Thursday, March 4, 2010

Updated Chart of the Russian Central Bank Gold Holdings

Richard Nachbar, (Richard Nachbar Rare Coins) at, was kind enough to send me his updated chart for January of the Russian CB gold holdings:

(click on chart to enlarge)

You can see the rapid growth in Russia's gold accumulation.  As per the numbers in my post from yesterday, Russia will have to double its current holdings in order to raise its gold holdings up to the 10% of foreign reserves that is currently typical at Central Banks. Moreover, I expect that globally CB's are looking to take their gold holding substantially higher. 

Thanks again to Richard for sending me this updated chart.


  1. I don't know about you but I am getting the feeling from the price action in silver that JPM may be backing down it's short position. We will know on Friday when the COT's come out but if they show another fall or remain stable it could be the start of a trend. I get the feeling that the capping of the silver of the price is now coming from the hedge fund ratio spreaders not JPM.

    Just a feeling but after all we only need to consult the Bible (aka GS 10k) to get a flavour of concerns that now confront JPM.

    “Press coverage and other public statements that assert some form of wrongdoing, regardless of the factual basis for the assertions being made, often results in some type of investigation by regulators, legislators and law enforcement officials, or in lawsuits."

    If this doesn't cover silver I don't know what does.

  2. Don't the Russians, the Chinese, and the Indians know this gold metal stuff is worse than worthless?? What gives? They need to buy MBS, and soon.
    -Ben Bernanke
    By late March guys, please!

  3. Dave,
    would love your take on my post tonight.

  4. GYC: funny sarcasm up above. Just left a comment on your latest post. Great blog post tonight!

  5. Anon,
    from your words to my silver holdings ear!!!!!

  6. Guys, I don't know that the authorities are going to crack down on GS/JPM. If they do, it will be nothing but a dog and pony show.

    I spoke with someone who is deeply ingrained in the world of precious metals, with contacts all over the world, and he said more than ever people need to buy what they are planning to buy and take delivery. Don't fuck around with private label crap and 100 oz silver or 10 oz. englehardt or JM bars. buy only sovereign-minted bullion coins or Comex-eligible bars that have paperwork and serial numbers.

    He was dead serious about this and I can say for sure that this guy has knowledge and insight that is humbling and I've been doing this stuff exclusively for almost 9 years.

    The main reason the metals are starting to dislocate from the dollar is because globally people have a profound understanding of what is going on and global buying for delivery is starting to overwhelm the paper manipulators.

    My contact thinks there is a good chance this country starts rapidly disintegrating (i.e. the shit hits the fan) within a year.

  7. Dave,

    What's the reasoning behind avoiding Sunshine, Englehardt or JM silver bars? Are they that much of a counterfeit risk?

    While I don't have very much wealth, I've been trying to stick with smaller denominations of silver (10oz bars, and 1oz silver maples). In a crunch, I feel these will be the most liquid. If the US ever puts a clamper on heavily taxing or regulating sales, it will be easier to liquidate in my opinion.


  8. Yes. Easier to counterfeit. This source was involved with the FBI as a consultant on a case that involved 100/10 oz. silver bars that had been altered. He said some of the bars are still out there.

    The sovereign minted coins are extremely difficult to modify. Silver Maple Leafs are fine.

    My source pointed out that as the shit really starts to hit the fan, counterfeiting and fraud will beoome a lot more pervasive.

    Why take chances just to save a little premium now? I guarantee you that premiums on offical coins will soar as the price moves higher and scarcity sets in. People will especially pay up for the verifiability of sovereign coins and Comex/LMBA bars that come with paperwork and serial numbers.

  9. Thanks for the info.

    I'm surprised they even bother with 10oz silver bars! ...considering its low relative value and profit margin to gold and other larger silver bars.

    I wonder if there is an easy way to check if the bars are good. We're pretty late into the game, so there may not be enough time for me to swap them out.

  10. I would say the odds are that your bars are fine. But it's about acceptability and verifiability down the road after the real shit hits. My source's point is, and this guy has been doing this stuff since the mid-70's, that bars like that are easier to countefeit than sovereign minted coins and people will more readily accept the latter.

    I bet you can call Tulving and workout some kind of swap of your bars for more silver maple leafs or fractional gold coins.