My Blog

Chinese Gold Imports Spike to Staggering Record Level

On the heels of the spectacular rally in gold on Friday, and with global markets continuing to struggle, today King World News interviewed acclaimed money manager Stephen Leeb, Chairman & Chief Investment Officer of Leeb Capital Management. Leeb told KWN that Chinese gold imports spiked to unbelievable record levels. But first, here is what Leeb had to say about the situation in Europe: “As George Soros said this weekend, ‘It’s not just the eurozone that’s at stake, it may be the whole EU that’s at stake. I think the Greeks will decide to stay with the euro. It’s dawning on them that the consequences of withdrawing will be dire, at least for the near-term.”

Stephen Leeb continues:

“The big question overhanging Europe is Germany. I think Germany is getting the message that if everything fails but Germany, Germany fails too and they fail in spades. You are getting to the point where you are definitely going to see some serious added liquidity in the eurozone.

It’s not going to be six months from now. It’s going to be in the short-term. That’s a very big deal....

Continue reading the Stephen Leeb interview below...

To hear which company has one of the highest grade gold deposits

in the entire world, as well as a number of other

extraordinary projects click on the logo:

“What is the Fed likely to do when it comes to the dollar? It’s likely to add more dollars. This remains a race to the bottom (for currencies), which is accelerating. The six and twelve month picture here is one of massive monetary easing and a race to the bottom as far as these currencies.

It’s becoming so severe and so sharp that the BIS (Bank for International Settlements) is actually thinking of making gold a Tier-1 asset for banks. This is becoming increasingly mainstream. I think as the Fed gets on its horse and starts printing more money, as Europe will probably start following, you are definitely going to see a move toward gold. The BIS is almost implicitly blessing it.”

Leeb also added: “Today the Chinese had record imports (of gold, roughly 104 tons) from Hong Kong. The point is the Chinese are pretty smart about this and they are buying gold in record amounts.

If you have a race to the bottom with all paper currencies, who is going to win? Is it any accident that the BIS, who define the rules for banks, are actually considering making gold a Tier-1 asset? That could imply a re-pricing of the gold market. I mean massive re-pricing because all of a sudden (gold) is, de facto, backing up some of these currencies.

I think that’s where we’re headed. I don’t see how you avoid it. Gold is taking center stage.”

This interview is packed with information about what is happening in key markets and around the world. The KWN Stephen Leeb interview will be available later today and you can listen to it by CLICKING HERE.

The interviews with Don Coxe ($538 billion BMO), Art Cashin ($612 billion UBS) and Rob Arnott (Oversees $100 billion) are available now. Also, be sure to listen to this week’s line-up of other KWN interviews which include Newmont CEO Richard O’Brien, John Hathaway and James Turk by CLICKING HERE.