Thread: Hugo Chavez, gold and politico-economic implications

I am very much surprised this was not covered by a separate thread!

Hugo Chavez made a descision to recall Venezuela's gold reserves from Western banks (mainly British and US) and nationalize the gold-mining industry.

Apart from leaving $ even closer to a status of sweet wrappers, it can mean a new troubled spot: instead of concentrating on Syria next, "international community" may switch their "affections" to Venezuela and "liberate" and "democratise" it instead.

http://www.itmtrading.com/blog/2011/...ll-their-gold/

I thought MHP would have picked up on this.
Cargoes of GOLD be headed across the seas, arrrgh!

Given the events of the past few years, I can see where Chavez is coming from.
He has seen Ghaddafi's assets and the assets of others frozen, at a time when they needed access to those assets to survive, and being the leader of a small oil rich country, where the upper class would love to see him disappear in a coup attempt, especially since Bush recognized the leaders of the last failed coup as the rulers of Venezuela before the dust had cleared and it became evident that the coup had failed.
He might find his assets in the US and England frozen if he had something going on in Venezuela where access to those funds might make a difference.

Calling for the return of all that bullion to Venezuela might cause a bit of a supply crunch in the western bullion banking system, as that gold isn't just sitting in a vault somewhere. Better have the CME raise margins on gold to drive the price lower temporarily so that the banksters can buy back what they need.

Oops, too late, that happened this morning.

He might also find them frozen if he expropriates property belonging to US or British companies.

He's just planning ahead for his next grand theft.

Another power grab by a dictator, who'd have thought.

Did Fidel tell him that gold cures cancer.

Originally Posted by JDJarvis

Another power grab by a dictator, who'd have thought.

And the best bit about it: he is trying to grab his own before the "democratic community" will decide it has better use for it. What insolence!

He needs to be "democratized"...

Originally Posted by Alma

And the best bit about it: he is trying to grab his own before the "democratic community" will decide it has better use for it. What insolence!

So why did you feel it was significant again? I see a power play from a demagouge/dictator and you see a strike agaisnt the international western power elite. At the end of the day the only person Chavez is trying to help is Chavez. I hope he gets to keep fighting cancer for many long years, the world needs a sideshow act like him to keep us in a good mood.

Originally Posted by MattInFla

He might also find them frozen if he expropriates property belonging to US or British companies.

He's just planning ahead for his next grand theft.

This is probably more true than most are willing to admit, especially the dictator (lack of a better word) retirement planning part.

We should just kick Venezuela's ass and take their oil and gold.

And their womenz.