Wednesday, April 22, 2015

Bloomberg Nearly Forgets Russia's Near Catastrophe as Russia Buys 1 Million Ounces of Gold

Rarely does one get a chance to expand upon criticism of the media for an even sadder act of inaccuracy and irresponsibility in one week, but the American media never stops dig for new lows. While critical of the American coverage of the attack on Russia and now the subsequent silence about their recovery, I never thought the American media could treat the “near collapse and financial ruin and destruction of the ruble” as a non-event. Bloomberg has proven me wrong. On Monday, the folks at Bloomberg reported Russia’s purchase of 1 million ounces of gold in March. This puts another nail in the “Russia’s Economy is Dead” coffin.

The purchase is interesting because it adds another 30 tons of gold to their stockpile within 90 days of the Western media incorrectly proclaiming that the Russians were selling gold to stabilize the ruble. After the January and February hiatus to get things in order, the Russian are right back to their purchasing rate of 2014. The purchase is not much in the grand scheme of things, and to show how little the purchase is and how much fiat we are swimming in, check out the TIC data from this spring. The purchase of that gold cost them over a billion dollars, but did not even make up 10% of the reserve reduction in Russian Treasury holdings in February (March’s data is not yet available). These big moves are drops in the bucket for all the paper dollars swimming out there in the hands of anyone with a trade surplus. These purchases scare the US elite? What happens if mass defection catches on?

The fun thing to laugh at is how the Bloomberg plays down the ruble collapse to one sentence, and not even that, just a fragment of a sentence. This is not even 90 days after stating the ruble may collapse, protests might erupt and Putin might be on the way out. Putin spent a week sick, and pundits were spinning anything from coup to love child to sudden, life threatening illness. The entire American media machine sets up the story to make every American believe the ruble will collapse and Putin will be weakened and not three months later, it is a small foot note in the news blurb. Back to buying gold, forget we dug their grave, move along plebians.

There is no media watchdog, and no one empowered to punish it when it is wrong and malicious. This is not too different from the shooting of Mike Brown being trumped up to most important thing in America to becoming a footnote as facts prove the media’s narrative wrong. Even the DOJ report that showed Officer Wilson was in the right for his actions, and that “Hands Up Don’t Shoot” is a lie, the DOJ report was then spun to show systemic >sniff sniff< racism >sniff< is prevalent in Ferguson, Missouri because of a few insensitive jokes and arrest records. Whether small town cops or geopolitical opponents, the media guns are always pointed at you. When they shoot, maim and are wrong, well it was just a rush to get a story out, blurred by the fog of incomplete information. I tweeted to Jacob Weissman about his incorrect Ruble collapse predictions in print, and he admitted to being partially wrong. That means he is 100% wrong. It also means that when enough people see how consistently wrong Western media is on all subjects, often with malicious intent, there will be a cleansing media fire and re-evaluation of the exact powers and freedoms of any society’s media.

7 comments:

PA said...

Do I understand this correctly?

When the US Dollar went off the gold standard, it didn't exactly become purely fiat money. Rather, its value became substantiated by the fact that countries all over the world buy petroleum with the USD, so that it is indirectly backed by oil rather than directly by gold.

Son of Brock Landers said...

Sort of. The key was Saudi Arabia said theydy only accept dollars as payments, this forced all foreign buyers to pay in dollars. Then what were the Saudis going to do with their dollars? We then worked out deals to keep the dollars coming back to us corps to keep them in the usd system. Much more complicated by thats the basics.

Anonymous said...

And that's why El Rushbo correctly calls it the "drive by" media.

Most journalists are de-facto agents of the state at this point, propagandizing on its behalf.

Anonymous said...

The media is heavily politicised but the issue is really the Wolfowitz Doctrine that the US still follows and the American jewish animosity towards Putin, any revival of Russian power would be Neo-Czarian and this made the alarms of the Tribe go crazy.

SRBEL said...

Potential for creating a state funded / subsidised media watch dog. Use entryist tactics to make it seem like y'all just want to punish Fox News, get it off the ground, hammer the narrative pushing leftist news media. Use their own resources against them. Might be short lived but would sure be entertaining

Anonymous said...

cleansing fire of the media? Oy vey! With the gas chambers and ovens when will the persecution end alvedy?

prcd said...

The media is the least trusted institution in the US but Americans keep tuning in and the media knows it. Just like in Brave New World, there are screens up everywhere so that we are constantly exposed to propaganda. Quite hilariously, most Americans still believe what they see on tv. Americans are probably the most propagandized people in the world.