First, a bit of history, then I'll tell you how to profit from it.
December 6, 2011, in Osawatomie, Kansas, a speech was made. In it were the following statements: “My grandparents served during World War II. He was a soldier in Patton's army; she was a worker on a bomber assembly line. And together, they shared the optimism of a nation that triumphed over the Great Depression and over fascism. They believed in an America where hard work paid off, and responsibility was rewarded, and anyone could make it if they tried – no matter who you were, no matter where you came from, no matter how you started out."
“And these values gave rise to the largest middle class and the strongest economy that the world has ever known. It was here in America that the most productive workers, the most innovative companies turned out the best products on Earth. And you know what? Every American shared in that pride and in that success – from those in the executive suites to those in middle management to those on the factory floor."
“…there's been a raging debate over the best way to restore growth and prosperity, restore balance, restore fairness."
“I believe that this country succeeds when everyone gets a fair shot, when everyone does their fair share, when everyone plays by the same rules. These aren't Democratic values or Republican values. These aren't 1% values or 99% values."
“These aren't Democratic values or Republican values. These aren't 1% values or 99% values. They're American values. And we have to reclaim them. You see, this isn't the first time America has faced this choice.”
The general concept is right. . . This isn’t the first time we Americans have faced the choice of recognizing Socialism-in-your-face. We’ve faced this before, and the general consensus has always been to throw the bums out.
The following was also stated, “Theodore Roosevelt disagreed. He was the Republican son of a wealthy family. He praised what the titans of industry had done to create jobs and grow the economy. He believed then what we know is true today, that the free market is the greatest force for economic progress in human history. It's led to a prosperity and a standard of living unmatched by the rest of the world.
“But Roosevelt also knew that the free market has never been a free license to take whatever you can from whomever you can. He understood the free market only works when there are rules of the road that ensure competition is fair and open and honest. And so he busted up monopolies, forcing those companies to compete for consumers with better services and better prices. And today, they still must. He fought to make sure businesses couldn't profit by exploiting children or selling food or medicine that wasn't safe. And today, they still can't."
“And in 1910, Teddy Roosevelt came here to Osawatomie and he laid out his vision for what he called a New Nationalism. "Our country," he said, "means nothing unless it means the triumph of a real democracy … of an economic system under which each man shall be guaranteed the opportunity to show the best that there is in him." "
“Now, for this, Roosevelt was called a radical. He was called a socialist – even a communist.”
Roosevelt, by his own words WAS a “Progressive”, a “Socialist”. He liked what Marx had to say. That was why he founded the Bull Moose party, and became the defacto leader of the Progressive Movement in early twentieth century America.
That’s right. Roosevelt was a Socialist. And he lost that election in 1912.
How about we stop pretending that the current Administration are not Socialists? Why do we continue to pretend that they believe in rugged individualism?
The Administration acknowledges that rugged individualism built this country, but then pretends that it 'didn't really work'. Are you pretending that, too? That rugged individualism doesn't really work? Do you pretend that your parents and grandparents did not work hard to make the life you have now?
Why are we, the real rugged individuals, the day-traders and investors, pretending that the Socialists are not trying to steal our country, our rights, and our private property right out from under our noses?
Roosevelt's mission was the total subversion of the US Constitution to the tenants of Progressive Socialism, the robbing of American Citizens of their Unalienable Individual Rights (Life, Liberty and the Pursuit of Happiness), and the enslavement of every productive person to the needs of every unproductive person according to Marx's Theorem: From Each According to His Ability, To Each According to His Need. The current Administration is happy to help the Socialists complete the mission that Teddy began in 1911.
Clearly, for those with eyes to see, yesterday, Socialist Party we call Democrats were outted in the 100-Year Anniversary speech. That party is complicit in the robbery of all American’s individual rights. (Before you think I'm only bashing Democrats, better look at the Republican's statements to-date as well.)
Ok, so, you care very little about Socialists and Communists. That’s fine. You just want to know how to have this piece of information make you more profit.
History shows us, if you care to look, that when the socialists and communists are nigh to taking over, the economy goes to heck in a hand basket. (Are we there, yet, Mom?)
If you are one of the productive people, you are in the line of sight of the Administration. Clearly, since you are productive you must be a slave to those who are not productive. You must be your Brother's Keeper.
Therefore, you have to protect your wealth, and if you’re lucky, build more without having it stolen. Now is the time. The Socialists are speaking clearly that they want to take over. It’s Marx’s ideas, not rugged individualism, they say really work. This is your head’s up. Because generally, from here on out, it gets messy.
So, how do you profit from all this 'head's upping'?
Buy gold and silver, in bullion, bars, and mining stocks. Options are fine as well. I still like junior miners Paramount Gold & Silver Corp (NYSEMKT:PZG) and Great Panther Silver Limited (NYSEMKT:GPL). They’re cheap. They’re mining. They’re making money. But other senior miners are good buys, too. Barrick Gold (NYSE:ABX), Gold Fields (NYSE:GFI), Kinross Gold (NYSE:KGC), and Goldcorp (NYSE:GG). Penny stock miners are risky and because they are less than $1, I cannot mention them, but I like them!
By the way, the Administration stated yesterday that rugged individualism is in our DNA. That's right. It is. And sooner or later that rugged individualism will wake up and boot the Socialists out. But generally that’s a messy affair and when it happens you want to have your wealth protected.
Disclosure: I am long PZG, GPL.
Additional disclosure: Macro View, Gold & Precious Metals, Commodities, Politics & Economy