Sometimes I imagine the first flim-flam scam in human history occurred about 37 minutes after the invention of the abacus.
Stolen by jihadis who need all that copper for IED penetrators...
I wouldn’t want to be the person who gets fingered as the fall guy for this one by the Chinese government.
Paging John Corzine ..... Paging John Corzine
Please pick up the white courtesy phone.
Beijing on line 1
There is no form of financial chicanery the Chinese have not practiced for many generations.
Copper and aluminum?
Imagine the chaos if the gold and silver were missing.
I compare this to all of the Home Mortgages that were sold and resold... Ad Nauseum to create the Mortgage Backed Security nightmare that helped to destroy our National Home Construction Industry and family after family who were caught up in the whole stinking mess.
This time though it looks like the ‘Big Boys’ are about to be taken to the Cleaners.
Pay attention, imaginary commodities being sold over and over, sliced and diced, fractional banking via derivative marketing playing out in real time. People holding on to paper IOUs and asking for the goods only to find out they are not there. This is the international banking system in a nutshell. This is how you sustain exponential debt systems and keep blowing bigger and bigger bubbles. What happens when no one has faith or trusts this type of market (i.e. when all the suckers have been fleeced)?
By the way, Germany recently gave up on getting their gold back from the NY FED after a year of trying. Gold is no different than copper or other metals, it has been milked the same as the other commodities. We are nearing the end game, no one beats an exponential curve.
I’m going to stick my neck out and say that very few people understand rehypothecation because, if they did, there would be rioting in the streets.