 from: http://preciousmetalspete.blogspot.co.uk/
... Please let me also comment on the bizarre public discussion we are currently facing in Germany on the safety of our gold deposits outside Germany -- a discussion which is driven by irrational fears.
In this context, I wish to warn against voluntarily adding fuel to the general sense of uncertainty among the German public in times like these by conducting a "phantom debate" on the safety of our gold reserves.
The arguments raised are not really convincing. And I am glad that this is common sense for most Germans. Following the statement by the president of the Federal Court of Auditors in Germany, the discussion is now likely to come to an end -- and it should do so before it causes harm to the excellent relationship between the Bundesbank and the U.S. Fed.
Let's get back to facts and figures: I would like to remind you that our gold reserves are part of the German currency reserves. These were accumulated over time thanks, in part, to Germany's economic boom in the 1950s and 1960s. Germany's growing economic strength, especially its strong external position, resulted in rather large trade account surpluses, most of them acquired in U.S. dollars. At that time, the International Monetary System, known as the Bretton Woods system, was dominated by the U.S. currency. As long as this system was in force, which was up until 1971, the U.S. Fed was obliged to exchange its currency for gold.
Any current account surplus thus resulted in an increase in Germany's gold reserves. This gold was stored in U.S. vaults for obvious reasons. This was not only the case for the gold held by the Bundesbank -- it was, in fact, common practice. By the way: It was the only practical thing to do, since running a trade account deficit meant a decrease in gold stocks.
Thus, we are now looking back at 60 years not only of fruitful cooperation in many fields and international fora, but also of storing gold and trading via the New York Fed. As a matter of fact, it is sensible for us to do so in New York, as Frankfurt is not a gold-trading venue.
Throughout these 60 years we have never encountered the slightest problem, let alone had any doubts concerning the credibility of the Fed. And for this, Bill [Dudley, president of the Federal Reserve Bank of New York], I would like to thank you personally. I am also grateful for your uncomplicated cooperation in so many matters. The Bundesbank will remain the Fed's trusted partner in future, and we will continue to take advantage of the Fed's services by storing some of our currency reserves as gold in New York.
At the same time, you can be assured that we are confident that our gold is in safe hands with you. The days in which Hollywood Germans such as Gerd Frobe, better known as Goldfinger, and East German terrorist Simon Gruber masterminded gold heists in U.S. vaults are long gone. Nobody can seriously imagine scenarios like these, which are reminiscent of a James Bond movie with Goldfinger playing the role of a U.S. Fed accounting clerk.
While gold is important, we have to combat a crisis of confidence in the euro area. This is the task we need to concentrate on. And we will do so.
These few extracts reveal the deplorable stupidity of the case that is spun to account for Germany's Gold being stored at the NY Fed. There is not a single phrase which does not scream 'this is the most disingenuous narrative we can construct' and 'anyone with eyes even half-open will see straight through this measly and wholly ineffective effort to deceive.'
The reality is that the Bundesbank does not care for, nor take care of Germany's Gold. The Bundesbank could not care less about Germany's Gold. The Bundesbank does not see Germany's Gold in those terms; it does not see Germany's Gold as Germany's Gold.
You think it does; you believe it should. But just because the Bundesbank operates in Germany, in that geographical space, that does not imply or suggest that it works in Germany's best interests. Au contraire.
The Bundesbank's allegiances, its raisons d'etre, its modi operandi have nothing at all to do with safeguarding Germany's assets, rather they are focussed on exploiting and stealing the value of those assets. Just like every other Central Bank.
The Central Banks of the world don't work for the citizens of this or that country. They do not serve the interests of the citizenry. They suck every available drop from the gnarled, wrinkled, sagging, soon-to-be-empty tit of each and every citizen. From the cradle to the grave, you are owned by them, and their job is to suck you dry.
The Central Banks work with and for each other under the umbrella of the BIS. Of course, there is a heirarchy. These are Rothschild Central Banks, so don't agonize too long over the ranking.
And there you have it, a charming deceit, in which peoples are fooled to accept as intuitively right what is, in truth, an outrageous lie. The Bank of England does not work to benefit the government and the British people; The Fed Reserve likewise is no friend to USA citizens; the Bundesbank cares not one jot for the welfare of the German people... Ad Infinitum....
Now re-read the above excerpts, knowing that the Bundesbank is in bed with The Fed Reserve, and every other Central Bank.
Don't fret, don't agonize, don't worry...There is nothing you can do about it. It is a waste of time, effort and resources to get angry or upset. Just open your eyes and know the truth. Nothing will change; they aint going to stop the artifice. Commented 4387 days ago |
