioning your gold into some really nice artistic objects …like the ancients did. Because ART is an even BETTER investment than gold !
I’ve always been taught to consider physical ownership of metals as a form of insurance too. Not being an economist – it would seem to me that if the metal serves that function to me…it would do the same for a country.
And the fact that that liberal fag hag we have for a prime minister has no use for insurance – just bolsters my misgivings about him and the economic future for this country.
If he’s gonna sell, I’m gonna buy.