The powers that be are doing everything in their power to surpress the price of gold. They use the corrupt derivatives market to push the price down. But they can’t do it forever. Supply and demand always win in the long run. As the supply of paper dollars increases, they become worth less in relation to gold. I’d bet that gold will rise again in 2013 for the 13th year in a row.
“The U.S. gold coverage ratio, which measures the amount of gold on deposit at the Federal Reserve against the total money supply, is currently at an all-time low of 17%. This ratio tends to move dramatically and falls during periods of disinflation or relative price stability. The historical average for the gold coverage ratio is roughly 40%, meaning that the current price of gold would have to more than double to reach the average. The gold coverage ratio has risen above 100% twice during the twentieth century. Were this to happen today, the value of an ounce of gold would exceed $12,000.”
– Scott Minerd – Guggenheim Partners
The fanatics in the Washington establishment don’t get it that Keynesianism does not work. You cannot increase your debts to pay off your debts. You cannot print more money to cure all of the money you’ve printed, and all of this printed money is flooding out all over the world and wreaking havoc everywhere. They are all running the printing presses. Mark my words, if you don’t own gold you will rue the day you decided not to buy it.” |
Hollow man says:
Gold is headed into the hands of the goverment. The only thing we will be allowed to trade with will be the trillions and trillions of dollars that will be printed. Gold will be going where our guns will be going. Goverment control only.
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2nd January 2013 at 12:45 pm
JIMSKI says:
I don’t see it.
First the only reason the last confiscation scheme worked was because we had a gold standard. The supreme court agreed that the government could confiscate private gold as having a gold standard it could redeem at fair value. Well we do know how that turned out. After they closed the redeem window they devalued 50% and made transfer against the law. HA!
Now however they just have another commodity. If they could outlaw private ownership of any commodity and put it in the hands of the government only why would pick gold. I would pick food.
O SNAP !
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2nd January 2013 at 2:28 pm
Hollow man says:
The goverment will eventually use food as money. The dollar will be worth nothing. Hope I am very wrong but, I think this will be one of the most ugly collapses in history. Reason is we have been getting so much for so long ,in general terms, we will turn on each other and not pull togather. Then the goverment has us where they want us. Please, hollow man be wrong.
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2nd January 2013 at 2:47 pm
Eddie says:
Gold is highly portable, and it’s fungible anywhere in the world. Pretty good insurance in a collapse, greedy governments not withstanding.
But food is nice to have too. And fungible. Give me some of both and I’ll weather most political and economic storms.
If gold doesn’t bust out pretty soon, I’m going to be very surprised. I think it might have already, but for the “fiscal cliff” tax uncertainties that have had the big players repositioning frantically at the end of the year.
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2nd January 2013 at 3:14 pm
flash says:
Best taken with a huge dose of WTF?…..but, nevertheless still worth noting.
There are some in the blogosphere who vet this as legit, …judge for yourself.
http://www.homelandsecurityus.com/archives/7310
DH: How soon do you see things taking place?
RB: They already are in motion. If you’re looking for a date I can’t tell you. Remember, the objectives are the same, but plans, well, they adapt. They exploit. Watch how this fiscal cliff thing plays out. This is the run-up to the next beg economic event.
I can’t give you a date. I can tell you to watch things this spring. Start with the inauguration and go from there. Watch the metals, when they dip. It will be a good indication that things are about to happen. I got that little tidbit from my friend at [REDACTED].
NOTE: At this point, my contact asked me to reserve further disclosures until after the inauguration.
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2nd January 2013 at 3:45 pm
Leobeer says:
Gold Analysis 2013 by Alf Fields
I am not a big fan of Elliott Wavers. They re-label their charts after the fact when they were wrong to make themselves right. That said, I hope he is right.
http://www.jsmineset.com/
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2nd January 2013 at 9:48 pm