Golden Minerals Company

"The implosion of the London Gold Pool lead to the breakdown of the Bretton Woods system in 1971 when Nixon suspended gold conversion. Just like 1971 the current flight towards gold will lead to a monetary reset in the years to come, in which gold will take its place as a monetary metal again. "

Probably in confirmation of the above, it looks as if the petrodollar died a few days ago. I may be wrong, but it looks to me like the Saudis have lost their trust in the capability of the US to continue suppressing the gold price, while at the same time making available sufficient physical gold to the Saudis. Like that they facilitated the convertibility of Saudi oil dollars for cheap gold, a (secret) deal that has reigned since the 1973 Oil Crisis according to some. Lately the US has been facilitating the Chinese rather than the Saudis and the US has improved its relations with Iran. On top of this the Saudi' found out this week that the US is not willing to lower its own, national production of oil to keep the oil price high. So what need for a petrodollar?

It all seems to come together at this very moment. A very complex situation has emerged and it seems that the capital and commodity markets will have to adjust to totally new and uncertain alliances. And the gold price may be ready to make a significant move towards a new price set in the physical markets of Asia.