Tuesday, October 12, 2010

Gold-dispensing ATM Machines Go Global...

dispensing the gold being dumped wholesale by Americans.

Abu Dhabi, Bergamo, Madrid, Germany and now Viet Nam:  (two links)  ATM gold  Ho Chi Minh City

As Americans unload all of their gold and silver jewelry at fire-sale prices into the "cash-for-gold" operators in order continue financing an unsustainable lifestyle, the demand for gold from people around the rest of the world has led to the proliferation of gold-dispensing ATM machines. 

This is not just about dispensing the world's oldest currency to paranoid, barbarous gold-freaks.  This could well be a prelude to the reinstatement of gold and silver as the global currency standard.  While it is likely that as the U.S. Government creeps further into totalitarianism and thereby imposes a fiat paper currency standard within U.S. borders, it would appear that the rest of the world is slowly transitioning into a system in which gold and silver are to be used fungibly for mundane commercial transactions.

Viet Nam is the latest country to make gold-dispensing ATMs available to the hoi polloi.  With Viet Nam's currency pegged to the U.S. dollar, the country is experiencing accelerating price inflation - a consequence of the systemic ravages caused by unfettered paper money creation.

In fact, most of the world is now feeling the effects of the monetary debasement caused by the incipient currency wars.  With basic commodities trading lock-limit up on several of the past trading days, it won't be long before the American consumer will soon be plagued by the blight of price inflation, despite the Government's absurd effort to force-feed the media with low CPI fairy tales.

Gold and silver prices are behaving much differently right now than they have for the past nine years of the precious metals bull market.  Every attempt since August by the banking cartel to knock down the price of gold using Comex/LBMA paper has been met with aggressive accumulation by big buyers globally.

While I expect price volatility to increase substantially going forward, if you are looking to begin accumulating gold/silver or add to your existing positions, I would suggest that you buy on every pullback.  And the mining stocks will be even more interesting.  As measured by the Gold/XAU or Gold/HUI ratios, the mining stocks have been lagging the price of gold for quite some time now.  As the supply of physical gold/silver depletes, I anticipate that the price/oz of gold in the ground that the market is willing to pay for good mining stocks and promising junior explorers will soon explode.  I expect that eventually (meaning over the next 3-5 years) we will see price euphoria in the mining stocks exceed what we witnessed during the tech/internet bubble.  There's just way too much paper money sloshing around globally that will ultimately seek refuge in anything connected with precious metals...


  1. Dave,

    I sent an inquiry to this company asking where/when the US would get these Gold ATM's.

    Their US consultant responded and said the first machine will be installed in Boca Raton, Florida in November followed by one in Las Vegas.

    Joe M.

  2. Very interesting Joe. Nice legwork.

  3. Oh, goody.
    How about a mad scientist inserting a mercantile gene into the genome so that we can all be Midas ? That would be great, huh ?
    Actually, I remember reading an ad about downloading vintage wine.
    You hook up a bottle to your computer, press the button, and then... magico presto, a lovely 1980 Bordeaux gently drips out of your computer and fills up your waiting carafe.
    Personally, I like my silver the way it is : as ornate tableware. Beautiful stuff. In the upcoming.. MELTDOWN, I will crack out my wine reserves, and eat with my lovely tableware, while contemplating.. Gotterdammerung, the twilight of the gods (oops, should I have said.. HUMANS, there ??). Fiddling while Rome burns, as we say...(Don't think that I am rich.. I cultivate an aristocratic mentality without being rich, by the way...)

  4. In my drinking days, my favorite all time bordeaux was 1988 Mouton Rothschild. My all time ever favorite wine was the 1985 Sassicaia. Try finding that one...

  5. http://ftalphaville.ft.com/blog/2010/10/12/367506/gold-man-sachs-we-love-gooooooold/

  6. What ? Giving up drinking ? Don't tell me you're on a hygienic binge..
    Too much hygiene in the U.S. these days. STILL... too little fun..
    I shall look up your wine. Maybe... I shall find it..

  7. what is the difference as we are all to die soon as a result of CERN as they will turn the Earth into radiation with stranglets within, say, 3 years...?

  8. Why so bitter, Debra?

  9. WHAT ?? ME bitter ?...
    Anonymous one sounds more bitter than I.

  10. In Bergamo the pubblic authority has stopped the ATM machine

    Il Folletto

  11. Gold Stocks??? Proverbs 26:11...Hello!!! The Street luvs ya!

  12. debra said:
    "How about a mad scientist inserting a mercantile gene into the genome so that we can all be Midas ? That would be great, huh?"

    As a molecular biologist with over a decade in cloning and gene manipulation experience I can say there is no way for this to happen. Not that I have not tried.

  13. Things are hotting up, if you think it's normal for Iran to open it's air space to China think again. If you think it's normal for an annual air exercise with the US and Israel to be replaced by China, think again. If you think it's normal for US airbases to be thrown open to the Chinese by a Nato think again. Ofcourse what Debka does not say is that the US must have known of theis at least 14 days in advance to get the flight plan for overflights across Afghanistan approved.

    1. From Sept. 20 to Oct. 6, the Turkish Air Force conducted its regular annual Anatolian Eagle exercise, this time without US and Israeli participation. Israel was not invited and America opted out. However, their place was taken by Chinese Sukhoi Su-27 and Mig-29 warplanes making their first appearance in Turkish skies.

    Our military sources report that the Chinese warplanes began touching down at the big Konya air base in central Turkey in mid-September for their debut performance in the Middle East and Europe.
    Konya has served NATO and the United States for decades as one of their most important air bases.

    2. Our sources add that the Chinese planes refueled only once on their journey to Turkey in… Iran. When they touched down at the Gayem al-Mohammad air base in central Iran, their crews were made welcome by the Iranian air force commander Gen. Ahmad Migani.

    It was the first time Chinese fighter-bombers are known to have visited the Islamic Republic.

    The Gayem al-Mohammed facility, located near the town of Birjand in South Khorasan, is situated directly opposite the big American base of East Afghanistan near the Afghan-Iranian border town of Herat.

  14. Makes you wonder if this is the top. When everyone and their brother could buy a house a few years ago.

  15. After months of studying and research, I have determined that going to the gold standard is foolish. Everyone that complains about wealth redistribution and Bankster control need to open their eyes and see that this herding of the masses into a Gold Standard is the ultimate goal of the people you are fighting against. It is a terrible mind game, don't be suckered in. Your labor and your creativity is your gold, not some shiny piece of metal. William Jennings Bryan said it best, "If they dare to come out in the open field and defend the gold standard as a good thing, we shall fight them to the uttermost, having behind us the producing masses of the nation and the world. Having behind us the commercial interests and the laboring interests and all the toiling masses, we shall answer their demands for a gold standard by saying to them, you shall not press down upon the brow of labor this crown of thorns. You shall not crucify mankind upon a cross of gold."

    I won't bother any of you again with my new found beliefs. Dave good luck with your new Lady friend. May you have a long and happy life together and be blessed enough to eventually share all you have learned in this life with your Grandchildren.

    SofaKing tired of the lies, sailing off to greener pastures.