The Golden Rule: China Is Bidding-Up The Dow, To Crash Gold; So China Can Cheaply Acquire Most Of The Gold.

The Golden Rule: He who owns the gold; rules. China knows that when they will own most of the world's gold, they will rule. I'm warning you that we are watching somebody pump-up the Dow for a reason. Somebody wants to buy cheap gold, and then crash the Dow. That somebody is China.

Is China that devious? Would they artificially pump-up the USA stock market, in order to crash gold today? Then they could acquire cheap gold, and crash the world markets, to establish themselves as the world's lone superpower. Everybody would need to trade in yuans. The USA would be finished as a superpower.

Who agrees with me?

Does China Plan To Back The Yuan With Gold And Make It The Primary Global Reserve Currency?

By Michael Snyder, on June 4th, 2013

What in the world is China up to?  Why are the Chinese hoarding so much gold?  Does China plan to back the yuan with gold and turn it into a global reserve currency?  Could it be possible that China actually intends for the yuan to eventually replace the U.S. dollar as the primary reserve currency of the planet?  Most people in the western world assume that China just wants a "seat at the table" and is content to let the United States run the show.  But that isn't the case at all.  The truth is that China doesn't just want to compete with the United States.  Rather, China actually plans to replace the United States as the dominant economic power on the planet.  In fact, China already accounts for more global trade than the United States does.  So what would happen one day if China announced that it was backing the yuan with gold and that it would no longer be using the U.S. dollar in international trade?  It would cause a financial shift so cataclysmic that it is hard to even imagine.  Most of those that write about the "death of the U.S. dollar" usually fail to point out that China is holding a lot of the cards as far as the fate of the dollar is concerned.  China owns about a trillion dollars of our debt, China is the second largest economy on the planet, and nobody uses the dollar in international trade more than China does except for the United States.  Up until now, China has had to use the U.S. dollar in international trade because there has not been an attractive alternative.  But a gold-backed yuan would change all of that very rapidly.

And without a doubt, the Chinese government has already been very busy promoting the use of the yuan in international trade.  In a recent note, John McCormick of RBS Group stated the following...

Financial crises in the US and Europe mean the world needs a new, more stable global reserve currency, and trade in RMB is growing rapidly. In the FX market, for example, our figures show that volumes are now worth around USD 5-6 billion daily – double what they were a year ago.

A number of factors suggest that the Chinese authorities want to make RMB internationalisation happen by 2015.

http://theeconomiccollapseblog.com/archives/does-china-plan-to-back-the-yuan-with-gold-and-make-it-the-primary-global-reserve-currency

Why does China have free access to Iraqi oil, that the USA liberated? Because the USA is stupid.

Iraq War Paying Off — for China

http://www.thenewamerican.com/world-news/asia/item/15599-iraq-war-paying-off-for-china

Written by  Jack Kenny June 3, 2013

Remember those assurances that the Iraq War would pay for itself, once those oil revenues began gushing forth from a liberated Iraq? Well, a decade later, the Iraq War is paying off after all — for China.

"We lost out," said Michael Makovsky, a former Defense Department official in the Bush administration. "The Chinese had nothing to do with the war," he told the New York Times, "but from an economic standpoint they are benefiting from it, and our Fifth Fleet and air forces are helping to assure their supply."

China is the biggest customer of Iraq's oil, buying nearly 1.5 million barrels a day, close to half the oil Iraq produces, the Times reported. Beijing is looking to increase that share as it bids for a stake now owned by Exxon Mobil in one of Iraq's largest oil fields.

"The Chinese are the biggest beneficiary of this post-Saddam oil boom in Iraq," said Denise Natali

My opinion: It's like the USA is too naive to understand that we are giving China free oil, purchased with the blood of our soldiers. We are contributing to our own disaster.

6.28.2013 Update: http://news.yahoo.com/gold-below-1-200-headed-010920297.html