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China May Buy $1 TRILLION of Gold: Bloomberg

China’s Gold Reserves

China, which has just 1.6 percent of its reserves in gold, may invest more than $1 trillion in bullion, [Michael Pento of Euro Pacific Capital] said. “China wants to be an international player, and they need to own more gold than they currently have.”

...“China is out to have more gold than America, and Russia is aspiring to the same,” [Robert] McEwen, [the chief executive officer of producer U.S. Gold Corp] said yesterday in an interview in New York. “When you have debt, you don’t have a lot of flexibility. China wants to show its currency has more backing than the U.S.”

...China, with more than $3 trillion in foreign-currency reserves, plans to set up new funds to invest in precious metals, Century Weekly reported this week. Russia purchased 8 tons of gold in the first quarter.

http://www.wealthwire.com/news/headlines/1090




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No people in their right mind wants the state to own the gold.

One: It is and easy target for theft.

Two: Security costs money.

Adam Smith talked of the "Wealth of Nations". When did the collective become more important than the individual. Never.

If he had written a book about the "Wealth of Individuals." It would have had greater value to everyone.

PS: Why warn the market that they are planning a big purchase. Won't that drive up prices? Not very clever.

Free includes debt-free!

"Why warn the market that they are planning a big purchase?"

Because that's what reporters do. Did you notice how many articles were out today calling for the collapse of silver?

Should have read closer, Doh!

"Reporter" was guessing...

Free includes debt-free!

Yeah

Why would you hold a trillion in gold when you could hold a trillion in FRN's. Doh!