We’re In A Trade War, China’s A Currency Manipulator, Gold’s A Monetary Reserve Of US Govt, But Yuan Denominated Gold Futures Contracts Begin Trading On COMEX Next Week?

Spoiler Alert: We’re all being duped…

Yesterday we highlighted a brand new product from Barclays that hits the ticker today, the “zero fee” paper gold & silver derivatives products “GBUG” and “SBUG”, Exchange Traded Notes that offer investors “exposure” to gold & silver prices, but not really to gold & silver in physical form, only exposure to price.

We also spoke about it during our live-stream yesterday (go to minute 54 for that part of the show):

It is noteworthy that Barclays is a COMEX bullion bank.

Of course, there would never be any conflict of interest or moral hazard there.

Would there?

Now, next week begins the brand new COMEX “Financially Settled” Gold Futures contracts denominated in US dollars and Chinese renminbi:

Because why buy and sell gold futures contracts and settle in gold when you can settle in paper!

James Anderson of SD Bullion has posted some pretty sweet analysis of this news.

My analysis, on the other hand, you will likely find overly crude, but for some reason, as I begin looking into this development, I’m catching a whiff of something, and it doesn’t really smell all that good.


Let’s see.

I’ve a question.

Well, actually three.

Weren’t we supposed to be in a trade war with China?

Hasn’t the Treasury Department of the United States officially designated China as a “currency manipulator”?

Doesn’t the US Treasury hold gold on its books as official monetary reserves?

Yes, yes and yes, of course, but when Deep State Globalists are the heads of both China (Xi) and the USA (Trump), we can just throw all of those pesky facts out of the window.

Because Deep State Globalists can’t stand for free market forces in gold, and they literally are afraid of silver more than anything else in this entire world.

If you think we are currently in a trade war with China for the good of Deplorable ‘Merica, then you have been duped.

If you think China is a currency manipulator but the US has not been given the common courtesy of a reach around, then you have been duped.

Because when all else fails, the very, very last thing any consenting nation will let go of is gold – just ask Venezuela, or Turkey, or Iran, how important gold is to a nation’s own security and survival?

And isn’t national security, like, some sort of really big deal for Trump?

But I digress.

Gold is the most liquid, universal currency there is (in my opinion, silver too), and the US treasury holds gold on our books as monetary reserves, but we’re just going to allow the Chinese to do who knows what on COMEX?

Then there’s that whole “central bank trading discount” given to foreign central banks to trade gold & silver futures contracts on the COMEX.

Here’s the bottom line: I’ve already proven Trump will never do anything that’s “good for gold”.

OK, “Hey Half Dollar, you don’t get it man, China’s gonna go in and clean-up shop!”.

Just like the Chinese were going to launch a gold-backed Chinese yuan?

What good can come out of China moving into the COMEX?

Just like it is not possible to go in and reform the Fed.

We can’t reform the corrupt, fraudulent COMEX.

Evil beasts simply need to be put down.

US paper Gold & Silver “market”?

Needs evil beast treatment.

Not business visas.

Which is what.

China got.


Stack accordingly…

– Half Dollar


About the Author

U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.

Paul’s free book Gold & Silver 2.0: Tales from the Crypto can be found in the usual places like Amazon, Apple iBooks & Google Play, or online at PaulEberhart.com. Paul’s Twitter is @Paul_Eberhart.