On a personal note…
Have you noticed that costs are going up, no matter what the Fed has to say?
Every time you’re at the gas station or the grocery store, each Dollar is buying less and less. Also, the packaging is getting smaller and smaller as the prices rise and rise.
There’s a word for this… and it’s INFLATION.
I’m watching what’s happening in the world… and frankly I’m getting concerned. History has shown us time and again that there is only one outcome from rampant money printing: BIG inflation. I’m talking 1970’s style… on steroids!
With that in mind, the global Central Banks have printed over TEN TRILLION Dollars. Yes, TRILLION with a “T.” This is a number that most people can’t even fathom – I know I can’t.
Unfortunately, there’s no end in sight. Our US Federal Reserve is printing $85 billion every single month. That’s over $2 billion EVERY SINGLE DAY.
You cannot print this kind of money without causing major devaluation in your currency. Which is why every single thing we buy: homes, goods, energy, health-care are going up and up.
Now more than ever investors need to be allocating their portfolios to survive inflation- The monetary stimulus we’re seeing is unprecedented and there is no end in sight.
If you’re worried about inflation and want to know how to protect yourself from it, I can show you how.
The Mission Of The Silver News Surfer Has Always Been & Will Always Be – To Preserve Your Wealth, Protect Your Purchasing Power and Create Generational Wealth!
May Health Wealth And Success Be Yours!
On to the business of protecting your wealth…
Although I try everyday – I try to look for signs of a “real economic recovery” I can’t find one. The FED sees one, but world economists, money managers and I don’t see one. So does that mean it’s all smoke and mirrors?
When searching for signs of a recovery, I come upon absolute conflicting information and I think it is note worthy.
When I see things like Share This Chart With Anyone That Believes The U.S. Economy Is Not Going To Crash and then I read This Gov’t Chart Shows That There Is NO Economic Recovery. I’ve always been a believer that people can lie but numbers can’t and when I see these numbers it is cause to pull the fire alarm.
Now, who are we going to believe? Are we going to believe third party economists who are trying to warn us, or maybe we should believe the guys running the big banks, like JPM & Goldman?
Heck, maybe we should give these big banks a break and use their information as credible sources since they are running the major institutions that run our country and in most cases the world. They don’t make millions and billions of dollars per year personally because they are dummies… right?
That’s what I thought too, then I read this stuff – Goldman Sachs Creating Artificial Shortage Of Metals
It seems to me they’re all crooked. I will choose to believe the average guy who is setting off the fire alarm trying to warn us that there is another collapse heading our way. We don’t know when it’s going to happen, but I feel in my gut it’s going to happen and the same people who caused the collapse of 2008 (and never went to prison or at the very least lost their jobs) are the very same people causing the next collapse because of their greed!
Allow me to assist you in understanding these ever changing and challenging financial markets and more importantly, how you can profit on the upside potential and protect yourself from the downside risks….
Now, onto the breaking news that matters…
John Embry: Gold Headed To Old High, But Gains In Silver Will Be Historic – I’m focused on the better tone in the gold and silver markets. It’s been a long struggle, but with all of the information that’s come out recently regarding how tight the physical market is and the fact that the paper gold market really is one of the greatest Ponzi schemes of all-time, I think we could finally be on the cusp of a huge move in gold…. “I’m not talking $100 to $200 move for gold. I mean gold going back to the old high of $1,920 in a fairly short period of time.
“If gold finally starts to get out and run and we finally see silver punching through $20 convincingly, silver will be ready to begin a massive leg higher. The fundamentals for silver are beyond spectacular. When this whole bull market resumes with a vengeance, silver is going to outperform gold. Gold will do extremely well on its own, but the gains in silver will be historic.”
Developing Gold Bottom: A Closer Look At a Short Term Excess of Power – As a reminder this is an option expiration week for the precious metals on the COMEX, and next week begins the August delivery period.
I have also included an update to the weekly silver chart, for inquiring minds who wish to know. Silver is following gold on this upsurge. A confirmation of the rally by silver is important. If silver confirms the breakout, it will most likely gather significant momentum as its volatility engages the short squeeze. But the physical silver supply situation is not as compelling as gold has been, although the seeds were sown when the pricing started to curtail mining activity more significantly.
The drawing down of physical inventory available for delivery is one of the surest signs of a price manipulation gone too far. And for the first time in this waterfall decline since the German people had the temerity to ask for the return of their national gold from the NY Fed, we see a legitimate chart formation that could mark a significant bottom in price.
Gold building a base as evidence of physical shortage mounts – Precious metal prices continue to build a base, with increasing evidence of a shortage of physical metal. In London gold forward rates (GOFO) continue to be negative, which means that the market will pay you more interest on your gold (COMEX:GCQ13) than on your dollars.
GOFO is telling us that strong demand for physical from Asia has cleaned out the London market. While the forward market in London is showing stress, the same is true on the Comex futures market, where warehouse stocks are dangerously low. The combination of the two with publicly recorded short positions on Comex is an explosive mixture.
Hinde Capital: “Sentiment Towards Gold Is Of Total Disgust—And It Often Pays Well To Be Contrarian Of The Extremes” When asked about the prospect of gold mining stocks at this time, Mark commented that, “Companies should fail by the hundreds and production will fall dramatically unless the gold price improves quickly…our analysis…is the price of gold that will produce a zero number in the current free cash flow column for the whole industry (i.e. breakeven, cash neutrality)…it’s $1750 an ounce.”
Every single [expense] of a mining company needs to be taken into account [and] divided by the amount of ounces you’re digging out of the ground…oil is at $109 and climbing, labor unions are demanding more money and the cost of regulation keeps going up. [So] today with gold trading at $1300 an ounce and production at $1750 and climbing, gold is trading at 75% of its production cost—and that has never happened before. “Hinde Capital is focused on physical gold being the bedrock of any gold investment. We don’t trust the paper aspect of the market and you’re not paid anything to trust the paper aspect.
China Working Quietly To Buy Up Gold – Jim Rickards expects that come April 2014, China will announce that it owns 5,000 tones of gold. “That should be an earthquake because even the gold deniers, the gold doubters, are going to have to sit up and take notice. Either the Chinese are dopes, which they’re not, or people will start to get gold, which I think they will.” If these scenarios played out, gold would go a lot higher. Jim told us it could go up in a very short span of time, say, 90 days or at the most six months.
“The world of $4,000 gold is the world of $400 oil, $100 silver, higher prices for copper, corn, wheat and everything else,” he continued. “In other words, it’s a world of very high inflation in which the value of your retirement funds and your annuities have been wiped out. In that case, there will be winners and losers. As Mr. Rickards explains, the winners will include those who hold gold.