Sorry friends, I’ve got to be quick today as I am going to make 2 selections of color diamonds for customers…
Here is a look at the Gold Daily and Silver Weekly Charts – they are Coiling, Coiling, Coiling. We are seeing a massive Loss Of Faith, Mismanaged Currency & A Flight To Gold – To properly judge valuations, stocks should be measured in terms of purchasing power, not dollars or any other currency because their purchasing power is constantly being destroyed. Also, national currencies have very little if any intrinsic value because of the huge credit bubble on which they are based. And currencies are backed by nothing but promises.
Too many promises have been made by Western governments and not all of them will be kept. The worst of the serial promisers is of course the U.S. government. The U.S. is among the most over-leveraged of the lot, meaning that it will break the most promises.
The bottom line is investors must stay focused on the fundamentals, and not the propaganda they keep hearing in the media. That means they should own tangibles, and near tangibles such as mining stocks, and stay away from financial assets.
It would make sense staying long gold & silver heading into the weekend – here is what could heat up gold prices this week.
The Fed Is Stealing from You… and You Don’t Even Know It – We have some advice for those on the receiving end of the stock market bonanza: Take your money off the table before it disappears. After all, it is only a claim on wealth, not wealth itself. And that claim will expire worthless when the Fed changes its policies. The Fed giveth, and the Fed taketh away. Either the Fed will taper … ending the bonanza. Or it will lose control of interest rates. And when they rise, all the broken records we have been citing become like broken bottles in a street fight. Somebody is gonna get hurt. For the moment, the 12 members of the policy-setting Federal Open Market Committee are more powerful than God. Since the beginning of the universe, it took about 13,798,000,000 years for the market value of all the world’s assets to reach $20 trillion. The Fed’s “Big Bang” accomplished the same trick in only six years – start to finish.
That does it for us. No more worshiping a guy who has been dead for 2,000 years… or his dad, for that matter. In this Lenten Season, we bow to no man. But for the lady who runs the Fed, the entire economy bends in whatever direction She commands.