Game Over – “It’s All A Farce, The Fed & German Gold Is Gone”

Today one of the savviest and well connected hedge fund managers in the world shocked King World News by taking us once again on a trip down the rabbit hole that was nothing short of breathtaking.  Outspoken Hong Kong hedge fund manager William Kaye spoke with KWN about the missing Fed and German gold, where it has gone, and how much gold the People’s Bank Of China (PBOC) really owns.  This interview is going to stun readers around the world.  Kaye, who 25 years ago worked for Goldman Sachs in mergers and acquisitions, had this to say in part I of his remarkable interview.

Kaye:  “Global hegemony (leadership or dominance) is changing in a way that most people don’t fully comprehend.  This area of the world, the Asia-Pacific, China in particular, is positioning itself to be the leading global power as we look out over the next five to ten years.

My sources tell me that contrary to the public numbers that are available, China has anywhere between 4,000 to possibly 8,000 tons of (physical) gold….

“They are not only the world’s largest producer of gold, but they are the largest importer of gold in the world.

This is an ongoing process for China.  This is a strategic initiative.  So China is massively accumulating the gold that is being extricated from the West at a very rapid pace.  The dynamics here are very geopolitical, and the Far-East is being elevated by this.

In the ‘New World Order,’ which will ensue when this raid ends, China’s position, Russia’s position, Brazil’s position, will be greatly enhanced.  The position of the United States, as well as Europe and the UK, will be greatly reduced.  Those are the major consequences.”

Eric King:  “Bill, you say China has over 4,000 tons of gold already, possibly as high as 8,000 tons.  Where do you see them heading in terms of their overall ownership of gold?”

Kaye:  “Well, they’re not done yet.  Gold has been leased out, and we do know this (takes place) because it’s been admitted to by the major central banks.  The Fed has admitted it, the European Central Bank has admitted it, the Bank of England has admitted it.  They’ve all admitted that they engage in wholesale leasing of gold to the market.

Source: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/7/9_Game_Over_-_Its_All_A_Farce,_The_Fed_%26_German_Gold_Is_Gone.html

The Savage Gold War Behind The Scenes

With global stocks, the US dollar, and gold all surging, today one of the savviest and well connected hedge fund managers in the world sent King World News the most amazing chart concerning what is happening in the gold market.  Outspoken Hong Kong hedge fund manager William Kaye also spoke with KWN about what is really going on behind the scenes in the gold war.  Kaye, who 25 years ago worked for Goldman Sachs in mergers and acquisitions, had this to say in part II of his remarkable interview.

Kaye:  “As you and I are talking now, we’re a little bit below $1,250 on gold which is ridiculously low.  On the numbers we are looking at that would mean that roughly half of the production of the mining community of the world is unprofitable, which is stunning when you think about it.

What is going on is unprecedented….

“It’s unsustainable, and like anything that is unsustainable it won’t be sustained.  So this is a great opportunity for people who do have an interest in possibly adding to or initiating new positions in gold or precious metals.  We are at levels that I think are extremely attractive, Eric.”

Eric King:  “Bill, what about this chart that you sent me going over the various entities out there that hold gold for retail and institutional investors?  Can you talk about that?”

Kaye:  “Yes, I’m happy to.  Pick up the Wall Street Journal, the Financial Times, watch CNBC if you want to have your brain damaged, you’ll get the same narrative (regarding gold).

And it’s a scary narrative, which is that people are panicked — there is a bear market in gold.  And they (the mainstream media) never make a distinction between the paper market in gold and the physical bullion market.  That is a very important distinction for your listeners (and readers) to make.

But the narrative is that people are panicked, and because they are panicked they are selling into the market to whoever will buy.  And this is why the gold inventories, the Spyder Gold Trust and the other major exchange traded funds (gold holdings) have been so rapidly reduced.

Source: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/7/9_William_Kaye_-_The_Savage_Gold_War_Behind_The_Scenes.html

China’s gold imports remain massive

The gold price has been in a tailspin this year, but physical demand for the yellow metal remains as robust as ever in China.

New data shows that net Chinese gold imports jumped 40% in May from the month before. Total imports from Hong Kong reached their second highest level ever during the month, behind only March of this year.

To put the numbers in perspective, analysts at Stifel Nicolaus noted that China has already imported about 20 million ounces of gold in 2013, compared to 26.7 million in all of 2012 and 13.8 million in all of 2011. If these import numbers hold up through the year, they would be equivalent to 50% of global mine production, or 35% of total world supply.

Those are huge figures, and they show that China is taking advantage of the drop in price to load up on bullion. To date, however, that buying has not been enough to stem the price decline.

“Investor selling in developed markets has continued to overwhelm the still robust physical demand in Asia and emerging markets. This will take time to play out,” the Stifel analysts wrote.

They remain bullish on gold, noting the recent unrest in emerging markets and the Middle East, sustained low interest rates, sovereign debt issues, and the fact that the U.S. monetary base is up another 18% so far this year.

Source: http://business.financialpost.com/2013/07/05/chinas-gold-imports-remain-massive/