The Golden Solution to America’s Debt Crisis

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Right now, the United States is officially $20 trillion in debt. Over half of that $20 trillion was added over the past decade.

And it looks like annual deficits will be at the trillion dollar level sooner than later when projected spending is factored in.

Basically, the United States is going broke.

I don’t say that to be hyperbolic. I’m not looking to scare people or attract attention to myself. It’s just an honest assessment, based on the numbers.

Now, a $20 trillion debt would be fine if we had a $50 trillion economy.

The debt-to-GDP ratio in that example would be 40%. But we don’t have a $50 trillion economy. We have about a $19 trillion economy, which means our debt is bigger than our economy.

When is the debt-to-GDP ratio too high? When does a country reach the point that it either turns things around or ends up like Greece?

 

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//dailyreckoning.com/golden-solution-americas-debt-crisis/

Gold And The Coming Collapse: Are We Close To A Major Monetary Event?

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It really should be clear that a major international banking crisis is inevitable, and likely to occur fairly soon. Due to the extreme debt levels, many banks are close to that point of failure.

An event like a stock market crash is likely to push many banks to that point of failure, since the pressure it would create (on cash resources), would expose their inability to fulfill their obligations.

Cash (not bank credits/digits) is still the means by which banks have to settle liabilities and obligations (especially amongst each other). If a bank goes down, it will be due to the lack of cash (not bank credits/digits). It is for this reason that there is a campaign to ban cash (for the general public) or limit the use of it.

The banks are in competition for the available cash resources, and they do not want you to be an obstacle. This is similar to what happened during the Great Depression (1933) when gold was confiscated. Then, banks proved their solvency with gold; therefore, the general public was prevented from competing for the limited amount of gold resources.

It is for this reason that I believe it is very unlikely that gold would be confiscated during this crisis. Today, it is cash that is the cornerstone of the banking system (especially the US dollar), since it is cash that is promised, not gold.

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//hubertmoolman.wordpress.com/2017/09/10/gold-and-the-coming-collapse-are-we-close-to-a-major-monetary-event/

Gold close to one-year highs due to tension with North Korean

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Gold bars are seen at the Kazakhstan's National Bank vault in Almaty, Kazakhstan. File Picture: REUTERS/MARIYA GORDEYEVA

Gold bars are seen at the Kazakhstan’s National Bank vault in Almaty, Kazakhstan. File Picture: REUTERS/MARIYA GORDEYEVA

London — Gold rose towards one-year highs on Wednesday, boosted by tensions on the Korean peninsula and a lower dollar due to growing expectations that the US Federal Reserve will delay rate rises.

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//www.businesslive.co.za/bd/markets/2017-09-06-gold-close-to-one-year-highs-due-to-tension-with-north-korean/

Gold/Silver Ratio Reversal

By | Gold News, Silver News | No Comments

Over the last 20 years there has been a specific condition for Silver that has been a rather reliable predictor for its price. Once it is met, these prices have historically risen within an 18-24 month period.

Since 1996, the Gold/Silver Ratio (the price of one ounce of Gold divided by the price of one ounce of Silver)has hit 80/1 a total of 4 times. The most recent being 2016.

In all three of the previous times, the ratio reversed and Silver gained a significant percentage. It outperformed Gold by a wide margin and rose in every instance.

IF THIS TREND PLAYS OUT AS BEFORE, THE SILVER PRICES SHOULD MOVE SIGNIFICANTLY HIGHER OVER THE NEXT YEAR.

With our current political landscape and uncertainty in how much higher the Stock Market can go, we may see Silver reach anywhere from $30 -$65.

DEPRESSED PRICES DON’T LAST FOREVER.

(Please call GOOD TO GOLD INC. for charts/info)

Does Market Rigging in the Metals Signal a Buying Opportunity?

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Gold MarketCentral Banks are rigging the metals markets. Does it signal a buying opportunity? Will they ever be prosecuted for this illegal activity?

I recently interviewed good friend Ed Steer who writes Ed Steer’s Gold and Silver Digest, a daily must-read. We discussed an article written by Peter Warburton in 2001 outlining the relationship between central banks and investment banks rigging the metals market price:

…(Central Banks) incite investment banks and other willing parties to bet against a rise in the prices of gold, oil, base metals, soft commodities or anything else that might be deemed an indicator of inherent value.

Their objective is to deprive the independent observer of any reliable benchmark against which to measure the eroding value, not only of the US dollar, but of all fiat currencies. Equally, they seek to deny the investor the opportunity to hedge against the fragility of the financial system by switching into a freely traded market for non-financial assets.

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