For the first time in history, China has imported twice as much gold as US Treasury Debt.
Politicians can talk on both sides of Left and Right about the Deficit and who “has to be made to pay”. Like Nero, they watch as Rome burns. The rest of the world is voting with its feet and with its check book.
China wants gold rather than US debt. The US earlier this week dis continued one-way flights back to Mexico for illegal immigrants. The reason why? Because for now, the flood of individuals coming to EL Norte has turned to a trickle. The demand is not there any more. The risk/reward of crossing the border is not there anymore.
Politicians, being politicians, most likely will seek to blame someone else for this reality. In the mean time, the writing is on the wall.
I like being long gold.
