“A friend asked me to choose one investment that I would want to leave to my great-great-grandchildren. I immediately answered that it would be gold coins. The reason I explained is as follows – corporations can disappear, stocks can collapse, governments can change and they can fall, booms and recessions come and go – but gold is intrinsic money, and no man or nation has ever doubted its value. And they never will.”
Richard Russell
“Even during the period when Rome lost much of her ancient prestige, an Indian traveler observed that trade all over the world was operated with the aid of Roman gold coins which were accepted and admired everywhere.”
Paul Einzig
“The history of fiat money is little more than a register of monetary follies and inflations. Our present age merely affords another entry in this dismal register.”
Hans F. Sennholz
Ancient Roman Byzantine Gold Solidus Coin of Emperor Arcadius – 402 AD
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IMO if Gold were not being manipulated by the Fedgov it would be somewhere North of $10K an oz. What that means when price discovery for everything is in doubt, again due to Fedgov obfuscation, I seriously don’t know. Fourth turnings are a bitch, especially when the referees have been arrested or banned from the field.
3.9% GDP Nonsense-Dollar Turns Sharply Soon-John Williams
By Greg Hunter On December 3, 2014
Economist John Williams is not buying the recent 3.9% GDP upward revision. Williams explains, “No one I know thinks we are growing at 3.9% other than they are trying to sell a bill of goods to the markets, specifically the currency markets. 3.9% is nonsense. You had 4.6% growth in the second quarter and 3.9% in the third. Here you had two quarters at close to 4%, and we have not seen anything like that since 2003. This is the strongest economy we have seen in 11 years, and I can tell you Main Street USA is not seeing that. . . . If you understate inflation, which the government does, you overstate inflation adjusted growth, and that is probably the biggest problem in the GDP report.”
Recently, the U.S. deficit passed the $18 trillion mark, but using honest accounting, Williams says the debt picture is much worse, “Using generally accepted accounting principles with expenses and obligations, what you are seeing is the actual deficit. Instead of being half a trillion dollars last year, it was more like $6 trillion in the same length of time. The gross federal debt right now is $18 trillion. If you add on the unfunded liabilities such as Social Security and Medicare, you are approaching $100 trillion in terms of total federal obligation. There is just no way that can be covered. . . . The government, long term, is bankrupt.”
That brings us to the U.S. dollar. Williams says, “Right now, we have a big distortion in the market, and that is the strength of the U.S. dollar. I contend the dollar should be getting much weaker, and indeed it’s going to turn very sharply very soon, and that will be an approximate trigger for a major upturn in inflation. The reason the dollar is strong right now . . . the U.S. economy is booming, if you believe the statistics. Main Street USA doesn’t believe the statistics. The rest of the world is in recession, and guess what? We’re in recession too. We’re just not reporting the numbers as accurately as the rest of the world.”
I actually hear people say, ” I don’t want gold, I’m staying with stocks to be safe”. Yeah, GOOD LUCK WITH THAT.
I wonder if Obama and his commie ilk will use the “new re set” dollar as an iron curtain for US citizens.A currency no one out side the US will take or want.Thus making (escape from US)travel impossible.Golden Oxen love Greg Hunter.Hope NSA doesn’t pull a Harvey Organ on him too.Does anyone know if Harvey started new web blog?
Hi Donna, They sure took care of Harvey,
It is difficult to get info on him because they all are claiming court orders, and lawyers advising no comment. You know how they do it when they deep six someone.
Hopefully he will be back soon and I will post it if I hear anything.
Yes, Greg does a great job and picks the right guests to have on.
Where would we ever be without the internet?
For you Harvey Organ fans, he is posting a regular column or two over at silverdoctors.com. It’s one of the sites I trawl on a weekly basis.
Thank’s IS, just read his latest, amazing how they shut Harvey up.
Harvey Organ: Outside Reversal As Silver Surges 15% in 24 Hours
http://www.silverdoctors.com/harvey-organ-outside-reversal/
GO, I’m not familiar with his story or his role in the doom porn universe.
IS, He was predicting Comex would likely renege on it’s December Gold and Silver contracts because of delivery problems and huge open interest and was mysteriously shut down a short time thereafter by Google, who claimed they had received a court order. He had a popular precious metals blog with daily analysis of the markets.
Harvey says he requested a copy of the order 5 times and is being ignored. Not much known after that by me.
IS, in my opinion, I wouldn’t pay too much attention to Harvey’s musings. He’s too much in the weeds and honestly I don’t think he understands the gold market. The comex is a paper market, it is known to be a paper market. If it runs out of gold to deliver, then that will mean the gold has been dried up somewhere else.
@GO, funny the Roman comparison.
Know what preceded the final fall from grace?
They devalued their coins to the point the rest of the world would no longer accept them as a finite/specified value of trade.
Sound familiar?
Nah, I’m SURE it is different this time.
We are the USA! USA! God will never let our worthless fiat fall and screw us.
GO, there are dozens of blogs out their predicting and writing about the exact same thing. There must be more to the story.
archie, I take most of the gold and silver bugs with a grain of salt. Too much hyperbole with that crowd.
Apparently Mr. Buiter was too busy to write anything about the bubble in Citibank between 1997-2007
Here’s another quote:
“Remember what we’re looking at. Gold is a currency. It is still, by all evidence, a premier currency. No fiat currency, including the dollar, can match it.” by Alan Greenspan