Peregrine Diamonds Ltd. PGDIF

shrivelling Chinese dumplings

[Silverwhere]

This story is about someone named yuan. Sorry Trump, this yuan isn’t Mexican but he is Chinese; your second BFF.
 
As you read on consider the limited hard asset alternatives the upper classes have at their (financial) disposal in happier times surplus nations...
 
Any/all counties whose currencies are considered “overvalued” continue to ooze FX surplus grease as a by-product of smart trade & clever currency manipulation. As excess paper moves east to west hard assets continue to move west to east.
 
Undervalued diamonds & diamond plays will now get lubricated via some of this FX surplus grease – potentially from China as well as other surplus trade countries. Diamonds will shine anew as prime safe haven investments. Consider Chidliak as a one-way fiat destination where some (foreign? or US?) paper currency will go to die. Not in vain but for very solid reasons.
 
.......
 
Excerpt from the Jan 6, 2017 Reuters article about China (last link below):

"For 2016 as a whole we estimate total capital outflows to have been around $710 billion," Capital Economics' China economist Chang Liu told Reuters in an email.

Capital Economics estimated net outflows in November and December alone were $76 billion and $66 billion, respectively.

.......

OK, when you do some quick math, that $710 billion averages out to $59.17 billion monthly. It is interesting to note that Nov & Dec’s monthly numbers (above) suggest an accelerated pace into 2016 yearend. Hmm, what do the elite in China know...

Now consider this: the numbers above are for China only. What about the other surplus trade countries & their outflows? Say China accounts for two thirds of all excess monies searching for love elsewhere. My Made in China 10 dollar calculator tells me that we must multiply China’s outflows by a conservative 1.5x to visualize what’s happening globally right now.

Let’s conservatively say the following:

$700 billion per year in China x 1.5 = $1,050 billion per year globally

Let’s assume 1 percent (cash-to-store-of-wealth transfer) per year will make its way into diamonds:

$1,050 billion per year globally x 0.01 = $10.5 billion per year globally

Recall what has happened in Japan since their 1991 Crash. The Lost Score will now need a revamped name as it becomes one of the the "old names", along with the original Lost Decade title. Wealth destruction continues unabated in Japan. Its citizens yearn for anything other than yen these days. Also recall my harping about Itochu (& their ability to transact globally – in any form of currency).

And so we wait and wonder... who will raise a hand for some glistening icing as other financial excess candles go out? Keep this date in mind: Lunar New Year 2017 is Sat Jan 28. What will the rooster uncover from scratch in 2017?

As for Peregrine Diamonds? My shiny Northern Lights prediction is that T.PGD will be halted before the opening bell on Tues Jan 17^th.
 
Anyone want to taste some fine icing before the select partygoers arrive?

 
https://finance.yahoo.com/news/china-dec-forex-reserves-fall-035327104.html