benevolent dictator

Gold Is Not in a Bull Market

We see what Nadler is doing with his right hand but what is he doing with his left hand?
I think Kitco is a bullion bank and Nadler works for Kitco. Kitco is lent gold by the government that has to be returned. Kitco wants to sell the majority of that gold for a high price then have the price drop lower and buy it back while it is dropping (this is well portrayed in the movie "Trading Places"). Kitco keeps the difference as profit. The government does not want the price to go too high as it creates a hoarding event and slows the velocity of money thereby reducing tax revenues. The government also wants the gold back. Now the government(s) want the price to come down and this will force money back into taxable events and boost the fiat currencies.
The government seems to play this way to punish us who lack faith or are greedy otherwise why would they lend it out in the first place.
Nadler may be correct with his portrayal of the gold dynamics and therefore does not come across as misleading but I still want to know what the left hand is doing.
I am probably just a bit paranoid.

The Arithmetic of Gold: Why Its Price Has No Ceiling

Hi Goldman,
The number of 4.8 million tons of gold held by the world central banks may be wrong by a factor of 100. According to the CIA the world banks posses about 55,000 tonnes (1 tonne=2200 pounds)with the US having about 8,200 tonnes. These numbers are also shown on Wikipedia. A miss calculation of that magnitude by a pilot flying by IFR accross a mountain range at night would be really bad.

Krugman Is Right: The Economist Is Off

I see that the economic forcasting equation has many variables and some are weighted more than others. For the last 30 years 2 variables have been growing in significance that the other variables became moot. The 2 varables I speak of as most significant are the credit account deficit and the total US debt to GDP ratio. Knowing this simplifies the forecasting of our economy and thoes that study the fundamentals can react to the numbers as easily as a pilot of an aircraft can fly by instruments. Failing to rely on the numbers and it is easy to understand how and why JFK Jr crashed his plane.

Fundamental S&P 500 Forward Price Projections

In 2002 the basis of earnings reports was changed to "operating earnings" rather than "total company earnings" so that the P/E ratio will be about twice of what it really is-thats unhealthy. Operating earnings omit several items, the main one being interest payments for debt service. From 2002 to 2008 debt of all publicly traded companies almost trippled. This according to the SEC.

Now there are two entities making claim to the same assets; share holders and bond holders and/or lenders. The latter has first claim and that makes share holders owning nothing as an aggregate. How can we trust these accounting methods when the prime directive of most corps is for the CEO's, who appear to be in collusion with BoD members (other corp CEO's), is to max their annual bonuses? Enron on a massive scale. CEO's collateralizing the corps assets (now liabilities) and showing this as profit. But not before the liabilities are set into a shell corp and stuctured as a lease. May be I am wrong-lets make sure.

Bernanke Seems Clueless About the Real State of the Economy

Bernanke was placed into the position of chairperson of the federal reserve because he was willing to do what he is doing. "Seems" Is all it is.
But if fatalism was your prognosis are you to be made aware or should you be told all is right to maintain normalcy as long as possible. The factual numbers say it all yet no person has difinitvley defined the problem: total US debt-to-income ratio way too high, a current account deficit that has built for 30 years, an ever increasing M3-potential consequence builds to disaster as the world will abandon the dollar as the reserve currency and finally the credit default swaps that will need trillions of $ each time there is a $100 billion default of almost any bond that fails.

A solution is only possible when it is clearly and accurately defined to all that are involved.

U.S. Government Debt/Deficit: A Disaster in the Making?

Mr. Templeton,
Could you please sight your sources for the above graphs? According to David Walker, former head of the General Accountability Office (GAO), the future obligations of medicare are 3 times higher for 2020 and current federal debt is at least 90% of GDP ( the Feds contribution is becoming a greater percentage of that GDP thereby nonproductive or socialized GDP) than you have shown.

10 Banks 'Guaranteed' to Survive and Prosper

debt to income ratio-highest I've seen going back 110 years for the nation as a whole. The banks can not lend more until the debt is reduced or incomes are increased. If incomes are increased by the governments efforts of increasing liquidity then thoes debts are paid with cheaper dollars thereby upsetting the banks profits and balance sheets. If debt is reduced without adding liquidity then opportunity costs the banks by the drop of GDP-less business activity. Where is the fundamental reasoning that bank stocks will have good value now or in the 5-year future?

CIBC Chief Economist: TSX Will Hit 11,000 by Year's End

If the proclamation is not delivered with quantifiable ratios with mutiple corroborating reliable resources then we should classify as gossip(-where is the accountability?)