Hong Kong Launches Gold Supply Chain Infrastructure

GFIX Market Rundown - February 27, 2024: Hong Kong's Gold Hub & Market Analysis

Key Concepts:

• BRICS: A geopolitical grouping of Brazil, Russia, India, China, and South Africa, expanding to include other nations, focused on economic cooperation and challenging the dominance of the US dollar.
• De-dollarization: The reduction of the US dollar’s role as the primary reserve currency in international trade and finance.
• Hard Money: Physical precious metals (gold, silver) as opposed to fiat currencies.
• Fiat Currency: Government-issued currency that is not backed by a physical commodity.
• Collateral Anchor: Using gold as backing for financial transactions and systems.
• RSI (Relative Strength Index): A momentum indicator used in technical analysis to measure the magnitude of recent price changes to evaluate overbought or oversold conditions in the price of a stock or other asset.
• VWAP (Volume Weighted Average Price): A trading benchmark that provides the average price a security has traded at throughout the day, based on both volume and price.
• Secular Change: A long-term shift in trends or perceptions.

---

I. Hong Kong as a Global Gold Hub – Operationalization of BRICS Infrastructure

The primary focus of this market rundown is the completion of the gold supply chain in Hong Kong, spearheaded by BRICS nations, particularly China. This development signifies the operationalization of infrastructure, payment rails, and a collateral system anchored in gold, slated for formal launch in 2026. This is not a theoretical discussion anymore; the system is now “operational, visible, and increasingly central to the next phase of the international monetary system.” This represents a culmination of years of preparation, including China’s vault expansion and the development of collateral and settlement systems in the East.

The speaker emphasizes this is a “secular change” – a shift from a fiat money era to a “hard money” era, and from a West-dominated system to a “shared multipolarity” characterized by mercantilism and deglobalization. He notes that this development has been consistently reported on for three years, providing a buffer for those in the gold community against prevailing economic trends.

II. Market Performance – February 27, 2024

A snapshot of market performance as of 8:05 AM:

• 10-Year Yields: Down 1 basis point.
• Dollar Index: Down 29 basis points.
• S&P 500: Down almost 4 points.
• Nasdaq: Down 37 points.
• VIX (Volatility Index): Unchanged.
• Gold: Up $46 to $2,044.90.
• Silver: Up 72 cents to $23.76.
• Copper: Up 7 cents to $3.88.
• WTI Crude Oil: Up 21 cents to $78.31.
• Natural Gas: Up 11 cents to $1.887.
• Bitcoin: Down $850.
• Ethereum: Lower.
• Palladium: Up $27.
• Platinum: Up $61 – described as “the boss” due to its strong performance.
• Gold/Silver Ratio: 86.43, unchanged.
• Grains: All up, with corn leading the gains.

III. Technical Analysis & Trading Strategies (Silver & Gold)

The speaker provides a detailed technical analysis of silver and gold, focusing on key support and resistance levels. He stresses the importance of identifying levels where one would not want to be long, rather than setting arbitrary price targets.

• Silver: He identifies a key level at $25.46. Trading below $23.19 intraday would be a cause for concern. Weekly support is at $21.86. Monthly analysis suggests a potential drop to $21 is still within the overall trend. The RSI (Relative Strength Index) is noted, with the monthly RSI at 89.59 (not at its all-time high of 97.46) and the daily RSI at 79.89.
• Gold: A critical level is identified at $2,035.50. Staying above this level is considered bullish. Weekly analysis offers little comfort, suggesting the market is “ahead of itself.” Monthly analysis indicates a potential drop to $1,841 while still maintaining the overall trend.

He explains the concept of “tamping down” the market – large orders being filled in a controlled manner to avoid significant price spikes, referencing VWAP (Volume Weighted Average Price) as a key indicator.

IV. Western Media & the Shifting Global Landscape

The speaker criticizes the Western media for its lack of in-depth reporting on these developments, characterizing it as a “dereliction of duty.” He argues that the media is failing to recognize the fundamental shifts occurring in the global monetary system. He emphasizes that the gold community has been aware of these changes for some time, and the world is now beginning to “catch up.” He cautions against believing the hype that may emerge as the mainstream media belatedly covers these events.

V. Historical Context & Personal Perspective

The speaker draws a parallel to the 1970s, expressing concern that many families lacked the foresight to protect themselves from economic turmoil. He expresses a personal desire to help others avoid a similar fate. He states, “This is personal for me because in the 70s, nobody helped my family and relatives weather the storm. And their businesses and families were destroyed and I want to keep that to a minimum and try not to uh have that happen again.”

VI. Concerns Regarding Market Manipulation & Exchange Practices

The speaker references concerns about potential manipulation in the gold market, specifically regarding revisions to open interest data on exchanges. He mentions a discussion about exchanges revising open interest after trading hours, potentially obscuring market activity.

VII. US Awareness & Acceptance

The speaker posits that the US government is fully aware of these developments and is likely “assenting to” them, despite appearing to ignore them publicly. He believes the world is “bending” to the changing dynamics.

VIII. Concluding Remarks

The speaker encourages viewers to remain informed and anchored in their convictions, emphasizing that the changes underway are just beginning. He highlights the launch of new merchandise (hats) for the community. He concludes by wishing everyone a good day and encouraging continued engagement with the community.

Notable Quote:

“A return to sanity is how we would uh call it.” – Vince Lansancy, describing the shift towards a gold-backed monetary system.

Data/Statistics:

• Specific market prices as of 8:05 AM EST (detailed in Section II).
• Silver Monthly RSI: 89.59 (historical high: 97.46)
• Silver Daily RSI: 79.89
• Key support/resistance levels for Silver and Gold (detailed in Section III).

This rundown provides a detailed account of the GFIX Market Rundown, focusing on the operationalization of the BRICS gold infrastructure and providing a comprehensive technical analysis of silver and gold markets. It also highlights the speaker’s perspective on the broader geopolitical and economic shifts occurring globally.