On a Personal Note…
Just FYI – In case you were not aware – Aside from great advice and good reading… The Silver News Surfer does sell silver and gold also.
Interestingly enough, The FED announced yesterday that they will keep interest rates at record lows and continue its $85 Billion per month bond buying “strategy”. However, the interesting part is that the FED was also quoted saying that they would increase or decrease the pace of its asset purchases depending on conditions. – What the heck does that mean?
These are the same people that we put our full faith and trust in? And they can’t make up their minds about what to do? Guys, we are in deep doo-doo! I mean these people are supposed to be the best of the best on the planet and who are running the financial system – yet they say they will either increase their purchases of our own debt or maybe decrease the purchases? I will go out on a limb here and foresee volatility when the minutes of the meeting are released and traders sift through the information and come to their own conclusions of what that means.
This is why so many people are saying that we live in unprecedented times – this is why economists like Richard Russell and Jim Sinclair say that they have never seem anything like this in all their years (no disrespect for those 2 mentioned, but they’re old guys and have seen a lot) and they have never witnessed anything like this?
Again, another reason of the importance of silver and gold ownership folks! Insurance, protection, preservation… remember?
May Health Wealth And Success Be Yours!
The Silver News Surfer
Now, onto the business of protecting your wealth…
If silver and gold have no place in the financial system and they are claimed to be useless, then why did Arizona become the second state in the union to make silver and gold legal tender? and why are other states fighting for the same right?
I certainly hope my readers are more intelligent than the mis-information they are being given. Again, I remind you to do what they (central banks) do, not what they say to do. Central Bank Gold Purchases up 17% – Here’s Why You Should Jump in or Top Up Too
This is a crazy confusing time, but I can assure you that with regard to holding physical assets vs. paper liabilities, you will fare much better with physical assets.
One cannot expect to preserve wealth, protect purchasing power or create any meaningful generational wealth with paper liabilities – only physical assets.
It is with this in mind, the first step in creating generational wealth is to erase the poverty mentality thinking and replace it with the financial education of the wealthy elite. This information has been hidden for decades.
So if this information has been hidden from the masses for decades and lets assume you’ve been reading The Silver News Surfer emails and website for three months, than you know me by now… I’m only here to help. I’m here to guide you and help you make decisions based soley on YOUR investment goals, not mine.
This is why I spend countless hours writing reports like these that help you to understand the importance of working with multiple brokers today that specialize in their given fields – only to help you make the right decisions for you and your family.
Even though my job requires a tremendous amount of responsibilities and I am usually busier than a one-legged man in an as* kicking race, I always make time to take your calls and address your questions and concerns. This is why I post my number for all to see and have access to (954-639-3059) even though you might no be ready to buy just yet or not buy from me at all – that’s OK. I’m am here for you –
Now, on to the breaking news that matters…
Investors Should Be Buying Silver Aggressively Here – “This is not going to end in a happy Goldilocks scenario, I can promise you that. This is going to end in some sort of hideous depression, and who knows what it’s going to do to our society and our civilization. A depression is a very tough thing to survive. Or it’s going to end, and believe me I hate inflation, but that is the lesser of two evils, that’s what we are headed for….
If gold is at $2,500, $3,000, or $5,000, five years from now, are you really going to remember a pullback from let’s say $1,800 to $1,300? No. Gold has had similar pullbacks all along this bull market.” However, I would be buying silver hand-over-fist here and not looking at prices. Be accumulating it whether it be coins or any other way.
The beginning of the silver age – A lot of people were knocked out of the gold and silver market because of panic during the last two weeks; they capitulated or sold short near the bottom. Many others exclaimed that the gold age was over. However, I see the rising sun in the morning.
Both gold and silver will start a new age. In this paper, I’ll try to tell you why we are in the beginning of a more splendid era for gold and silver. I’ll also share with you why silver will be a supernova in the following decades.
Arizona Senate Passes Bill – Gold & Silver Now Legal Tender – I think you look at some of the things that are happening and the amount of money [currency] printed by the Federal Reserve and who has control… I think anybody would be concerned. this bill gives people the opportunity to use an alternative method of payment in light of the ever-increasing devaluation of the U.S. dollar, and States, “Gold and silver have been around a long time, and people are secure with it, and we should give them an opportunity to use it.”
Fed Keeps Interest Rates Low, Continues Bond Buying Program – The Federal Reserve held fast to its ultra-accommodative monetary policy Wednesday, solidified by what board members described as an economy weakened by fiscal policy. Interest rates will remain at historically low levels while the U.S. central bank will not alter its $85 billion a month asset purchasing program, the Fed’s Open Markets Committee decided at this week’s meeting.
Language in the FOMC statement after the meeting saw one notable change – a declaration that it would increase or decrease the pace of its asset purchases depending on conditions.
The Unofficial Inflation Rate – According to the surveys, real people think their personal inflation rate is around 8% per year with a significant percent of the responders claiming 9 – 11% or more per year. Are you going to believe what the government is telling you, or your own experience?
The Risk Of Continuing Gold Backwardation – We came across an interesting article published by renowned Prof. Fekete. In the article he elaborates the current backwardation in the gold markets and explains what effects a prolonged and continuing backwardation could have not only on the gold markets, but on the economy as a whole. We would like to quote two sections from his paper, to give you a taste of the effects this could have:
“But no sooner had gold futures trading stopped after the advent of permanent backwardation than gold was no longer to be had in exchange for U.S. Treasury debt. The entire outstanding debt of the U.S. was worth not one ounce of gold. Not one gram of it. It is insane to pretend that this would make no difference in world trade, as pretended by official doctrine.”
“In fact, delivery of gold will be suspended under the force majeure clause. Short positions will have to be settled in cash, to be made available by the Fed’s printing presses. Gold futures trading will be a thing of the past.”
In connection with the second quote, we would also like to draw your attention to an article recently wrote about the COMEX. While not concentrating on the backwardation issue like Prof. Fekete, we give a detailed overview of how the COMEX works and where the major risks lie. The questions that we addressed in the article The Truth About The COMEX:
What would happen if all open contracts on the COMEX would not be offset and physical delivery would be demanded?
What would happen if an extraordinary number of people demanded physical delivery?
What happens if an extreme, let’s say 20%, price jump occurs over the weekend?
What other risk does COMEX trading entail?
Taking the above mentioned risks in connection with paper gold trading into account we are confident that the only way one should invest in precious metals is by unencumbered physical ownership ideally as far away as possible from the banking system as possible.
Read the full version of the paper authored by Prof. Fekete