Follow up to my last post about China and it's currency being backed by gold....read it from last night to catch up. Gold and bitcoin are your obvious choices here......this is a story that will be told in the history books for the rest of human civilization....no one can nail the date to a particular month and date to when the Roman empire fell just that we know it was a slow process......this US empire will be fast and the month and year that this happens will be considered the proverbial nail in the coffin on the dollar as a reserve currency. Once oil is priced outside of dollars....which it already is now with the Chinese and Brazillians and Russians trading between them with their own currencies..........but the new news here is, neither of those currencies has been backed by gold....until this new news. China has taken a step to allow oil to be traded via Yuan(their dollar) and is allowing their Yuan to be converted to gold at time of sale. The piece everyone is missing is this...if a yuan from oil traded can be converted and is backed by gold how do you determine a yuan earned from selling a bicycle vs one earned from an oil trade? You can not which means all yuan will be fractionally backed by gold at some point in the near future which is why China has been the number 1 producer of gold and the number 1 importer of gold for years.....to get ready for this generational transformation. The dollar nor any other currency in the world is not backed so think of it like this.....which would you rather hold US dollar, euro, aussie dollar, yuan or the granddaddy gold itself and its cousin silver and of course the unprintable bitcoin. The writing is on the wall. Once China fractionally backs their Yuan with gold, the US will have no choice but to either slip into oblivion in the history books of economic affairs, thus the death of the empire or our government will announce immediately that the US dollar is backed by gold at a fractional percentage. I think that's why US Secretary Munchin took a trip to Ft. Knox to announce to the world that our gold is in fact there and intact so the government could announce the dollar to gold peg starting as soon as the Chinese do. Whether you believe there is gold in Ft Knox is another topic all together but one thing for sure, Gold is going up and going up big time, fundamentals are there and technical charts shows it is breaking out and a proprietary signal I follow on monthly charts shows it has many many many months of upside ahead. Time to get get on board physical gold and bitcoin if you have been sitting on the sidelines. Now I'm sure more than half the people that read this have no clue what all this means but just know if you sit idly by and do nothing your buying power will be diminished greatly over the next 10 years.
Thanks for this bit of information. I'm following you now.