China buying IMF bonds for first time!!!!
SAN FRANCISCO (MarketWatch) -- The Chinese government has agreed to purchase up to $50 billion worth of International Monetary Fund bonds, the first such notes in the fund's history, the IMF said Wednesday.
The global organization said the note purchase agreement "offers China a safe investment instrument," and is part of a broader plan to help the fund weather the economic downturn.
The IMF announced plans to issue bonds to member countries in June, as part of a plan to help bolster its resources. China expressed interest at that time in purchasing the notes.
Other countries reportedly interested in purchasing the IMF bonds include Russia and India.
The IMF said in a statement that the Chinese purchase will help "boost the Fund's capacity to help its membership -- particularly the developing and emerging market countries -- weather the global financial crisis, and facilitate an early recovery of the global economy."
Chinese officials have previously held up the IMF as a possible source for a world reserve currency to supplement or replace the dominant role of the U.S. dollar.
link:
http://www.marketwatch.com/story/china-to-buy-up-to-50-billi...
I wonder if the bonds are backed by the IMF gold reserve?
Maybe we can borrow some
Maybe we can borrow some money from the Chinese so that we can buy some too!
This is one reason for rise in gold price. now $985.90!
Metal Bid Ask
Gold $984.90 $985.90 up 7.30
Silver $15.75 $15.80 up0.43
Platinum $1,236.00 $1,246.00 up 14.90
Palladium $289.30 $294.30 up 4.40
Updated:9/3/2009 10:12:10 AM CST
https://www.apmex.com/Default.aspx
Ron Paul warned us about SDRs!
Incrementalism!!!
As will the price of gold, silver, platinum and palladium go up, incrementally.
grant
Direct Question - In Summary
Based on the below posts I have this question that is simply a rewording of the below posts.
Does the IMF Actions with SDRs and bonds directly and blatantly violate the existing powers of the Federal reserve and the participation of the US in the IMF under current law. I am not tryign to be funny but... Under current law only the Federal reserve can print money out of thin air right?
Is this something that can be stopped easily under the current accepted conventions that the fed and imf operate under via current us law.
Is this a consequence of the gold selling thing for the IMF that passed congress a few months ago.
Nope...
The IMF is a central bank as well... it is not printing money with bond issuance. Actually, the bonds are issued on credit extended from the member countries. The IMF is outside of US law... although it is using American taxpayers as collateral.
In a nutshell... we as taxpayers are funding the continued devaluation of our own dollar.
We are using our own credit to destroy our own assets.
Gotta love central banks.
Not.
~Live life to its fullest, with an open heart, open arms and most important... an open mind~
.
.
Prepare & Share the Message of Freedom through Positive-Peaceful-Activism.
IMF bonds are 50% US dollars
at least that is how i understand it. so while it appears to be a big shift away from US dollars, which it is, the IMF is still pretty heavily weighted in us dollars.
44%....
read my post below.
What it actually does is make us finance a disportionate share of debt with said dollars short-term... which pressures the Fed to raise interest rates or just print more.
These are 18-24 month bonds, tops.
So this isn't a good thing.
~Live life to its fullest, with an open heart, open arms and most important... an open mind~
China sold us the rope with
China sold us the rope with which we have hung ourselves. :-\
"You are a den of Vipers.I intend to rout you out and by the Eternal God I will rout you out."
.uǝʞɐɥs puɐ uʍop ǝpısdn pǝuɹnʇ ǝq oʇ spǝǝu pǝɟ ǝɥʇ
For an informed citizenry, individuals must discard the television set in favor of the acquisition of information via either books and/or the internet. An uneducated populous will remain in ignorance and thus continue to suffer the sharp ax of tyranny.
Thanks for sharing
I've been watching this unfold....soon and very soon you may see Obbbbbama announce The North American Union!
Well, I guess the jokes on them then...
Because the IMF is largely backed by the very same taxpayers that the US government is...
lol..
The IMF is run by the very
The IMF is run by the very same people running The Fed. Perhaps The Fed is running scared of an audit, in part, because it will uncover a connection?
its not only China, its
its not only China, its Russia etc.... with the new elected leader of Japan coming out saying they will not be buying our debt, I think he see's the writing on the wall. he is alighning himself with the Chinese and the Russians. They all know what is coming and they pull the strings.. Hope you all have bought as much silver as you can comfortably purchase. PHYSICAL SILVER.. NOT SOME STUPID DERIVATIVE..
A prudent man foresees the difficulties ahead and prepares for them; the simpleton goes blindly on and suffers the consequences. Proverbs 22:3
Matthew 10:34 Think not that I am come to
send peace on earth: I came not to send peace,
but a sword.
checkmate.
-------------------------------------------------------
Peace, Freedom and Prosperity. Not War, Welfare and Bankruptcy.
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Peace, Freedom and Prosperity. Not War, Welfare and Bankruptcy.
------------
Bump
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check mate
This should be front page.
yes.. it should be.. but
yes.. it should be.. but this means that the dollar dies, gold and silver go to the moon, and we will be passing trillion dollar notes around like they do in zimbabwe.. what is scary about this is the idiots in DC and specifically the IDIOT in the white house will go to war over this.. you watch.
A prudent man foresees the difficulties ahead and prepares for them; the simpleton goes blindly on and suffers the consequences. Proverbs 22:3
Matthew 10:34 Think not that I am come to
send peace on earth: I came not to send peace,
but a sword.
Do you overreact to everything bad_karma?
Buy a calculator and a spell check. $50 billion is a drop in the bucket. Half the money is US dollars. Between all the BRIC counties and Japan there isn't
$200 billion "indicted for" yet. Besides unless the Arabs jump in, its a moot point, oil is still priced in dollars.
No thing lasts for ever.
Priced in dollars, but not eternally.
grant
Oil isn't priced 100% in
Oil isn't priced 100% in dollars anymore.
jeff345660987123 2434566098771
jeff345660987123243456609877122 proven wrong again.
A prudent man foresees the difficulties ahead and prepares for them; the simpleton goes blindly on and suffers the consequences. Proverbs 22:3
Matthew 10:34 Think not that I am come to
send peace on earth: I came not to send peace,
but a sword.
I've been reading your post for about 2 years now
I have always thought that your post were good reads and good advise. Ron Paul has warned us of inflation, yet we seem so divided over the issue. I still firmly believe that inflation will be the big event that leads us to a choice, central economic planning and one world currency or freedom and free markets.
Not good for dollar?
Can we get some finance guys to comment on this. It seems to fit in with some theories around here.
Getting Ready for 2012!
http://garyjohnson2012.blogspot.com/
They are denominated in SDR's....
The SDR is the IMF’s composite unit of account that is comprised of four major freely convertible currencies with the following weights: US dollars: 44 percent; euros: 34 percent; yen: 11 percent; and pound sterling: 11 percent. It is expected that the maturity of these bonds would be relatively short, perhaps around 12-18 months.
Artlicle here explaining them and some implications for US dollar/treasuries...
http://www.brookings.edu/articles/2009/0504_IMF_bonds_prasad...
~Live life to its fullest, with an open heart, open arms and most important... an open mind~
Thanks for the link
If I understood that correctly, China is buying these bonds with U.S. dollar reserves.
This is news
.
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