India has become a black hole for gold.

Recently I read that gold was going for $1800 per ozt in India.  I have no idea if it's true or not but I do know that the Indian government is in near panic about the fact that Indian citizens are buying gold and running away from the Rupee as if it were dengue hemorrhagic fever.  Government is mandating this and edict-ing that and taxing gold imports and coming up with all manner of unworkable face-saving schemes regarding the plummeting Rupee.  India is almost literally at war with gold!!  IMO the people of India have heard enough.  They are done with the fake money.  The herd has started to stampede and they are not going to be stopped by words and promises anymore.  The herd is past that now.  They have lost all faith in a faith based money system.  The con is gone.  Once a con dies, it is very, very hard to run it again on the same generation of patsies.

Here in America, few people feel the effects of this yet but I don't think that the movements of 1.27 billion with a B people can be ignored, especially when they have a lot more money than they used to as a result of being part of the high tech push over the last decade.  In the past it didn't really matter what others said or thought or did around the world because even a poor American had more money than a well off 3rd world citizen.  There is still a wage disparity but nothing like it used to be.  There is real money in India and China anymore.  So when these people move away from their fiat currency into gold, it creates a global black hole for gold where by gold goes into it and does not come out.

If gold is really going for $1800 per ozt at a time when gold in the US is only going for $1400 or so, what do you think the gold market is doing?  Sitting around on its hands?  Really?  When there is $400 per ozt to be made simply by buying in the US and selling in India?  Yeah, I don't think so.  If there really is that kind of price differential then I suspect that gold from the states is moving eastward at an accelerating pace, just like matter would accelerate into a black hole under the force of gravity.

Now here's the rub.  Central banks want to keep the price of gold down because gold is the only thing in the universe that can call their fiat currencies fraudulent scams.  I've written about the mechanics of this many times in my blog so if you don't understand why, just do a little poking around.  Gold is old money, real money, honest money.  In the past this downward price suppression used to work because America had all the money AND it had a stable currency.  So if gold could be made to appear "risky" to Americans then the only people with any real money could just run into the dollar and that would keep gold prices down. 

But the Rupee isn't stable, its a piece of $hit, literally not worth the paper it's printed on and the Indian government prints up tons of it all the time.  Indian debt is very high as well and their economy isn't strong enough to convince anyone that it can ever be repaid (the USA still has suckers believing that it can).  So when the government goes into high gear with the printing presses, Indians (who love gold as money and for other deep seated cultural reasons) feel very comfortable running into gold.  When Indians had no money, they had no buying power.  But now they have a lot more money and thus they do have significant buying power.  And they are buying gold like it was fresh bread in Kenya.

So the low price of gold is now actually working against those who want to prop up the dollar!  It is making it easier for others to buy the gold that is out there and to do so on the cheap.  At some point everyone is going to wake up and realize that the west has no more gold - all of it will have migrated east.  When the west finally wakes up to the monetary value of gold, THAT is when the price of gold is going to blow everyone's socks off.  When western corporations begin hoarding gold on their balance sheets instead of dollars, it is going to leave a mark on the fiat currency pushers and anyone who foolishly believes that colored paper is money.  It's not.  It never was.  This is the Grand Illusion, The Matrix, call it what you want.  It is a way for the elite to steal your labor without you being any the wiser.