Switzerland Wants Its Gold Back From The New York Fed

[phideaux]

Switzerland Wants Its Gold Back From The New York Fed


http://www.zerohedge.com/sites/default/files/pictures/picture-5.jpg (http://www.goldismoney2.com/users/tyler-durden)
Submitted by Tyler Durden (http://www.goldismoney2.com/users/tyler-durden) on 03/07/2012 18:32 -0500

Earlier today, we reported (http://www.zerohedge.com/news/germany-review-bundesbank-gold-reserves-frankfurt-paris-london-and-new-york-fed)that Germans are increasingly concerned that their gold, at over 3,400 tons a majority of which is likely stored in the vault 80 feet below street level of 33 Liberty (http://www.zerohedge.com/news/where-gold-isnt-new-york-fed-guide-most-valuable-vault-world)(recently purchased by the Fed (http://www.zerohedge.com/news/new-york-fed-buys-building-housing-plunge-protection-team)with freshly printed money at far higher than prevailing commercial real estate rates for the Downtown NY area), may be in jeopardy,and will likely soon formally inquire just how much of said gold is really held by the Fed. As it turns out, Germany is not alone: as part of the "Rettet Unser Schweizer Gold", or the “Gold Initiative”: A Swiss Initiative to Secure the Swiss National Bank’s Gold Reserves initiative, launched recently by four members of the Swiss parliament, the Swiss people should have a right to vote on 3 simple things: i) keeping the Swiss gold physically in Switzerland; ii) forbidding the SNB from selling any more of its gold reserves, and iii) the SNB has to hold at least 20% of its assets in gold. Needless the say the implications of this vote actually succeeding are comparable to the Greeks holding a referendum on whether or not to be in the Eurozone. And everyone saw how quickly G-Pap was "eliminated" within hours of making that particular threat. Yet it begs the question: how many more international grassroots outcries for if not repatriation, then at least an audit of foreign gold held by the New York Fed have to take place, before Goldman's (and New York Fed's) Bill Dudley relents? And why are the international central banks not disclosing what their people demand, if only to confirm that the gold is present and accounted for, even if it is at the Federal Reserve?

[budfox]

They should be worried.....maybe Switzerland needs their own Irish spring.....

[Strawboss]

What was it that Ponce used to say, somethin bout his hand or sumpin?

[Goldhedge]

Well, if the US can kill their ability to transact bank business via SWIFT, I'd want real money too!


Do you think they'll get the real deal, or some gold plated tungsten...?



When you distrust the party you bank with, it's time to CYA - cover your assets...

[southfork]

I think the Fed is out of tungsten bars HGE, they may have a bit of a wait, Houston we have a problem.

[budfox]

I think there's gonna be a run on gold spay paint....

[Irons]

The Swiss betta be careful, word will get out they are hiding WMD's. That never ends well.

[DonShimoda]

Is this retaliation by the Swiss for the US gutting their banking system?

[phideaux]

the Swiss people should have a right to vote on 3 simple things: i) keeping the Swiss gold physically in Switzerland; ii) forbidding the SNB from selling any more of its gold reserves, and iii) the SNB has to hold at least 20% of its assets in gold.

At least the Swiss people understand the historical importance of gold.

Can you imagine those questions being asked to the American voters? http://goldismoney2.com/images/smilies/standard/thumb.aspx.gif

i can see it now: Helicopter Ben doing a campaign commercial, right from The Fed's Helicopter 1: "Vote against the Gold referendum or the Goobermint will have to stop giving you free stuff!"

[Pyramid]

At least the Swiss people understand the historical importance of gold.

Can you imagine these questions being asked to the American voters? http://goldismoney2.com/images/smilies/standard/thumb.aspx.gif

i can see it now: Helicopter Ben doing a campaign commercial, right from The Fed's Helicopter 1: "Vote against the Gold referendum or the Goobermint will have to stop giving you free stuff!"


Absolutely correct, as there is no such thing as a free lunch...learned that in Wildlife Biology 101 as an undergraduate duckplucker. Times like this make me 110% proud to be of Swiss heritage, my ancestors in the old world continue the good fight. Going to Switzerland this summer for the first and probably only time to visit the homeland and connect with a couple of distant relatives, I'll post pics if anyone is interested.

[andial]

Re: Switzerland Wants Its Gold Back From The New York Fed

They don't have it.

[phideaux]

They don't have it.

Will the Fed have to go buy it on the Comex? :cool1:

[<===Foolsgold]

Will the Fed have to go buy it on the Comex? :cool1:

You keep it up and you'll have to move this thread to the joke forum.

[Merlin]

They don't have it.

Well, of course not. So that begs the question: who does have all that gold? Was there so little in the first place that it could all be sold out to the world's population and not be noticed?

[gringott]

Chavez was the smart one. He pulled his gold from the pot first. That caused the banksters to have to topple Libya to steal the gold there to give to Chavez. Some crazy stuff is going on with Kuomintang [KMT] gold from the 1930's, the Fed was holding it for them and gave them those bonds that keep popping up at border crossings and in police raids. Seems like the game the scammers have been using for the last few hundred years is coming to an end. The big boys want their gold back for the paper, but there is thousands of times the paper promisary notes as there is gold. Fractional gold when everyone wants theirs back can't work, in fact, just a few of them wanting it back crashes the system.

This will not end well. I think they will use war in the end to get out of it.

[HairHopper]

They don't have it.

Actually that gold is on display and the vault is open to the public.

[oldgaranddad]

Actually that gold is on display and the vault is open to the public.

Do you actually think that is real gold or just gold coated bricks?

Sounds like some countries have had enough of the gold leasing scam and want physical control of their gold for a bigger cut of the gold leasing profits.

[Irons]

Chavez was the smart one. He pulled his gold from the pot first. That caused the banksters to have to topple Libya to steal the gold there to give to Chavez.

Some crazy stuff is going on with Kuomintang [KMT] gold from the 1930's, the Fed was holding it for them and gave them those bonds that keep popping up at border crossings and in police raids. Seems like the game the scammers have been using for the last few hundred years is coming to an end. The big boys want their gold back for the paper, but there is thousands of times the paper promisary notes as there is gold. Fractional gold when everyone wants theirs back can't work, in fact, just a few of them wanting it back crashes the system.

This will not end well. I think they will use war in the end to get out of it.

Freakin' BINGO Gringott, I wish I could thank you more than once for that. :23_28_100s:

Explain that one to 1,000 people and 995 of them will look at you like you're crazy. Five will be confused.

[TomD]

So that begs the question: who does have all that gold?

The Goldman keeps his stash in sacs.

[phideaux]

Actually that gold is on display and the vault is open to the public.

There may be gold in the NY Fed's vault, but it has been sold, swapped, leased or otherwise encumbered, probably 10 times over. Who actually holds title to it is the question. Probably China. :bear_smile:

[phideaux]

Chavez was the smart one. He pulled his gold from the pot first. That caused the banksters to have to topple Libya to steal the gold there to give to Chavez.

Where is Greece’s Gold?

By Alasdair Macleod (http://www.goldismoney2.com/author/alasdair-macleod)

March 6, 2012

Recently there have been reports that if Greece defaults on the new bail-out package, creditors will be entitled to seize her gold. Whether or not this is true, it raises one big question: given the severe financial and economic crisis in Europe, what is the current collective attitude of the euro-zone central banks to gold?

Bear in mind that these central banks sought to end any monetary role for gold after the Bretton Woods system fell apart in the early 1970s. More recently, as signatories to the three consecutive Central Bank Gold Agreements, they have perhaps seen gold as a source of funds as well. But those were “happier times” for them, when progressively greater central planning and increased regulation went unchallenged by the markets. But now that monetary authorities are facing increasing criticism, the central banks’ strategy towards gold today must logically be completely different: either gold is an asset whose value has to be maximized as collateral, or it has to be held on to as a “last resort” asset. Vested interests have fundamentally altered with the change in circumstances now forced upon euro-zone governments.

The rise in gold prices to current levels underlines the point. Based on official figures, the euro zone’s share of official gold holdings as a proportion of the total global stock has fallen from 9% when the euro was introduced to only 6% today. Furthermore, an unknown quantity of this gold is held at non-eurozone central banks, particularly the Federal Reserve, Bank of England and the Bank for International Settlements, in sight accounts. With a sight account, the depositing central bank merely has a counterparty claim on its gold deposits, which allows the Fed or BoE for example, to sell, swap or lease the deposited gold as it sees fit: sight accounts are simply a means for a central bank to expand the apparent supply of gold in the same way a commercial bank expands bank credit.

The ability to create gold through the sight account system has been fundamental to bullion market liquidity in the major trading centers since the Second World War. Problems will arise when confidence in the system is questioned: for example, how much of Greece’s gold actually exists, and what has happened to any gold Greece transferred to the European Central Bank as its joining fee? This question is suddenly relevant to all central banks, not just the 17 euro-area members. We don’t know if this was in Hugo Chavez’s mind when he demanded the repatriation of Venezuela’s gold, but it may well have been. The subject has also been raised by investigative journalist, Lars Schall, with respect to Germany’s reserves at the New York Fed.

As central bankers mull the point over they may well conclude that among all their troubles there is one more that must be avoided at all costs: the possibility of a gold run by the smaller central banks on their larger peers in the major bullion trading centers. It would be a consequence of the deepening crisis involving fiat money and credit, and if this is allowed to occur all confidence in paper money itself would be at risk.

Alasdair Macleod runsFinanceAndEconomics.org (http://www.financeandeconomics.org/), a website dedicated to sound money and demystifying finance and economics. He has a background as a stockbroker, banker and economist.

http://www.resourceinvestor.com/2012/03/06/where-is-greeces-gold

[Unca Walt]

Actually that gold is on display and the vault is open to the public.

Actually, that gold is owned by twenty different entities.

Ahhh... there's the rub.

It can be displayed openly.

YAY!

The owners cannot be displayed openly.

BOO!

The owners can come get theirs at any time.

YAY!

Providing they get there FIRST.

BOO!

[HairHopper]

There may be gold in the NY Fed's vault, but it has been sold, swapped, leased or otherwise encumbered, probably 10 times over. Who actually holds title to it is the question. Probably China. :bear_smile:None the less, there are 7000+ tons of gold on display in the basement of the Fed. It's there for anyone to see and they even advertise the Gold Vault as a NY tourist attraction. it's the largest depository of gold in the world and larger than the alleged stockpile at Ft. Knox. where there is no real evidence of existence.

Paper titles are irrelevant especially when they are bankster titles. As we all know, the one who holds the physical, is the one who owns it. IMO, Switzerland and for that matter Germany do own this gold. Will they get it back? That will be interesting to see. Usually central banksters stick together because they know that a crack in their solidarity anywhere, affects them all. Chavez's move, actually it was the central bank of Venezuela to get their gold out of Dodge, might have been the start of it. On the other hand, it might be just more bluster. IMO, the USA has enough "dirt" on the Swiss historical financial dealings to get them to shut-up and I can't imagine Germany pushing hard for such a thing.

In regards to China, I wouldn't think the communists would ever give their gold to the West for "safe keeping" nor would the Western banksters ever use real gold to settle transactions with the communists. They are more than happy to instead, send them linen with the pictures of dead presidents printed on them. They, above anyone else, know the real worth of such notes.

[Silver Buck]

This will not end well. I think they will use war in the end to get out of it.

Some believe that the Euro was created to conquer Europe without having to use conventional war.

There's No Getting Around It, Germany Is Taking Over Europe

Read more: http://articles.businessinsider.com/2011-11-19/europe/30418846_1_euro-zone-euro-crisis-german-power#ixzz1oXgdgfj1

Excerpt:

"The Greeks are not alone in harboring suspicions toward Germany, which occupied the country during World War II. The British conservative press is up in arms. The Daily Mail went so far as to accuse the Germans [3] of attempting to use the euro crisis to “conquer Europe” and establish a “Fourth Reich.” Meanwhile in Poland, Germany’s supposed imperial ambitions became an issue in the recent elections.

And as the euro crisis has deepened, German Chancellor Angela Merkel has pushed for the EU to have a greater say in the domestic governance of the euro zone’s seventeen members. Among other measures, she has called for real European power over countries’ budgets."

[rodzm]

Oh c'mon you all gotta stop these crazy conspiracy theories. The gold is safe and sound

[phideaux]

In regards to China, I wouldn't think the communists would ever give their gold to the West for "safe keeping" nor would the Western banksters ever use real gold to settle transactions with the communists. They are more than happy to instead, send them linen with the pictures of dead presidents printed on them. They, above anyone else, know the real worth of such notes.

Agreed, China would never "give their gold" to the West for safekeeping.

But China has accumulated trillions of those phony phiat FRNs, and they have been buying "new" gold as fast as they can, without putting too much upside pressure on the price. IMHO some of that gold they have acquired was sold to them from the inventory at the NY Fed. China may keep it there as a bargaining chip for them to obtain the bigger role in the IMF and the World Bank to which they have aspired.

No doubt in my mind that at some point, China will partially back the Yuan/Renminbi with gold. Maybe their gold held in NY will be "collateral" to show TPTB that the backing is real, not virtual.

[phideaux]

Absolutely correct, as there is no such thing as a free lunch...learned that in Wildlife Biology 101 as an undergraduate duckplucker. Times like this make me 110% proud to be of Swiss heritage, my ancestors in the old world continue the good fight. Going to Switzerland this summer for the first and probably only time to visit the homeland and connect with a couple of distant relatives, I'll post pics if anyone is interested.

I've been to Switzerland a couple of times and it is truly a magnificent country. I'm not a city-boy but if I had to live in a "big city" anywhere in the world, Zürich or Geneva would be at the top of my list. And the smaller cities like Lucerne and Lugano are wonderful places.

Enjoy your trip, just be ready for some sticker shock. Everything is extremely expenisve when measured in US phiat FRNs. When I first visited Switzerland in the mid 1980s, one CHF was worth about 15 cents Now, the CHF is worth nearly a buck.

[gringott]

Don't confuse the People's Republic of China and Nationalist China aka KMT. They had plenty of gold, and the story is they gave to the Feds in the 1930's for "safekeeping" from the Japanese and Communist Chinese. Now they want it back. That is what those bonds that keep popping up are about. They want their god back.

[jogslvr]

I think Bolivia should demand their gold and silver back from Spain. The Odyssey salvagers really took one up the kister on that deal. Who wants to bet the 17,000,000 ounces of platinum will be going back to the government as soon as the salvager does all the grunt work?

[andial]

Don't confuse the People's Republic of China and Nationalist China aka KMT. They had plenty of gold, and the story is they gave to the Feds in the 1930's for "safekeeping" from the Japanese and Communist Chinese. Now they want it back. That is what those bonds that keep popping up are about. They want their god back.

That theory makes very good sense, I'm going with it.