Russia Adds 300,000 Ounces of Gold to its Reserves in July

[Smaulgld]

Russia continues its de-dollarization project by adding 300,000 ounces of gold to its growing gold hoard in July.
Chart:
http://smaulgld.com/russia-adds-gold-reserves-july/

 

[TheCount]

If it bought gold with its currency, isn't it de-rubelization?

 

[CaptUSA]

If it bought gold with its currency, isn't it de-rubelization?

No, he's alluding to them moving away from dollars as the reserve currency. Right now, this is small enough to go under the radar (relatively), but it's clear that Russia and China are prepping. If they did it faster, it would cause panic. My uneducated calculation is that this still gives us plenty of time before we really need to worry, but if they pick up the pace - watch out.

 

[Smaulgld]

If it bought gold with its currency, isn't it de-rubelization?

No, it's swapping one reserve (dollars) for another (gold)

 

[Smaulgld]

No, he's alluding to them moving away from dollars as the reserve currency. Right now, this is small enough to go under the radar (relatively), but it's clear that Russia and China are prepping. If they did it faster, it would cause panic. My uneducated calculation is that this still gives us plenty of time before we really need to worry, but if they pick up the pace - watch out.

Exactly and some believe China and Russia have far more gold then they say and the US has far less

Check out my two part series on gold and silver manipulation-start here http://smaulgld.com/gold-silver-price-manipulation/

 

[TheCount]

No, it's swapping one reserve (dollars) for another (gold)

Wow, that's a lot of dollars. What is that huge glut of new supply of dollars doing to the value of the dollar in currency markets?

 

[oyarde]

I believe there are more metals held by China , India , Russia than what people may believe.

 

[Smaulgld]

I believe there are more metals held by China , India , Russia than what people may believe.

and less held by the US
Here is what the countries supposedly have:

http://smaulgld.com/gold-reserves-country-top-twenty/

 

[Smaulgld]

Wow, that's a lot of dollars. What is that huge glut of new supply of dollars doing to the value of the dollar in currency markets?

the gold bought and held by Russia in the grand scheme is very little. They bought 390 mill of gold in July and hold a small pct of their reserves in gold- working on putting that data together

 

[Zippyjuan]

In June (latest figures available) Russia also increased their holdings of US Treasuries by $2.5 billion. http://www.treasury.gov/ticdata/Publish/mfh.txt

 

[tod evans]

In June (latest figures available) Russia also increased their holdings of US Treasuries by $2.5 billion. http://www.treasury.gov/ticdata/Publish/mfh.txt

How much of that $2.5B is interest accrued?

 

[Smaulgld]

In June (latest figures available) Russia also increased their holdings of US Treasuries by $2.5 billion. http://www.treasury.gov/ticdata/Publish/mfh.txt

But still down from $150 billion in October 2013
http://smaulgld.com/foreign-holdings-u-s-treasuries/

 

[Zippyjuan]

How much of that $2.5B is interest accrued?

If they used the interest to buy new securities it could be.

 

[tod evans]

If they used the interest to buy new securities it could be.

Surely it doesn't matter to Russia if they're given green paper or blue...

But to make it sound like they willingly undertook more US debt is probably disingenuous..

 

[TheCount]

the gold bought and held by Russia in the grand scheme is very little. They bought 390 mill of gold in July and hold a small pct of their reserves in gold- working on putting that data together

I think you're missing the fact that their central bank is desperately propping up the value of the ruble using HFT to regulate its value in comparison to the euro and dollar. They've had to increase transactions lately in order to prevent their currency from going directly into the shitter.


Despite all of this, mysteriously the ruble is depreciating and the 'rapidly de-dollarizing' dollar is appreciating. As if you could de-dollarize when your central bank's monetary policy is directly linked to the dollar.

 

[Dforkus]

I think you're missing the fact that their central bank is desperately propping up the value of the ruble using HFT to regulate its value in comparison to the euro and dollar. They've had to increase transactions lately in order to prevent their currency from going directly into the shitter.


Despite all of this, mysteriously the ruble is depreciating and the 'rapidly de-dollarizing' dollar is appreciating. As if you could de-dollarize when your central bank's monetary policy is directly linked to the dollar.

Yah... We in the west have our warts, lots of them, but if you are looking for sound, well-planned economic policy, Russia is not the place you should look....

 

[Demigod]

Wow, that's a lot of dollars. What is that huge glut of new supply of dollars doing to the value of the dollar in currency markets?

Nothing ,you are printing tens of billions of dollars and it has had a very small effect on your currency.The dollar is maintained by trust.Look at how big of a hit the dollar took after 9/11 . At this moment the dollar is traded so much.But if the world even for a second thinks that the USA is going down the dollar will sink like a stone.

 

[Zippyjuan]

Article from March:
http://www.rawstory.com/rs/2014/03/...billion-in-foreign-currency-to-prop-up-ruble/

Russia sells off record $11.3 billion in foreign currency to prop up ruble

Russia sold a record $11.3 billion in foreign currency to support the ruble on March 3, the so called “Black Monday” when the ruble came under unprecedented pressure due to concerns about conflict in Ukraine, central bank data showed on Wednesday.

The Russian central bank sold foreign currency to buy rubles and prevent the Russian currency from falling further, after the market reacted with panic to parliamentary approval for President Vladimir Putin’s request to allow military action in Ukraine.

 

[oyarde]

All they really need to do is make circulating rubles in precious metals .

 

[Zippyjuan]

That would help reduce their gold reserves.