Jim Sinclair’s Commentary
Politically if you cannot stop something, adopt it.
Canada Plays Down Concern as Dollar Approaches Parity
CIGA Eric
Canadian Prime Minister Stephen Harper’s government is shifting its rhetoric on the Canadian dollar and playing down concerns about the currency’s gains in a bid to brace companies and consumers for parity with the U.S. dollar.
Both currencies remain competitors within the race to the fiat bottom. How much does parity mean when neither can keep pace with gold?
Source: bloomberg.com
Eric,
When I guaranteed this would happen in 2005 I was laughed at by the Establishment Intelligencia. Gartman swings both way.
Jim
Central Bank Gold Holdings Expand at Fastest Pace Since 1964
CIGA Eric
Central banks added the most gold to their reserves since 1964 last year amid the longest rally in bullion prices in at least nine decades, data compiled by the World Gold Council show.
“Gold is quietly, at the edge, becoming the world’s second reservable currency, supplanting the euro and rivaling the dollar,” Dennis Gartman, a Suffolk, Virginia-based economist and hedge-fund manager, said in his Gartman Letter today. “The trend shall continue months, if not years, into the future.”
In terms of the message from the markets, I would hardly use the word quietly or second. Turn off the TV and follow the money. Global money has been moving into gold since 2001.
Source: bloomberg.com
Eric,
We are moving towards the IMF as the central bank of central banks and a virtual reserve currency emanating from the IMF.
Jim
Greece: Will ask for IMF help if EU fails
CIGA Eric
Greece warned Thursday that it will be forced to turn to the International Monetary Fund if the EU can’t agree to a bailout plan next week that will help reduce its market borrowing rates.
When all else fails, turn to the central banker of central bankers. Maybe the IMF can bail everyone out. Not sure that would be the right course of action for the advocate, designer and custodian of a new, international reserve currency.
Source: finance.yahoo.com
