Friday, June 12, 2009

The Fed wants transparency?

How much of a joke is that? Didn't the Fed fight tooth and nail on Bloomberg's FOIA? Did the transparency on the emails on the Congressional grilling yesterday show that the Fed wants transparency?

Here's what we do know. We know that the Canadian banks were in much better shape than ours. And we also know that Canada's Royal Mint is missing gold:

A significant quantity of gold, silver and other precious metals is unaccounted for at the Royal Canadian Mint.

External auditors are investigating a discrepancy between the mint’s 2008 financial accounting of its precious metals holdings and the physical stockpile at the Sussex Drive plant. The mystery raises possibilities from sloppy bookkeeping to a gold heist.

Officials with the commercial Crown corporation are saying little and refuse to confirm the amount and value of unaccounted gold, silver and palladium.

How about here in the U.S?

2,920 million metric tons of gold compounds were exported in 2008. Does anyone believe the Census definition of "gold compounds?" How big is that number? How about the distance of the sun away from us? 93,882,516 million ounces, or $88 billion dollars, or about 14X the annual US mine production of gold.

Do you think our Fed wants sunshine when we can't even have any transparency about gold?

Instead, the scent gets thrown off because of the story of the $134 billion of bogus notes.

Which is why Jim Sinclair had this beauty to say:

"So please pay attention to the following.

I have heard rumors for some time, but today it was confirmed to me, that the Canadian mint’s present problems are not unique and that other depositories (vaults) have had an army of auditors descend on them in the last two weeks. Some of these depositories have names so famous that it would scare the hell out of you. The repercussions would be drastic if they turn out to be troubled.

Why take the risk?

I suggest to you now that you take delivery of all gold held in vaults and depositories on your behalf, but this time even from the most prestigious."

Would it really surprise anyone that shorting of certificates has now gone over to the shorting of gold?

And if we have these discrepanies in gold, what happens then, with the Fed and their electronic money?

Which is why we hear this from the Fed the other day.

"The Federal Reserve strongly believes in transparency as a fundamental principle of central banking in a democracy."

Yeh, right!

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