See other World News Articles
Title: Steven Mnuchin Explains Why $1.5 Trillion In $100 Bills Have Disappeared
Source:
[None]
URL Source: https://www.zerohedge.com/markets/s ... ion-100-bills-have-disappeared
Published: Dec 23, 2019
Author: Tyler Durden
Post Date: 2019-12-23 02:58:59 by Horse
Keywords: None
Views: 238
Comments: 14
Last week we reported that something strange was going on at the same time that central banks are injecting $100 billion each month in electronic money to crush volatility and ramp markets: a similar amount in physical currency and precious metals was literally disappearing. The mystery, in a nutshell, was as follows: while banks are printing more bank notes than ever, these seem to be "disappearing off the face of the earth" and nobody knows where or why, or as the WSJ notes, "central banks don’t know where they have gone, or why, and are playing detective, trying to crack the same mystery." And while readers can read up much more on the topic of disappearing hard assets here, a few days after, Fox Business picked up on this thread, writing that almost $1.5 trillion of the world's physical cash, with $100 dollar bills making up the vast majority, was reportedly unaccounted for. So what happened to the money? To get to the bottom of this mystery, this was the question FOX Business anchor Lou Dobbs asked the man who literally signs every single US dollar bill, Treasury Secretary Steven Mnuchin. The response" "Literally, a lot of these $100 bills are sitting in bank vaults all over the world," Mnuchin said. Mnuchin pointed to the negative interest rates causing people to turn to American dollars as a solid investment. The dollar is the reserve currency of the world, and everybody wants to hold dollars," Mnuchin said on "Lou Dobbs Tonight." "And the reason why they want to hold dollars is because the U.S. is a safe place to have your money, to invest and to hold your assets." Mnuchin said it's interesting that, in a increasingly digital world, "the demand for U.S. currency continues to go up." adding that "there's a lot of Benjamins all over the world." Actually, it's not that interesting: the world's growing appetite for physical assets such as paper dollars and gold, coupled with the continued interest in cryptocurrencies and other traditional currency alternatives, merely confirms that faith in artificially levitated markets is approaching a tipping point. Meanwhile the world's "top 0.001%ers" continue to quietly cash out, literally, and put their Benjamins in secret vaults in the middle of somewhere, even as central banks do everything in their power to reduce the amount of physical currency in circulation and replace it with easily trackable digital alternatives. As we reported back in August, there are now more $100 bills in circulation than $1 bills, according to data from the Federal Reserve, which found there are more $100s than any other denomination of U.S. currency. And as an indication of just how much demand there is for physical stores of value, consider this: the number of bills featuring a picture of Benjamin Franklin has about doubled since the start of the recession. t's not just US dollar that are disappearing, however. Few are as perplexed by the fate of the missing cash as the German central bank: according to the Bundesbank more than 150 billion euros are being hoarded in Germany. This has led the European Central Bank, and others, to ask the public for help. “Everyone says that they are not hoarding cash but the money is clearly somewhere,” said Henk Esselink, head of the issue and circulation section in the ECB’s currency management division. “People hide their money everywhere,” said Sven Bertelmann, head of the Bundesbank’s National Analysis Centre in Mainz, Germany. Sometimes bank notes are buried in the garden, where they start decomposing, or hidden in attics, where they are used by mice for building nests. “It happens again and again that people keep money in an envelope and then they shred it by mistake,” Bertelmann said. “We pick up the bank notes with tweezers and then start to put them together, like a jigsaw puzzle." Receive a daily recap featuring a curated list of must-read stories. Australia’s central bank says its best guess is that only around a quarter of the bank notes in circulation are used for everyday transactions. Up to 8% of cash is used in the shadow economy—tax avoidance or illegal payments—while as much as 10% could have been lost. That is $7.6 billion Australian dollars ($5.2 billion) missing at the beach or in couch cushions... Or simply lost in a "boating accident" to avoid the taxman until the rainy days arrive. The biggest use of cash is as a store of wealth “in safes, under beds and at the back of cupboards, both here in Australia and elsewhere around the world,” Mr. Lowe, the RBA governor, said. Swiss National Bank officials likewise found that hoarding of Swiss francs jumped around the year 2000, likely motivated by fear of the Y2K bug infecting computer systems, the bursting of the dot-com bubble, the September 11 terrorist attacks and introduction of the euro. The financial crisis that began in 2007 encouraged people to stash even more. Meanwhile, with a financial crisis looming - and getting closer by the day - for some countries, such as New Zealand, making money disappear is becoming a national pastime. Around a third of New Zealand’s new bank notes headed overseas in 2017, up from 6% four years earlier. That happened around the time that tourism overtook dairy as the country’s main export money-spinner, leading officials to speculate on the role played by currency exchanges, especially in Asia. The trail mostly ran cold after that. The bank could only identify the whereabouts of around 25% of New Zealand’s cash. The rest, of about 75%, has disappeared. "Our sense is that we’re in the same boat as a lot of other central banks out there,” said Christian Hawkesby, assistant governor at the RBNZ. “We can’t fully explain why holdings of cash are rising and where they are going."
Post Comment Private Reply Ignore Thread
Top • Page Up • Full Thread • Page Down • Bottom/Latest
#1. To: Horse (#0)
Don't hold your breath on that one Steve. The IMF has moved their offices from Washington, D.C. to Beijing, China. This signals the coming collapse of the U.S. Dollar. ;) "When bad men combine, the good must associate; else they will fall, one by one." Edmund Burke
The US has been counterfeiting $100 bills blaming it on the Iranians. That makes dollar holders less likely to redeem them or to deposit them at a bank. You are right that the dollar will not last as the world's reserve currency. I figure 2022 or 2023.
The Truth of 911 Shall Set You Free From The Lie
When a nation is borrowing from banks and have the Sovereign Authority to produce their own currency and credit ... they have succumbed to bribery, treason and treachery of the worst kind, you know, the Jew kind ! http://ustvgo.tv/one-america-news-network/ "And have no fellowship with the unfruitful works of darkness, but rather reprove them. " The best thing about old age is that it doesn't last forever.
Which countries do not have a Rothschild central bank? Iran is one. North Korea used to be on the list, but no longer since Trump has ended that conflict. 2012patriot.wordpress.com...d-central-bank-countries/ In the year 2000 there were seven countries without a Rothschild-owned Central Bank. They were Afghanistan, Iraq, Sudan, Libya, Cuba, North Korea and Iran. Why do you think John Bolton was beating the war drums against Iran? So glad Trump has canned him. ;) "When bad men combine, the good must associate; else they will fall, one by one." Edmund Burke
You know, the "axis of evil" per the smirking chimp. “The most dangerous man to any government is the man who is able to think things out... without regard to the prevailing superstitions and taboos. Almost inevitably he comes to the conclusion that the government he lives under is dishonest, insane, intolerable.” ~ H. L. Mencken
"If they're not with us, they're against us" !!! Yikes ... really ? http://ustvgo.tv/one-america-news-network/ "And have no fellowship with the unfruitful works of darkness, but rather reprove them. " The best thing about old age is that it doesn't last forever.
Hoarders... The day wuill come when the dollar disappears. Banks will close, reopen giving you red or whatever color paper money in exchange. Example...You have ten thousand dollars in bank, they will give you 100 dollars in exchange. ANY PAPER MONEY NOT IN BANK WILL BE WORTHLESS OR EXCHANGED FOR PENNIES ON THE DOLLAR. Hoarding cash sounds good but is foolhardy. Gold has been taken away before and will be again. For the masses, barter will rule.
I doubt that very many will hand over their metals. Like the military conscription finally failed, confiscation will be a massive fail also.
“The most dangerous man to any government is the man who is able to think things out... without regard to the prevailing superstitions and taboos. Almost inevitably he comes to the conclusion that the government he lives under is dishonest, insane, intolerable.” ~ H. L. Mencken
National debt can never be repaid. The government has "contingency plans" now and will enact new ones to try to ensure their own survival. One of two endings for this country and the world... All out nuclear war or total financial collapse for all. For the little person at the end of the financial chain, he cannot win. Hoard whatever he might, others will take it or make it worthless.
I'm thinking a lot of things will trade easily. http://ustvgo.tv/one-america-news-network/ "And have no fellowship with the unfruitful works of darkness, but rather reprove them. " The best thing about old age is that it doesn't last forever.
Read how the Russians did it. Give up your gold or we shoot your kids or your wife. It worked every time. Individual Russians are the greatest hoarders of American 100 dollar bills. This has been true for years. Their assumption is, "when the American 100 becomes worthless, everything else will go worthless first". Consider how it might start here...The government tells all banks that they cannot accept 50 dollar bills for deposit. The bills are still legal tender among the peasants , not the banking system. Backed up by gold? Remember?
I went into a bank in California about 30 or more years ago and they wouldn't break a $100.00 bill for me unless I had an account with their bank. I was really miffed and couldn't understand it. I thought they should have to do it since they had a government granted monopoly on currency ... I was wrong. The political parties and government agencies that have allowed this FED RESERVE Banking fraud to continue for over 100 years are all guilty of treason. It is in my opinion the most obvious and dangerous fraud ever committed against the people of the United States. People that place an inordinate amount of importance on wealth and "things" are often the most ill affected when a financial crunch takes place. Seems people that have solid friendships and family are more likely to weather the storm with a smile knowing that they are loved and among people that will share what little they have on hand with each other. One thing is certain if a widespread financial collapse occurs. Everyone of average wealth will be in the same leaky boat paddling upstream. Difficulties, obstacles, and challenges will make the strong among us stronger and the criminals more common. I am optimistic that a national or even international monetary crunch/collapse will unite the people that have always done with less and help them form a viable opposition to the elites that just cannot get enough for themselves. http://ustvgo.tv/one-america-news-network/ "And have no fellowship with the unfruitful works of darkness, but rather reprove them. " The best thing about old age is that it doesn't last forever.
Thanks for your outlook. In crisis, the people in the back room will DO ANYTHING TO PROTECT AND CONTINUE THEIR GOVERNMENT. Too many Americans falsely believe that the government will play by the rules when a financial meltdown arrives.
In 1933 the smart people saw thru the scam and kept their gold for their heirs. Right now all of the gold that was in Ft. Knox is in the sub-basement of the Federal Reserve Bank of New York. The FED has taken the gold as collateral on the debt. As the debt rises, so does the value of gold. ;) "When bad men combine, the good must associate; else they will fall, one by one." Edmund Burke
"The dollar is the reserve currency of the world, and everybody wants to hold dollars,"
#2. To: BTP Holdings (#1)
#3. To: Horse (#0)
#4. To: noone222 (#3)
you know, the Jew kind
#5. To: BTP Holdings, noone222, 4 (#4)
Afghanistan, Iraq, Sudan, Libya, Cuba, North Korea and Iran.
#6. To: Lod (#5)
You know, the "axis of evil" per the smirking chimp.
#7. To: noone222 (#3)
When a nation is borrowing from banks and have the Sovereign Authority to produce their own currency and credit ... they have succumbed to bribery, treason and treachery of the worst kind, you know, the Jew kind !
#8. To: Cynicom (#7)
#9. To: Lod (#8)
#10. To: Cynicom (#7)
For the masses, barter will rule.
#11. To: noone222 (#10)
#12. To: Cynicom (#11)
The government tells all banks that they cannot accept 50 dollar bills for deposit.
#13. To: noone222 (#12)
I am optimistic that a national or even international monetary crunch/collapse will unite the people that have always done with less and help them form a viable opposition to the elites that just cannot get enough for themselves.
#14. To: Lod (#8)
I doubt that very many will hand over their metals.
Top • Page Up • Full Thread • Page Down • Bottom/Latest