Run on the Bank

My buddy, Tom Conroy ask: "why did Hugo Chavez order Venezuela gold be returned from London and New York?"

For you that have not heard, that is 11 billion dollars and 211 tons of Gold bullion being shipped across the world! Watch out for Somali Pirates!

The following article discusses Chavez's withdrawal:

http://www.bloomberg.com/news/2011-08-18/chavez-emptying-bank-of-england-vault-as-venezuela-brings-back-gold-hoard.html

No one disputes that Chavez is a socialist, who would relish the downfall of our capitalist society. One explanation of why he would remove his gold, could simply be to further destabilize our already weak banking system. If a community bank was in bad shape, depositors may be worried about getting their money back due to bank closing. Worried customers may go and withdraw their savings. Could his action, be to start a "run on the bank?"

We know Chavez appears to be slightly demented. At times, almost like mad man Kim Jong IL and this withdrawal is truly his way of poking capitalism in the eye. You know "Occupy Wall Street" style. He already supports the movement see the below article:

http://motherjones.com/mojo/2011/10/hugo-chavez-endorses-occupy-wall-street

Here is a more sinister reason that Chavez may be bringing his gold home. IRAN
You may remember that recently Chavez has befriended many of our enemies. Iran was special because he offered to sell them Uranium to facilitate making a nuke bomb. See this article:

http://www.time.com/time/world/article/0,8599,1929256,00.html

Simply put, Iran is developing Nuclear weapons and Israel knows sooner or later those weapons will be used on her. Therefore Israel will try to neutralize the threat. Iran has responded that any provocation by Israel will lead to strikes against the United States and her allies.(United Kingdom). Maybe Chavez wants his gold before it is radioactive. For more read:

http://www.reuters.com/article/2011/11/15/us-iran-nuclear-israel-idUSTRE7AE0P120111115

Wars and Rumors of wars! Are you saved?