Thursday, October 7, 2010

GOLD AND SILVER ARE NOT EXPENSIVE

Gold and Silver Prices Signal the Destruction of the Dollar



http://inflation.us/
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The Federal Reserve is Responsible for the last 2 Decades of Economic Turmoil
1.  Beginning with the Savings & Loan crisis in 1990, each engineered  crisis is growing in intensity and carnage. First, there was the  Internet bubble crash then the Real Estate bubble meltdown and now we  are at the footsteps of an unprecedented acceleration of price increases  in food and energy.

In 2007, commodity prices soared when there  was actually a slowdown in the global economy. There was no reason for  commodity prices to go ballistic at that time, except for federal  reserve intervention.  The price of oil went from $78 to $147.  High gas  prices actually burdened the average US consumer with an additional  "tax" of five hundred billion dollars.

That 500 billion dollar "hidden tax"  was ONE of many reasons, we are IN the current Great (NON) Recession.

(The US Dollar Index is Worthless)
2.  On CNBC they often point to the dollar index and state that a weaker  dollar is good for the export economy.  Currently US Dollar index looks  bad - but it actually means nothing because it is being compared to  other world wide fiat currencies undergoing massive debasement.   Worldwide central banks, seem to be in a currency death dance, racing  each other to the bottom in the name of international competitiveness.

Gold and Silver is the Only way to test the Strength of our Currency.

The  dollar is weakening against other currencies but when compared against  the price of precious metals and raw materials we can see THE THE TRUE  VALUE OF A US FEDERAL RESERVE NOTE


(GOLD AND SILVER ARE NOT EXPENSIVE)
3.  The truth is Gold and Silver prices are just Getting Started.  If you  pay attention the public is selling not buying gold (cash4gold  commercial)
What happened during the Internet bubble?   The average  Joe was piling into tech stocks and many individuals were giving up  there jobs to day trade full time

And we all know what transpired  during the last death throws of the Real estate bubble. People were  buying at the peak 3, 4, 5, 10 home and flipping every WHICH way to make  AS LITTLE AS 20,000

The common JOE, BUYS into manias...When all  your neighbors are hoarding and trading gold, and telling you real  estate is a waste of time and money, it may be the time to look at  diversifying some your investments out of gold and silver.

WHAT I SEE PERSONALLY IS
10 years of Real Estate Stagnation & Depreciation &
10 years of Gold  & Silver Appreciation

4 (JOBS ARE NOT COMING BACK TO THE US)
TO  QUOTE Dr. Marc Faber: "COMPANIES would be out of THEIR minds, with  health care reforms, government interventions and the uncertainty about  future taxes in the US, to even consider expanding in the US.

Corporations  are expanding in China, India, Vietnam, Bangladesh, Africa and Brazil.  The business world is an international place today, and if you run a  corporation, whether you employ 50 or 10,000 PEOPLE, you can choose  where you invest your money in terms of capital spending.

Where  do you want to expand factories? If I employed people in the US, I would  rather think of reducing the 50 employees RATHER THEN HIRING MORE.
source : http://www.youtube.com/watch?v=doSpeRyBHw8

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