Gold Is Still the Opportunity of a Lifetime 74 comments
-
Font Size:
-
Print
- TweetThis
Last October was a pretty brutal time to be in the prognostication business. I had just called Gold the opportunity of a lifetime at the end of August at a price of around $800/ounce. By the time late October came around, the price had fallen to around $725 and the catcalls had begun in earnest. The Keynesian Kakistocracy was out in full force, hurling insults so rich and humorous that I felt compelled to write some of them down. Now a year later it is time to do another quick review and probably set myself up for yet another barrage of hate mail if the price of Gold doesn’t immediately set a course for Mars.
Yes, we are one year removed from that column and Gold is up 25% in dollar terms at nearly $1000/ounce. Detractors will quickly point out Gold’s inability to land and stick above the $1000 level. In return, I will point at the Dollar’s failed rally to 90 as measured by the USDX. Detractors will point to a lack of interest and dividends from investing in Gold. I will point out that Gold is not an investment; it is money. However, for those who insist on comparing Gold to stocks, I will point out that in the year since the last article, Gold is up 25% while the Dow Jones Industrials are down 19%. Detractors will point out the new bull market in stocks. I’ll counter with the fact that stocks are merely in the middle of a countertrend rally within a bear market while Gold’s correction last year was a countertrend move within a bull market. Detractors will point to the save-haven status of the Dollar during times of economic distress. I’ll counter with the fact that Congress has ensured that the Dollar will die of nearly two trillion cuts – in FY 2009 alone. Must we really continue this?
So on the anniversary of the beginning of the first in extremis phase of the financial crisis, we’re going to look at two of the many developing situations that should give us pause when considering the stability of our financial structures despite all the positive rhetoric and hopefully compel us to consider how to adequately protect ourselves.
China’s stop-loss
Last week, China released some rather earthshaking news that was barely reported by the diligent media here in the US. And where it was reported, the significance was completely glossed over or even ignored. The Chinese Government gave a directive to its state banks to cut their losses on commodity related derivatives, many of which are tied to NY and London banks. In doing so, the Chinese government is in essence saying it no longer respects the validity of these specific performance contracts, pointing out that without performance, there is nothing special about the contracts. This is tantamount to a shot across the bow. The commodities portion of the total notional value of all OTC derivatives as of December 2008 is rather small at .75% of the total. Telling Wall Street to take a long walk off a short pier in this instance will probably not destroy the financial system in and of itself, but it will certainly give the bailout boys a hint of what could happen if the Chinese et al (think BRIC) start backing out of other more important areas such as interest rate swaps which were nearly 55% of the total notional value. (Data courtesy of BIS)
[click to enlarge]
Even the most diehard of Keynesians, who have never seen a deficit they didn’t love, are aware of the fact that it is much more favorable to have foreign cooperation in your currency burying than to have to do it on your own with direct (or around the woodpile) monetization. In that regard, they still need the Chinese if for nothing else than maintaining the façade of vendor financing and the maintenance of the status quo.
Stock markets reacted poorly to the news last Tuesday with the Dow losing nearly 200 points on a day where there was a bevy of ‘green shoots’ economic news in the form of ISM manufacturing data, pending home sales, and motor vehicle sales. Financial stocks led the decline and we must wonder if the smart money had its eyes on the Chinese as the day progressed. On Wednesday, Gold broke out of its recent doldrums and immediately headed north. Granted the technical patterns had been predicting the breakout for the past few weeks, but it is rather coincidental and we have to ask if we are not beginning to see the first shockwave from the recent Chinese action? If so, Gold gets a big thumbs up, while paper assets get the boot.
FDIC: The paper tiger is going to need more paper
We've all seen the good news that has come out on the economy in the past few weeks. While challenges remain, evidence is building that the American economy is starting to grow again. But no matter how challenging the environment ... the FDIC has ample resources to continue protecting insured depositors as we have for the last 75 years. No insured depositor has ever lost a penny of insured deposits ... and no one ever will.
The above statement, made by FDIC boss Sheila Bair is overflowing with inaccuracies, but for the purposes of this article, I want to focus on the last sentence. The FDIC’s ‘trust fund’ is dry. At the beginning of 2008, the Deposit Insurance Fund (DIF) had a balance of approximately $52.8 Billion. By the end of 2008, the DIF had been drained to around $17.3 Billion on the back of just 25 bank failures. To date in 2009, there have been 81 failures, with the two largest failures of the recession coming in the last month. At the end of Q1 2009, the DIF balance had already been reduced to $13.1 Billion. In addition, the list of ‘troubled’ (read: dead) banks now stands at 416 as of the FDIC’s latest quarterly report.
Ms. Bair, in her statement, alluded to the notion that the FDIC sets aside reserves for anticipated failures. The problem is that their estimates of the total impact of failures have been categorically low during the recent run of bank failures. In fact the actual losses have been nearly twice (1.94X) the estimates by FDIC. In the following graphic, used in Ms. Bair’s presentation, the FDIC has estimated the cost of failures to be $32 Billion. If recent history is any guide, the real cost is likely to be a tick over $62 Billion. Given that the balance of the DIF is now at $10.4 Billion, I’d say they have more than a small problem.
What is even more interesting is that Ms. Bair considers money borrowed from the Treasury (taxpayers) and thrown into a black hole to be an asset and her chart above fails to recognize that such a loan creates a liability as well. However, this is indicative of our new accounting paradigm. In addition, she asserts that the FDIC is entirely ‘industry-funded’. Not so, when they’re tapping a Treasury credit line. While most folks are sniffing a bailout of FDIC, I wouldn’t count on it. So far, the vast majority of the bailout money has found its way to Wall Street, not Main Street.
So while the FDIC is bragging that no insured depositor has ever lost a penny and never will, it must be noted that it is incorrect to assume that Congress is under any type of mandate to bailout FDIC. When the DIF requires massive borrowing from the Treasury, bank premiums will be increased in a vain attempt cover the cost, which will mean higher borrowing costs for the real economy. And if Congress does step in and bailout FDIC, the amount will just get tacked onto the national debt. So while large banks gobble up smaller ones and consolidate on the back of TARP, TALF, TSLF and a dozen other ‘emergency’ Fed lending programs, everyday Americans will foot the bill in its entirety. How’s that for a guarantee?
The above items are just a sampling of where we stand a year later. The opportunity offered by precious metals is the opportunity to rid oneself of counterparty risk. The Dollar is the ultimate example of counterparty risk as it relies on the responsible performance of government and monetary authorities to maintain its value. Since the two aforementioned entities have been absentee custodians of the Dollar for so long, its value has deteriorated dramatically. Precious metals have allowed individuals to compensate for that loss in purchasing power. Pundits will say that Gold is a lousy investment and they’re right. The problem with their thinking is that Gold is not an investment; it is sound money and should be regarded as such, not with contempt as is routinely the case in the mainstream press corps. So as we begin another September, a time of year that seems to bring out the worst in our financial and banking system, I will say it again – Gold continues to be the opportunity of a lifetime.
Related Articles
|
-
The Seeking Alpha 100
See allThe top 100 stock
market authors
selected for publication
Seeking Alpha 100 » -
Fastest Climbers
Authors with the largestSee all
increase in followers
in the last 7 days
Fastest Climbers » -
Top Commenters
Top commenters,See all
as ranked by their peers
Top Commenters » -
Top Instabloggers
The 100 most active
Instabloggers.-
1
David Fry
-
2
TraderMark
-
3
Don Dion
-
4
Cliff Wachtel
-
5
Mike Havrilla
Top Instabloggers » -
1
-
Top StockTalkers
TopSee all
StockTalkers.
Top StockTalkers »
This article has 74 comments:
We already know that many forecasters have predicted at least 300 bank failures, so if this "Friday Five" trend continues we'd be on pace close as many between now and the end of the year as have been closed so far. If 300 is correct that pace would be right, with perhaps another 100-200 next year.
TIA
BTW, there is every possibility that the actual rise in gold will be "hidden" if investors start grabbing for every asset they can, including stocks of every type and real estate, with rapidly devaluing dollars.
For you younger readers, back in the 70's Mexico devalued the peso. Car and Driver magazine wrote an article about a Mexican businessman who ordered 3 AMG Mercedes for $100000 each (big bucks in the day). Not long afterward the peso went from 8 to the dollar to 12 to over 100 to who knows. My point is the guy still had his Mercedes and they were worth something. His pesos, on the other hand, weren't worth much.
Can it happen here? Sure, why not. I keep an eye on TLT, the long government bond ETF. It peaked out at 122 when deflation "Armageddon" was only days away, crashed to the high 80's when risk appetites increased, and is now trading 95. Gold and silver going up a lot, bonds going down a lot tells us things not going so good.
Successful investing to all.
On Sep 07 01:54 PM NUCLEAR1929 wrote:
> I am sorry you are loser and lost some $ since 2008, you are double
> loser because you write on SA for free, SA never paid here any so
> called publisher, for them you are a pipe channel to connect visitors
> with advertisers. Only freaks write for free, you must be really
> sick just like anybody else to work for free for uncle sam SA.<br/>Now
> go complain to SA and report abuse pussycat.
By Jonathan Tirone
www.bloomberg.com/apps...
Sept. 7 (Bloomberg) -- The dollar’s role in international trade should be reduced by establishing a new currency to protect emerging markets from the “confidence game” of financial speculation, the United Nations said. ..."
That dovetails with Simon Johnson's piece, in "The Atlantic":
www.theatlantic.com/do...
"The crash has laid bare many unpleasant truths about the United States. One of the most alarming, says a former chief economist of the International Monetary Fund, is that the finance industry has effectively captured our government—a state of affairs that more typically describes emerging markets, and is at the center of many emerging-market crises. If the IMF’s staff could speak freely about the U.S., it would tell us what it tells all countries in this situation: recovery will fail unless we break the financial oligarchy that is blocking essential reform. And if we are to prevent a true depression, we’re running out of time. ..."
A deflationary depression is as probable as anything on the horizon. It will involve the fact that most private and public debt will not be repaid and finally the public and our creditors understand. The paper the debt represents will be found to be useless, worthless and the stuffing for zombie banks.
The depression will bring confusion, a shortage of money and a threat to survival of us all. But if we come out the other side, clear the shock waves of bankruptcy, we will see the government attempt Keynesian inflation of the money supply.
They may confiscate gold if they dare which will not be allowed, but inflation will start once the useless debt is re-categorized junk. At that point owning physical gold may be the key to survival and preservation of assets. So I agree, hold some metal, and some paper gold right through the depression. It will go down, but much less than other asset classes. Gold is not only timely, it is a necessity.
Buying gold at all time lows in the beginning of the decade i could understand. Could you make aquick 10% hit perhaps? But you could buy a stock like PM with a 5% dividend and have a higher percentage of amking that fast hit. Just my opinion
> I am sorry you are loser and lost some $ since 2008, you are double loser because you write on SA for free, SA never paid here any so called publisher, for them you are a pipe channel to connect visitors with advertisers. Only freaks write for free, you must be really sick just like anybody else to work for free for uncle sam SA.>
It looks like they must have suckered you in. You're writing for them for free now... ;)
On Sep 07 03:13 PM NUCLEAR1929 wrote:
> I agree with you, I would love to read even the garbage and I did it when I was a teenager, since then some years passed and today I don't read even magazines which I loved before and read in full, The Economist, Forbes....and the like, because I learned something that 90% of investors lose over time anyway.
Assuming that this masses also watch CNBC, Bloomberg, read WSJ, Barron's, SA, WSJ.......I understood many years ago that it will not help me make money reading what others read and watching what others watch, so I developed my own system and I call it CIFRA.
I have my own opinion about things and most of the time seeing the title I understand what is the content, I spend about 5-8 seconds per article, for me it's not worth more but I have nothing against they post their stuff on SA and poison others with news nobody can use. >
and you've apparently been suckered in to spend more than your allotted 5-8 seconds per article to argue with those SA readers you deem so foolish.
But, I like reading your comments. Perhaps you've deigned to give a little pro bono advice to the masses...
On Sep 07 03:19 PM CLH wrote:
> Gold has little upside when inflation is low. Gold topped in 1980
> and took nearly 25 years to break even. A great investment?
portfolioforlife.blogs...
On Sep 07 10:12 AM anarchist wrote:
> The DJI is down 19% from the 52 week high but up 47% from the 52
> week low. Gold, by my calculation of GLD is up 47% from it's 52 week
> low. Looks to me like they both have done well. When I see scales
> appear in Safeway to accommodate those who wish to pay for groceries
> with gold I will believe that gold is money, until then I see it
> as a trading vehicle.
The author is right if people bought gold rather than spent every penny they had and then some we would be better off. Whether in gold or in stock or cash, the fundamental important thing is "had Americans saved". I certainly hope we inculcate our children in the merits of saving for a rainy day, not believing the end of downturns is a reality as Greenspan eluded to more than once during his tenure on the Federal Reserve.
Cant wait for this trade to begin!
Another one from the Jason Hommel fan club.
On Sep 08 09:10 AM caradoc1 wrote:
> i just love these idiots who keep referring back to the 80's when
> gold hit 800 an ounce. and how long it took to get where it is now.
> truly decived and dumbed down ignoramousas. if they did any real
> research into the matter instead of just blowing hot air and only
> repeating the convential b.s. about the matter. they would have learned
> that our goverement as well as others and the western central bankers.
> dumped tons of gold and silver into the market to drive down prices
> to save there precious fiat money scam, that they have perpuated
> since the creation of it, back in 1913. and have been doing so since
> to keep there precious scam going. but now the scam is slowing becoming
> apparent to every one, which is why the phony money we use is slowing
> dieing the death it deserves. which even these criminal banksters
> are admitting by there very actions of not dumping there gold out
> into the market to drive down prices as before but instead are now
> becoming net buyers them selves of the metal as a reserve asset.
> also when it comes to silver , another metal that has been manipulated
> by our goverement by continually dumping its reserves into the markets
> for years and years to keep that price down to keep the strength
> of the dollar from crumbling, admitted a few years back that its
> reserves are now gone and they too have to purchase the metal on
> the open market like everyone else.( at the end of world war 2, the
> u.s was the worlds greatest holder of silver with over 4 billion
> ounces of silver in its reserve, now they have none). since they
> dont have enough to unload to make it effective as a counter measure
> to rising gold and silver prices. when the I.M.F. anonunced the ideal
> of unloading 400 tons of gold into the market as a scare tactit to
> drive the prices back down as they have used in the past. there bluff
> was called by the chineese, who shouted go ahead, we will buy it
> all up, which would have not effected the price rise at all as the
> i.m.f. had hope for. in fact the chineese dared the bank to sell
> it all. for which they would be more then happy to buy it all. since
> they have over 2 trillion of our dept ( a.k.a. goverement bonds )
> that they can dump unto the market in wich to buy all the gold that
> the i.m.f. could possibly sell. hence no release of 400 tons of gold
> by the i.m.f. as they have stated. and that was 2 months ago. hence
> china called there bluff.so to use the price rise of gold and silver
> from the 80's and to compare it today rise in prices. just shows
> there ignorance of not only history, but also what really took place.
> notice how everyone today still repeats the propaganda that was dished
> out to them back in the 80's, like trying to blame the hunt brothers
> for the price jump in silver by blameing them by trying to corner
> the market. which was an excuse used to hide what was really going
> on. and that was our dollar was in serious trouble, which thanks
> to reagan and the bankers, by printing more and more money, only
> delayed the enivtable collapse of our phony money. which today we
> are seeing the beginning of it.
the dollar supplantation even though needed, its very complex. its not something you just wake up and do.
of course, that doesnt mean as well it cant and wont be done.
a lot of countries have demonstrated that they are pretty fed up with the fact that US has a printing machine and use it at its will to fool others into accecpting their currency in exchange for interest rates lower and lower.
now, think this way,
worst (or best, depending on what side you are)
dollar does get replaced;
do you think gold will shoot to 10k ?
boy.. gold will shoot to 100k if not more.
and then, the currency will go back to where it should have never left, being backed by something real, something that existis.
look at the bright side, maybe we even get to see pirates back in the seas stealing gold.
damn.. are we as a civilization going back in time ?
amazing!
On Sep 07 10:43 PM Moon Kil Woong wrote:
>I certainly hope we inculcate our children in the merit of saving for a rainy >day,
What I feel many of the pro or anti gold writers omit is the probability of their argument. For example, what is the probability the dollar will collapse? If the dollar does decline, what is the probability of a 10% decline over the next year? 20%? hyper-inflation?
Based on Rogers book, and the many article I have read, I have concluded there is a strong probability (70%) of continued decline in the dollar compared to commodities. Using gold, GLD, DBA or commodities gives me a strong position to this probability, albeit the position does not give me certainty.
Diversification means more than 50% stocks and 50% bonds. Even real estate, at 5% margin, may be an inflation hedge. Unusual times and circumstances mean it is time to think outside a comfort zone.
WAKE UP.
On Sep 08 10:54 AM jayminho wrote:
> by the way,
> the dollar supplantation even though needed, its very complex. its
> not something you just wake up and do.
> of course, that doesnt mean as well it cant and wont be done. <br/>a
> lot of countries have demonstrated that they are pretty fed up with
> the fact that US has a printing machine and use it at its will to
> fool others into accecpting their currency in exchange for interest
> rates lower and lower.
> now, think this way,
> worst (or best, depending on what side you are)
> dollar does get replaced;
> do you think gold will shoot to 10k ?
> boy.. gold will shoot to 100k if not more.
> and then, the currency will go back to where it should have never
> left, being backed by something real, something that existis. <br/>look
> at the bright side, maybe we even get to see pirates back in the
> seas stealing gold.
> damn.. are we as a civilization going back in time ?
> amazing!
I have to go buy a few more ounces of gold now.
On Sep 07 04:22 PM whidbey wrote:
> Your arguments are great and I think telling on the issue of money
> and debt.
>
> A deflationary depression is as probable as anything on the horizon.
> It will involve the fact that most private and public debt will not
> be repaid and finally the public and our creditors understand. The
> paper the debt represents will be found to be useless, worthless
> and the stuffing for zombie banks.
>
> The depression will bring confusion, a shortage of money and a threat
> to survival of us all. But if we come out the other side, clear the
> shock waves of bankruptcy, we will see the government attempt Keynesian
> inflation of the money supply.
>
> They may confiscate gold if they dare which will not be allowed,
> but inflation will start once the useless debt is re-categorized
> junk. At that point owning physical gold may be the key to survival
> and preservation of assets. So I agree, hold some metal, and some
> paper gold right through the depression. It will go down, but much
> less than other asset classes. Gold is not only timely, it is a necessity.
Coke in that same time frame has the same Pe that it had 20 years ago and it has increased in value 17 times and also provided a dividend yield of 3.5% -325 annually in that 20 year time span
Can gold go up?perhaps investment of a lifetime? no
Do reaserach on what S&P stock has done the best since 1925 ,1957 counting reinvested dividends and check that stocks record for this decade
Now you found a stock of alifetime
That said, I think it is a mistake to buy gold high and sell low, now isn't the time to buy, wait a month at least and you'll be more apt to catch the next cycle low. The $USD should begin to recover now that gold has once again bounced into $1k territory, and some equities downside from here would be my expectation as well.
FD: I'm short gold this morning from just above the $1K level.
I’ll counter with the fact that stocks are merely in the middle of a countertrend rally within a bear market while Gold’s correction last year was a countertrend move within a bull market.
So why are you comparing stocks with Gold which you have declared as Money?
I recently read that Greenlight Capital sold $500 million worth of their GLD exchange-traded fund holdings and bought physical bullion.
When are the rest of you going to make the realization that GLD, SLV and companies advertising to sell one ounce gold Maples, Eagles, etc and then state "we will store your gold for you", are nothing less than PAPER INVESTMENTS! Trust YOURSELF with YOUR MONEY & Gold & Silver...and NO ONE ELSE.
Have you noticed over the past 5 trading days, Silver has outperformed GOLD by a two to one margin! Also if you have been tracking Gold & Silver, silver has out preformed Gold 26.6% vs 12.9% from April 6 thru Sept. 9, 2009.
In weeks, months and years to come, I DEFINITELY see the trend continuing, however at MORE than a two to one ratio. I'm projecting Silver to reach $60./oz before gold reached $2,000/oz.
Coin shows are the best place to buy PHYSICAL GOLD and SILVER.
Long Beach Coin Expo, Long Beach Convention Center, Long Beach, CA opens at 10 AM this Thursday SEPT 10 (Thurs thru Sat) Of the 400+- dealers, there will be 40-60 dealers with gold & silver for PHYSICAL purchase... all in the same room... competing for your business. It is up to you to shop around and make your best deal. You should be able to purchase GOLD (depending upon what type you select) at levels between 2% and 12% over spot melt price. Coin silver, pre-1964, should be priced between 1% - 5% over spot melt price depending on the denomination (half dollars are slightly higher than dimes & quarters) and quantity.
Those of you on the east coast have a show in RICHMOND, VA SEPT. 18-20.
Silver mining stock to watch!
HL (NYSE) Helca mining was up 10% today ($3.45 to $3.78 Stock Market had not closed as of this posting)
Stock closed at $2.96 on Aug 31. and is up over 30% since that close 9 days ago.
You could have bought this stock last October at $1.25.
HL has a track record high 4 years ago @ $12.50
My projections are $15.00 or higher by MAY 2010.
Silver is not "tagging along" after gold.
Since October 27, 2008, GOLD has tagged along behind SILVER 37% TO 81%... $9.05 to $16.40 vs $729. to $997. ... MORE THAN A TWO TO ONE RATIO!
"The Dollar is the ultimate example of counterparty risk as it relies on the responsible performance of government and monetary authorities to maintain its value."
----------------------...
Author put that one all in bold so that we'd pay attention . . . which was probably a mistake, as what he makes clear it that he doesn't know what "counterparty risk" means.
Counterparty risk is the risk that the other side of the transaction will fail. If you've bought a Treasury bond, you can be as certain (as you can be of anything) that the US Treasury will be able to pay you dollars.
There is, of course, a risk that the purchasing power of those dollars may be eroded (in which case, you might choose to purchase TIPS) -- but that is not a "counterparty risk".
Therefore, I would be more interested in buying the other base metals, aluminum, copper, etc. However, for people interested in investing in gold, GLD is a very well managed ETF that trades nearly perfectly with spot gold prices because the ETF actually buys gold (and not futures contracts).
In 2000 gold was less than $300./oz and silver around $4./oz. 9 years later, the dollar has lost 40% of its buying power and gold is $1000. and silver is $16.50.
The Fed is quickly debasing our dollar, and what little savings Americans have. China is pulling the economic strings now, so what are you going to buy the crude oil, copper, etc with?
You will be wishing you had some gold & silver!
Check the Constitution, GOLD & SILVER are the only MONEY...the Fed ran over the constitution with a printing press!
Crude oil, potash, copper...no...I WANT GOLD & SILVER SO I CAN BUY FOOD, CLOTHING & HOUSING
On Sep 08 05:33 PM Crocodilian wrote:
> author writes:
> "The Dollar is the ultimate example of counterparty risk as it relies
> on the responsible performance of government and monetary authorities
> to maintain its value."
> ----------------------...
>
>
> Author put that one all in bold so that we'd pay attention . . .
> which was probably a mistake, as what he makes clear it that he doesn't
> know what "counterparty risk" means.
>
> Counterparty risk is the risk that the other side of the transaction
> will fail. If you've bought a Treasury bond, you can be as certain
> (as you can be of anything) that the US Treasury will be able to
> pay you dollars.
>
> There is, of course, a risk that the purchasing power of those dollars
> may be eroded (in which case, you might choose to purchase TIPS)
> -- but that is not a "counterparty risk".
On Sep 08 08:16 PM Nick Waddell wrote:
> Imagine how little debate there would be about gold as a reserve
> currency if it actually had a practical use the way say, uh, oil
> does.
On Sep 08 05:16 PM joes wrote:
> You are a funny guy, I'll keep coming back just to read lines like
> the one below;
>
> I’ll counter with the fact that stocks are merely in the middle of
> a countertrend rally within a bear market while Gold’s correction
> last year was a countertrend move within a bull market.
>
> So why are you comparing stocks with Gold which you have declared
> as Money?
On Sep 08 09:50 PM BillyChapel wrote:
> How is what you described (indirect default) NOT counterparty risk?
> You cannot be serious.
Most serious. Since the US Government can _print_ dollars, so the counterparty risk to the a purchaser of a US Government obligation that the US Government will be unable to supply dollars to pay its dollar obligations is effectively zero.
There is no such thing as "indirect default" with respect to a Treasury obligation. They either pay you on time, with dollars, or they don't. Other bad things may happen -- your purchasing power may erode, for example-- but those are not defaults.
We have a very influential Senator, but...because of Lobbyist's we have battalion chiefs making over $500,000.00 a year and EMT supervisors making $250,000.00! The stupidity of our politicians never stops! My nieces are in overcrowded schools w/ under paid teachers! Our city councils are corrupt (from inside land deals to liquor licensing)!
VOTER REVOLUTION!!!
I am VOTING EVERY INCUMBENT OUT OF OFFICE! On both State and Fed. levels...IT MUST START SOMEWHERE!
Follow or Watch as our BS IGNORANT "politicians" buckle again to reward, and allow the same insolvent banks to keep making markets in derivatives (a very profitable pat of their 'banking').
And what about allowing shareholders the chance of cutting pay for our Multi-million dollar 'executives'...before I get any replys...read a book by Taleb "Fooled By Randomness" (just so you understand how stupid these pay packages are)!
I'm SO PISSED I can hardly type............
On Sep 07 03:13 PM NUCLEAR1929 wrote:
> I agree with you, I would love to read even the garbage and I did
> it when I was a teenager, since then some years passed and today
> I don't read even magazines which I loved before and read in full,
> The Economist, Forbes....and the like, because I learned something
> that 90% of investors lose over time anyway.
> Assuming that this masses also watch CNBC, Bloomberg, read WSJ, Barron's,
> SA, WSJ.......I understood many years ago that it will not help me
> make money reading what others read and watching what others watch,
> so I developed my own system and I call it CIFRA.
> I have my own opinion about things and most of the time seeing the
> title I understand what is the content, I spend about 5-8 seconds
> per article, for me it's not worth more but I have nothing against
> they post their stuff on SA and poison others with news nobody can
> use.
>
> On Sep 07 02:26 PM punk_ash wrote:
The core problem of the United States' banking system (and maybe the world's banking system) is not liquidity but insolvency. The liabilities of the United States' banking system exceed the value of its assets. The issue is not only the toxic assets (toxic mortgage backed securities, toxic commercial real estate loans, sub-prime mortgages, alt-A loans, adjustable loans likely to go bust, increase in prime mortgage default rates, etc) but also off-balance sheet liabilities (such as expected huge unaccounted for future derivatives losses).
This means that bailouts are just beginning and will require bigger and bigger sums of taxpayer money as time goes on. The government will resort to borrowing more and more and eventually to printing money when treasury debt auctions start failing. The end result of this path is a currency collapse and probably total chaos as expected by gold bugs.
One other way to deal with this issue is to stop the bailouts and let the dominoes fall. Defaults and cross-defaults will cause many, many depository institutions (even very large ones) to collapse leading to extreme decrease in money supply as bank deposits are destroyed. Deposits of failed banks cannot be used to pay bills, make purchases and/or service debts.
Which will probably lead to even more defaults as unemployment increases and debtor's are unable to service their debts. This process will probably cause extreme deflation as businesses lower prices in a bid to survive. This will also lead to wage cuts, increased unemployment and a deflation spiral and much chaos. But probably less chaos than a currency collapse.
Is there a better way?
Here is my idea:
1) We essentially need an orderly bankruptcy and liquidation of the United States' financial system.
2) I suggest we create a government owned bank and transfer all deposits of the private commercial banking system to the new government owned bank. This "transfer" is really just new money creation. This new money will be digital cash (electronic version of physical paper cash). Very much like reserves at the FED.
3) Note that the plan will not create net new money since we will be destroying all deposits of the commercial banking system in the process.
4) All assets of the commercial banking system will be transferred to the government and auctioned off in an orderly manner over the next 10 years. The proceeds from the sale would go the United States treasury and not the commercial banks. The assumption here is that commercial banks deserve nothing since the entire industry would have been most likely destroyed any way. Even good banks would have been destroyed due to bank runs and defaults if the government had allowed the dominoes to fall. Of course bank shareholders, bank bond holders and counter parties of bank derivatives would not receive anything.
5) After the transfer FDIC protection will be removed for any private bank which wishes to remain in business or any new private depository institution or bank. From that point on the government should make it absolutely clear that there will be no more bailouts and no more conversions. This will discourage (but not completely eliminate) fractional reserve deposit banking and private money creation that results from pyramiding of government created money. This will also limit debasement of the currency that results from fractional reserve deposit banking. In fact, we can have "free banking" from that point on and not even have reserve requirements or capital requirements. All depositors who use private banks will be fully at-risk. The industry will have to set the interest rate high enough to attract depositors.
6) The new government bank will act as an electronic "piggy bank" only. All deposits will be 100% reserve and it will not make any loans. Loan making will be left to the private banking system (with no deposit insurance or a possibility of a future bailout). The new government owned bank exists only as a "safe" money storage and a payment clearing system so the public does not have to carry around physical paper cash to make purchases and pay bills.
7) Of course this plan is not without pain or cost. Cost of funds for banks and borrowers will probably rise as bank deposits are a source of very low cost money for the banks. Nothing is free. We are just exchanging higher cost of funds for removal of systemic failure risk. Economically we are recognizing that when money is loaned there is always credit risk.
8) We are just separating the payment and clearing transaction system which is absolutely necessary for day-to-day commerce (no credit risk) from the loan banking and investment system (has credit risk).
Mansoor H. Khan
aquinums-razor.blogspo.../
If your bank fails and you have more than 250K in assets in that bank (formerly 100K) people have lost money. Gold is money in the sense that you can take it anywhere in the world and it is recognized as a store of value convertible into paper currency as needed. Paper money comes and goes.
If the US Dollar is a share of stock and the USA is a company, do you think that stock is going to rise or fall in the next few years?
also as a historical footnote, silver has been used for money a lot longer than gold, down threw history, gold was the money of kings and nobles, who paid there armies and goverement servants with, but silver has always been the money of the common man to use. do you remember what judas was paid with when he betrayed jesus, thats right 30 peices of silver, and up until 1965 silver was also apart of our money as ordered by our constituiton, but those rascals, and thieves in washington, those bought and paid political whores who sold us out to the bankers in 1965, took the last remaing true u.s. dollar( a.k.a. silver coinagae ) and replaced it with nickel and copper, that shiny silvery stuff you see on todays coins. after 1965 is only nickel coating over copper, which gives the appearance of silver but is not. much like fools gold, looks like gold but is not. yet at that time the goverement still had several billions of ounces in silver in reserve. so there was no need to get rid of silver coinage, unless there was an ulterior motive, that was to inable the goverement to print phony money at a cheaper cost to the federal reserve, which by the way is only federal in name only. and then turn around and charge the goverement (a.k.a tax payers ) full value plus interest on what ever was stamped on the coin, just the same as printed paper money. also remember what voltaire said a long time ago, all paper moneys always resort back to there intrinsic value at some point. ( a.k.a. 0 ) which is why our constituition which exsist in name only, since our goverement and leaders refuse to obey it when it doesnt jive with there intertest, clearly states and mandates that the u.s. dollar is to be a fixed rate of silver, or gold, and that paper curriency was outlawed, since paper currency was nothing more then a mere promise to pay and nothing more.just look up the definition of a note, then compare it to not only the u.s. constituition but also the first coinage act after the constituiton was ratified, and as we all know you can only change the constitution by amendment, not some act created by congress as the supreme court as also so stated.and you all wonder why our country is in such an economic mess, and you think gold and silver our outdated. sounds like me, all of you who denounce gold and silver, and support our phony, un-constitutional, fiat paper and coin, are doing such just to keep the scam going at the expense of our country and people, and you call yourselves american patriots, what hypocrits you truly are, what traitors you are before the american people and our fore fathers, when you demand outlawed paper currency, instead of the real thing that would protect you from such evil devices that these evil politicians and banksters ( a.k.a. fraudsters ) come up with to defraud you from your real weath. if gold isnt money, then why are all the central banks now hoarding it and buying even more, instead of unloading it to keep the prices down as they have in the past. even some central banks around the world are now demanding that there gold holdings, which are stored in london and new yorks central banks be returned to them, such as gemany for example. maybe they know something about gold that you dont as well as silver. such as, do you know that according to all trade agreements,( from the world trade orginazation ) final payments are to be made in gold bullion from exporting and importing countries. bet you didnt know that one, so the next time someone says that gold isnt money. clearly doesnt have a clue what real money is, and how he has been robbed from it. and how its been replaced with phony, fiat, monoply money. which you the taxpayer not only pays for the use of it in full value printed on it, but the interest that it loaned out to you by the vehicle called the u.s. treasury. but as stated i find silver not gold to be a better investment vehicle then gold, even though gold is pretty good as well.
clearly youve shown your lack of constructive argument, since you couldnt come up with any facts to support your side of the debate. except to deride someone rather then debateing the merits of there argument.
and as far as me belonging to the jason hummel fan club, no im not, in fact some of the things he writes about i dis-agree with. and have told him so. even though some of the things he says are quite right on, others are very interesting.
so now also you try to but me in the same catergory as jason hummel, again with out debateing any of his merits in what he proposes. i can only conclude that like most half witted liberals like we have in congress. you like them, when you cannot argue the facts you resort to derideing the messenger instead of the message, with actual proven facts to support your stance. if any thing you have only shown how little knowledge you posses about the nature of real money as oppssed to fiat money and the long term conseguences it has on the populace, has history has repeadedly shown down threw the centuries. and what is truly going on now with our phony monetary and economic system that we let these fraudsters in washington and banksters force on us.
On Sep 07 09:02 AM markfl wrote:
> This last Friday marked what may have been the start of the banking
> avalanche with the closure of 5 in advance of the holiday weekend,
> a faster pace than the usual 3-4 per "Failure Friday." This makes
> me wonder if FDIC waited for a long weekend with Monday's market
> closure to bury the happening. It's not clear if this was an anomaly,
> or if it may mark the start of a increase in the pace to 20 banks
> a month.
>
> We already know that many forecasters have predicted at least 300
> bank failures, so if this "Friday Five" trend continues we'd be on
> pace close as many between now and the end of the year as have been
> closed so far. If 300 is correct that pace would be right, with perhaps
> another 100-200 next year.
> scales appear in Safeway to accommodate those who wish to pay for
> groceries with gold I will believe that gold is money, until then
> I see it as a trading vehicle.
Barring a Mad Max scenario I don't think anyone is expecting to be using gold coins any time soon but I have to remind you that, under the gold standard, paper (backed by gold) proved quite as convenient as a FRN to buy your cornflakes...
Diversify... Diversify... Diversify...
Put that in yer pipe & smoke it.
have you forgotten what else was said in that matter, god said that unjust measures and weights are an abomination to him.
the scripture you refrenced out of historical context, dealt with the israelites in there day, which was nothing more then a refrence to the type of money that was used in that day, today's gold and silver is no longer used as money, in the day to day transactions of people, but instead paper money, which has no intrinsic value of its own, only the fact that it is based sguarely on the good faith and credit of the united states, (a.k.a. foreign countries willingness to purchase our bonds( a.k.a. goverement i.o.u's) to fiance our dept, which is all that a federal reserve note is.(a.k.a. a promise to pay and nothing more,) not backed by anything.
when you apply that scripture to todays meaning of money, what god was actually implying is that some day our phony money will fail and no one will be able stand who depends on the use of it, but gold and silver will always be considered real money simply cause it has value and is something physical you can hold on too as well as barter with. and which these evil goverements cannot just create out of thin air. like they can with paper money, or manipulate there content, unless they change the definition of an ounce. but even then they will still be locked in with that definition as to what constitutes an ounce.
sorry leah but you miss-applied a peice of scriptue to the use of gold vs. the federal reserve notes that we use in place of real money which has always been gold and silver down threw the ages. and by its verry nature restricts goverements from borrowing more then what they are capalable of paying for or by backing with paper currency, which is why, the truth is, our goverement eventually droped gold and silver mainly because it restricted its activites to what they could actually pay for. when released from that restriction, they were now free to print and borrow all the phony money they wanted, while at the same time throwing all the cost of that borrowing squarely on the back of tax-payers who legally (a.k.a. constituitionally that is ) are not bound to pay for the goverements borrowing schemes (a.k.a socialism ) which the constituition does not authorize them to do so. which is approximately 1/2 the federal dept , let alone the fact that our national dept can never be repaid, thereby makeing our money and our dept an abomination to god.
remember what was jesus sold for when betrayed by judas! 30 pieces of silver. or 30 shiekals of silver. i suggest you do a more dillengent research in to what conctitutes real money in gods eyes v.s. man, as well as realize that scripture you are trying to refrence only means what it says, that there form of money would not save them when callamity strikes, because at that time gold and silver would not be able to buy off that callamity that was comeing, not because of gold or silver has no value, but because of sin (a.k.a. rebellion from gods laws which advocated just measures and weights, gold and silver being a measurement of trade and spending in day to day activities.
which these phoney money changers (a.k.a. bankers in there time )
were doing to everybody.
that is they were defrauding every one by illegaly changeing the measurement of weight to defraud every one every one as to what they sold and bought as well as the price paid for.
sorry leah but you are dead wrong. because the same thing is happening today, except this time the fraud being perpuated on us , is in the form of federal reserve notes that we use as a suppstitute for real money, which todays money changers (a.k.a bankers ) have sadlled us with while at the same time they have defraud us out of our real money, which is in fact gold and silver as mandated by our constitution. as well as over 5000 years of recorded history.
These metals may be beneficial for a time, but they too will become worthless.
I'm just sorry to hear that you think gold and silver will save you.
which reminds me of another scripture in which the lord stated that there money bags would be full of holes. which is aptly applied today when you consider the phony taxes we are forced to pay as well as inflation which everyone agrees is nothing more then another tax designed to rob you of your weath and future saveings, which this peice of scripture fits so well.
in other words they get us to use there phony money chargeing face falue as well interest on that printed money, ( a.k.a. federal reserve note which is nothing more then a dept instrument, which not only creates dept, but transfers that dept to the public dept also known as the national dept. which we can never repay) while they take that same money and buy up all the gold.
now if gold is not money anymore, then why are the banks not only buying it up in ever greater quantities and storeing it for who knows what reason, but are no longer dumping it into the open market to drive down prices as they have had done in the past.
could it be that when the day comes they will cause the crash of all currencies that have the dollar as its reserve currency, so that they can bring about a one world currency backed by gold, which they have control over.
( as baron rothchild is quoted as saying....give me control over a nations gold and i care not what laws they make ) and another quote unknown, he who owns the gold makes the rules.
but as stated earlier, unless you are talking about the return and setting up of christ's kingdom here on earth, then your premise is wrong. also if you look real closely especially in the old testament, even food was considered a form of payment that god expressly mandated to the israelites, it was called first fruits that were given to the temple priest, to support them and the temple, in a sense, a form of money, even though we know that god doesnt need it, but for care of the temple and the priest he mandated it and gave the amount of value on it, which was ten percent of each years produce or actuall money such as silver and gold if you were not a farmer, but were ingaged in non farming activities.
and as far as me relying on gold or silver to save me. you are dead wrong, i completly rely on gods word,as it was written in the hebrew and greek and what those words expressed in that language actually meant and what those anchients words actually meant and expressed. not todays english version's which have changed gods word and what he actually meant by it.
and unless you individually understand greek as well as hebrew, in the written form, then i can quarentie that you will be miss-led by todays translations and todays bibles, which are all copywrited, and according to the law that govern's copy-write law especially written works ( a.k.a. copy-write derrivitive law-that governs all literary works includeing the bible, it states that in order for one work (a.k.a.bible) to have copywrite protection ( a.k.a. the right to make money off it and no one else) that work must have substantial differences or changes as compared to another like or said work )
( this i compare to todays dirty little secret amongst the apostate churches of today as forwarned by christ threw jhon in the book of "REV.)
in other words one bible version must have substantial differences or changes as compared to another in order to be protected. by that it means changes in word usage, punctuation, gramar, and length of sentences. thereby changeing the intent and expression of the word being used in that particular chapter, or verse.
there by leading one to a different conclusion then what was originally written down. which is why we have so many different doctrins and denominations out there all preaching that what there saying is biblical and true, and only there particular denomination, depending on what version of the bible they are useing. is the true one, as if god himself handed that particular version right from heaven and gods hand himself.
never mind the fact that the lord for-warned us about such men and false teachers and the fact that they would indeed change his word, which is why he gave the warning not to do so, so that when judgement day come they will be without excuse for doing so. so before you go quoteing scripture, i would advise that you look up the orginal words in there greek and hebrew form and then see what those definitions of the words being used as to what they actually mean. not what some preacher, or minister, or priest says or what you to think they mean in todays language.
I WOULD ALSO RECOMD YOU LEARN ABOUT HEBREW AND GREEK EUPHANISM'S WHICH ARE LACED THREW OUT THE OLD AND NEW TESTAMENT. that is if you understand what a euphanism is and what it actually is saying as compared to a literal interpatation, which is a false doctrine that has swept the churches as to what not only what god actually says but more importantly what he means.
but until christ comes, we must use all the wisdom that we can muster and learn from the lord to carry us threw until he comes. and no! i dont believe in some mystical, supernatural, rapture of the christians as taught by these apostate churches to lure christians into apathy, and a false sense of security. and the excuses drawn from it for there lazyiness to not get involved. or to do the back brakeing, time consuming, money consumeing research as to what the bible actually says and means in its orginal languages, as well as studying real history, and real science, not what is purported to be real history or science, as well as linguistics a.k.a. the study of languages. as well as cultural history down threw the centurys.
this is the commandment that ( ST. Paul ) gave to ( ST.Timonthy ) to study and show thy self approved of both god and men.
now since ST. Timonthy didnt have a new testament to study or a bible, how was ST. Timonthy supposed to carry out the order, since all he probably had was the old testmanent, and other books that were never put into our bibles, let alone history itself.
he continully studied and researched and studied some more.
and to the contrary, faith with out knowledge is no faith at all. for you dont even know what you profess to belive in. and to know, means to get or aguire, or to learn.
so all i see in you is just another church mouse running around speaking on things you dont understand, and pulling scriptures out of there historical context to try and justify what you are pushing, not really knowing what the typical scritpure you are useing as to what it really meant. or how it is to be applied or where. it sounds as if all you are really doing is just parotting what your apostate preachers are preaching just because they said so. never bothering to find out for yourself if that is what actually is being said, no! you are just relying on what others says it says, and not doing as paul commanded, which for most christians is too time consuming and just might prove them wrong in what theve been taught, even though you all claim to be studying the word, all your really studying is doctrine's made by men, with bad translations and taken scripture not only out of its historical context but also miss-applying it to support these man made doctrines.
which is why i quess ST. Paul told the churches to have there woman keep there mouths shut when it comes to quoteing and preaching the word, but to learn from there husbands at home. of course in todays world and churches. either ST. Paul would be called a sexist. or he would be thrown out for being too rigid with the word.
of course Jesus stated broad is the way to destruction and narrow ( a.k.a. rigid) is the gate ( a.k.a. entrence way ) that leads to eternal life, and few be there that find it. so go back to your apostate church miss church mouse.
CA 2500 BC: Silver first introduced into Egypt and was considered more valuable than gold.
475 BC: China was the first country to monetize silver.
775 AD: “British Pounds Sterling”: in approximately 775 AD the Saxon kingdoms issued silver coins known as “sterlings”, 240 of them being minted out of one pound of silver. Large payments were reckoned in “pounds of sterling” later shortened to “pounds sterling.”
1072: After the Norman Conquest, the pound was divided for simplicity of accounting into 20 shillings and 240 pence or pennies.
1497: Spanish “Pieces of Eight” were coins first struck in 1497 containing a high silver purity and weight. They were the basis of the monetary system of the Spanish Empire and were widely circulated around the world. They were accepted as legal tender in the US until 1857.
1600’s - 1900’s: The Mexican Peso evolved into one of the world’s strongest and most widely accepted currencies due to its silver content.
1800s: By the mid 1800s, China through trade and mercantilism, was in possession of 50% of the world’s above ground silver. The British sold opium to China in exchange for tea, silk and silver – a factor in the Opium Wars between Great Britain and China during the mid -1800s.
1930s: Silver was used as China’s official currency until the 1930s.
My insert here: that’s not counting our constitutional mandate in 1787, when our constitution was ratified and made it mandatory that the u.s dollar would be so many grams of silver or gold,
And since we all know that it takes a constitutional amendment to alter the constitution, where is that amendment that allowed our goverement to take our dollar off the gold and silver standard as mandated by the constitution. Even the U.S. Supreme Court has also so stated, that no act of congress can alter the constitution, only a constitutional amendment can do that, and even that amendment can not be in opposition to the rest of the constitution.
Which also shows that the creation of the federal reserve act to be un-constitutional, since the constitution clearly mandates that only congress can set the value of our money in gold or silver. and paper currency, a.k.a. fed notes, which is a species of currency to be illegal. ( since basically oh they really are , are a dept instrument, that creates dept and then transfer’s that dept to the public dept also called the national dept. which is nothing more then a mere promise to pay, just like the so called goverement backed bonds that we sell to the rest of the world to fiancé our dept and dept money. And that congress does not have the constitutional authority to transfer that power to anyone else. ( a.k.a. monetary policy ) as our fed chairman’s over the decade as well as our traitorous congress reminds us from time to time, that it is the fed’s responsibility to set monetary policy, by issuance of credit ( a.k.a. fed reserve notes ) whether by increase of the monetary base ( a.k.a. dollars ) ( a.k.a inflation ) or by decrease ( a.k.a deflation )
So if you really think things are going to get better when our goverement no longer obeys the supreme law of the land. And oath they sworn to uphold and defend. Then our country will end up like all other anchient empires have had happened to them. Its in-evadible. For lawlessness by a goverement ultimately leads to its own destruction. Since eventually the general masses will loose faith and trust in that form of goverement, and will seek to replace it, whether by peacefull means or by force. As goverement lawlessness increases so does the dis-content of the masses. until eventually a conflict between the two rips the nation apart by civil war as in 1863, or by revolution as in 1776.
Remember our revolution and civil war was brought about by dis-content. And eventually rose to the levels of being no longer bearable by the masses.
Remember what Jefferson warned us about these banker, that if we let these fraudsters gain control over our nations credit, first by inflation, then by deflation, then one day our children will wake up as slaves to these bankers ( jackals, also called money changers in the bible ) in the very country that there for fathers had conquered.
also voltaire stated: that all paper money's always revert back too there intrinsic value. ( which is 0 ) especially when not backed by either gold or silver. or anything else except the mere promises of a law breaking, corrupt goverement.
In conclusion by gold and silver and plenty of lead, ( a.k.a ammo ) you may need it, as always and old wise saying, hope for the best, but prepare for the worst.
you cannot defeat an enemy, until you first clearly identify who that enemy actually is. and useing such clichaies as, the bankers, or democrats, or republicans, or liberals, and there agenda, or zionist, or secret groups like the masons, or bildabergers, or trilateralist, skull and bones and such like groups, is just a smoke screen to hide the true enemy, so that the true enemy is never accused or confronted or brought to the light of day to expose there evil attentions and designs, there by allowing them to continue there behind the scenes agenda.
unless you can clearly identify such people by name, you will never be able to expose the real hidden threat. who are they you must ask, well for me to tell you now, you either wouldnt belive it, because is would seem to wild and racist, or completely unimaginable. or consider me a very very far out right wing extremeist nut. of course jesus christ himself would be also denounced as such as me, and he also warned everyone about who these false you know what are.
such as his statement to them, you are "OF" (a.k.a. meaning came from, come from, descended from, hence genology ) your father the devil and his will you "WILL" DO!. AND notice how he emphasised there fathers will, not Gods will.
also as he stated to the Apostles them selves, The Mysteries of God have been given to you, but not to them, who are the them he is refering to, it has to be the very ones he also denounced as false in there claim. in the book of Rev. chapter 3, where he also denounced there false claim as to who they claim to be, but goes right along and tells who they truly are, in fact in 2 places as if going out of his way to inform us as to who are true enemy is.
of course that’s only if you believe in christ and what he actually says, and the fact that for the last 2000 years they have not only rejected him, but have conspired against anyone who follows him. as well as undermining every thing he ever said, or done, or claimed, even nations themselves who claimed to follow christ.
and as he stated on NO uncertain terms, you are either for him, or against him and the one who sent him. leaving no shade of gray or middle ground to compremise on. you either truly believe in him, which means also obeying him as well, or you don’t.
and these people down threw the centuries have never produced anything of value, nor have they ever toiled and sweat, but like parasites, that they are. they live off the host ( a.k.a.country ) until the host either eventually rejects them out of the body, or it kills the body. and the parasite moves on to the next host ( a.k.a country )
they have always down threw time, and history records them, they have always gravitated towards goverement and financial power, and communications, and entertainment, and pawn shops, living off the fianancial misery and mis-fortune that they caused by there loans with high usury, there banking and phony paper money and there false ideologies that they instill in the body politic.
which is why every europian country includeing england have kicked them out of there countries more then once, just to have them sneak there way back in threw bribery and fraud.
Washington, Jefferson, Benjamin Franklin all spoke out against them, and tried to get a Constitutional Amendmemt banning them entry into this country.
of course it failed, but they did manage to keep there numbers of immigration to this country extremely low, until Wilson and mainly Roosevelt came to power, and turned the Imigration laws on there head, reducing the numbers of Europians, while enlarging the import of other races as well as themselves .and know they actually control, the banks, wall street, our Goverement, they own or control most media, and entertainment outlets, and news media. both print and cable and regular T.V. news outlets.
and you wonder why these morons in Washington, and wall street, and news cast never saw what was coming as they themselves as so stated and reported, that they didn’t see this storm coming. they didn’t see this financial implossian. and how our Goverement bailed them out with tax payer money, even though the majority of Americans were stead fast against it. so much for Washington obeying there true masters which is supposed to be the American people.
yep we have a truly servant Goverement, that serves these people instead of the ones who they are supposed to be serving, that is the people who voted them in.
and yet after clearly showing the American people who this so called servant Goverement really serves. the American people refuse as always to believe what Christ, the apostles, and history and writers down threw history have clearly shown who and what these people truely are.
and you really think things are going to get better, for whom will it get better. you whome the Goverement and bankers and wall street who have been for decades ripping the public off, or themselves as they line there pockets with more of our real money, which is gold and silver, and profits and power.
When is the last time, you seen one farming, or building a bridge, or a road, or a house, or mining for metals, and other physical pursuits that true wealth comes from.
no they either are, lawyers, politicians, judges, media owners, pawn shop operators, porn industry, professors in our universities, even engaged with the Mafia. all these activities that they engage in are parasitic in nature, in that they create nothing for the public good or public wealth, but instead are parasitical in that they bleed off the real life blood of the nation and the people. with these useless and inherently corrupt activities. notice over the decades all the scams, and corruption cases that come from these area's, and when researched intensely you find these same people who’s names are clearly shown as the real one who behind the scene are causing the corruption in the first place. power corrupts, and absolute power corrupts absolutly, and what is power today, " MONEY", and what is real money, gold and silver, and who owns or controls 75% to 90% of the gold, the very same people who own or control most of the world banks, who tell the Goverements themselves what there economic policies will be. ( a.k.a monetary policy which the federal reserve act gave them control over )
if you don’t believe it, then just look at former secretary Paulson, who basically held a gun to our goverements head to get this so called tarp program going, even though the majority of the American public shouted against it. and Paulson the dump down idiot that he was, believed these bankers lies, that if they didn’t get this great American rip-off, then the banks and the phony money that they have enforced on us would collapse. and this has now come out about what was really said in those secret meetings that we were not allowed to hear about until it was over.
and yet that phony president OBAMAH that we have, has the nerve to state on T.V. . that the American people were asked to bail these fraudsters out of the mess they created. no they didn’t, when asked we said "NO" but they didn’t care. there real masters were in trouble and to them they answered too, not us.
and when we have another collapse in the next 5 to 10 years, remember who told you and why, for the next crash might just be the big one, where you will really get screwed, by wind up finding yourselves as true slaves to the bankster’s( a.k.a. fraudsters with the blessing's of our so called servant goverement.) ( just as Thomas Jefferson had predicted ) if we ever let these people get control of our money and national credit. We will wind up slaves to these very same bankers who control our money. Ist by inflation then by deflation, then again by re-inflation. And the power to create and regulate the value of our money which is really gold and silver Which under the constitution that power only belongs to the congress and no one else, and nor can it be transferred to anyone else, such as a private bank, which the federal reserve is, as stated by the U.S. Supreme Court themselves. There by violateing not only there sworn oath to uphold (a.k.a. obey ) but also defend from all enemies whether foreign or domestic of said Constituiton. Which they clearly dis-obeyed and violated when they gave these vultures power over our money.
Clearly showing there treasonous actions, not just against said Constituition, but against the people themselves.
For these bankers (a.k.a money changers ) have no loyalty to anyone including the nation there in, the only loyalty they have is to them selves and profit. As history and economic history of nations as clearly shown down threw the centuries and ages.
Behind every economic collapse of every country in history, “they” as history has shown were behind it, first by infiltration by pleading as victims of dis-crimination, then by subverting the laws and culture of said host nation by infiltrating all levels of goverement, the courts, and the media of there time and educational and cultural institutions, until said nation revolts and expels these parasites as a body expels a virus.
Of the 900 plus quotes I have from them and non- especially from famous Christian men in the past. Listen to what a well known author of there kind has to say about these parasites, that he calls his own people.
Then, concerning the persecution theme and host-alien relationship, the jewish writer Roth wrote: "Have not Jews been admitted from time immemorial, freely, kindly, almost happily by every nation at whose gate they have knocked for admittance...Have the Jews ever had to petition a country for admission - the first time? Read for yourself the story of the progress of Jewry through Europe and America. Wherever they come they are welcomed, permitted to settle down, and join in the general business of the community. But one by one the industries of the country close to them because of unfair practices (by the Jews towards Christians) until it no longer being possible to hold in check the wrath of a betrayed people, there is violence and, inevitably, an ignominious ejection of the whole race from the land. There is not a single instance when the Jews have not fully deserved the bitter fruit of the fury of their persecutors...Jewish history has been tragic to the Jews and no less tragic to the neighboring nations who have suffered them. Our major vice of old, as of today, is parasitism. We are a people of vultures living on the labor (of the host nation) and the good nature of the rest of the world...We come to the nations pretending to escape persecution, we the most deadly persecutors in all the wretched annals of man." (Jews Must Live, Samuel Roth)
"Thanks to the terrible power of our International Banks, we have forced the Christians into wars without number. Wars have a special value for Jews, since Christians massacre each other and make more room for us Jews. Wars are the Jews' Harvest: The Jew banks grow fat on Christian wars. Over 100-million Christians have been swept off the face of the earth by wars, and the end is not yet." (Rabbi Reichorn, speaking at the funeral of Grand Rabbi Simeon Ben-Iudah, 1869, Henry Ford also noted that: 'It was a Jew who said, 'Wars are the Jews' harvest'; but no harvest is so rich as civil wars.' The International Jew: The World's Foremost Problem, Vol. III, p. 180).
166
"Wars are the Jews harvest, for with them we wipe out the Christians and get control of their gold. We have already killed 100-million of them, and the end is not yet." (Chief Rabbi in France, in 1859, Rabbi Reichorn). ( who ! now owns the majority of gold in the world today, central banks owned and controlled by jews, just look up there names.
175
"As Christians learn how self-styled Jews have spent millions of dollars to manufacture the 'Jewish myth' for Christian consumption and that they have done this for economic and political advantage, you will see a tremendous explosion against the Jews. Right thinking Jewish leaders are worried about this, since they see it coming." (Facts are Facts by Benjamin Freedman, born a jew, died a christian )
674
"They {the Jews} work more effectively against us, than the enemy's armies. They are a hundred times more dangerous to our liberties and the great cause we are engaged in...It is much to be lamented that each state, long ago, has not hunted them down as pests to society and the greatest enemies we have to the happiness of America." (George Washington, in Maxims of George Washington by A.A. Appleton & Co.)
170
This prophecy, by Benjamin Franklin, was made in a "CHIT CHAT AROUND THE TABLE DURING INTERMISSION," at the Philadelphia Constitutional Convention of 1787. This statement was recorded in the dairy of Charles Cotesworth Pinckney, a delegate from South Carolina: "I fully agree with General Washington, that we must protect this young nation from an insidious influence and impenetration. The menace, gentlemen, is the Jews. "In whatever country Jews have settled in any great numbers, they have lowered its moral tone; depreciated its commercial integrity; have segregated themselves and have not been assimilated; have sneered at and tried to undermine the Christian Religion upon which that nation is founded by objecting to its restrictions; have built up a state within a state; and when opposed have tried to strangle that country to death financially, as in the case of Spain and Portugal.
For over 1700 years the Jews have been bewailing their sad fate in that they have been exiled from their homeland, they call Palestine. But, Gentlemen, should the world today give it to them in fee simple, they would at once find some cogent reason for not returning. Why? Because they are Vampires, and Vampires do not live on Vampires. They cannot live only among themselves. They must subsist on Christians and other people not of their race.
If you do not exclude them from these United States, in this Constitution in less than 200 years they will have swarmed in such great numbers that they will dominate and devour the land, and change our form of government [which they have done -- they have changed it from a Republic to a Democracy], for which we Americans have shed our blood, given our lives, our substance and jeopardized our liberty.
If you do not exclude them, in less than 200 years our descendants will be working in the fields to furnish them sustenance, while they will be in the counting houses rubbing their hands. I warn you, Gentlemen, if you do not exclude the Jews for all time, your children will curse you in your graves. Jews, Gentlemen, are Asiatics; let them be born where they will, or how many generations they are away from Asia, they will never be otherwise. Their ideas do not conform to an American's, and will not even though they live among us ten generations. A Leopard cannot change its spots.
Jews are asiatics, they are a menace to this country if permitted entrance and should be excluded by this Constitution." (by Benjamin Franklin, who was one of the six founding fathers designated to draw up The Declaration of Independence. He spoke before the Constitutional Congress in May 1787, and asked that Jews be barred from immigrating to America. The above are his exact words as quoted from the diary of General Charles Pickney of Charleston, S.C.).
(2)
You have way too much time on your hands, write too much and say very little.
For those of you who think gold has no real value, why did FDR confiscate it, world banks make policy over it and China, Japan, Germany, Arabs, et all are currently converting DOLLARS to obtain it? Ft Knox does not exist because gold has no value. The "elite" manipulate only what they deem has value to them and Gold and Silver are being MANIPULATED. They are also manipulating the price of OIL. If the price of OIL goes under $60., the Arabs will drive up the price of gold causing the elite to go crazy! The last time OIL was under $60. (July 13, 2009 $59.76) that same day GOLD shot up from $925. to $940.
3,000 word essays???
$3,000. GOLD ????? 3000 DOW?????
Remember 1980........ $850. gold, 850 DOW! Does HISTORY repeat in 2010?