India imports 97 tons of gold in April
May 13, 2013
India's trade deficit increased quite a bit in April, as Indians took advantage of the low gold prices. Gold imports increased from $3.1 billion in March to $7.5 billion in April.
I worked that out on the calculator. The INCREASE from March is $4.5 billion, which, at a price of $1450/oz, comes out to about 97 tons of gold. That was not the total amount that India imported. That was just the increase from March figures. And keep in mind that these were imports of physical gold, not theoretical paper entries on a computer.
India's economic boogeyman, the monthly trade deficit, continues to rear its ugly head, this and every time, driven be the country's insatiable desire for gold which is so powerful, the country took full advantage of the plunge in gold prices, and saw business imports of gold soar by 138% y/y [year to year] in April, forcing the trade deficit to hit a 3 month high of $17.8 billion as more fiat left the country in return for bringing in more of the "barbarous relic." Gold imports more than doubled on both a Y/Y and sequential basis, with gold accounting for $7.5 billion, or 18% of total imports, compared to $3.1 billion in March....
Gold imports in April were $7.5 billion, compared to $3.1 billion in March. This was driven by the sharp fall in gold prices during the month.
It is becoming increasingly clear that the Fed's policy of currency debasement, along with the ongoing manipulative price slam through their banking cohorts, has created a whole new economic reality. We are fast moving toward the day when we will reach the end of the silver and gold supply that is available at these low prices. As long as any dealer is willing to sell the physical metal at a price that is linked to the paper spot price, it is probably going to be a bargain price compared to the future.
The Fed has tried hard to paint gold as "the barbarous relic" for many years. Back in the old Roman days, anyone outside of their empire was called a "barbarian," even though many of those so-called "barbarians" had a higher civilization and were better educated than the Romans themselves. The term "barbarian" was used largely as an ethnic slur. The Fed decided to use it to describe gold, hoping that it would make people despise gold, thus keeping down the demand for it.
But it appears that India has not been influenced by the propaganda. Neither has China. It appears that the West has decided to have a going-out-of-business sale on gold and silver and is slashing prices. Everything must go! The Asian market is flocking to the Fed's garage sale.
In the end, the West will have a lot of paper, and the East will have a lot of gold and silver. Who do you think will have the real wealth in the end? It has been said that in the end paper money always returns to its intrinsic value--zero.