Gold Prices And the Coming Collapse: Are We Close to A Major Monetary Event?
The comments above & below is an edited and abridged synopsis of an article by Hubert Moolman
A major international banking crisis is inevitable, and likely to occur fairly soon. Because of extreme debt levels, many banks are close to the point of failure.
An event like a stock market crash is likely to push many banks to failure, since the pressure it would create on cash resources would expose their inability to fulfill their obligations.
Cash, not bank credits/digits, is still the means by which banks have to settle liabilities and obligations, especially amongst each other. If a bank goes down, it will be due to the lack of cash—not bank credits/digits. This is why there is a campaign to ban cash for the general public, or limit the use of it.
The banks are in competition for the available cash resources, and they do not want you to be an obstacle. This is similar to the Great Depression, when gold was confiscated. Then, banks proved their solvency with gold, so the general public was prevented from competing for the limited amount of gold resources.
It is unlikely that gold will be confiscated during the upcoming crisis. Today, cash is the cornerstone of the banking system (especially the US dollar), since it is cash that is promised, not gold.
However, gold is still relevant when it comes to warning us of the imminent collapse and, of course, providing some protection against potential financial loss as a result of it.
Moolman has previously discussed how the gold price relative to US dollars in circulation is possibly warning of a major monetary event. We could be at, or close to, such an event, and he uses charts to analyze the data.