Canada’s Financial Ministry has continued to act out its insanity. The Ministry has actually stripped Canada of every last, single ounce of gold.
This at a time when China and Russia are buying whatever they can. China holds over 1,700 tons of gold though it probably holds a lot more than that. Russia holds a huge amount of gold too and is buying more.
The dollar has again moved down hard against gold after moving down nearly US$1,000 over the first decade of the 2000s.
Knowing gold is in demand around the world and that the West’s major adversaries own hundreds and thousands of tons of it, what does Canada do? It sells.
Global News talked to a spokesperson for the Ministry and was told that the sale, “was done in the normal course of business for the government. The decision to sell the gold was not tied to a specific gold price, and sales are being conducted over a long period and in a controlled manner.”
Oh, great. The Ministry’s insanity is not the result of a short-term accident but a long long-term condition. It’s being done out of calculated maliciousness. I’ll explain in a moment.
But let me be clear: The sale is part of a larger pattern of profligacy, mental degeneration and destructiveness.
With wars around the world, the Western banking system again teetering again on the edge of insolvency and rage rising over central bank economies, most people with any common sense are buying real estate, farmland and precious metals.
Not Canada’s bankers. We just wrote about Canadian gold sales in early February after the news came out that Canada’s hyperactive Financial Insanity Ministry (which should be called FINish Canada) sold half of its current reserves, leaving only 1.7 tons.
We wrote this in retrospect:
In 2011, we posted this graphic, which showed then Prime Minister at the time, Stephen Harper, standing beside a to-scale image of the tiny amount of gold Canada held.
Then this past month, after the additional sale we updated the picture again.
And here is how it looks today:
Canada has reached the nadir of financial irresponsibility and Trudeau has scraped the bottom of his treasury, though he probably has no idea what his finance ministers have done. Of course it’s difficult to find pundits to explain it. They have to protect their jobs after all.
ZeroHedge, writing about this latest sell off, reached economist Ian Lee of the Sprott School of Business at Carleton University who explained that the US and thus the world went off the remnant of the gold standard in 1971 when Kissinger invented the petrodollar. “In the modern world,” he pontificated, “the metal is no longer considered a form of currency.”
Tell it to the Chinese who line up around the block to buy gold and silver. Or tell that to Indians who won’t sell their gold to the Indian government even for a fairly considerable interest rate on their non yielding metal assets.
Back in 1965, Canada had 1,023 tons of gold reserves but by 1985 it only held 500 tons. Throughout the 1990s up to 2002, Canada kept selling. And last month it held a laughable 1.7 tons. And this month it holds a hysterical nullity.
Congratulations to the Ministry of Insanity. What impeccable timing they have. Price inflation is climbing in Canada just like in the US. Canadian officials have probably sold close to the bottom just the way England did in 2000.
Such idiocy must be manufactured for a reason. In this case, it seems obvious to us that the West’s central bankers generally are doing all they can to debase currency and generally prepare the West and the world for an even deeper and more agonizing global depression.
Why would central bankers do such a thing? Because they want to create a more global currency and government and they will only get there by destroying the current nation-based system. They want to render Canada effectively insolvent and unable to act.
At TDV, we understand full well what these bastards are doing and its what we write about and analyze from a trading standpoint.
Our trades were up in the first months of this year by hundreds of percentage points because we are built to specialize in this type of environment when everything is falling apart and whatever is left standing won’t remain upright for long.
Central banks are destroying the world out of malice and rage in order to bring in something even worse. To stay up on the details and plot your next moves, you need someone telling the truth rather than relaying more central banking lies. Please subscribe to our TDV newsletter HERE.
Anarcho-Capitalist. Libertarian. Freedom fighter against mankind’s two biggest enemies, the State and the Central Banks. Jeff Berwick is the founder of The Dollar Vigilante and host of the popular video podcast, Anarchast. Jeff is a prominent speaker at many of the world’s freedom, investment and gold conferences including his own, the world's largest anarcho-capitalist conference, Anarchapulco, as well as regularly in the media including CNBC, CNN and Fox Business.
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