BRICS Gold Source & Belgium Bulge
May 29, 2014
The detection of the rapid rise in USTreasury Bonds in the
Belgium official central bank account has aroused broad and deep suspicions.
Finally an open sore is visible that cannot be explained away easily. It first
appeared a couple months ago. The initial knee-jerk reaction was that the USFed
was colluding with the Euro Central Bank to hide heavy bond monetized purchases
in New York, in effect demonstrating the Jackass point that the QE volume was
huge, that the Bernanke and Yellen Fed were astute liars using deception. Next
the evidence pointed to Russia having embarked on a significant dump of USTBonds
using the proxy of EuroClear. It all made so much sense, the Russian account
having declined in roughly the same volume as the Belgium account rose. Be sure
to know that tiny Belgium has a rather notable current account deficit, no
surplus funds to invest. Belgium has a GDP of $480 billion, the bulge fast
approaching the size of their entire economy. Their chief export is tied closely
to the hot air emanating from the EU Commission and Parliament, neither body
possessing a scintilla of global integrity.
The question must be raised whether a hidden party has joined
Russia in the dumping process. It could be that an angry Saudi Arabia has
decided to discharge large tracts of USTBonds, or maybe Iran in a new financial
war flank attack. Perhaps even China, using its Hong Kong window, has a reverse
flow with Gold bullion entering and USTBonds exiting in payment. The Dollar
empire has been in a middle stage of collapse with QE3 blessed and the Taper a
mere fiction, sustained by creative lies. Clearly,
the Belgium Bulge indicates a late stage of collapse. The game is fast changing,
using big hidden channels in the monetary war.Motives are easy to
identify. Russia is complying with the sanctions, removing funds in the face of
frozen accounts and obstructed channels. The Saudis are another newly designated
public enemy of the United States, which always prefers to maintain a list of
enemy states to keep the fascist war machine humming. The Saudis might be
discharging vast tracts of USTBonds after learning that the London bankers
stealing their Gold.
The latest pressures with Credit Suisse and even BNP Paribas
to admit guilt has an odor about it. The USGovt is forcing merger with UBS and
Societe Generale respectively, likely to enable easier Saudi gold account
pilferage, a US fascist specialty. The
ultimate vengeance by Saudi will be divestiture of USTBonds and full abandonment
of the USDollar, followed by complete adoption of the Chinese Yuan and
protectorate role. The Saudis soon will no longer have a conformity to the
USDollar linkage to oil sales. The entire OPEC bloc will follow in a
devastating blow to the USDollar. Later the final blow from that region of the
world would be the formation and launch of the gold-backed Gulf Dinar. These
steps would all be seen as declaration of war against US interests (common term
used). The death of the Petro-Dollar might have a Saudi imprint in Belgium.
Notice the Belgium Bulge Billboard, the beginning of their USTBond holding rise
in November 2013 and unmistakably in December 2013 (at $257bn). It is a giant
Red Herring in March at $381bn. When it surpasses half a $trillion, perhaps it
will be a daily point of controversial debate.
Lies, propaganda, and outright deception are the game played.
Just heard word from a Hat Trick Letter client from Belgium. He passed on the
following. Herman Van Rompuy, president of the European counsel, stated in a
weekly Belgian magazine his viewpoint regarding the Ukrainian rebellion. He
wrote, "The
revolt at Kiev in February 2014 came from the Ukrainian people themselves, sort
of a phenomenon of civilization, not caused by a political project." Such drivel that avoids the entire
Langley and Soros role with paid mercenaries to conduct the operation, even to
relieve Kiev of its 33 tons of central bank gold in the wee hours of the night
under cover of darkness, using masks, and telling the airport tower to back off.
Expect Van Rompuy to be on the defensive soon, even ousted. These guys on the EU
helm are dirty. When President of Portugal, EU honcho Barraso enabled the
removal of over 60% of the Portuguese central bank gold supply. These guys are
dirty and work for the fascist cabal.
PLAIN VANILLA INTERPRETATION
The backside decline elsewhere across major central banks has
attracted bad attention. The world is dumping USGovt debt, as they reduce
USTBonds held in portfolios in both official accounts and corporate accounts.
Ridding themselves altogether of the toxic bonds will require years and a likely
global conference on debt restructure. Recall the Jackass 2008 forecast of
USGovt debt default. A major hubbub began last March, two months ago, when total
USFed custody holdings plunged by a record $104.5 billion. Attention was raised,
bad attention, unwanted attention, a new nasty wrinkle in the global monetary
war over control of money and creation of false wealth. The
Treasury Investment Capital report indicated that Russia indeed dumped a record
$26 billion in January, equal to 20% of all of its holdings, bringing its
post-March total to just over $100 billion. The Belgians and Russians each have red
herrings of opposite type. Their account has not been lower since the Lehman
crisis. The Belgium site enjoyed a ripe $40bn rise in USTreasurys held, hardly
from the country's non-existent trade surplus. Once again, the decline in
Russian account is offset by rise in Belgian account. The intrepid Zero Hedge
journal has been covering the story extensively, as always on the leading edge.
Russia is complying with the sanctions theme, and probably continued past the
March reading in still high volume. However, there is much more to the Belgium
Bulge story.
GRAY AREA INTERPRETATION
To be sure, one must view the Bulge with a perspective in
battle terms. No doubt, Belgium is taking bonds being privately placed, with
some measure of orchestrated movement by the USFed, Wall Street, and London
banks. We are seeing the Russian dumping through secondaries and proxies, with a
possible usage of swap market in reinforcement. Overt dumping would be the
equivalent of a declaration of war. The usage of secondaries enables some quasi
deniability. World monetary war has taken a quantum jump up in intensity and
danger. More movement is seen in recent TIC Reports, with various nations like
Luxembourg, Switzerland, and Caribbean Centers pushing up on USTBond holdings.
Many are USFed partners lending a hand using hidey holes to conceal QE hidden
volumes.
JPMorgan & Goldman Sachs are the duo most active in
hidden dark pools, often using the Exchange Stabilization Fund to clean up the
mess and hide the trails. A long shot is that the Dastardly Duo might have a
problem with (say) $100bn in USTBonds stuffed on their balance sheets. They
might wish to conceal the cancerous bloat, possibly supporting their own
Interest Rate Swap position. The swaps have a floating element but also a stake
in the ground. To be sure, no entity could step in to buy them without another
round of QE, as in QE4. The focus by the alternative media is on the buyer's
identity, instead of what is the purpose of these USTBonds being held at the
EuroClear in Belgium. The
simple hypothesis stated in the previous story does not pass the deeper reality
tests. A different purpose is involved, and the size meant that it was a giant
player, like a sovereign entity.
We could be seeing some surfacing evidence of the gigantic
London Whale losses, estimated by the Voice in summer 2012 to be in excess of
$100 billion. The Jackass reported on the event two years ago. Perhaps part of
the Belgium Bulge is their position gone out of control, mixed in with the
Russian borscht soup. They have strong motive to conceal the true gigantic
extent of London Whale losses through the JPM CIO investment office. The scoop
in London is that at least two banker murders were to cover up the London Whale
revelations on staggering loss volumes. Some Swiss insurance firm murders might
be interwoven, if insurance came in the form of Credit Default Swap contracts.
The ties from Swiss RE to JPMorgan are clear, as $1 billion letters of credit
between the two giant firms leave trails. As footnote, both firms have a firm
hand in the 911 event and its scummy financial background, like a third building
full of data being demolished in the World Trade Center complex.
Another factor must be considered as part of the Belgium
Bulge. A new London source (also a Hat Trick Letter client) has noticed an
anomaly. The word has that Russia,
China, Japan, Taiwan, and Ireland have cut deals to move USTreasury holdings to
Belgium via the EuroClear. The finger of suspicion comes from thorough digestion
of the TIC Reports and other USTreasury data. Perhaps some powerful
combination of factors such as risk of sanctions, freezing their assets, and
perhaps the inability to move dollars from international jurisdictions
commencing around July. The Basel III restrictions might cause some unintended
backlash and bulges. Individual designated mainstream nations are stepping
forward to serve in proxy roles. The complexity of USTreasury holdings and their
location and also reliability of data just muddies the waters even more. So
Belgium might be a repository for funds at risk, from nations dealing with
expected obstructions. One should never lose sight of the fact that the
USTreasury Bond complex, tied at the hip with chronic annual $1 trillion USGovt
deficits, funding the endless war campaigns, with all its bond monetization by
the USFed to sustain its bubble pressures, with all the major central bank
support to keep it afloat, with all its reserves held in foreign bank systems,
together with the vast array of hidden derivative contracts, is the biggest
asset bubble in the history of mankind. Its collapse will have numerous
confusing symptoms, and be explained by as many lies.
Nothing is definitive, but many are the potential sources,
indicative of broadening crisis. Thus the Belgium Bulge. A basic query by the
observers. One must ask why the tens of $billions in USTreasury sales were not
executed and cleared via the USFed's official National Book Entry System (NBES),
designed specifically for its custodial customers. Instead, the sales were done
through the EuroClear securities clearing system, which is based in Brussels
Belgium. Bear in mind that the Deutsche Borse has its own parallel ClearStream
house for potential proxy abuse.
BRICS NATIONS SOURCE GOLD BULLION
Consider a very different story, a hypothesis in jump shift
that seems as credible as disruptive.The
Belgium Bulge Billboard might instead show posted USTreasuy Bonds as collateral
to meet a gigantic margin call for a gigantic gold contract position, possibly
to set up the gigantic vaults for BRICS central bank gold reserves, functioning
in support of the new Gold Trade Standard. The transition might be bumpy.
The position might be mixed with redemption demands for reserves held in Intl
Monetary Fund accounts, which players want dissolved. After all the IMF is
defunct, its main activity seen over the charred Greek and Ukraine fields.
Furthermore, the Belgium Bulge might mean that London sourcing has ended, almost
zero gold. The Jackass has been warning for months that true mayhem will come
when the Chinese are frustrated in sourcing further London gold. The evidence
might be the switch from hidden London sourcing to open market indications such
as the bulge.
History
might be repeating itself with a financial warfront Battle
of the Belgium Bulge, a pincer movement to capture Western gold and form the
Anti-USD Central Bank. Further parallel is the battle is against Fascism
ironically. We might be seeing the birth of the BRICS Gold Central Bank, in a
grand titanic struggle to source its gold for vault storage, decentralized as
expected. The ugly twist
is the the US-UK team are the fascist axis. The party behind the Belgium Bulge
might be facing margin calls as the Gold price slides. Instead of booking losses
and suffering liquidation of their leveraged position, they increase their
margin collateral in the form of USTreasury Bonds. The party is heavily long
some paper Gold contract or even possibly in combination with the GLD fund
shares. A normal investor or a hedge fund would certainly not have the firepower
in terms of ability to sit on a 10 to 20% loss and to maintain a position many
$billions underwater. Therefore,
the Belgium Bulge means a big Sovereign Type Entity is in the Game, who refuses
to take losses but instead continues to post collateral with a goal toward
taking Gold Delivery. Look for more margin
collateral to be posted in the next monthly reporting disclosure, and the
controversial story to ramp up. The risk to the London & New York & EU
bank cabal, is that this large player entity demands physical gold, works toward
delivery, and pays at the original $1300-1500 price on the contract, where the
posted USTBond collateral is kept by the gold exchange.
The Gold Trade Standard might be born amidst a legal challenge
to deliver the gold on the biggest delivery the world has ever seen, with
contracts on display, with Interpol officers at the table, with collateral
verified, with a caravan a mile long of armored trucks awaiting, even with Triad
lieutenants in attendance for enforcement. The remainder of the contract sale
will be settled in USTreasurys, along with the bulk gold delivery. The sovereign
players will not be shaken. They want their gold, likely to form an initial core
to the BRICS Central Bank.
The entire hypothesis makes great sense, ties pieces together,
and reflects the struggle of forming the alternative system which ushers in the
Gold Trade Standard. The King Dollar is being deposed, and the Belgium Bulge
could indicate the dismissal and derailing of the global reserve currency. The
Belgium Bulge Billboard is posted USTreasury Bonds as collateral to meet a
gigantic margin call. The players are not identified, but probably a combination
team of Russia, China, India, Saudi Arabia, possibly even Iran and Japan. They
might be working to preserve a gigantic gold position to set up the BRICS
Central Bank for Gold reserves. The gold position is clearly a group of
sovereigns (meaning nations and their finance ministers or wealth fund mgmt
team). They might not choose to conceal their activity much longer. JPMorgan
could conceal the activity easily within the bowels of the Exch Stabilization
Fund. The BRICS nations might wish to use the glaring billboard neon lights in
the TIC Report as publicity, with every intention of making the battle known to
analysts and experts in the banking industry, the entire banking industry
watching like in stadium seats. The Jackass is not an insider, but the Hat Trick
Letter team includes a few with deep insight, some insider information, and
profound savvy.
The
Belgium Bulge might be evidence that the major London Gold Drain might be almost
finished, replaced by Paper Gold sourcing done more in the open. Therefore conclude the Belgium Bulge
Billboard is a Call To Arms for the Eastern nations to fortify a gold core.
Credit goes to EuroRaj, the brilliant intrepid London bank analyst who
consistently thinks outside the box, and identifies the key elements in the
Paradigm Shift with insights of troop movements and supply chain caravans during
the global financial war. He pieced this theory together to formulate the highly
credible hypothesis. My role was to digest it, elaborate upon it, and put it to
print in the promulgation process. It lacks some details, as one would expect,
but still indicates a mammoth shift. The roots of EuroRaj come from India,
Turkey, Iran. His work experience includes London. He wrote a few weeks ago that
more is to this story besides simply Russia dumping
USTreasurys.
NAPKIN SCRIBBLES INDICATE HUGE VOLUME
Try some napkin scribbles. To get the math straight with
proper perspective, $1 billion funds roughly 25 tons of gold. So $400bn funds
1000 tons of gold, a critical mass for the BRICS central bank. The
Belgium Bulge could indicate a precious pregnancy and birth soon of a 1000-ton
golden baby! It is more
complicated, and potentially much larger a story. If leverage is being used,
typically seen as 25:1 or 30:1, then the portion of the bulge devoted to the
BRICS Gold sourcing project could be at least 8500 tons of Gold bullion, equal
to what Fort Knox had before the Clinton-Rubin gangsters stole it in full view,
under cover of the Gold Carry Trade with near 0% lease rates, right under our
noses.
More EuroRaj rationale came with some conjecture in his line
of deeper thinking. The USFed and JPMorgan agent are too skilled at concealment.
Therefore possibly conclude that the entity does not object to the billboard in
Brussels, and actually prefers its visibility from afar. We might be seeing a
time bomb where some party is controlling against JPMorgan, in the wake of
Chinese conglomerate purchasing its South Manhattan headquarter complex and
vault. Consider a small twist to this scheme too. The
sovereigns (Russia, China, India, Saudi, Japan) might have approached the Intl
Monetary Fund or Bank For Intl Settlements in confrontation to demand a
conversion of SDR pledged capital into physical Gold. If so, then the IMF/BIS then in turn
would have gone to JPMorgan and demanded from them physical Gold to be delivered
against the Special Drawing Rights on pledged account. It is a basket of
USDollar, Euro, JapYen, British Pound, but primarily USD. The IMF might be
dissolving, with evidence the Belgium Bulge itself.
Recall that the BRICS have already announced plans to set up a
Development Bank by July with $100 billion in capital, with much preliminary
ground work already completed. They also have kicked the IMF to the curb of
irrelevance, the exclamation point being the absent USGovt funding
contribution. The
Jackass suspects the official BRICS Development Bank is to be a hidden gold
central bank. The
USTBonds held at the EuroClear are collateral meant for a physical gold trade.
Notice the BRICS Devmt Bank is slowly being called the BRICS Bank in the press.
Eventually perhaps the BRICS Gold Central Bank, used to convert the toxic
USTBonds into Gold bullion. Come one, come all, as the toxic EuroBonds, toxic
UKGilts, and toxic JapGovtBonds will all be converted to Gold. They are toxic
for three simple reasons: years of near 0% money, years of unsterilized bond
monetization, years of backdoor Wall Street bailouts.
THE RISE OF THE GERMAN HUB
The Jackass sees the Belgium Bulge as a repeat of history, and
an unfolding of events toward the development and construction of the Eurasian
Trade Zone. A key element of the trade zone will be the integration of Frankfurt
Germany as a RMB trading hub. Refer to the Chinese Yuan currency, aka Renminbi.
Dozens of significant deals of size are in the works, in progress. The nation of
Germany has 3000 firms doing business in Russia. The nation of Germany stands
alongside Japan as the biggest foreign commercial partners in China. Anticipate Frankfurt
to take on the financial hub role as partners to Russia & China, not
London. A second clearing
house exists, whose presence indicates much bigger German role in Eurasian Trade
Zone matters. In addition to EuroClear there is the German ClearStream. The
German investment bankers are not only spearheading the internationalization of
the RMB but also moving fast on it. The nation of Germany will be a major
conduit for technology transfer. These are two large clearing houses (EuroClear
& ClearStream) that can also be custodial chambers. Many more developments
are in progress toward the Eurasian Trade Zone, the role of Germany teaming with
Turkey in a key role that will take the flatfooted West totally off
guard.
Watch
Frankfurt and Turkey team up to work on intermediary Gold provision for trade
settlement and for BRICS central bank provision. Both Germany and Turkey are
important swing states. They could work together in the intermediary gold
function and fortify the entire Eurasian Trade Zone. Already Hong Kong is the true
London of Asia. What incredible impact it would have if Germany and Turkey
solidify the Gold Ramparts to the Gold Trade Standard. As footnote, the Ramstein
NATO base in Germany, and the Ircirlik NATO base in Turkey, could work on the
gold transfer logistics. Moving away from heroin for USMilitary distribution
across all the NATO bases, and moving toward Gold bullion in Eurasian Trade Zone
distribution would be a very positive progression.
The Chinese Yuan trade is setting up its mutually cooperative
designated banks much like on the bare wild frontier. The Yuan Swap Facilities are much like
frontier trading posts. It looks like Frankfurt is being set up to give some
serious competition to London, as it could become the principal Western
financial hub for Eurasia. The Voice directly confirmed this
development plan for the German financial center city, the final twist cited by
EuroRaj with a stack of projects queued up. These many points, factors, and
angles are analyzed in more depth in the Hat Trick Letter reports.
The BRICS nations in the Jackass view are acting in
coordinated fashion. These players are explicitly telegraphing a message to
those who knew how to read it. The Eastern group of sovereign nations is making
a global billboard statement, a Call to Arms in the Global Monetary War, in the
Global Gold War. They wish to formulate the critical mass required to launch a
New Gold Trade Standard. They must assemble the gold reserves, a very complex
task when such great volume approaching 10,000 tons is desired (as a mere
start). They are busily sourcing the vast BRICS Gold Central Bank, which will
fortify the Gold Trade Notes used as letters of credit. It is all coming
together, and even the gold community struggles to read the signals. It is
important never to take the stories at face value. If the dots connect, even in
astounding ways, it pays to follow the pattern, to step back, and see the
picture clearly. The BRICS nations and their Associates are boldly sourcing
thousands of tons of Gold!!
********
THE HAT
TRICK LETTER PROFITS IN
THE CURRENT CRISIS.
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account of what and why things went wrong so badly. There is no other written
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impacted by having the information in the Jackass format. The system is coming
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(The Voice, a European gold trader
source)
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