The Illuminati were a secret society, formed in Bavaria in 1776, originally opposed to superstition, prejudice and a controlling religeous influence. Their name means the enlightened ones and they were outlawed in 1785 but rumours have persisted ever since about their alleged attempts to control world affairs.
Giusseppe Mazzini was an Italian Freemason who became world-wide Illuminati leader in 1834 and he recruited a U.S. attorney and fellow Freemanson called Albert Pike.
Albert Pike was a Confederate Officer during the U.S. Civil War and was arrested for treason in 1866. He was released the next day by fellow Freemason, President Andrew Johnson who received him at the White House soon after. Pike is the only Confederate Officer with a statue on federal property in Washington DC
Mazzini and Pike developed the idea of the Illuminati as a secret society within the Freemasons with membership available to any high ranking member who proved himself worthy. They established a organised network involving members throught the world including North and South America, Europe, Asia and Africa with prominent particpants including important leaders such as Lord Palmerston and Otto von Bismark
When Mazzini died in 1872, Pike appointed an Italian banker called Adriano Lemmi to run subversive activities for the Illuninati in Europe. Lemmi, was succeeded by Lenin and Trotsky and then by Stalin. These European subversive activities were financed by prominent international bankers mainly based in Germany, France and the Great Britain, but were dominated by the House of Rothschild.
Pike (who also founded the Luciferian Society) was committed to the idea of one world government and he devised a strategy, involving three world wars and various world wide revolutions, which he considered necessary to bring it about.
In a letter, written to Mazzini and dated August 15, 1871, Pike outlined his plans for three world wars that were seen as necessary to bring about a New World Order. It is amazing how accurately events were predicted that have since taken place.
“The First World War must be brought about in order to permit the Illuminati to overthrow the power of the Czars in Russia and of making that country a fortress of atheistic Communism. The divergences caused by the “agentur” (agents) of the Illuminati between the British and Germanic Empires will be used to foment this war. At the end of the war, Communism will be built and used in order to destroy the other governments and in order to weaken the religions.”
It is easy to recognise the political alliances in place at the time with Great Britain and Germany on different sides. These alliances were developed by Otto von Bismark between 1871 and 1898 and were major factors in the run up to World War 1.
“The Second World War must be fomented by taking advantage of the differences between the Fascists and the political Zionists. This war must be brought about so that Nazism is destroyed and that the political Zionism be strong enough to institute a sovereign state of Israel in Palestine. During the Second World War, International Communism must become strong enough in order to balance Christendom, which would be then restrained and held in check until the time when we would need it for the final social cataclysm.”
After World War 2, the Communist U.S.S.R became strong enough to invade weaker surrounding countries. In 1945, at the Potsdam Conference between the victorious allied leaders, it was agreed that a large part of Europe would be handed over to the U.S.S.R without any need for fighting. In Asia, the defeat of Japan helped the rise of Communism in China.
It is important to remember that the Illuminati invented both the Nazi and Zionism movements. Communism originated in France during the Revolution and the term was first used by Restif a few years before. Restif was heavily influenced by another Illuminati conspirator Jean-Jacques Rousseau.
“The Third World War must be fomented by taking advantage of the differences caused by the “agentur” of the “Illuminati” between the political Zionists and the leaders of Islamic World. The war must be conducted in such a way that Islam (the Moslem Arabic World) and political Zionism (the State of Israel) mutually destroy each other. Meanwhile the other nations, once more divided on this issue will be constrained to fight to the point of complete physical, moral, spiritual and economical exhaustion. "
"We shall unleash the Nihilists and the atheists, and we shall provoke a formidable social cataclysm which in all its horror will show clearly to the nations the effect of absolute atheism, origin of savagery and of the most bloody turmoil. Then everywhere, the citizens, obliged to defend themselves against the world minority of revolutionaries, will exterminate those destroyers of civilization, and the multitude, disillusioned with Christianity, whose deistic spirits will from that moment be without compass or direction, anxious for an ideal, but without knowing where to render its adoration, will receive the true light through the universal manifestation of the pure doctrine of Lucifer, brought finally out in the public view. "
"This manifestation will result from the general reactionary movement which will follow the destruction of Christianity and atheism, both conquered and exterminated at the same time.”
Terrorists attacked the World Trade Centre on September 11th 2001 and the world has become increasingly unstable since then. The Middle East has suffered from particular instability between Isreal and the Arabs for many, many years and this can only increase. Albert Pike's prediction of a third World War fought between these two groups and their allies is entirely feasible and recent events indicate that it might not far off.
Saturday, 28 June 2014
Friday, 27 June 2014
The Countdown to World War 3
All wars are planned in advance and we should be very suspicious about large financial and industrial organisations and their politician friends. They all make make big profits from wars.
A nineteenth century U.S. Attorney and leading Freemason called Albert Pike predicted Three World Wars as a prelude to a world government or New World Order. His predictions have been very accurate so far and he suggested that World War 3 would begin in the Middle East. Albert Pike was also a leading member of a secret society called the Illuminati who long suspected of involvement in attempts to control world events. They have a long established plan to bring about a New World Order
Here are some possible stages for the planned World War 3 with the 9/11 terrorist attacks acting as a starting point. The list is not necessarily in chronological order and is not exclusive
The USA led invasion of Iraq in 2003 leads to widespread conflict with the entire Middle East region at war. This might be triggered by Iran but keep an eye on Islamic militants from Pakistan
Israel goes to war with the Arabs after a State of Palestine is established and the Israelis and Palestinians are fully separated from each other. A treaty could be imposed leading to a vicious attack by Israel on Palestine soon after. Look out for a world leader who emerges to coordinate this
Confrontations in the Far East could occur with a possible nuclear element and this might include China invading Taiwan. Be aware of opportunists who might look to gain an advantage from the confusion with North Korea and former Soviet states as likely candidates
Erosion of Confidence in long established democratic systems of government could occur which will be so severe that panic will be widespread and long held freedoms and civil liberties will be abolished.
The collapse of the USA economy could follow along with its system of morals and that of all other Western countries. The Constitution of the USA will no longer be enforceable and could be dissolved. The USA will no longer be in a position to show leadership on a world stage
Significant population reduction could occur caused by natural and man-made disasters
Who knows how World War 3 will end but the Illuminati first described their plans to create a New World Order in 1871 and their plans are now at an advanced stage. The Book of Revelations predicts that Israel will be very important and that an Antichrist will appear.
Peter Lemesurier wrote his book "The Armageddon Script" in 1981 and said
“Their script is now written, subject only to last-minute editing and stage-directions. The stage itself, albeit in darkness, is almost ready. Down in the pit, the subterranean orchestra is already tuning up. The last-minute, walk-on parts are even now being filled. Most of the main actors, one suspects, have already taken up their roles. Soon it will be time for them to come on stage, ready for the curtain to rise. The time for action will have come.”
Tuesday, 17 June 2014
Too Big to Fail and Too Big to Jail
The UK was, for many years, self sufficient for food. We had an excellent agricultural sector who used to produce local produce and sell it at local markets. Everything worked well until we joined the EU and were subject to the CAP where inefficient French farmers were subsidised to produce food that wasn't needed. This distorted the market and some people became very angry when they heard tales about farmers being paid large sums to "set aside" land and basically be paid for doing nothing. No engineering firms were able to take advantage of similar arrangements. Set aside didn't apply to coal mines and nobody likes to think about the way the UK fishing industry was treated
Johgn Major and others told us that we lived in a world where "globalisation" was important and laughed patronisingly when anybody suggested that the old ways were best. Free Trade was very important and he knew best despite different rules seeming to be applied in different parts of the world.
Big supermarkets such as ASDA and Tesco emerged and they used international links to transport food around the globe. Long standing monopoly laws were not applied as financial muscle was used to drive competitors out of business and to bully local suppliers until they cooperated or went bust. Rules were applied to some but not others and local, diverse economies where local goods were sold at local markets became a thing of the past but leaders such as Blair and Brown said nothing.
Farms with long histories became golf courses or caravan parks while the population became fatter and fatter. Local people either worked at a supermarket or claimed benefits. There were few other options available. Banks went bust due to their own incompetence and greed but they were "too big to fail" and the bankers were "too big to jail" as the rules were again applied to some and not others.
In some areas, it got to the stage where a large supermarket was the only place where food could be purchased. One supermarket providing food for a population of approximately fifty thousand people and I shudder to think what would happen if it went bust. Would supermarkets be "too big to fail" too? I imagine so because people have to eat
Where were our leaders when this happened? What were they doing while ordinary people were treated so badly? Why didn't they stand up for the interests of the peope they were supposed to represent?
Not to worry. The UK is a democracy and incompetent leaders who don't represent their constituents get voted out and new ones get elected.
Johgn Major and others told us that we lived in a world where "globalisation" was important and laughed patronisingly when anybody suggested that the old ways were best. Free Trade was very important and he knew best despite different rules seeming to be applied in different parts of the world.
Big supermarkets such as ASDA and Tesco emerged and they used international links to transport food around the globe. Long standing monopoly laws were not applied as financial muscle was used to drive competitors out of business and to bully local suppliers until they cooperated or went bust. Rules were applied to some but not others and local, diverse economies where local goods were sold at local markets became a thing of the past but leaders such as Blair and Brown said nothing.
Farms with long histories became golf courses or caravan parks while the population became fatter and fatter. Local people either worked at a supermarket or claimed benefits. There were few other options available. Banks went bust due to their own incompetence and greed but they were "too big to fail" and the bankers were "too big to jail" as the rules were again applied to some and not others.
In some areas, it got to the stage where a large supermarket was the only place where food could be purchased. One supermarket providing food for a population of approximately fifty thousand people and I shudder to think what would happen if it went bust. Would supermarkets be "too big to fail" too? I imagine so because people have to eat
Where were our leaders when this happened? What were they doing while ordinary people were treated so badly? Why didn't they stand up for the interests of the peope they were supposed to represent?
Not to worry. The UK is a democracy and incompetent leaders who don't represent their constituents get voted out and new ones get elected.
Labels:
agriculture,
ASDA,
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Brown,
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local economy,
Major,
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Too big to fail,
Too big to jail
Monday, 16 June 2014
Massive Consumption but No Production
I was recently looking out of a pub window (in the UK) while deep in conversation with a long time friend of mine. We could see numerous cars, bikes, waggons, buildings with frames, lamp posts and even planes. They were all made from steel.
Steel production first occurred in the UK and the British first developed the processes involved. There used to be massive centres of steel production (including some in North West England) and they provided for the manufacturing industry nearby. We used to produce cars, bikes, waggons, building frames, lamp posts, planes etc but most of this has gone.
What happened? We are obviously still major consumers of steel!!!
Meanwhile generations of our young men have struggled to find work and we all know how the devil finds work for idle hands. We seem to have exported our jobs!!!
Working people in the UK have been conned or at least very badly led. The French and Germans still produce steel and manufacture cars, planes, ships etc. I refuse to believe that the French and German workers are more efficient than ours and that these goods can be manufactured cheaper abroad.
We should manufacture our own steels, cars, planes and ships. It's a no brainer especially if you take into account the transport costs, welfare subsidies and social problems caused.
I could make a similar argument for coal mining. Coal is imported from abroad and used to generate electricity at the same coal fired power station which used to be fed by coal from our pits. Meanwhile, generations of our young men in our once proud mining communities throughout the country have struggled to find work.
Tony Blair, Nick Clegg, Ed Milliband, Ed Balls, Yvette Cooper and many others are MPs for northern constituencies. They certainly should know about these problems but do they actually care? Is this another example of members of a metropolitan based elite making decisions for themselves without any thought for the electorate they are supposed to represent? We need to get rid of them all and find some people to represent us who can actually empathise with the problems normal people face.
We should concentrate on producing British goods for British markets and give manufacturers all the help we can. If anybody mentions free trade then let's examine how the French and German (or US and Japanese) help their manufacturers at the expense of their overseas competitors
What has free trade done for normal, British people anyway? We only seem to have two major industries left and they are both protected. They are pharmaceuticals (helped by the NHS) and defence (helped by the armed forces) which both seem to be protected. What's wrong with that?
I wish we'd protected the rest of our industry in the 1980s because it'll be very difficult to start again. We can help the producers still in existence and recognise their importance by creating conditions in which they can prosper.
Paul M Williams
Steel production first occurred in the UK and the British first developed the processes involved. There used to be massive centres of steel production (including some in North West England) and they provided for the manufacturing industry nearby. We used to produce cars, bikes, waggons, building frames, lamp posts, planes etc but most of this has gone.
What happened? We are obviously still major consumers of steel!!!
Meanwhile generations of our young men have struggled to find work and we all know how the devil finds work for idle hands. We seem to have exported our jobs!!!
Working people in the UK have been conned or at least very badly led. The French and Germans still produce steel and manufacture cars, planes, ships etc. I refuse to believe that the French and German workers are more efficient than ours and that these goods can be manufactured cheaper abroad.
We should manufacture our own steels, cars, planes and ships. It's a no brainer especially if you take into account the transport costs, welfare subsidies and social problems caused.
I could make a similar argument for coal mining. Coal is imported from abroad and used to generate electricity at the same coal fired power station which used to be fed by coal from our pits. Meanwhile, generations of our young men in our once proud mining communities throughout the country have struggled to find work.
Tony Blair, Nick Clegg, Ed Milliband, Ed Balls, Yvette Cooper and many others are MPs for northern constituencies. They certainly should know about these problems but do they actually care? Is this another example of members of a metropolitan based elite making decisions for themselves without any thought for the electorate they are supposed to represent? We need to get rid of them all and find some people to represent us who can actually empathise with the problems normal people face.
We should concentrate on producing British goods for British markets and give manufacturers all the help we can. If anybody mentions free trade then let's examine how the French and German (or US and Japanese) help their manufacturers at the expense of their overseas competitors
What has free trade done for normal, British people anyway? We only seem to have two major industries left and they are both protected. They are pharmaceuticals (helped by the NHS) and defence (helped by the armed forces) which both seem to be protected. What's wrong with that?
I wish we'd protected the rest of our industry in the 1980s because it'll be very difficult to start again. We can help the producers still in existence and recognise their importance by creating conditions in which they can prosper.
Paul M Williams
Location:
Warrington, UK
Thursday, 5 June 2014
Gold - A "Bridge Over Troubled Water"
Back in 1969, when Simon & Garfunkel recorded "Bridge over Troubled Water" the duo had a gut feeling that this song was going to make a very big splash. And they were right, as their recording went on to become a number-one hit (staying atop the charts for six weeks) - while being covered by literally dozens of other singers.
Like Simon & Garfunkel, investors entering the gold market around 2001 have also scored a smash hit. Since then - quite simply - gold has performed in spectacular fashion. Even in 2008, when fears of a global financial meltdown drove virtually every asset class into the ground, gold alone held its relative value, actually rising that year by almost 5%.
And the best news? It's an odd's on favorite that we are still early in what could prove to be an epic precious metals' bull run. Says Doug Casey, who wrote one of the top selling investment books of all time: "The easy money in precious metals and the mining stocks has been made, but the big money lies ahead." With so many other investments looking questionable and the world economic situation still unclear, this "metal of kings" can provide the savvy investor with a bridge over troubled water. For peace of mind, look at gold (and silver) as providing insurance first; profit second. Why is the Case for Gold so Compelling?
Central Banks have Become Net Buyers
Between 1999 and 2002, England's central bank sold two-thirds of its gold reserves at almost the exact bottom of what turned out to be the end of a 20 year bear market. The official who squandered this portion of his country's monetary legacy was later to become Great Britain's Prime Minister - and lend his name to what is known in financial circles as "The Brown Bottom." A few years later, Canada (also unwisely) followed suit, getting rid of almost its entire reserve of gold.
But it now appears that central bank thinking has changed. For the first time in over 22 years, they have actually become net buyers - led in the fall of 2009 by India's purchase of over 200 tons of gold. Most of these officials are once again concluding that the yellow metal's strong financial performance makes it a useful counter-weight to the swings of the U.S. dollar, which has been steadily losing value for a number of years. While gold is no longer the foundation of the international financial system, it is still considered by central banks to be a crucial reserve asset. Rumors are abuzz that China, as well as a number of wealthy Middle Eastern nations have been quietly scooping up what little gold the International Monetary Fund (IMF) has been offering for sale.
Supply is Down
According to the World Gold Council, gold's popularity continues to surge, driven by increasing industrial and jewelry manufacturing use, in addition to very strong investor demand - from individuals and institutions.
Also, producers have accelerated the unwinding of their hedge books. Years ago, mining giant Barrick Gold pre-sold much of its production forward under contract, promising to deliver at hundreds of dollars an ounce lower than where the metal trades today. In a better-late-than-never development, it recently decided to buy back all of its hedges - in the process, suffering a loss of several billion dollars...and adding to global gold demand.
The data strongly implies that available stockpiles will not keep pace with demand in coming years. Gold's global production peaked in 2002. Several of the world's largest mining companies expect further declines in production next year, and are in a scramble to increase reserves through the acquisition of new mining properties. South Africa, once the world's largest gold producer (now supplanted by China), mined its lowest amount of gold since 1922 - and its overall output is down 72 percent from its 1970 peak. Whereas China and Russia have become a major force in gold production, they also seem inclined to hold onto most of it - adding these precious ounces to their own reserves.
Importantly, no new major mine supply is expected in the near term. In general, it takes more than a decade to acquire, finance, build and staff a mine and commence production. Thus, the supply/demand imbalance is expected to continue - and is likely to increase for years to come.
Most of the new gold discoveries in recent years have been of the low grade/bulk tonnage variety, often in remote locations - sometimes near environmentally-sensitive areas. The normal procedure with these deposits is to dig up and crush thousands of tons of ore-bearing rock, then apply chemicals in a "heap-leach" process to get out the gold. The yield from this procedure is often only a few grams per ton! Compounding the supply problem is an ongoing global shortage of trained geologists, miners, diamond drills and mining equipment.
While Demand is Up...
Demand, on the other hand, continues to increase in the face of the newfound prosperity and increased disposable income being freed up by the Asian economic boom, particularly in China and India - three billion people adding fuel to a long-term shift in consumption demand.
Throughout the developing world, gold is the most liquid, efficient and widely accepted form of exchange and the best store of value - especially in rural areas that lack access to banking services. Jewelry is coveted in the developing world, where it functions as both adornment and savings. It is often the only asset a Muslim or Hindu woman is culturally permitted to own, and therefore may be her only form of protection against financial adversity. Additionally, the dowry concept is alive and well in India today, where gold is commonly transferred from the family of the bride to the groom.
Recently...
- Legendary hedge fund manager, John Paulson has chosen to place a significant percentage of his total investment capital into gold and its relatives - ETFs and stocks. He actually owns more gold than that of several countries combined!
- Northwestern Mutual Life Insurance Co., the 3rd largest life insurer, has now bought gold for the first time in its 152-year history.
- The U.S. Mint is dealing with "pipeline" shortages of gold and silver blanks, causing delays or outright cancellation in the production of certain numismatic and bullion coins.
- The Gold Buffalo - America's first 24 karat gold bullion coin - had its 2009 issue release delayed until last October, and in less than two months, discontinued sales until 2010...after exceeding its annual sales totals for each of the past two years.
- The U. S. dollar is no longer perceived as the automatic safe haven for concerned investors around the globe. If you had a choice, would you rather own "digital dollars" - or gold?
- It is in the government's interest to create inflation through excessive expansion of the money supply, in order to pay off its obligations of accumulated debt, such as employee pensions, Medicare and Social Security, in worth-less dollars.
Gold production is limited. Money creation by Printing Press is...Infinite.
Zimbabwe: Not that many years ago, the Zimbabwe dollar was trading at US $1.47. Last year, it had sunk to 100 TRILLION to the Dollar. A beautiful country which used to export grain to its neighbors now faces starvation. Imagine how a Zimbabwean family would feel, if they could lay claim to even one ounce of gold!
North Korea: In December 2009, North Koreans awoke to find that they would be required to exchange 100 units of their currency, the won, for just 1 unit of the government's new paper money. Overnight, the savings of these long-suffering people (except for the bureaucrats) had been wiped out. How different things might have been for them, if they possessed just a few ounces of "the poor man's gold" - silver!
The United States? Can we have "guns and butter" as the U.S. tried to do in the 1960's to finance the Vietnam War and the President's Great Society programs? In just the past year, the Federal Reserve has doubled the country's monetary base. In addition, how will we pay for a massive new healthcare program and two wars?
Within the next 12 months, it is estimated that the U.S. Treasury will have to finance between $2 and $3 trillion dollars in short-term debt, an amount equal to 30% of our GDP. Where will the money come from? Richard Russell, the doyen of financial newsletter writers (who began publishing in 1958) answers this rhetorical question. He says, "(And) my answer is that the money will have to come from the Fed by way of the printing press."
Is it any wonder that gold has outperformed nearly every other asset class over the past few years, including the S & P 500, protecting investors now in the same way that it has during other turbulent times? According to the Wall Street Journal:
"Even with the rebound this year, the U.S. stock market posted its worst performance for any calendar decade in nearly 200 years of American stock-market history. Investors would have been better off investing in pretty much anything else, from bonds to gold or even just stuffing money under a mattress. Since the end of 1999, stocks traded on the New York Stock Exchange have lost an average of 0.5% a year thanks to the twin bear markets this decade."
If gold had a voice, it would most likely sing, "I'm on your side, when times get rough/And friends just can't be found."
For 5,000 years, Gold and Silver have been looked upon as "Honest Money"
Honest, because gold and silver's rarity forces governments to limit the amount of paper in circulation. When citizens can exchange their printing press bills for "honest money" the government is forced to act responsibly regarding how much currency it can print...and how much it can spend!
Throughout history and across cultures, people have understood that it is wise to keep a portion of their wealth in gold. Over time, gold holds its value and serves as insurance. It is a truism that in Roman times, an ounce of gold would buy a fine tunic (garment) - and today that same golden ounce will still purchase a high quality suit.
The world is awash in fiat paper. Today, not a single currency is backed by gold - the first time in history when this has been the case. The total value of all paper money and bonds in the world is estimated to be on the order of $100 trillion, while the total value of all the gold ever mined is $5.9 trillion. Essentially then, for every dollar in paper money, there are only 5.9 cents worth of real money to back it up - a disconcerting thought. Perhaps the time has come to bring gold into your own portfolio, so that it can help serve as a "bridge over troubled water" for you.
Gold is Rare
Just how rare is gold? How small is the supply? According to the World Gold Council, as of 2006 the total amount of all gold ever mined comes out to under 6 billion ounces. Given that the total world population now exceeds 6.6 billion people, there is less than one ounce of gold available per person to invest in right now - a figure that shrinks even further in light of the fact that central banks already hold a considerable amount of the above ground supply.
It has been estimated that in USD terms, there are roughly $200 trillion in investable assets globally, but only $5.9 trillion of that wealth is in gold.
Why is this relevant? For one thing, financial portfolio managers suggest that at least 5 percent of a person's total net worth should be invested in precious metals as an insurance policy to protect against hard economic times and periods of geopolitical instability. Yet very few people have followed this advice - which is somewhat fortunate, as there is not enough gold to go around should the general public decide to act on this advice en masse!
Gold's Special Qualities
Gold has functioned as an adornment and store of value for more than 6,000 years. The earliest gold jewelry dates from the Sumerian civilization that flourished around 4,000 BC. Gold's intrinsic beauty, warmth, glitter, sensuality and spiritual richness have evoked powerful human emotions throughout history.
The Bible contains a detailed and lengthy description of the role that gold in its various forms played during King Solomon's reign (1 Kings Ch. 10). To hold an item made of gold is to possess something that has provided security and value for thousands of years.
Gold plays a vital part as a symbol of love and devotion. It has significance for occasions like weddings, anniversaries and birthdays, as well as a host of other holidays, ceremonies and customs. Consider, too, the ways in which gold has enriched our language - the best years of our lives are known as "the golden years" An advantageous situation is referred to as a "golden opportunity." A civilization's time of peace, prosperity and creativity is referred to as a "golden era". Treating others the way you wish to be treated is known as "The Golden Rule."
Gold is...
- Free of religious or political affiliation
- Neutral on race, gender and language preference
- Easily transported
- Universally accepted
- With low/negative correlation to other major asset classes, helps diversify ones portfolio.
- Impervious to corrosion, tarnish or decay
- Free from debt (no one but the owner has claim to it)
- Rare, scarce and difficult to produce -world supply increases less than 2% annually.
- Cannot be created in unlimited quantities on a printing press like the dollar, yen or peso
- All but impossible to counterfeit
- Easily bought and sold anywhere in the world
- Incapable of being bankrupted - no one but its owner has a claim to it.
Concluding Thoughts
Gold is quite simply, on a powerful run. In 2009 it traded at more than $1,200 an ounce - over 4 times higher than its low point in 2000. For 9 years in a row, the price of gold has increased. Can you name another asset class which has shown this kind of performance during the first decade of the new century? As a result, gold is gradually appearing on people's radar screen - and finding its way into Main Street portfolios.
At the top of gold's last bull market in 1980, the nominal high price was $850. To reach that same level on an inflation-adjusted basis today - using the CPI as calculated by the government - the price would rise to somewhere between $2,000 and $3,000. And what if the U.S. decided to return to a gold standard to back its paper dollars? Gold would have to be valued at more than $6,000 per ounce.
Major investment banks and brokerage firms that were long silent on gold are now talking it up. Merrill Lynch has reiterated its forecast that gold could top $1,500 during the next year or so.
Analysts know that the combination of slowing U.S. economic growth, the inflationary effects of rising oil and commodity prices and a change in supply-and-demand dynamics make gold a safe haven, which is likely to place further upward pressure on its price given the tight supply. Just like during the last metals bull market, we will see one of the giants of business publishing a book that advises investment in gold and precious metals, an event which may well serve as the tipping point toward a new investment Gold Rush.
Some observers believe that the gold price will be driven much higher, not so much due to greed, but more by fear, as the public - from some of the wealthiest investors, to those individuals and families who may only be able to afford fractional gold ounces - seek a way to protect their assets from the ravages of inflation, volatile stock and real estate prices, not to mention currency destruction like that experienced by the unfortunate citizens of Zimbabwe and North Korea.
Throughout history, the fate of every paper currency issued has been an eventual decline to its intrinsic value - zero. Could this happen to the United States? While no one can say for sure, betting against history could be a risky move. As the famous line from the Dirty Harry movie goes, "Do you feel lucky today?" Well, do you...?
Is the Last Train Leaving the Station?
Those who do not own gold need to ask themselves if it has become decision time. For those who decide to act - Do it to protect and diversify your portfolio. Do it for family. Do it because commodity bull markets typically last 15 years or more, and this one looks like it has a long way to go.
The last train may be leaving the station, so don't be left behind. The U.S. dollar may well continue to fall relative to foreign currencies. This will fan the flames of inflation as foreign goods become more expensive. Asian investors continue to dump the U.S. dollar, and the central banks of Singapore, South Korea, Taiwan and Vietnam have signaled their intention to cut purchases of U.S. bonds. China is becoming less friendly to the dollar and clearly intends to diversify. August 2007 marked the first time since 1998 that the rest of the world has sold more U.S. treasuries than it has purchased, and that trend continues. Our government has actually had to buy some of its own debt to make up this difference! U.S. Federal Reserve rate cuts have trimmed our yield advantage over other countries, making for a very gold-positive situation.
Become a part of this historic bull-run in gold, and rest easier at night knowing that you have preserved your purchasing power and that you hold something of real and increasing value.
As Simon & Garfunkel sang, "Your time has come to shine/All your dreams are on their way...."
Article Source: http://EzineArticles.com/?expert=Ewald_Deinhart
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