RSSCategory: Category: Economy

Gold’s Outlook In The Coming Era Of Bank Bail-ins

Gold’s Outlook In The Coming Era Of Bank Bail-ins

I do expect a full-blown currency crisis at some point and I expect gold to be the beneficiary. The global spotlight has been on Europe, and spotlights are typically a sign that problems will strike elsewhere. Japan is a crisis-in-waiting, and the emerging markets are taking a beating now. I have been in a very tiny minority who likes gold while simultaneously suggesting the US dollar would not collapse.

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Total Public Debt Now Eclipses GDP In The US

Total Public Debt Now Eclipses GDP In The US

As one can see in the chart, total public debt in the United States recently crossed the proverbial Rubicon and now equals 104.95% of GDP. Though some would argue that a healthy dose of debt is necessary to foster economic growth, the US’s unsustainable public debt exceeds the same debt measures of crisis-stricken Cyprus and fragile Spain, where public debt as a percentage of GDP have been most recently estimated at 85.8% and 84.2%, respectively.

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Is The Wealth Effect In The US Already Tapering?

Is The Wealth Effect In The US Already Tapering?

This week’s data show that the wealth effect is working in reverse already. Peter Schiff compares it with a “house of cards recovery” which is already collapsing before the real taper starts. The remarkable thing is that the Fed has only been talking about a slight easing of their asset purchases. Moreover, the failure of the latest bond auction should result in less interest in the dollar. That is what shapes the prospects for gold and explains recent price action.

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Why To Protect Your Financial Future?

Why To Protect Your Financial Future?

It’s really no top secret that the global economies depend on an unsustainable amount of debt. Think one step further: there will be a day that these programs must end, or at least must come back to “more realistic” levels. What will happen then? How will it affect you, your family, your employer or your clients? The harsh reality is that this debt addicted global economy can only be fixed with a planned reset or a reset that will rise up from the ashes of an economic disaster.

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Gold falls below $1300 on the Back of a Slew of Economic Data

| August 7, 2013 | Category: Economy
Gold falls below $1300 on the Back of a Slew of Economic Data

One must consider the high debt burden of the US government. Any increase in yield will translate into higher servicing costs, and thus the US government has trapped itself in a situation where it finances itself by selling treasuries, but cannot afford increasing the interest rate. How much longer can the Fed continue to buy bonds in order to keep rates low? And, when they stop, what will happen? Owning gold is essential. Trading for a profit is not the same as owning a valuable asset. Physical gold is about ownership and not about price and profit.

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We Are Closer To Communism Than One Might Think

We Are Closer To Communism Than One Might Think

So why should we be concerned with communism or Marx? Aren’t we all living in a free and capitalistic society? No. On the contrary! Not only do we see elements of this plan implemented, but we see them carried out by those very countries claiming to be far from communism. European countries and the United States, all advanced self proclaimed capitalist economies, are in fact significantly close to Marx’s dream of socialism as this article will show. Though they might call it ‘welfare state’ the resemblance to socialism is cunning.

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This Is The Biggest Debt Bubble In History

This Is The Biggest Debt Bubble In History

Excessive monetary stimulus and low interest rates create financial bubbles. This is the biggest debt bubble in history. It is a potent deflationary force and central banks are forced into deploying increasingly aggressive offsetting inflationary forces.

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Market Moves Ahead Should be Good for Gold, Bad for US Dollar

| July 11, 2013 | Category: Economy
Market Moves Ahead Should be Good for Gold, Bad for US Dollar

Gold and silver will not only continue to serve in their timeless role as a store of wealth while fiat currencies flail and ultimately fail—right now, market conditions are ripe for a once-in-a-lifetime profit opportunity to take shape. The current gloom in the mining-stock sector has stock prices at astounding lows… but those who know which companies are best positioned to ride out this temporary collapse and have the fortitude to invest in them now can make a fortune. This isn’t exaggeration—this scenario has played out before in the US.

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The FED’s Forked Tongue

| June 26, 2013 | Category: Economy
The FED’s Forked Tongue

Ben Bernanke is a one-trick pony and running the printing presses, i.e. bond buying, is Bernanke’s only trick. Bernanke, a central banker, however may have a less transparent motive in mind. Bernanke knows the Fed’s bond-buying has led to speculative bubbles around the world. But Bernanke also knows that without the Fed’s continuing lifeline, US demand would plummet sending the world into perhaps another deflationary depression.

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United States Of America – Too Many Open Questions

United States Of America – Too Many Open Questions

As the latest and greatest scandal, act of tyranny, unfolds before the United States citizenry, we have to look back and ask why. Why would the government need to collect every stroke of the keyboard, every phone call made and every website visited? If the government isn’t out of control and attempting something that’s very sinister in nature, then why would this information be necessary? What is the point of collecting all this information on each and every citizen?

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Does America Still Know Rule Of Law – Nationally, Internationally, Or At All

Does America Still Know Rule Of Law – Nationally, Internationally, Or At All

What is this all about anyway? Is America in such bad shape that it needs to criminalize its citizens and its supposed Swiss friends? Is complete citizen transparency and so-called “tax justice” really important enough to throw our long-time values and principles of freedom overboard?

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IMF Admits Lying About Greek Debt Crisis

IMF Admits Lying About Greek Debt Crisis

It is a fact that the IMF and troika prefer to lie and have innocent people literally suffer just to pretend that the banking system in the Eurozone is all right. This news only confirms what we have been advocating for a long time. The debt crisis is much worse than most of us believe. It is very likely that we have reached a systemic tipping point in the debt and credit based economic model.

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Are Central Banks Losing Control Over Interest Rates?

Are Central Banks Losing Control Over Interest Rates?

This article points to the potential effects of the “debt trap.” Debts have mounted to record highs. The associated financing costs become unsustainable when interest rates are high (or start rising). Record low interest rates have one characteristic in common: they have much more upside potential than downside.

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SOS Distress Warnings From A Crazy World

SOS Distress Warnings From A Crazy World

There are many more insanities in our financial and political systems than have been mentioned here. The consequences will be unpleasant, but we expect no material systemic change without a major crisis. This suggests a crisis is inevitable. When? It will occur when some event destabilizes the system and interrelated cascading failures occur. Cyprus was the warning! Cyprus was the “Mayday!” and the “SOS” to the world. Are you prepared?

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