Gold (and silver) prices set to rise
Aug 20, 2012
It appears that China has decided to purchase about $6,000 tons of gold soon.
That's more than is reputed to be stored in Fort Knox.
The United States Bullion Depository holds 4,578 metric tons (5,046.3 short tons) of gold bullion (147.2 million oz. troy). . . Even so, the depository is second in the United States to the Federal Reserve Bank of New York's underground vault in Manhattan, which holds 7,000 metric tons (7,716 tons) of gold bullion (225.1 million oz. troy), some of it in trust for foreign nations, central banks and official international organizations.
China is preparing for a new asset-backed monetary system as the old western model collapses. It is said that the new system of settling payments internationally will be in gold.
China is preparing to launch direct interbank gold trading – a banned activity at present – at the end of August as part of a broader set of banking reforms.