Please see the article below which is of utmost importance for gold. Just a background on the issue, the U.S. has locked Iran out of the SWIFT money transfer system effectively disarming the latter's international banking capacity. China, not wanting to draw the wrath of the States has worked out a mechanism of using gold as a payment method for Iranian oil. It is akin to the U.S. reverting to gold to pay for Saudi Arabian oil.
Gold effectively re-emerges as an international payment mechanism as it was pre-1971.
"As countries around the world and the banks that operate within them attempt to avoid American financial sanctions against Iran – which blocks access to doing business in the United States for any entity that buys Iranian oil- Forbes reports that China will look to buy the Iranian product using gold to circumvent Washington’s policy.
China is Iran’s largest trading partner and buys more petroleum from Iran than any other country. Already, China and India are bartering with Iran, using consumer goods, and in the case of India, the rupee, to pay for Iranian oil imports...."
Read more:
http://www.tehrantimes.c...-us-financial-sanctions