Caijing Chinese Premier Li Keqiang Wednesday said reserve requirements would be relaxed for qualifying rural banks in a sign that more loosening policies are likely on the way. The premier didn’t say when and by how much the reserve ratios would be lowered. The People’s
Shanghai Police Officers to Begin Carrying Guns..meanwhile, in the States, well sometimes pictures are worth a thousand words. WSJ Shanghai Police Officers to Begin Carrying Guns Move Illustrates Perception Violence From Crime and Terrorism are Growing in Expanding Urban Areas By JAMES T. AREDDY CONNECT
Wage pressure continues in China as revolts spread. The workers spend 12 hour days working for crumbs to make $5 shoes for Nike who then sell them to American Welfare recipients for $120. Welcome to the global economy 2.0. If your wondering what 3.0 is
Japan expands army footprint for first time in 40 years, risks angering China ONAGUNI, Japan (Reuters) – Japan began its first military expansion at the western end of its island chain in more than 40 years on Saturday, breaking ground on a radar station on
From cnsnews.com In 2012, according to the Census Bureau, approximately 103,087,000 people worked full-time, year-round in the United States. “A full-time, year-round worker is a person who worked 35 or more hours per week (full time) and 50 or more weeks during the previous calendar
First it was Wanda’s multi-billion dollar take-over of America’s second largest theater chain. Now China’s state-owned film distribution company is getting involved directly in the production of American movies. Keep in mind , China strictly limits the introduction of foreign media into their country. They
London (AFP) – China’s annual demand for gold could jump around 20 percent by 2017 as more of its increasingly wealthy population seek new ways to make money, the World Gold Council predicted on Tuesday. The forecast by the WGC comes after China became the
Chinese crackdown on corrupt officials is having a major effect as corrupt officials that cannot flee are now jumping from buildings or drinking themselves to death. As reported in the Chinese media… At least 54 Chinese officials have died from “unnatural deaths” between Jan. 1,
Amazing footage from the recent stand-off in Nevada as local politicians, some suspect which is Harry Reid, are using Federal troops to push people off land in order to make way for a Chinese solar farm.
Listen to the real economy folks if you want to understand
China. Instead, the media is consonantly asking the
Wall Street crowd about what is going on in China. They have
no idea because the financial sector in China is walled-off
from Wall Street. They are very very small players in China
accounting for less than 1% of the market. They are not real
players and don’t live here.
BEIJING — Daimler AG and joint-venture partner Beijing Automotive Industry Holding Corp. will spend 1 billion euros (8.58 billion yuan) to double production capacity at their Beijing plant to keep pace with rising demand. The factory, which builds C-class sedans, E-class sedans and GLK SUVs, will be able to produce more than 200,000 autos in 2015, the Stuttgart automaker said in a statement.
Despite the iPhone being made in China, political
leaders are dropping the Iphone. East Asia has
been in a mercantilist war in supporting their own
manufacturers for decades. The scary thing is, despite
having our once proud manufacturing cities decimated by
unfair trade policies, Americans still have not woken
up. I don’t think they ever will until the absolute
Want China Times…
Peng Liyuan ditches iPhone for Chinese brand ZTE
China’s first lady, Peng Liyuan, has ditched her
American iPhone for a Chinese brand model, the Nubia
Z5 mini from ZTE, reports our Chinese-language sister
paper China Times.
Peng, a folk singing legend and wife of President Xi
Jinping, was photographed with her new smartphone at
a soccer match in Germany on March 29.
The images went viral on the internet in China almost
instantly, with ZTE also taking advantage of the free
advertising by posting photos of Peng on its official
microblog page with the message: “The Chinese Dream
starts with ‘Made-in-China’.”
Billions in Fake U.S. Bonds Continue to Surface as Men Try and Deposit €3 Trillion into Vatican Bank
03JUNE2009- The Chiasso Bond Scandal is uncovered.
Italian customs/financial military police (Guardia
di Finanza) detained two Japanese nationals in their
50s who had attempted to enter Switzerland with a
suitcase in their possession with a false bottom
containing U.S. Treasury Bonds worth $134.5 billion.
Both men were released and very little of the incident
was made in the press.
18SEPT2009- a similar incident was reported by the
Italian financial military police Guardia di Finanza,
this time involving two Philippine nationals smuggling
U.S. Treasury bonds (valued at approximately $180 billion)
at Malpensa Airport in Milan.The two were detained.
26JANUARY2011- another similar incident was
reported by the Italian military police Carabinieri, this
time involving six smuggling U.S. Treasury bonds (valued
at approximately €20 billion and said to be counterfeit)
at a highway rest stop.
17FEB2012, it was reported, Italian police
seized $6 trillion in counterfeit U.S. bonds.
And new breaking news out this weekend…..
The Vatican police in Rome on Saturday apprehended an
American and a Dutch man who were trying to deposit
billions of euros and US dollars in fake bonds in the
The haul came a day after Italian prosecutors said two
former top executives at the Vatican bank will go on
trial for money laundering in a case that led to the
seizure of 23 million euros ($32 million).
Press officer Max Hohenberg said the American and Dutch
man “are neither clients of the bank, nor were they
One must ask the question….how many fake U.S. Treasury
bonds are out there. Indeed, at this point, it seems
as if the U.S. bond is now replacing the Weimar German
currency as people are smuggling wheelbarrows of it around
the world. How is it possible that someone has a reasonable
chance of depositing billions of bonds into a bank without
an appointment or notification. It must happen, otherwise
we would not see this amount of attempts. Imagine the cases
of fake bonds that are out there that are yet undetected or
have been deposited. Trillions could be on deposits now
that are complete frauds.
If you don’t believe it can happen, I can tell you I
personally know a Chinese company that accepted a 500
million Euro note as investment collateral from an Italian
business partner and it turned out fake. The Italian business
partner was a state-backed energy company. The fake bond
even contained some spelling errors. This information as
never been released to the public. If I personally know of
one case…imagine how many other cases of fake bonds are out
there. Indeed one reason this issue shows up very little in
the press is that this information could rock the entire
financial system to the core.
The whole situation brings to mind the time when U.S. Treasury
Secretary Timothy Geithner traveled to China (in June 2009) and
asserted in Beijing that Chinese financial assets denominated
in the U.S. dollar “are very safe,” it drew laughter from the
audience, even though laughter was not Geitner’s intent.
Were all laughing now….at least until the crying starts.
As the world waits for the economic explosion of
China…the world’s strongest economy just rolls on.
Let’s Roll America.
After stamping out the speculators with the widening of
the Yuan ban from 1% to 2% here comes the Long march higher.
The Chinese yuan rallied against the U.S. dollar Monday,
posting the largest daily rise since March, 2012. The USD/CNY
exchange rate jumped 316bps to close at 6.1943, snapping a
declining streak for weeks.
The Chinese currency dropped by 1.2 percent last week and
nearly 3 percent since February as a result of weak economic
data and central bank guidance.The People’s Bank of China (PBoC)
set the central parity rate for the yuan versus the U.S. dollar
at 6.1452, 23bps lower than 6.1475 last Friday
JIM RICKARDS: CHINA IS IMPORTING GOLD SECRETLY USING
The Inteligencia Financiera Global blog
(Global Financial Intelligence Blog) is honored to present
an exclusive interview with economy world expert Jim
Rickards. Jim is the author of the bestseller “Currency Wars:
The Making of the Next Global Crisis” and the forthcoming,
“The Death of Money: The Coming Collapse of the International
He is a portfolio manager at West Shore Group and a partner
in Tangent Capital Partners, a merchant bank based in New
York. He is an advisor on capital markets to the U.S.
intelligence community and the Office of the Secretary of
Thanks for accepting this interview.
Jim, as you know, China is now the world’s largest consumer
of gold. While the WGC states that its “record” demand in
2013 was only 1,065.8 tonnes, the China Gold Association
estimates “gold consumption” was 1,176 tonnes. On the other
hand, several pundits like Koos Jansen say that the real
China gold demand was much more than 2,000 tonnes last year.
Who should we believe?
- There are many estimates of official and non-official
accumulation of gold in China. The truth is that no one knows
the exact number because China is non-transparent about the
total amount of gold coming into the country and its own mining
output, and it is not-transparent about how much of that gold
goes for personal acquisition and now much to government
reserves. So, all analysts, myself included, are working with
imperfect or incomplete information.
We do know that some gold comes into China using military
channels and is not reported to any authority. As a result,
even the best estimates may be too low. The best guide is to
assume China has some target in mind, probably 5,000 tonnes or
higher, and will continue to accumulate through diverse channels
until that target is reached. My estimate is that China will
announce it has over 5,000 tonnes of gold in early 2015.
It probably has at least 3,000 tonnes today.
Why is China buying such big quantities of gold? Is Beijing
preparing for the collapse of the fiat monetary system? Do
they want to replace the USD with yuan as a reserve currency?
- China has no prospect for replacing the USD with the yuan as
a global reserve currency. This would require China to open its
capital account, which it does not want to do. It also requires
a good rule of law and a deep liquid bond market with financing
and hedging instruments, which it does not have. So, the yuan
will not be a reserve currency for at least ten years, possible
longer and the Chinese know this. The reason China is acquiring
gold is to hedge its exposure to dollars. China actually wants
a strong dollar because they own over $3 trillion in dollar
denominated paper they cannot dump. If the U.S. inflates and
devalues the dollar, gold will go much higher in price.
Whatever China loses on its paper due to dollar inflation,
it will make up on its gold profits. So, China is hedging
dollars with gold. Other investors should do likewise.
Gold is going from West to Far East, that’s a fact. It seems that
the “developed” economies are being left only with paper “gold”.
Could this lead to future war tensions between China and Russia
on one hand, and the US, Europe and Japan on the other?
- Gold is certainly moving quickly from vaults in the U.S. and
Europe to as those maintained by the COMEX and the GLD ETF, in
the direction of vaults in China including those of the
government. Much of this gold passes through Swiss refineries
where it is melted down from 400-ounce bars of 99.90% purity
and re-refined and recast into 1-kilo bars of 99.99% purity.
When gold moves from west to east, there is no change in the
total stock of gold, but there is a reduction in the floating
supply since COMEX and GLD gold is available for trading and
leasing whereas China’s official gold is not. This implies a
gradual unwinding of paper short positions in gold, because
there is less physical available to support the paper trading.
In turn, this supports a higher price for physical gold.
A higher price for gold means a low value for the dollar when
measured in gold. This will increase tensions
between China and the U.S. Tensions are already high between
China and Japan over the South China Sea islands, and between
the U.S.and Russia over Ukraine. Taken in combination, the
potential for a mistake or escalation resulting in actual warfare
prompted partly by increasing gold prices is growing more likely.
Chinese military strategy is all about denying access near
their borders which include the East China Sea and South
China Sea. They understand, the U.S. military has in many
ways become to technically dependent. You take out the
Sat-Nav systems and entire weapon systems loose all
Want China Times
China is developing a new anti-satellite weapon based on
a road-mobile ballistic missile, writes Brian Weeden, a
technical adviser for Secure World Foundation in a 4
7-page analysis written for the Space Review website,
according to Reuters. The Secure World Foundation is a
Colorado-based nonprofit organization advocating the
peaceful use of space.
In his analysis, Weeden claimed that China has tested a
kinetic interceptor that could reach geostationary orbit
about 36,000 kilometers above the Earth in May 2013. “If
true, this would represent a significant development in
China’s anti-satellite capabilities,” the former
intelligence expert of the United States Air Force wrote,
adding that the new Kuaizhou rockets may be used for the
In doing so, China may become the first nation to have
tested an anti-satellite weapon designed to reach deep
space satellites in medium Earth orbit, highly elliptical
orbit or geostationary orbit, according to Weeden.
Satellite images taken by DigitalGlobe included in Weeden’s
analysis showed a mobile missile launcher, or “transporter-
erector-launcher” at the Xichang launch site in southwestern
China’s Sichuan province. From this image, Weeden said China is
developing a second anti-satellite weapon in addition to the
previously known system designated SC-19 by US intelligence.
The SC-19 was first tested in 2007 to destroy a defunct weather
satellite, creating more than 3,000 pieces of debris.
Details of the development of China’s new anti-satellite weapon
still remain secret as US intelligence agencies are reluctant to
reveal any findings, however. “One wonders if the overbearing
secrecy regarding intelligence about Chinese ASAT testing might
end up negatively impacting US policy efforts down the road,
including efforts to develop norms of behavior in space,” Weeden
said. Such secrecy is likely to drive two countries ultimately
towards confrontation due to misunderstanding, he cautioned.
By Chanyaporn Chanjaroen
Amer International Group, owned by Chinese billionaire
Wang Wenyin, set up a company in Singapore to expand
metals trading and to buy global mining assets.
Felipe Williams joins the trading team at the end of
this month from Glencore Xstrata Plc as head of non-
ferrous metals, said Lim Ying Ying, general manager of
Awin Resource International Pte, the Singapore operation.
That brings the number of people in the trading group to
14, said Lim, 39, who started in August after 17 years
at Louis Dreyfus Commodities.
Amer adds to companies such as Mercuria Energy Group Ltd.
and Gunvor Group Ltd. who are building their commodity
business as banks cut back because of tighter regulations.
JPMorgan Chase & Co. is selling its physical commodities
unit to Mercuria for $3.5 billion, the New York-based
bank said on March 19, ending a five-year foray into
owning and storing raw materials.
“We’ll also explore opportunities to expand into energy
and agri trading in the next five years,” said Lim. Awin
hired Carene Teo as head of ferrous metals and Ivan Poon
to run derivatives and hedging, she said. Teo was previously
at Standard Bank Plc and Cargill Inc., while Poon was at
Cargill and Noble Group, she said.
Amer, founded in 1994 by Wang, is involved in power cable
and copper-product manufacturing, and copper and tungsten
mining in China, its website says. Amer is based in Shenzhen
and Awin Resource is wholly owned by Amer International Group
in China, said Lim. Teo and Poon said they’re working at Awin.
Williams didn’t reply to an e-mail seeking comment.
Copper for delivery in three months on the London Metal
Exchange climbed 0.4 percent today to $6,457 a metric ton.
Shock…The purveyor of the entire global transfer of
wealth into the hands of the bankers and global
financial manipulation found fraud and didn’t act.
More likely they smiled.
Now you know why the Fed will never be audited or
even have this private corporation brought under
control to stop printing free money for their members.
Because when they do get audited…the entire ponzi
scheme collapses. It will collapse anyway, but in
which form comes the destroyer is yet to be seen.
Fed Looked at Currency Trading in 2012, Didn’t Act
Move to See How Benchmark Was Set Came Months Before
Global Regulators Sounded Alarm Over Potential
The Federal Reserve examined a key foreign-exchange
benchmark months before global regulators sounded
the alarm about potential manipulation, but officials
took no public action.
Today, that benchmark—the so-called WM/Reuters fix—is
at the center of a burgeoning investigation into whether
bank traders and others colluded to manipulate the $5.3-
trillion-a-day currencies market. Roughly two dozen bank
traders have been fired or suspended. Banks are bracing
for potentially huge civil and criminal penalties.
Until earlier this year, the Fed has been absent from the
long list of authorities publicly probing the situation.
But in 2012, as a scandal raged over manipulation of a
key interest rate, the Federal Reserve Bank of New York
studied how other benchmarks were set, according to meeting
minutes and people who spoke to Fed officials at the time.
It is the latest example of a central bank discussing
concerns about the foreign-exchange benchmark but not
pursuing any subsequent action, at least in public.
The Bank of England last week disclosed a series of past
meeting minutes showing that industry representatives, as
long ago as 2008, told central-bank officials that the fix
potentially could be manipulated.
With Germany demanding its gold back…the Fed is looking
ever more desperate to restock its values.
From GATA and King World News
Ukraine’s gold reserves said being flown to New York Fed
Hong Kong-based fund manager William Kaye today tells King
World News that Ukraine today airlifted its gold reserves,
33 tons, to New York, presumably for vaulting at the Federal
Reserve Bank of New York — and probably not to be seen
again any sooner than they’d be if the Russian army had
marched into Kiev to “protect” the gold before it was
Maybe the Ukrainian gold will constitute the New York Fed’s
next shipment to the German Bundesbank in Frankfurt in the
great international game of golden musical chairs.
An excerpt from the interview is posted at the King World
News blog here:
Supporting the renminbi’s internationalization is one
of the United Kingdom government’s top priorities, City
of London Lord Mayor Fiona Woolf said.
“As a leading international center providing a full
range of trade and foreign exchange services to global
corporate and institutions, it is natural that London
should be intimately involved in the development of RMB
markets,” Woolf said at a half-day renminbi forum held
by the Agricultural Bank of China (ABC) in London on
Topics discussed included China’s economic outlook,
cross-border use of the renminbi, foreign investors’
accessing of China’s interbank bond market and the
development of the Renminbi Qualified Foreign
Institutional Investor (RQFII) scheme.
London’s efforts to support renminbi internationalization
began in September 2011, when China’s then Vice-Premier
Wang Qishan welcomed London’s private-sector-led
initiative to develop offshore use of renminbi.The
quantity of renminbi activities in London has grown rapidly
over the past few years, especially in trade finance and
foreign exchange, Woolf said.
Trade finance transactions using renminbi in London
totaled 27.94 billion yuan ($4.61 billion) in the first
half of 2013, up from 13.8 billion yuan a year earlier.
Daily average trading volume of renminbi-related foreign
exchange products expanded to $22.3 billion, up from
$11.6 billion, according to official statistics. Woolf
believes renminbi’s international usage will continue to
increase, driven by China’s strong cross-border trade flows.
“In terms of trade, China is, excluding the Americas, the
top trading partner of most key markets including the US,
European Union and India. It is natural that China’s
currency matches its international economic and trade
significance,” she said. She said London should fully engage
with the opportunities associated with renminbi’s
internationalization, as its advantages in the financial
services industry put it in a good position to realize
such an ambition. “Both these developments signal that not
only London’s renminbi trade volumes will continue to rise
steadily, but more and more European investors are attracted
to renminbi opportunities,” she said.
Edward Snowden, the man who leaked the National
Security Agency data collection programs, said Monday
the act of mass surveillance is “setting fire to the
future of the Internet.”
Snowden’s suggestion was end-to-end encryption, which
limits communication to just the party sending and the
party receiving information.
“And the result of that is a more constitutional, more
[inaudible] sort of intelligence-gathering model, law-
enforcement model,” Snowden said. “Where if they want
to gather somebody’s communications, they have to target
them specifically. They can’t just target everybody all
China’s “Big Four” State banks reported results for the
first three quarters on Wednesday, with all showing a
rise in soured assets.
Industrial and Commercial Bank of China Ltd had 87.36
billion yuan ($14.34 billion) in bad loans as of Sept 30,
up 12.61 billion yuan from a year earlier.
Agricultural Bank of China Ltd’s nonperforming loans
stood at 87.9 billion yuan, up 3.97 billion yuan.
Bank of China Ltd reported 72.6 billion yuan in NPLs,
up 7.96 billion yuan.
Bank of Communications Co Ltd’s NPLs totaled 74.75
billion yuan, up 24.8 billion yuan.”Banks are expected
to accelerate writing off soured assets for the rest of
the year,” said Zhao Xijun, finance professor at Renmin
“NPLs are naturally rising as the economy slows. However,
the overall asset quality of State-owned banks is stable.”
The banks’ profit growth rates are flattening, or in some
cases declining, as the nation’s GDP growth heads for 7.5
percent in 2013, the lowest level in recent years.
“The banks’ growth rates are cooling down, along with the
slowing down economy,” said Zhao. “It will be the general
trend for banks to lose momentum in profit gains.
‘Three parent babies’ could be born in Britain next year
as Britain is set to become the first country in the world
to create babies with the DNA of three people after the
government set out new draft regulations.
The first three parent babies could be born by 2015 after
the government set out new draft regulations which will
allow donor DNA from a ‘second mother’ to be implanted
into a defective egg.
This is a small but significant step in humans evolving
themselves and not waiting for evolution to take place
over hundreds of generations.People will be come smarter,
stronger, and healthier.
What will they decide to do without out-dated, “naturals”.
Indeed, the younger generation coming up born without
genetic programming may not be able to compete in the
workforce or even hold a job.
If you have not see the movie Gattaca, its time you did.
Former NBA star Yao Ming on Thursday called for the
eradication of sales of illegal animal products in
China through legislation and the promotion of animal
protection awareness among the public.
“Buying ivory is buying bullets,” Yao, a member of the
National Committee of the Chinese People’s Political
Consultative Conference (CPPCC), told reporters on the
sidelines of the ongoing annual session of the country’s
top political advisory body.
China introduced special protection for endangered
species, such as pandas, golden monkeys and white-flag
dolphins, in the late 1980s, and has enforced a strict ban
on poaching and trading.
Between December 2013 and January 2014, the country led an
operation code-named Cobra II against international wildlife
crimes, which uncovered 350 cases involving the capture of
more than three tonnes of ivory and ivory products, over
1,000 hides and a number of other wildlife products.
The operation was jointly organized by China, the United
States, South Africa, the Lusaka Agreement Task Force, the
ASEAN Wildlife Enforcement Network, and the South Asia
Wildlife Enforcement Network.
In January, the Chinese government also destroyed 6.1 tonnes
of confiscated ivory it had seized over the years in southern
China’s Guangdong province.
There is anything super about the American Superpower’s
attempt to stabilize the situation in the Ukraine.
Russia offered $15 billion in aid to the Ukraine.
The U.S. Congress now has legislation being drafted
to allow Ukraine to access loan guarantees up to
around $1 billion, at a cost of around $200 million
to the U.S., according to a House GOP aide.
So its $15 billion vs $1 billion in loans when we
compare Russia and the United States.
How about China’s involvement with the Ukraine?
China is a major arms importer from the Ukraine. China’s
first aircraft “The Liaoning” carrier was imported from
the Ukraine. China and the Ukraine are cooperating in
tanks,armored vehicles,anti- high-precision weapons
manufacturing as well as prospects for the joint
development of weapons and equipment systems.
China ‘s fifth-generation fighter may also be equipped
with an engine from the Ukraine.
On the economic front, the Ukraine is leasing farmland to
Chinese companies. Ukrainian agricultural companies KSG
Agro signed an agreement , which will provide China with
100,000 hectares of farmland,the land deal is expected
to eventually scale even larger. This investment will
enable Ukraine to become one of China’s largest overseas
In other areas, the Ukrainian national oil and gas
company (Naftogaz) and the China Development Bank signed
a $ 3.656 billion loan agreement to implement Uzbekistan
replace coal and gas projects.
When ousted President Yanukovych ‘s visited China late
last year , China promised to invest $ 8 billion into the
So, in the end you have $15 billion from Russia and
$8 billion from China or you can get $1 billion in loan’s
from the U.S. guaranteed by the Federal Reserves print
And now you know why it will be Putin and Xi Jinping
who decide what happens in the Ukraine and not
China has built more 4G base stations than Europe as the
country speeds up its construction of its 4G network,
reports Huanqiu, the Chinese-language website of the
state-run Global Times.
Since China Mobile, the world’s largest mobile service
provider in terms of customer numbers, obtained the
first 4G license in the country in December last year,
it has set up over 200,000 base stations, outnumbering
stations built in Europe, where 4G development has slowed
due to the EU debt crisis, strict regulation and fierce
Chinese internet equipment maker ZTE said the number of
4G base stations in the country could increase from 300,000
to 1 million by the end of this year. Rivals China Telecom
and China Unicom have also begun building their own 4G
networks. China is leading in 4G compared to Europe,
London’s Financial Times cited ZTE CFO Wei Zaisheng as
At the end of 2013, 4G networks accounted for around 19%
of mobile networks in the United States and 2% in Europe.
The number of 4G network users in Britain and Germany was
under 1 million.
China registered a record 152 billionaires in the 2014
list, up near 25 percent from 122 last year, while Hong
Kong clocked up 45, said Forbes. “That’s probably the
biggest trend coming out of here… we had a little over
30 newcomers just from mainland China,” said Lane.
“Twenty years ago it was pretty much zero so the growth
out of China has been phenomenal and it’s increasing every
year,” he added.
More love from the religion of peace.
On the night of March 1, the police cordoned off
Kunming Train Station. More than 10 masked assailants
with machetes wearing the same outfits hacked innocent
people at the square.
Even the old and the children were not spared as
machete wielding assailants ran through the train
station hacking any ethnic Chinese they could find.
As one commenter in China noted…”these were defenseless
ordinary common people whom are always the most
vulnerable group of the world. They have no power, nor
much money. They are only someone’s father, someone’s
wife, someone’s child, and someone’s family. Their whole
life is ordinary, but they mean a lot to their families
and friends. Please don’t aim your weapon at the ordinary
common people. Because every ordinary person is the entire
world to his/her family.”