2012-11-13 — kingworldnews.com
[China is] buying the world's gold at an ever-increasing rate. At this point, based on the imports through the first nine months of the year, if you pro-rated for the last three months, they would for the full year have imported a staggering 775 tons of gold.
"After Chinese imports are subtracted from yearly production totals, that only leaves about 1,500 to 1,700 tons of gold for the rest of the world, and there is way more demand than that in the rest of the world. So I continue to believe there is Western government dishoarding of gold, but that has a finite life span because I think the physical shortages are intensifying."
Embry also added: "I continue to look at the shocking condition of the world and the deceleration of the global economy. The Japanese quarterly number which was released this morning was awful. I was intrigued by the comments of Egon von Greyerz on Friday about how dreadful the Japanese situation is.
I believe that the situation in Japan is reaching a very critical stage and I was delighted to see a guy as smart as Egon bringing this to light because I believe that implicitly and I was glad to see him going down the same path. Japan is now trapped into printing money because they have a debt-to-GDP ratio that is so far out of line with the rest of the world that it's almost unfathomable.
When you put that into context with an aging population which owns all of these bonds, but they are not in a position to continue buying them, they have no alternative other than to keep printing.
Comments: Be the first to add a comment