10 Incredible Photos From Venezuela Show The Disastrous Risks Of Currency Devaluation

– Paper currency in Venezuela is now worth less than toilet paper
– Incredible Reuters photos highlight the disaster that can become of fiat (both paper & digital) currency devaluations
– 2,600,000 paper or electronic bolivars for one roll of toilet paper

– 14,000,000 bolivars for one chicken highlights the disastrous decline in the standard of living in the socialist dictatorship
– One gold coin (1 ounce) could buy over 1,200 chickens or a small chicken farm producing poultry and eggs
– Economists including the IMF are predicting that Venezuela’s inflation rate could exceed 1,000,000% this year
– Huge amounts of currency to buy basic food supplies and necessities such as toilet paper and babies nappies
– Venezuelans who own livestock, food, farms, land, bitcoin and hard assets such as gold and silver have protected their standard of living in the hyperinflation

 

A roll of toilet paper next to 5,000,000 bolivars which is its price today: The equivalent of less than 1/1,200th an ounce of gold bullion with gold trading at just over $1,200/oz today. Image source: Reuters

 

A kilogram of tomatoes next to 5,000,000 bolivars, its price today. One ounce of gold in coin or bar format could buy 1,200 kilos of tomatoes. Image source: Reuters

 

A chicken next to 14,600,000 bolivars, its price today. One gold coin or gold bar (1 ounce) could buy over 1,200 chickens or a small chicken farm producing poultry and eggs. Image source: Reuters

Pictures: Carlos Garcia Rawlins. Source: 10 Must See Photos from Reuters The Wider Image


Editors Note: The lesson of history, especially the history of currency and money, is that we never learn from history. With currency devaluations being seen throughout the world today, we are repeating that errors of the past. Fail to prepare, prepare to fail.

 

 


Market Updates and News This Week

Russia Buys 800,000 Ounces Of Gold In July

Bears Pile Into Gold – Exactly The Wrong Time?

Banks Now Long Gold, Short Dollar. What Do They Know?

Chinese, Asian and European ETF Investors Buy Gold As US Sells

Gold Gains on Bargain Hunting; U.S.-China Trade Talks In Focus

It’s Time for Contrarians to Get Bullish on Gold

 

Charts This Week

Source: Bloomberg

 

Source: ZeroHedge

 

Source: Bloomberg

 

News and Commentary

Gold prices edge up as Fed chair’s speech weighs on US dollar (Reuters.com)

Hedge Funds Kept Betting Against Gold Even as Prices Began Rally (Bloomberg.com)

Mexico, U.S. likely ‘hours’ away from agreement on NAFTA: minister (Reuters.com)

Gold traders see price floor amid rising open-interest in options (Reuters.com)

Gold falls 12% during the last four months; but may bounce back later this year (ScrapRegister.com)


Source: SRSRocco

Gold and Silver Setup Today vs. 2008 Means Breakout Coming (SRSRoccoReport.com)

Revolution and major economic pain coming but we have a prosperous economic future – Mauldin (MauldinEconomics.com)

Another inflation gauge is set to enter the red zone, but no worries at the Fed (MarketWatch.com)

Russia is buying lots of gold to shield it from sanctions (CNN.com)

CNN Video: Russian banker Andrey Kostin responds to sanctions (CNN.com)

 

Listen on SoundCloud , Blubrry & iTunesWatch on YouTube below


Gold Prices (LBMA AM)

24 Aug: USD 1,189.95, GBP 928.76 & EUR 1,029.43 per ounce
23 Aug: USD 1,187.30, GBP 923.24 & EUR 1,027.61 per ounce
22 Aug: USD 1,196.85, GBP 928.25 & EUR 1,032.88 per ounce
21 Aug: USD 1,194.10, GBP 931.28 & EUR 1,036.12 per ounce
20 Aug: USD 1,188.75, GBP 933.29 & EUR 1,042.41 per ounce
17 Aug: USD 1,176.70, GBP 925.59 & EUR 1,032.79 per ounce

Silver Prices (LBMA)

24 Aug: USD 14.62, GBP 11.37 & EUR 12.63 per ounce
23 Aug: USD 14.63, GBP 11.34 & EUR 12.62 per ounce
22 Aug: USD 14.81, GBP 11.49 & EUR 12.77 per ounce
21 Aug: USD 14.78, GBP 11.52 & EUR 12.83 per ounce
20 Aug: USD 14.76, GBP 11.57 & EUR 12.93 per ounce
17 Aug: USD 14.66, GBP 11.54 & EUR 12.87 per ounce


Recent Market Updates

– This Week’s Golden Nuggets
– Video: Is Silver Set for a Massive Breakout?
– Banks Now Long Gold, Short Dollar. What Do They Know?
– Russia Buys 800,000 Ounces Of Gold In July
– Gold Season – Is This It?
– This Week’s Golden Nuggets
– Gold And Silver Prices Fall 1.6% and 4.3% To Near 2 Year Lows
– London House Prices Fall At Fastest Annual Rate Since Height Of Financial Crisis
– Jim Rogers on Gold, Silver, Bitcoin and Blockchain’s “Spectacular Future”
– This Week’s Golden Nuggets
– The Stock Market is Stretched to Double Tech-Bubble Extremes
– Jim Rogers and the World’s New Reserve Currency
– Gold—Even at its Lowest Levels in 2018—is Behaving Just as Prescribed

Mark O'Byrne

Also on news-goldcore-com

Videos

Expect $2,500 – $3,000 Gold In Next 12 Months

The 5 Major Trends That Are Shaping Our Economic Future

Patrick Karim on gold, inflation and the next break out

Blog posts

When The Weight of Inflation Becomes Too Much 

In a comment to MarketWatch last week we said that traders this week would be most focused on the CPI report that came out yesterday. In that very report, Inflation came in hot, above expectations, and posted its biggest monthly increase in August this year. It’s up 3.7% from a year ago. However, markets didn’t […]

READ MORE

Expect $2,500 – $3,000 Gold In Next 12 Months

It’s that time of the month again when we bring in a top chart analyst to take us through what they’re seeing in the markets, right now. This month we have the brilliant Gareth Soloway. Gareth explains why he’s watching the US Dollar, what he means by “Good news is bad news” and when we […]

READ MORE

Should We Worry About The Strong US Dollar?

Over the August period, it’s easy for people to switch off and to some extent, it might feel like the precious metals have been doing the very same! However, if you look at the YTD performance of gold across key currencies in the World Gold Council table provided below then you will take some heart […]

READ MORE

Featured

The King and Queen will be Gold and Silver

READ MORE
Newsletter
Category
Archives
Popular

No posts available

Videos

Expect $2,500 – $3,000 Gold In Next 12 Months

The 5 Major Trends That Are Shaping Our Economic Future

Patrick Karim on gold, inflation and the next break out

Blog posts

When The Weight of Inflation Becomes Too Much 

In a comment to MarketWatch last week we said that traders this week would be most focused on the CPI report that came out yesterday. In that very report, Inflation came in hot, above expectations, and posted its biggest monthly increase in August this year. It’s up 3.7% from a year ago. However, markets didn’t […]

READ MORE

Expect $2,500 – $3,000 Gold In Next 12 Months

It’s that time of the month again when we bring in a top chart analyst to take us through what they’re seeing in the markets, right now. This month we have the brilliant Gareth Soloway. Gareth explains why he’s watching the US Dollar, what he means by “Good news is bad news” and when we […]

READ MORE

Should We Worry About The Strong US Dollar?

Over the August period, it’s easy for people to switch off and to some extent, it might feel like the precious metals have been doing the very same! However, if you look at the YTD performance of gold across key currencies in the World Gold Council table provided below then you will take some heart […]

READ MORE

Featured

The King and Queen will be Gold and Silver

READ MORE