News update for Tuesday
Apr 19, 2016
I spent a long day at the courthouse before they let us potential jurors go home. The judge was too busy to bring us in for questioning. But the state prosecutor did come up to me and shake my hand, wanting to talk about biblical law. His interest was piqued when I told the judge my occupation and a bit about myself during the first questioning session. I said that I was a Bible teacher and author, specializing in biblical law. The prosecutor made note of this and wanted to ask me about it further. He is a believer.
I had already felt that I should stay with this because I felt there might be an opportunity to bear witness to some truths about God's law, so the prosecutor's interest did not take me totally by surprise. Perhaps more will come of this tomorrow or at a later time. Tomorrow I will bring a copy of my book on The Ten Commandments with me, as someone may be interested in it.
Today the Shanghai Gold Exchange launched their new gold price fix denominated in China's currency. Because their currency (the yuan, or renminbi) is still not fully exchangeable around the world, the influence of this new Exchange will be limited for now, but it will grow as the yuan itself gains influence. Today the prices of both gold and silver rose, with silver rising more than 4% to nearly $17/oz.
It is also being reported that the Shanghai Exchange is pricing both gold and silver, and that the Exchange has purchased about 1100 TONS of silver just since last December.
Perhaps this has caught the markets by surprise. It appears that they have been the biggest buyers of silver in the past eight months, purchasing close to 1500 tons in that time. It appears that the time of low prices is nearly over. Apparently, JPMorgan believes the same, as it has accumulated even more silver than the Shanghai Exchange, although the investment bank has done so over a period of five years.
Stephen Leeb, one of the top money managers in the world, believes that the price of gold will soon go up to $10,000 to $20,000 per ounce, and silver will be at least $200-400 per ounce. He told King World News:
“What China has essentially done today is introduced their own gold fix priced in yuan. Once the world views gold in terms of yuan per grams of gold as the way of measuring and trading gold, that will mean that China is officially controlling the world’s gold market. You have to also remember that China has already acknowledged that they want gold to play a much more important role in the world monetary system…
“And if China is controlling the world’s gold market, gold will start to play a much more important monetary role. The reality is that China has downplayed the true amount of their massive gold holdings, and we are nearing the point where the Chinese will announce that they are the largest holders of gold in the world. This will put China front and center in terms of controlling the global monetary system and it will also put China in a position to dominate the world economy.
Meanwhile, the West is desperately trying to stop the power from heading to the East. Regardless, this world is changing very quickly and the power is moving toward the East, and investors had better take note and position themselves accordingly. What I am saying, Eric, is that investors better own gold and continue to buy gold just like the Chinese because the price is ultimately headed to somewhere between $10,000 and $20,000, and it will be the Chinese that make that happen for their own benefit.”
It may take some months or even years to reach such heights, but I am more interested in seeing silver hit $50/oz, as that is the sign I am looking for.