Breaking News That Was Not

Just to set the record straight, an analysis of a "breaking news" story that seems to be nothing more than rumor. (From The Charleston Voice)

Let's put this to rest. I've Googled for "CHINA TO DUMP ONE TRILLION IN U.S. RESERVES" which turned up dozens upon dozens of hits. I didn't go to all of them, but enough so to conclude that they all led back to Hal Turner. His "Breaking News" is on blogs, forums, gold sites, investment sites, and others. Seems many have bought it. I don't. The insertion also about OPEC and the Arabs' "extreme militarism" only adds to the confusion. Hal Turner either fabricated it himself, or was duped into believing it, and posting it. The two Washington Post articles were independent of his rant. It may have been a ploy to precipitate just such a panic as explained would be imminent Monday. Another reason could be to lend an assist to longs which are underwater with their positions. Whatever the case may be we'll be able to see Asian trading open at 7:15PM EST (I think) at: http://www.netdania.com/QuoteList.asp

I am reminded of words once told me a long time ago outside of the gold klan: "Any bank that cannot withstand a run deserves to fail. It just proves the depositors were right in the first place to demand their money from an unsafe custodian." Applying that wisdom to ourselves can be understood that anyone who knowingly leaves his funds on deposit with a custodian he believes to be unsafe deserves to go down with the bank.