Chinese to Gold Back YUAN?

[itshappening]

LOL Cubical, that's an old picture of Schiff in your avatar...

 

[Arklatex]

http://www.libertygrotto.com/blog/?p=2692

Largest Withdraw from Large US Banks since 9/11

 

[Seraphim]

For some reason US banks were seeing massive inflows of depositor cash (despite gaining no yield on savings and the banks speculating with the depositor savings).

It could be as simple as the cash was put in the banks for short term liquidity and much of it has simply been withdrawn as planned OR depositors are starting to see just how corrupt their banks are and are withdrawing their cash for safety reasons.

I have a feeling its the first, hoping for the 2nd.

http://www.libertygrotto.com/blog/?p=2692

Largest Withdraw from Large US Banks since 9/11

 

[oyarde]

If someone backs a currency with any type of metal , would it not become the preferred currency ?

 

[Seraphim]

Yes. It would immediately lower the interest rate of that country (except for the G8 - who would only lend enough credibility to keep their interest rates where they are if they were to peg to gold).

If the country that went to the gold standard were large enough (or a bloc of courtries...think BRIC) - it would see capital flow there and likely lessen the demand for G8 bonds and their interest rates would rise as a result.

If someone backs a currency with any type of metal , would it not become the preferred currency ?