China Gold Could Cause Tsunami of Dollars in US-Rob Kirby

4thBy Greg Hunter’s USAWatchdog.com

Gold expert Rob Kirby arranges deliveries of the yellow metal to his clients measured by the ton.  Kirby says news that China may disclose it has 30,000 tons of gold will be devastating for the West.  Kirby contends, “We could be fast approaching the moment when the tide is going to turn and go out, and we are going to find out who’s wearing a bathing suit.  I think that time is fast approaching, if it is not here already.”  Kirby also says, “I think the implied message is we are going to show you how much we have, and then you are going to have to show us how much you have. . . . America, very likely doesn’t have, in my view, doesn’t have the gold they claim to have.  They also probably spent a lot of other people’s gold in safe keeping.”

What would happen to the U.S. dollar if China revealed a vast holding of physical gold?  Kirby contends, “If this would destabilize the dollar enough . . . it could cause a sudden drop in the U.S. dollar, which could signal a tsunami of dollars coming back to America and could set off a very, very ugly, ugly bout of inflation, which could build into a hyperinflation in America.  This would bring social unrest in America.  This is the social unrest the U.S. military and the Pentagon have been saying is inevitable and is coming to America.  This is exactly the kind of backdrop you would expect to have before this would occur.”

Kirby points out, “The problem is our global capital markets have become criminal cesspools.  Our global capital markets right now are crime scenes.  The regulatory regime installed by the leadership of America to prevent this all from happening has been vacant.  They are derelict, and they are part of the problem.  It starts with the repeal of the Glass Steagall Act back in the late 1990’s.  You got to look back to see the context of where this train left the tracks.  This is not a derailment.  The derailment occurred a long time ago.  Right now, the engine of the train is in the middle of a corn field, and it’s still moving.”

On Secretary of State John Kerry’s recent meeting with Russian President Vladimir Putin, Kirby says, “I think increasingly the West is trying to finesse a very bad card hand.  When you know you are playing a weakened hand . . . your bets are going to become less aggressive, and you are going to adopt more of a defensive posture and possibly a pleading, and it might get to a begging posture at some point in time. . . . I feel they may want to find some sort of diplomatic track other than what the neocons have been prescribing all along.  I think this bellicose belligerent track leads us down the road to nothing but war.  I think maybe it’s beginning to hit home . . . how real and palpable the possibilities of war are becoming.  If we get war, it will be total war.  This is the track the neocons have put America on and the rest of the world.  Maybe they are having a come-to-Jesus moment.”

On the timing of the next financial calamity, Kirby says, “It wouldn’t have shocked me if it happened last fall.  The only thing I can say empirically is we have been kicking the can down the road for a long time, and when you kick cans down roads . . . none of them go forever, and it comes to a point you run out of road to kick the can, that is assuming that nobody comes in and takes the can away.”

Kirby warns, “People who have their net worth solely in financial assets, paper instruments, are going to witness, at some point, an extreme reduction in their standard of living.  That is a fait accompli.  It is going to happen.  I don’t know what day that is going to happen, but that is a guaranteed outcome from where we are today from the trajectory we are on right now.”

Join Greg Hunter as he goes One-on-One with Rob Kirby who gives what he calls “proprietary macroeconomic research” on KirbyAnalytics.com. 

(There is much more in the video interview.)

After the Interview:

Kirby says anyone who is not aware and prepared for what is coming is going to feel like they have been “hit by a train.”  Kirby has a newsletter by subscription for a fee of $145 per year.  If you are interested in subscribing please click here.  

 

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Comments
    • Matilda Walzting

      IS THE END NEAR?

      “The End”—What Does it Mean?

      When you hear the words “The end is near!” what comes to mind? Do you think of a wild-eyed preacher thundering from the pulpit and gesturing dramatically, Bible in hand? Or do you picture a bearded old man standing on a street corner, wearing a long robe tied at the waist with a rope, holding a sign bearing a doomsday message? Imagining such scenes may make some people feel concerned, while others may feel skeptical or even amused.

      The Bible does state: “The end will come.” (Matthew 24:14) The same event is also called “the great day of God” and “Armageddon.” (Revelation 16:14, 16) True, there is much religious confusion on the subject and strange, gloomy notions abound. Nonetheless, the Bible itself is quite clear about the end—revealing what it is and what it is not. God’s Word also helps us to see clearly whether the end is near. Best of all, it teaches us how to survive!

      • paul

        Probably the US is looking for a “deal” from Russia “to hold on to their Treasuries” … and likewise get a “deal” from China to hold on to their Treasuries (by offering them a significant place in the SDR weighting) … if not the “End is Near” as the likelihood of “a dollar tsunami” is not only possible … but can be exasperated by an increased possibility of war … which will then require the Fed to print up many many trillions more dollars “out of thin air” to pay for war!

      • JC Davis

        Matilda. The Lord told me the day and hour he will return. Now I will tell everyone.
        At the time you think not. The signs of the end are, and have been forever present.

        • George T. (formerley George}

          No man know the time of the coming, not even the “Son.”
          If Jesus doesn’t know, no one down here does

          • JC Davis

            George. That is what I am saying.

      • brian

        When I hear the words, “the end is near!” it harkens to mind a bunch of degenerate, soulless, immoral scoundrels and liars ingratiating themselves to all my wealth while delving into every form of debauched “pleasure” they can dream up as they pliantly occupy a seat of power corrupted to the point that it is owned by a macabre carousel of deviant freaks who have seized control of our government for the sole purpose of pillaging the society it sits atop of. I see a society crumbling under the ever growing weight of its own apathetic detritus, drooling on itself as it is bent over and abused like some male escort in a K street bungalow. I see a puddle eyed, slack jawed people who do not even have the dignity to at the very least acknowledge the raw crimes being committed against them by a sorry lot of helpless morons. I see a system of pure vandalism being allowed to operate at full tilt, burning everyone’s hard earned dollars so that some might turn a profit of a few pennies. I see a future being totally destroyed and the entire race of mankind being sold into the yawning arms of chaos for the contrived and warped benefit of a few of the poorest excuses of human beings I have ever thought possible to exist. I see people being deluded into thinking they are powerless against the crippled, without recourse when wronged by the lame and swindled time and time again by the same tired tricks of simpleminded opportunists. I see where the very worst traits and tendencies and flaws in mankind are cultivated, nurtured and harvested like some great crop of filth year over year whereby the noxious odors that the chaff of such a harvest generates chokes my soul to the point I can no longer breath but only gasp.

        When I hear the words, “The end is near” I imagine them being passed through the cracked and nearly inanimate lips of a broken man who just cannot take it anymore and is pleading to God for some kind of relief before he succumbs to the relentless tide of bullshit that is swallowing him whole.

        • Charles H.

          Brian,

          I have to admit you are a very good writer. Word usage and composure is really good – but quite dark. Much of what you describe is true. But poking your head out of the fox-hole can get your brains blown out. And I assure you that there are positive aspects to life. Like Neo, you may need to unplug a little.

          • brian

            yeah, I can get a little over the top, a little heavy handed, maybe even a little sappy sometimes, its just my personality.

        • George T. (formerley George}

          Well said and well met

      • aussie jeff

        Matilda Waltzing…..

        The end has been near ever since Christ preached about it when He was on earth!!

        you said ……..the end what does it mean?

        What it means is ………………..for those that believe in Christ, they are comanded to keep on the watch, to not fall asleep,for no one knows the hour when our saviour will arrive.
        For those yet unaquainted with the Lord, we pray for their enlightenment.
        The Great Tribulation will be a time when millions will awaken to their ignorance and believe in Christ and thus be saved.
        The apple or stick mentality of bringing people to heal, and submitting to Christ is not of God nor is it taught in the bible.
        [which I feel your post has that under lying message]
        Their is no modern day ark,their is no church, their is No organisation that can deliver us,no Kingdom Hall that will give us Divine protection,our survival solely rests on our faith in Jesus Christ being our saviour and the Grace that has been freely given to us even though not deserved!

      • Jerry

        Hear the sounds of the Shofar. We are being warned of his coming approach.
        https://youtu.be/amSpXvyPRrg

        • NC Gal

          Jerry,

          Whatever that may be, it’s definitely NOT a shofar! I grew up hearing them blown and they’re nothing like that at all. I would suspect something like HAARP or other technology, but it is not the “sound of the trumpet” spoken of in the Bible, I assure you.

    • Colin - 'the farmer from NZ'

      Allen
      Is it my imagination or is he getting better looking!
      Cheers
      Col

      • allen ols

        🙂

      • JC Davis

        LOL
        Good one.

    • JC Davis

      Now I see why folks say Obama is hypnotic. A bit over to much with breakfast.

    • Jerry

      Allen.
      Now we know where his heart is.

      • allen ols

        jerry, He is a 100 or more times worse than bill clinton, or geo. w. bush.

    • Silence is Golden

      Allen,
      He brings new meaning to “lying through your ass”. Tks for posting it. 😉

      • allen ols

        sig, My thoughts as well, It is hard to believe people were so blind to his connections to Bill Ayers, Jeremiah Wright, Saul Alinski.

    • paul

      Allen … this was pretty “gross” for those with decent sensibilities!

      • allen ols

        pau, i agree, it is hard to believe the sensibilities of voters of this a-hole.

      • JC Davis

        Right Paul. Oatmeal will never taste the same. All in fun.

  1. Donna

    Allen Ols: Just got done processing a colonoscopy. Took a peak at your video having no idea what it was about. Funny!

    • Andrew de Berry (Rev)

      Matilda – whatever one’s take on how the end will take place, Cormac McCarthy’s ‘The Road’ (in book or DVD form) portrays the sheer desolation of what, pray God, believers will be spared from. Thank you Greg once more.

    • allen ols

      donna, correct, obaahaaama is a total joke.

  2. paul

    As Rob Kirby explains … China showing the world its gold … if combined with a decoupling of the Chinese currency from the US dollar … will weaken the US dollar and destabilize the Treasury market … then as people and governments worldwide turn in their Treasury holdings … the Fed must buy up all these unwanted Treasuries … meaning the Fed will have to print “out of thin air” approximately five(5) trillion new dollars a year “in a massive stealth QE4” to pay off the holders of the Treasuries being turned in … all this new cash will be spent as quickly as possible as the dollar will be falling in value … and will create inflation (or hyper-inflation) … and at that point the price of gold and silver along with food, oil and other commodities will rise.

    • Winston Churchill

      Past tense IMO.
      Where do you think all those spendable USD’s the Chinese are throwing around came from?
      The PBOC was made a primary dealer to hide their true holdings , not to facilitate new buying.Without a FedRes audit, we have no idea whats really going on.
      The last one revealed $16tn in illicit funding,I’m sure its far worse now.

      • Colin - 'the farmer from NZ'

        Winston
        Correct me if I am wrong, but to my knowledge there has been no audit of the Fed since 1953. I remember this date mainly because it was the year before I was born.
        Cheers
        Col

    • Roger Copy

      Paul,

      ‘Critical times hard to deal with will be here.’ – 2 Timothy 1:3. Revelation 6:6 (EXB) | In Context | Whole Chapter

      6 Then I heard something that sounded like a voice coming from the middle of the four living creatures. The voice said, “A quart of wheat for a ·day’s pay [L denarius; C a Roman coin equal to a day’s wage], and three quarts of barley for a ·day’s pay [L denarius; C inflated prices caused by famine], and do not damage the olive oil and wine [C indicates only partial destruction; vines and olive trees endured drought better than wheat and barley]!”

      The price given, therefore, denotes great scarcity, though not an entire absence of food, since a man’s wages would barely suffice to obtain him food. Barley, which was the coarser food, was obtainable at one third of the price, which would allow a man to feed a family, though with difficulty. A season of great scarcity is therefore predicted, though in his wrath God remembers mercy. . .
      See thou hurt not the oil, and the wine—the luxuries of life; the cry for the oil and wine to be spared for the refreshment of the elite, never mind that the less well off will be going with out the necessities of life, bread!

    • Lake Effect

      We are probably in store for a hyper inflationary depression. Many of the world’s countries hold dollar reserves in Treasury bonds. When lack of confidence reaches a certain point, these instruments will be sold and dollars will be spent, as Paul pointed out. As Rob K said, this will cause a rapid flow of dollars back to the US which will precipitate hyper inflation which will ultimately cause destruction of the current system. IMO, During the grand reset, all dollar based paper assets including FRNotes will be revalued. Real assets will be higher priced accordingly. If the new system used by a majority of the world’s trading partners is backed by gold, a more honest system will evolve. Better hope our gold is still in the vault or we will really have problems. Rob joked about we lost ours and stole a bunch of other peoples gold along the way.

      Along with the destruction will come something new. Depends on who is in charge as to what the new system will be. A post Orwellian fascist dystopia or perhaps a more hopeful resurrection with a much smaller national government, a renewal of personal rights and a disbanded Wall St. For the evil ones who brought this all upon us, may they suffer greatly in the end.

    • George T. (formerley George}

      it would. And who will buy their products? Factories grind to a halt, peasants rise up. They can bring us down with GREAT INJURY to themselves. If you look at a scenario, look at all of it.

  3. SOS1964

    when the Prince of the empire declares national service should be reintroduced as it is a positive experience for young people it becomes clear NS is in the pipeline.

  4. Alex

    “China Gold Could Cause Tsunami of Dollars in US”. Why would China do that? The way I see it, China will suffer no less than the USA should she make this move. China is an export economy and exports make about 70 per cent of its GDP (at least that was the data last time I checked). Most of the production goes to the USA, Japan and Europe and a smaller part remains for the chinese consumers. Chinese purchasing power is still relatively low compared to the West. Announcing so much gold would lead to a much stronger RMB which would lead to nobody buying chinese goods any longer – the USA, Europe, Japan, etc all go bankrupt because they won’t be able to compete with chinese gold reserves and as a result China loses all the major markets where she is making money. Since chinese consumers have a low purchasing power, China can’t really rely on them to support an already messed up economy (shadow banking, fake GDP growing numbers). It is a road to financial destruction for China and I doubt the Chinese government wants to see Tiananmen square occupied by students, peasants, and redundant factory workers.
    I believe China has been buying all that gold in order to gain leverage over the IMF. China wants the RMB included in the SDR, and rightfully so, in my opinion. The bilateral trade deals and the accumulated gold should help when negotiations begin this autumn.
    China needs years to restructure its economy and it is trying to do so by relocating millions of peasants from the countryside to the cities (some of which have been built especially for that reason). However, such a reform takes time, especially given the size of the Chinese population. Educating your population and making it more qualified for the new jobs in the city requires time too. My point is that it would take years (if not decades) for the Chinese economy to become less vulnerable and independent from the West.
    To sum it all, I don’t think that it is likely for China to act the way Mr. Kirby said (even if they have 30 000 tones of gold, which is doubtful). China simply has a lot to lose – closing all those factories would be as big shock as the collapse of the usd for the USA. In my opinion, China would act in such a way only in extreme circumstances – an impending war with the USA, for example. Let’s hope that never happens!

    • Charles H.

      Alex,

      I seems China has a two-fold problem – One. Get out of Dollar denominated assets; because they’re getting cheated royal. Two. Diversify their products into other markets, including their own, Russia, and the new Silk Road. I think they will TRY to phase-out the American Market gradually.

    • VShook

      Your analysis is dead on. That is why China has been accumulating gold. Through accumulation, they can force their participation in (and share in the profits of) the western monetary system. China wants in on the control advantages of the financial and political manipulations characteristic of the west’s monetary system — not to destroy same. They will be just another crook seated at the monetary table of the world.

      • paul

        Hope it is not true … we don’t need additional crooks … but even if these Chinese policy makers are “new crooks” trying to establish the yuan as a reserve currency … backing it with gold to help attract foreign capital inflows … according to Bloomberg for China to create an exchange rate of one ounce of gold for every $64,000 … the country would need about 10,000 metric tons of the metal … 30,000 metric tons of gold would create a currency that backs about $21,000 with one ounce of gold.
        The US (with its deep storage gold) can only back $52,200 dollars with one ounce of this buried gold! … so even if the Chinese turn out to be new crooks on the block … with 30,000 metric tons of gold backing their currency the Yuan will be 2.4 times more valuable then the US dollar! … What this means is … you can currently buy a Yuan for about 12 cents in American money … when the re-set comes that Yuan will be worth $2.40 … or stated another way … one US dollar will be worth 20 times less then one Yuan! … meaning that a 500 Yuan “one ounce gold coin” will cost you $10,000 US dollars to buy … the question you may ask is will the one ounce US gold eagle also sell for $10,000 dollars? … the answer is “yes” because it will be exactly comparable to a 500 Yuan one ounce gold coin!

        • paul

          Correction!! … the Yuan is currently worth about 16 US cents (not 12 US cents) … therefore upon a re-set … one US dollar will be worth only 15 times less then one Yuan … meaning that a 500 Yuan “one ounce gold coin” will cost you $7,500 US dollars to buy! … with gold currently at $1,200 dollars per ounce we are looking at a six bagger in a relatively short period of time!

          With gold at $7,500 an ounce silver will trade at $625 per ounce assuming a 12 to 1 ratio … that is 36 times the current silver price … is it any wonder JP Morgan Chase bought 350,000 tons of silver!

    • Lake Effect

      They may want to focus on internal growth rather than export growth. A stronger currency stimulating Chinese middle class consumption would offset some of the losses in exports to the US. Many of their trading partners wish to leave the dollar based trade system as it stands now. IF the Chinese reveal they have 20-30,000 tons of gold, many will be wanting to store their reserves in Yuan YCL instead of in dollars.

    • jimha

      Why would China want to continue trading with the U.S. and receive worthless paper? Should the U.S. put up something of value like grains, beef etc. China may be interested although I think they plan to get a lot of that stuff from South America.

    • paul

      Alex … you know it may seem like China will be shooting themselves in the foot by revaluing their currency upward … as it will potentially hurt their exports … but if Chinese monetary actions create “a hyper-inflationary currency crisis” in Europe and America … then the artificial inflation created (by means of a hyper-inflationary collapse of the Euro and US dollar) can in fact serve to boost demand for manufactured Chinese products even at extremely high prices!

  5. Silence is Golden

    Rob is absolutely correct …..to understand where we are at…..you need to first “peel the layers of the onion back”. That is saying ….get to the root cause. That way you can form the BIG picture.
    Don’t limit the extent of your quest by impeding your search and only re-tracing history a decade or two, or three…or four.
    A substantial amount of the desperation that the US is in today, has its genesis in the year 1912.
    For over 100 years the entire media complex has acted as a Brainwashing machine.
    That together with a Cabal acting with such force to shape and form the America which is now seen and lived today ……….as being very Un-American.
    What is not taught in school, read about in books or seen in motion pictures is the TRUTH about how leading Statesmen, which were better known as Presidents, lied the US into the desperate state that it now finds itself in. These same men only achieved their office because they were either blackmailed (forced to carry out and fulfil the objectives of the crooked underworld) or sought to enhance their own political fortunes…but in doing so, they poisoned the wells of security and survival for the US.
    The lies continue and the perpetrators of these evil acts all but ensure that for as long as the Cabal can exert its influence, the closer the US will be drawn into a War in which the population is expected to die unnecessarily.

    • Galaxy 500

      Why are you posting an ad selling silver for Steve Quayle as a news story? Sneak shiite

  6. Mike from the North

    This could very well be the turning point.

    If this was a hand of poker it would be an ALL IN moment.

    Everything that happens in this controlled world happens for a reason or happens by design.

    When I saw this news yesterday about the Russian article I immediately said to myself

    THIS IS HUGE.

    When you add all of this together you must concluded that something big is about to break,

    Kerry emergency like visit to Russia. Bond market mini shakes. This new piece about China disclosing.

    2015 sure looks like the time frame for this to explode into chaos.

  7. Enki

    Gold has been money for the past 6000 years. That is why the central banks themselves keep them. It is the Khazarian Bankers who invented the paper money to rob everyone of their real wealth. Guess what, the clouds can not cover the sun forever, and when the sun shines the sheeples fools will see for themselves as how they have been robed.

    • paul

      It doesn’t stop the bankers from clouding the sky with their “contrail talk” about gold being a “useless relic” … but notice they don’t say silver is useless do they?

  8. Colin - 'the farmer from NZ'

    Greg

    You are on a roll my friend.
    There is a lot to digest in this marvelous interview with this very intelligent and genuine man. I always listen up when Rob talks and I will quote below one of the most profoundly brilliant and succinct comments that I have heard in my entire life. This one paragraph defines Rob to the core. He said this in a WD interview back in April 20th, 2014 and it is something I will never forget;

    “The real problem is with the money itself. We need to revert back to real capitalism which is real weights and measures and honest commerce. Otherwise, we are going to devolve into a very dark period of feudalist oppression.”

    Cheers
    Col

    • Charles H.

      Excellent, Col. What a brush-stroke!

      • dbcooper

        Thank you, and “Real weights and Measures” is biblical and required by GOD !! Fear Not, yours in Faith and Liberty, DB

    • Collateral Damage

      C from NZ, 🙂 (I kinda like that nickname for you)

      As an engineer, my entire professional life revolves around systems of true, honest (consistently reproducible) i.e.: ‘real, weights and measures’ (such as measures for: distance, volume, tensile strength, weight, time, etcetra.)

      Can any of you imagine building a bridge with a ‘sliding scale’ for the ‘length’ of a steel beam, the ‘volume’ of a cubic foot of concrete for the bridges foundation?

      In order for humans to precisely communicate to each other the real size of ANYTHING, there MUST be a system of ‘honest weights and measures’. COMPLETE STOP.

      Wow, here is another thought, ever heard of the phrase: “Accuracy and Precision” when measuring something? Yeah, that means that when you DEFINE anything, that you get a true, reproducible value. Sorta reminiscent of the whole underlying principal behind what Mankind has defined ‘Science’ to be – searching for ‘Accurate, Precise, and Reproducible results (sound like a system of Honest weights and Measures?).

      Well Duh [not sure how to spell that :)]

      Did any of you ever notice how incredibly bizarre it is that the only ‘value’ of measure in this world (which we use every day) and which we accept on a ‘sliding scale’ is the value of money itself?

      I can only think of three reasons to explain this nonsense:

      1) One hell of a sales job for mankind to fall for this nonsense,
      2) The sheer stupidity of the average human, or,
      3) Unrelenting pressure (i.e. ‘ramming it down our throats’) from TPTB through history.

      Personally, I think the root cause of why we (humans) put up with this crazy sliding scale for the value of money is the result of an unfortunate confluence of all three reasons listed above.

      Sincerely,

      Collateral Damage

  9. Anne Elliott

    When he said China revealing their gold would be like “watching the waters recede before a tsunami”, I got a flashback from that movie “Deep Impact” about the asteroid that hits the earth and almost wipes out the planet… Which for the US might be close to what he is talking about!

  10. Oracle 911

    Hi Greg
    For the Chinese flipping the tables is the last resort action, simply because they will be hurt too. Reason: If the US goes down on the drain the US$ will go there too, and same thing will happen to their clients banking sector thus economy.

    So the Chinese may allow rise the price of gold, but they wont disclose their true holdings until the very end or more likely until the alternative to the US$ based system wont be functioning.
    My 2 cents
    Oracle 911

    • Jerry

      Oracle.
      I tend to agree with most of your comments, but the Chinese are practical thinkers. They know it is better to cut off a cancerous limb (the dollar) than let it kill the whole body. Everything has a price. Nothing is free. Not even printed money.

      • Oracle 911

        Hi Jerry
        I know, the Chinese and Russians (they are providing the concept for the new system) will kill the US$, but without a working alternative it’s an economic suicide. Telling the whole truth they are nearly finished wit the alternative.
        And from the practical standpoint, bankrupting ALL of your business-partners is not a good strategy (inability to pay for goods is basically bankruptcy).

  11. JC Davis

    Greg. Rob gave great examples of logic, and reason. I still ask why? China spent many years and hard effort to become what they are today. They can remove the dollar in other ways, and still have clean hands. Joining the IMF is to put there approval to the very things they are fighting against. Strange move. There must be another reason.
    With the SGE , the AIIB, and other ways to become the worlds currency. It weakens them ( I think ) to join the IMF. If nothing else but to sit, and wait would be better. Why would they get rid of there leverage ? Bill Holter put out a new video yesterday on the issue.
    https://youtu.be/a6OX8BtpIT4