Yesterday I reviewed - not in any thorough detail - the wild figures going on with gold bullion estimates, all the way from Baron Blackheath's mention on the floor of the House of Lords in 2012 of a mere 1,500 tons of gold mined in the entire history of the world, a figure that seems patently and self-evidently far too low, even though it came to Baron Blackheath from a "reliable source" (Lord Sassoon), to an equally wild figure - also in Baron Blackheath's remarks - of some 750,000 tons of gold. And along the way we looked at the strange phenomenon of Germany's disappearing gold, recalling the incident from 1928 between visiting Reichsbank President Hjalmar Schacht and his NY Federal Reserve counterpart Benjamin Strong.
So, if Venezuela, Holland, and even Ecuador can get back some of their gold, why can't Germany? Or to put the question more philosophically, what good is a gold standard (for all the metalists and bullionists out there) when the actual figures of the amounts of gold in existence are so wildly obfuscated?
Well, consider this bit of information from Zero Hedge:
"... the gold community paid great attention to the decision of the German Bundesbank to “bring German gold home”. At the beginning of 2013, the Bundesbank announced it would repatriate 300 tonnes of gold stored in the US by 2020. It is well behind schedule, citing logistical difficulties. Yet diplomatic difficulties are more likely to be the chief cause of the delay, especially seeing as the Bundesbank has proven its capacity to organise large-scale gold transports. In the early 2000s, the Bundesbank incrementally repatriated 930 tonnes of German gold held by the Bank of England.
"Because if anyone knows what really happened behind the scenes in Germany, and inside closed doors at the Bundesbank, it is Deutsche Bank.
"And there you have it: it wasn't transportation, or "good delivery standards" concerns, or anything remotely related to Germany "decididng its gold is safe in American hands", but just the opposite: Germany was pressured to keep its gold in the US after a "diplomatic" line of communication was opened, most likely the result of the Fed making it all too clear clear to the Bundesbank not only who runs the show, but what the assured failure to repatriate Germany's gold would mean for "price stability."
"Which has, for now at least, ended Germany's gold repatriation demands.
"Now the question is, just how will the US pressure the Swiss "diplomatically" to make sure its own gold repatriation referendum does not succeed. Because if Germany failed miserably to obtain 674 tons of gold in 2013, it is assured that Switzerland will find absolutely nothing in its quest to obtain more than double, or 1,500 tons, of gold as a successful November 30 referendum outcome would require." (Emphases in the original)
You'll note that these are interesting figures, compared to those bandied about in Baron Blackheath's talks in the House of Lords in 2012, for Germany was seeking to repatriate more than half of the figure Baron Blackheath cited his friend Lord Sassoon as saying was the actual amount of gold in existence, and Switzerland wants to repatriate all of that amount.
Now I don't for a moment think all the gold in the world amounts to a mere 1,500 tons. And as I have suggested elsewhere, the amount of gold in existence has been obfuscated, due to the presence within a hidden system of finance erected in the post-war period by President Truman utilizing capture Axis loot(much of it via the imperial Japanese Operation Golden Lily). I have suggested that official "guesstimates" of gold may be exceeded in actual fact by several multiples, even perhaps by an order of magnitude.
But if that's the case, then why can't Germany get its gold back? After all, if there is that much, it should be a simple matter for the Fed to deliver it. And like Herr Boehringer, I suspect it's because they don't have it. But the reasons for not having it may be far different than anyone suspects.
So herewith my high octane, bizarre, out-there-in-geosynchronous-orbit speculation of the day. I have suggested in previous blogs that with all the liquidity in the system dating from the era of the Nixon administration, that on any conventional financial analysis, we should have seen hyper-inflation and collapse long before now. Yet, the conventional models have failed, and failed consistently in their predictions, for decades. I drew the analogy to electrical current and circuits, with money or liquidity representing the current: a lot of the current was not showing up at the load end, and the same thing could be said of gold. Hence, there was another load end, not apparent on the circuit, bleeding or syphoning power (liquidity) off the circuit. I suggested that some of this was not only going into the hole of black projects research, but quite simply, going off world, in the form of trade or tribute. The same might be said of gold. In other words, if gold is being manipulated to keep prices down, then the actual physical gold should be showing up somewhere, but it isn't, at least, not in anywhere near the various numbers being bandied about.
(And, just as an aside, one of the regular readers here, Mr. G. lR., "got" the implications I was trying to communicate with the electricity analogy, for electrical and magnetic fields require the use of "hyper-dimensional" numbers like imaginary numbers to model mathematically. In other words, they require the notion of "implicate orders" and higher dimensional spaces and so on, yet another clue that conventional economic mathematical models are woefully inadequate, if indeed there is a connection between finance and physics).
In any such hidden system of finance, the Fed, and in particular the NY Fed, as depository bank of accounts for the US Federal government, would be a huge and central component and gatekeeper for such a system along with a few other agencies. If this speculation be true, then there is a layer of motivation of national, and perhaps even terrestrial, security that lies even deeper at the heart of central bank secrecy than merely obfuscating figures of gold. Pulling on that golden thread might lead to something not-on-this world, and in this respect it is interesting to note that the first hint of such shenanigans came from Hjalmar Schacht, who was well-known for his postwar connections and affairs, including a family relationship to Otto Skorzeny, including his role with other Nazis in the aftermath of the overthrow of King Farouk of Egypt in 1954, and for his connections to other such figures with chequered pasts (like Aristotle Onassis) and to people who, when asked for how the Nazis were able to achieve such stunning technological development in such a short time, merely responded that they had had "help".
Why would gold possibly be a part of this tribute or trade? Well, consider the allegations surrounding its "monatomic" form; in that consumed, powderized form, it allegedly loses 44% of its mass, and has in addition alleged healing and longevity properties. If those rumors and stories are true, then it would conceivably be of intrinsic value in antigravity research and technologies and in medical applications, and hence, of intrinsic value in trade with "whomever."
And that means that there may be messages and even subtle pressure - quiet and covert - being sent in all the games of gold bar monte; and it raises the stakes considerably that Germany has been one of the countries sending those messages.
But we needn't go into such gyrations and gymnastics of geo-syncrhonous-off-world-wild-and-crazy speculations either. If, for example, Germany's long term financial and economic ties would seem to tilt in the direction of the BRICSA bloc, and if, as I have been arguing, it's more recent announcement of military operational non-preparedness in case of a NATO emergency really means that Germany has found a diplomatic way to tell the USA to take a long hike off of a short pier over its disastrous handling of the Ukraine (not to mention Russia), then getting its gold back would be an essential step toward greater geopolitical independence on the world stage.
See you on the flip side.