Kazakhstan Currency Goes Poof

[Green_Bear]

Warning: gold ramping.

Kazakhstan Currency Goes Poof
By: Trace Mayer, J.D., 06/Feb/09
runtogold.com/2009/02/kazakh … goes-poof/

As the deflationary credit contraction intensifies another victim has been claimed. The central bank for the ninth largest country in the world, Kazakhstan, devalued the Tenge by 18%.
In other words, on Tuesday 3 February 2009 it took 109,759 tenge to purchase one ounce of gold. On Thursday 5 February 2009 it took 123,346. This is how fast currency events like hyperinflation hit.
Every asset in Kazakhstan just took a huge hit. For example, real estate earning potential in gold ounces just declined precipitously. Well endowed with natural resources, like oil and natural gas, and bordering the Caspian Sea the current decline in commodity prices has greatly affected the Kazakhstan economy.
Putin has expressed extreme displeasure with Wall Street. With political changes Kazakhstan may further align itself with Russia. The recent conflict with the Baku-Tbilisi-Ceyhan pipeline through Georgia, also on the Caspian Sea, shows the extreme importance of this area of the world and the potential for resource wars.
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[jabaar]

If the centrail bank devalued by 18% but the currency fell against gold by only 12.4% (109K-123K) then it seems gold is a good purchase in good old Kazakhstan.
Why does a country devaluing it’s currenct suddenly become hyperinflation and what the hell does “real estate earning potential in gold ounces just declined precipitously” mean??? I imagine not too many citizens are awake at night over that particular problem.

These gold promoters are starting to ge ton my nerves, I have posted elsewhere anout my opinion on gold and it is generally good but this kind of ridiculous correlation pandering is nuts!

[mr_anderson]

I think I speak for everyone when I ask … how is Borat coping ?

[yoganmahew]

@mr_anderson

I think I speak for everyone when I ask … how is Borat coping ?

I believe he’s leased out the gold teeth in his grandmothers head to Goldbugs.com to use as margin…

[Pill]

Why does a country devaluing it’s currenct suddenly become hyperinflation and what the hell does “real estate earning potential in gold ounces just declined precipitously” mean??

What I was thinking especially the ‘real estateearning potential in gold ounces…’.