This religious advice might be appropriate for financial markets. That certainly was the way it felt over the last couple of days. Gold and silver, as well as other commodities, have been pummeled. Today the Dow is off about 200 points… Read More »Repent, The End May Be Near!
This morning’s pre-market report from MarketWatch leads with the following: FRANKFURT (MarketWatch) — Stock index futures pointed to an early dip for Wall Street on Wednesday, taking a cue from steep losses in Europe after efforts to form an Italian… Read More »For Investors — The New Normal
A Canadian analyzes (correctly) the Socialism that cripples the US and Europe. A nice presentation reminding all what caused the problems and the way to avoid them. H/T Pierre Poilievrie
Massive economic change is sweeping the world. But, like the movement of glaciers, the change is slow, subtle and almost imperceptible. Few people are even aware of the change, no less its implications. In earlier writing I recommended that those… Read More »The Slow Death of Western Civilization
This video is a preview of what is happening in Europe. It shows how a small minority of committed, violent members of a group can make it difficult, dangerous and possibly impossible to co-exist without conforming to their demands.
Most people cannot conceive of an economic collapse. Normalcy bias is common and distorts expectations, especially in areas outside of personal expertise. If it didn’t happen yesterday or last month or in their lifetime, then many people consider the outcome… Read More »Western Democracies Are In Collapse
There were several good responses to Welfare States R.I.P. The one below from SKull has been slightly edited for spelling and spacing, but otherwise remains as submitted. It is thoughtful and especially insightful. In essence, it is a confirmation of… Read More »More on The Pathology of The Welfare State
Gold has been a disappointment of late. Perhaps too much was expected from the precious metal. It is up 11 consecutive years, averaging double-digit gains per year. Recent performance, however, has not been good. Gold touched $1,900 in the third quarter of 2011 and currently sells below $1600. Kitco.com reports that gold is up .3% at the close on July 12 from where it was exactly one year ago. It is possible that the calendar year results will not be up for 2012. That would represent the first down year in the last 12.
Is it OK for gold to go down? Those invested in gold would prefer it doesn’t, but a rational answer must be “Yes.” Trees don’t grow to the sky and few assets monotonically increase in value for lengthy periods. Gold is no different. It has had a remarkable 11-year run. But is this run over? Is gold just another bubble? We have seen several bubbles and will see more before this economic disaster fully plays out.
Human nature is spoiled by easy success in investing or other things in life. Success breeds confidence and higher expectations, often unwarranted. Men tend to believe that things in motion will continue in the same direction. No law, rule or guarantee exists to support such beliefs. That is not the way the world actually works, despite our brain’s tendency to see things that way.
Many gold investors are disappointed because their expectations have not been met recently. Latecomers to the commodity may have lost money. Many are wondering whether gold still a place to be. Is the 11 year feast that began with gold less than $300 over? Is it to be followed by 11 years of famine, perhaps returning to where it began?
These are valid questions and concerns. EveryoneRead More »Gold, Central Banks and The Force of Arms
The complexities and deceptions of the government are impossible to fully comprehend. Programs with stated purposes are used in ways that have little relationship with their mission. Effectively, much of government is a giant slush fund with monies are shifted… Read More »Slush Funds For Government
The economic crisis around the world is worsening. The US economy shows no signs of recovering. With the fiscal cliff of tax increases coming in January, why should anyone expect it to. The imposition of a tax increase is not when the deleterious effects occur. They occur with the expectation of the increase. People alter the behavior in advance of the event. That is what is called “preparation.”
The European crisis is not being solved. Nor can it be solved. It is too far gone. It has the inconvenience of a stupid union which cannot reconcile the good of the whole against the sovereign interests of the parts. Partly as a result of this Frankenstein of a creation, it is in worse shape than it could have gotten into without the union. But now it is too late to solve the financial problems by addressing the political ones. Don’t tell that to the G-20 who like to pretend they are solving problems.
Gary North has a rather lengthy column regarding Europe and the New World Order. In his view, the so-called leaders of the NWO are panicked as they see their grand plan blowing up. Mr. North sees no solution to the European mess other than the possibility of perhaps extending the charade for a while longer. It is his view that inflation is inevitable:
… the European Central Bank is going to inflate, inflate, and inflate. The head of the bank can make all the comments he wants about the responsibility of politicians to intervene to keep the structure going, but he is ultimately the bagman of the system. He is the guy who has control over the printing press. He is the only person, along with his colleagues, who is in a position to keep the system afloat.
There is no firewall. There is only theRead More »How Europe Ends