This will be the first of many multi-link posts I will be putting up over the next few days/weeks. I have talked to many of you over the past few months about the case for buying gold and silver.
Very bluntly, gold and silver are the best bets (in my somewhat-educated view) to hedge against inflation in any situation, and to also hedge against losing savings on the [paper] money markets or by keeping them in a bank account (where those savings technically becomes property of the bank, in light of recent precedents that have been set).
It so happens that in this economic climate they are also a phenomenal investment, particularly now. Silver, in particular, is set for a massive upswing in its price because (among a multitude of other compelling reasons) that market is being heavily manipulated by high-frequency trading (HFT) algorithms at the behest of the biggest banks in the world - with JP Morgan Chase leading the way, and HSBC not far behind. See here, here and here.
This manipulation has been going on since at least 2005, although potentially much longer.
Gold is also trending higher and higher, with many big banks raising their outlooks for gold to anywhere between $1800-$2100 dollar range by the end of 2012, and continuing to rise further throughout 2013. Many experts are even predicting $4000-$5000/oz gold or higher by the end of 2013 - even moreso now in light of the announcements by the ECB in regards to the ESM, and the Federal Reserve (fondly known as the Fed) in regards to QE3 and unlimited money printing. I will go further into detail on these in an upcoming post, as I want to keep this one somewhat brief.
Additionally, gold is being manipulated as well, most commonly known to be committed by HSBC - the massive bank now famous for its drug money laundering
for Mexican drug cartels (although all the big banks are doing this
these days, with more news coming to light in recent weeks in regards to
other banks in hot water for the same thing). There is also insider
information floating around that the big banks are using allocated gold
(gold that is owned directly by customers and stored in the vaults of
the banks for a monthly fee) to pay off Eastern margin calls by
creditors who are the counterparties to horrendous derivative and other
bets made by the banks themselves. There are many other factors which, again, I will have to leave for another post on another day. Time seems to move too quickly, and until I can make this my day job I'll have to work within the constraints I am limited to.
While it may seem like a bad idea to invest in the face of such manipulation, the banks are coming under increased scrutiny. There are also indicators that if silver goes above $36/oz (it currently sits above $34 and continues to move upward) that JP Morgan will, at the very least, take enormous losses on their naked short positions against silver, and at the most could end up in a position similar to those seen during the collapse of Lehman Brothers (acquired by Barclays, who was recently caught up in the massive LIBOR scandal that broke several weeks back), Bear Stearns (acquired by JP Morgan) and Enron.
There are also other external factors to consider, too. One such example would the drop (or cessation) in production of gold and silver due to mining strikes across the globe. Another would be other world superpowers stocking up massive amounts of gold reserves - like Iran, China and Russia, just to name a few. Or the potential of China launching a gold-backed currency - I'll save the link on this one for another day because it's something I'd like to explore further in an opinion post. Or... well, I think by now you see my point.
There is lots of other information I have compiled to make the case for gold and silver, and I will be slowly integrating that information into this blog from my Facebook page and my own personal notations in future posts.
To temporarily wrap up this post, I will leave you with an incredibly long - and incredibly enlightening - article/newsletter from Jim Willie of goldenjackass.com. It details much of the fraud that is being committed, as well as going in-depth into the collapse of the US dollar and the trends in silver and gold. It also talks about how Morgan Stanley was supposedly set up to be the next TBTF bank to go bust, and how it will open the floodgates for the rest of the completely insolvent and criminal banks that are currently part of our favourite international banking cartel.
Read over this article if you've been intrigued by anything I've written here - and read it over even if you haven't enjoyed anything of this!
In addition, I will leave you with some information I compiled and sent around to a few people via e-mail. Check out the links at your leisure and keep digging if any of this rings true with you. Don't just go with what I say; instead, dig further and do even more research. Perhaps even teach me a thing or two.
I'm open for conversation or questions along the way. Until next time, same bat time, same bat channel...
Stay safe, stay alert, and stay economically sound. Oh, and enjoy the following links!
People to Listen To When Investing:
resource for making the case for buying Gold and Silver - Encourage
friends and loved ones to do some digging on their own if they care
about coming out of financial chaos ahead - whether caring slightly or
substantially being somewhat irrelevant, as paper money is collapsing no
resource for investment information of all types (market trends,
forecasts, current financial news, exposing criminal activity, etc.)
are the people to listen to in terms of investments and what's
safe/profitable and what will lose your money (or, more aptly put, what
will allow the banks to steal your money)
How the Money Markets are Going to Die:
the economy is going to collapse - By far the best and most detailed
reasoning as to why and how the global economy will collapse. There is
no escape - it's mathematically impossible at this point.
Death of money markets coming. Fed approves these measures and money markets are DEAD! With no hope of revival. Not to mention QE3 and all the chaos that will unleash in terms of further devaluing the US Dollar.
The Case for Gold and Silver:
for Gold - Von Mises and Ron Paul - 245 Pages long. You don't
necessarily have to read all of it, but even skimming through will paint
a very accurate picture as to how money actually works.
To be fair, I have many qualms with the Von Mises institute, but nonetheless the case for gold is there.
10-year gold price chart
Gold prices and it's fluctuations since 1833 (check the boxes to display the charts you seek to view)
Silver's price history over the past 20 years (+$25)
for silver as a longer-term holding, as silver is more volatile than gold
(but will soar when the Fed announces QE3 after November elections, among other factors).
China stockpiling gold reserves and considering gold-backed currency
of silver market manipulation; silver is extremely artificially low due
to this manipulation, and it will come to an end (with silver prices
soaring to all-time highs) when the insolvent banks (mainly JP Morgan
Chase) finally implode thanks to their trillions of dollars worth of bad
bets held off-balance sheet coupled with their silver manipulation. Interestingly enough, documented visits
from JP Morgan Chase computers were frequent to this article. Why?
Because they know the jig is up. Their market manipulation is now widely
known, and their time has come.
advisor tells China to stock gold and SILVER reserves. This could lead
to a massive and sudden spike in silver into the $50 range and higher.
(His family are essentially the OWNERS of Fiat Money), John Paulson,
and George Soros buying gold and betting against paper currencies.
Meta-Analysis of Gold from Max Keiser's website - links 6 (plus the original) articles making the case for gold
Gold coming into HUGE demand in crisis-stricken Italy
Your money in banks = BANK'S MONEY, NOT YOURS! Your money becomes THEIR property when you hold your money in a bank.
article on specifically how Fed's policies affect the price of Gold,
and specifically explaining how Gold is tied to money markets, and why,
when money markets are risky and volatile, it is a good thing for the
price of gold.
The GOP is planning to begin discussions on whether or not to move to a gold-backed currency.
Money Manager talking about Silver hitting $150/oz. This article is
bang on in the estimates for where silver will land in the next 12
months. $150/oz is extraordinary, and almost guaranteed. More people have come out recently in support of this opinion, as well.
Silver and gold money markets surging - and FAST!
A reputable (and my personal favourite) bullion dealer, whose site also has live updates of spot prices for gold and silver in either US or Canadian dollars - you choose!