GOLD: Something has to break

Wednesday, October 10, 2012

Dollar Alternative Anyone?

Home » Economy, News, Politics
Dollar Alternative Anyone?
29 FEBRUARY 2012 87 COMMENTS
By Greg Hunter’s USAWatchdog.com

Countries around the world have been actively seeking ways to not do business in dollars for the past few years. The U.S. dollar is the so-called world reserve currency, but the big question is for how long? China and Japan are beginning to shun the dollar in trade between the two countries. Mind you, this is the 2nd biggest economy in the world doing business without dollars with the 3rd biggest economy in the world. Russia and China, also, have an agreement to not use the dollar, and even India recently announced it would trade gold for oil with Iran. Additionally, the International Monetary Fund (IMF) has been calling for an alternative to the buck. The big push is not because the U.S. dollar is held in the highest regard but because it is losing its luster on the world stage. After all, the debt debacle facing America is worse than what the Greeks are facing according to a new report from U.S. Senator Jeff Sessions. (Click here to see for yourself.) Senator Sessions says every man, woman and child in the country is saddled with $44,000 in debt.

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So what is a poor retiree to do?

Your retirement savings get no interest. The stock market is dependent upon the inflation that the FED is pumping into it. And, that inflation has to come out somewhere — barf with the world rejecting the dollar as reserve currency or fart that inflation into the economy.

We have examples of hyperinflation in other countries. I lived through the Carter inflation of the 70’s.

Nickels, silver, and gold.

Seems obvious to me?

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GOLD: Western Economies Are Screwed

Tuesday, October 2, 2012

http://www.businessinsider.com/deutsche-bank-issues-a-terrible-warning-on-the-health-of-the-global-financial-system-2012-9#ixzz276ey6kNP

DEUTSCHE BANK: Western Economies Are Screwed, And Investors Face A ‘Disturbing Paradox’
Matthew Boesler | Sep. 20, 2012, 12:54 PM 

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In a new report entitled Gold: Adjusting For Zero, Deutsche Bank analysts Daniel Brebner and Xiao Fu paint an incredibly dark picture of the bind the global economy is in right now.

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Regardless of who wins the US elections, we are faced with a situation of Japan in the 80’s. It will take two generations to unwind the excesses of the past half decade.

  • A rotation out of the US dollar as the world’s reserve currency will effectively put the USA politician’s on a fiscal “diet”.
     
  • Gas prices are going to cripple the middle class.
  • The public pensions will cause a crisis as there are far more takers than makers.
  • The “free riders” and those on the dole, including Social Security, will make final discipline impossible.
  • The class warfare will end with the makers, like the Little Red Hen, just stop making; can’t take what isn’t made.

At some point in time, “We, The Sheeple” will recognize that they are being killed; not merely shorn.

That’s when the merry go round stops.

Gold, or nickels, is your best bet to survive.

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GOLDBUG: 500% implications = 25 * Carter’s 21%

Thursday, June 28, 2012

http://www.theblaze.com/stories/as-some-predict-a-500-percent-surge-in-gold-beware-of-scam-artists/

Business
As Some Predict a 500 Percent Surge in Gold, Beware the Rise in Scams
Posted on June 22, 2012 at 10:00pm by Becket Adams Becket Adams

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The European bank and financial services company Societe Generale predicts that gold could surge as much as 500 percent in the near future. Of course, with an increase in value comes an increase in fraud

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This implies 10$ per gallon gas.

A five fold increase in commodities.

A 500% inflation will make Carter’s inflation look like child’s play.

Argh!

Save your nickels!

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GOLD: Joe Scarborough Admits

Wednesday, April 4, 2012

http://www.theblaze.com/stories/joe-scarborough-admits-glenn-beck-has-been-right-about-gold/

Business
Joe Scarborough Admits: ‘Glenn Beck Has Been Right’ About Gold
Posted on March 30, 2012 at 3:49pm by Becket Adams

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Today on MSNBC’s “Morning Joe,” Matthew Bishop, the US Business Editor and New York Bureau Chief for The Economist, talked about his new ebook “In Gold We Trust? The Future of Money in an Age of Uncertainty.”

Co-written with Michael Green, Bishop’s ebook discusses some awfully familiar themes: the instability of fiat currencies, the skyrocketing price of gold, and the future of the global economy.

“If you got volatile markets, why do you run to gold?” MSNBC host Joe Scarborough asked Bishop.

“This is a very interesting time because…the people who have been the most successful investors over the past few years, a lot of them basically are very worried about the future of the dollar, very worried about the future of the euro, and they see gold as the best alternative currency,” Bishop answered.

“And they’ve been right a lot,” Bishop added. “They have a lot of their money in that currency and I think the rest of need to understand why. It’s always dismissed as this kind of crazy rightwing thing to do,” Bishop added.

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ROFL!

Bout time that someone, anyone, in the mainstream media acknowledges the economic reality.

 

 

 

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GOLD: Asian gold theft crisis in the UK

Tuesday, February 14, 2012

http://www.guardian.co.uk/uk/2012/jan/31/gold-theft-asian-families

The great Asian gold theft crisis
With its value at a record high, gold has never been more attractive to thieves. Now burglars with metal detectors are targeting the homes of British Asian families for their collections of high-quality ‘Indian gold’ jewellery
Emine Saner        Emine Saner        guardian.co.uk
Tuesday 31 January 2012 15.00 EST

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Five weeks ago, she came home one evening to find the door ajar. The downstairs floor of her house was relatively untouched but upstairs the bedrooms had been ransacked – drawers opened, wardrobes emptied, clothes and belongings scattered everywhere. “It was such a huge shock,” she says, sitting on the sofa, her voice breaking slightly. Her husband, Mr Rashid (neither want to give their full names), a big man sitting across the room, shakes his head. “They took it all,” he says.

The thieves who broke into this semi-detached house in Earley, near Reading, stole around £70,000-worth of gold jewellery. To those who are not from a south Asian family, it might seem remarkable to own so much valuable jewellery, but families such as the Rashids (Mr Rashid runs a small business) live in ordinary houses and are not particularly wealthy. Their gold collection – elaborate necklaces, rings, earrings and bangles – is treasure that has been handed down from generations of their families in Pakistan or bought as wedding gifts. It’s our savings, our security, says Mrs Rashid, visibly upset. If, in future, the family needed money, they would have sold some pieces. “It’s like paying a mortgage for 20 years and then having a house worth thousands of pounds afterwards – it’s the same thing with gold,” she says. “Our parents gave it to us, we would have given it to our children, they would have given it to their children,” says her husband. They tried to put their gold in the bank, but “there were no lockers available. Everyone is looking for one.”

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Camouflage!

You have to not look like a victim. And, make it hard to find.

Crazy that you can’t be secure in your own home.

Tie that back to the UK’s dole, gun laws, and generally tolerant attitude towards crime.

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GOLD: Unfunded liabilities

Monday, January 9, 2012

http://lewrockwell.com/spl3/gold-chart-walk-2012.html

Gold Chart Walk 2012
by Morris Hubbartt

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Unlimited government requires unlimited funding. The unfunded liabilities of the USA are staggering. Over the next 20-25 years there is probably a gigantic $75 trillion unfunded liability problem for the US government. Think of the move in gold against the dollar with a debt of $15 trillion. Can you imagine the action in gold with a debt five times the current size?

The United States could be headed towards decades of dollar devaluation. With all of the problems in Europe, why isn’t the euro hitting new lows? Why can’t the dollar mount a real rally, instead of this tiny bit of strength?

The answer is that the dollar isn’t really very strong at all. If America goes into a crisis like you’ve just seen in Europe, the fall in the dollar could dwarf the euro’s fall, because America is the largest debtor nation in the history of the world.

The nature of all fiat currencies is to be competitive, with each currency group looking for an advantage in trade, and more importantly, an advantage in debt relief for the governments that issue these currencies. Fiat currencies are designed to be depreciated over time. Buy Gold in this time of gold price weakness, because your opportunity won’t last forever.

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Regardless of how you feel about gold — the magic mineral, an obsolete anachronism, or something in between — this quote should strike fear into the heart on anyone who understands “real life”.

As if “unlimited government” was NOT scary enough, “unlimited funding” should be down right terrifying.

The national debt stands at 15T$ and growing every second.

Then you hit the guesstimate of 75T$ of unfunded liability, which should knock your socks off. It does mine.

How did “we” get in this mess? Even a crooked accountant, with two sets of books, has one that tells him the truth. Even Bernie Made-off knew he was “underwater”. We don’t even have ONE set that tells us the truth.

“Jobs created or saved”, “unemployment” stats that don’t account for the “99 week”-ers, and an inflation rate that doesn’t include food or fuel.

These are the statisticians that you’re looking to tell you “the truth”.

Can you even handle “the truth”?

“The truth” is that we’re going to be like Japan, the Soviet Union, and Zimbabwe all rolled into one.

As one of those war movies said: “Tell everyone to get small in their holes because trouble is coming.”

Argh!

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GOLDBUG: Confiscations in time

Tuesday, October 25, 2011

http://www.telegraph.co.uk/news/newstopics/howaboutthat/8829908/Biggest-haul-of-Roman-gold-in-Britain-could-have-been-found.html

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In other cases, someone who was under threat could have buried them because they wanted to hide their wealth.

Another regular occurrence was coins being recalled, so they could be melted down to produce more currency. When that happened, Romans would head into the garden, and bury their money to keep it safe for the future.

It will be fascinating to find out what is there in terms of coins, but also why, and how, it came to be buried there. “Every hoard is different, and the bigger the number of coins, the more we can find out about the history of the area.”

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Wow, gold confiscations weren’t limited to FDR. Tell you anything?

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GOLDBUG: Return to a gold standard?

Friday, September 30, 2011

http://www.nysun.com/national/plan-to-return-america-to-the-gold-standard-set/87495/

Plan To Return America To the Gold Standard Set To Be Offered at Washington
Lehrman, One-Time Member of Reagan-Era Gold Commission, Foresees Five-Year Transition
By SETH LIPSKY, Special to the Sun | September 26, 2011

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Step two in the Lehrman Plan would be the minting by the Treasury and authorized private mints of what Mr. Lehrman calls “legal tender gold coin in appropriate denominations, free of any and all taxation.” The taxation point is a key one. Currently, if the value of the dollar collapses while one is holding gold coins, one can be taxed when one spends those coins.

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As a fat old white guy injineer, I have learned to ignore what politicians and bureaucrats say and look at results.

The Federal Reserve Bank — which neither “federal”, nor a “bank”, while “reserve”-ing nothing — is nothing more than an “OPEC” for a secret money cabal.

So let’s look at the track record of the FED. Now bear in mind that their stated objective, depending upon what mumbo jumbo you’ve listened to, is either or both “strong dollar”, “full” employment, “weak dollar”, “price stability”, or a “weak dollar”.

But let’s focus on the results!

Since 1970, the purchasing power of the dollar has dropped arguably between 95 to 99%.

If “money” is supposed to have a “store of value” attribute, then the dollar fails in that key characteristic.

A most telling argument from a recent Republican Presidential Debate was Ron Paul’s assertion that the price of gas in terms of silver hasn’t changed. Three pre-1964 dimes bought a gallon of gas in the 60’s and those same dimes when converted to Federal Reserve Notes today — 3 time $2.80 = $8.40 — would buy more than a gallon of gas anywhere in the USA.

SOOOooo it’s the value of the dollar that has eroded.

I wish this gallant warrior “Good Luck” getting the USA back to the gold standard. I don’t see it happening peacefully.

Secession is the only path.

When common folk begin to save their wealth in gold and silver, then the days of the FED are over.

When “We, The Sheeple” recognize that they’ve been defrauded, then we have a chance to recover.

All that has to happen is the repeal of legal tender laws, and the free market will fix the problem.

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GOLDBUG: Between the borrowers and the savers

Monday, August 22, 2011

LinkedIn Groups
Group: Risk, Regulation & Reporting
Discussion: Should the World Go Back to the Gold Standard?

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during the glory days of the gold standard in the US, 1870-1914, prices declined steadily at 2% p.a. for the 1st half o the period and then increased at 2% p.a. for the 2nd half. There was “price stability” if one means that prices in 1914 were the same as they were in 1870, otherwise not. Gold will make the rates of inflation in all countries on the gold standard approximately the same.

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Can you even IMAGINE zero inflation?

Talk about radically changing the balance between the borrowers and the savers. Between the workers and the drones.

What a concept.

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GOLDBUG: Think tangibles; it’s no April Fool’s joke

Friday, April 1, 2011

http://www.wnd.com/index.php?fa=PAGE.view&pageId=279429#ixzz1HnfX2FgQ

Tangible investments … that lick your hand

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We’ve decided on this radical tactic because money is losing its value at a startling rate. In the last eight months it has lost 14 percent of its value. This “dollar’s road to hell,” in the words of Gonzalo Lira, mean useful things like heifers and canning jars and storable food will only cost more and more as time goes by. So why not purchase them now while we can still afford them?

At this juncture I’ll point out that I’m not a financial adviser. I don’t even play one on TV. I’m a housewife on a limited budget. But my husband and I can’t afford to have that limited budget evaporate in value because we naïvely swallowed Ben Bernanke’s lies that our economy is just fine, thank you, and recovery is right around the corner.

We believe foolish people trustingly keep their money in the bank and don’t notice when its purchasing power dwindles (or when their solid dependable bank just … goes away). We believe foolish people think the stock market can never fall to catastrophic lows (again). We believe foolish people think our economy is fundamentally sound despite all evidence to the contrary.

We believe smart people pay off debt and get rid of unneeded luxuries and put their money into things that will provide a useful function in the future. We believe smart people invest their retirement money in physical gold and silver rather than 401(k) plans.

Tangible. Think tangible.

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Gold bullion coins, silver bullion coins, rolls of nickels … … are my preferred investments.

Don’t laugh.

Read about post WW1 Germany, Hungry, Zimbabwe.

It can happen here.

Humor me. Buy a $2 roll of nickels every time you go to the bank and put them out of the way at home. (The Gooferment’s nickel in now worth about 8¢ in metal content alone.)

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