Unless you go through trial by fire, you just do not get it. Obama and Europe are headed toward pure disaster. Both are plain stupid and fail to recognize that government employees are NOT good for the economy, they COST the economy money for they are like hiring a maid at home who brings in […]

UK attacks family benefits in taxation is starting to really impact the economy. The full broad effect of this tax hike is contributing to the economic decline in Britain. Giving benefits and then taking them back only increases the cost of administering taxation. This fails to reduce the cost of government and only amounts to […]

As we move closer to elections in Europe we will be confronted by a much more serious political crisis than appears on the radar right now. Merkel’s idea of saving the Euro by imposition of austerity upon southern Europe makes no sense. Their past debts exploded in real value terms when the Euro rose from […]

The economists are still failing to grasp what is taking place. The job growth that has surprised everyone is all PRIVATE sector taking the rate from 7.9% to 7.7%. This does not impact government jobs that we will start to see be reduced. This is not a fantastic number, but it illustrates how the pessimism […]

Question: Can you clarify your statement: “German short-term rates went negative showing people were willing to pay Germany to hold their money. This is part of the whole shift in capital from PUBLIC to PRIVATE” The movement internally within Europe is is showing that capital starts to move from one currency to another as CONFIDENCE […]

Question: I understand that inflation is really the reduction in purchasing power of the $. Can you expand on your statement “Our computer is bullish long-term because gold will play catch up as all commodities tend to do. It will blast off like a rocket ONLY when everything is set.” Specifically, “when everything is SET”.  What does […]

Question: Yet, in the meantime, should inflation surface, say in the latter part of the decade, (before a total collapse), wouldn’t gold be the place to be?  Or perhaps I should phrase the question “will inflation precede a total collapse?” Inflation is typically defined as the rise in prices of goods and services. This is […]

We have to keep in mind that the world economy has not fully recovered. Trading volume on a global scale is about half of what it was in 2007. The Dow is ONLY making new highs in dollar yet. The low volume is actually bullish from the standpoint it is not OVERBOUGHT. We will see […]

During the Great Depression, there were countless suicides. People jumping out of buildings because they lost everything and could not face a future that was destitute. The photographs of such scenes will live forever. The same is taking place throughout Southern Europe today and it is a cry for fiscal responsibility upon government. In Italy, […]

The Gold backwardation has been distorted as all sorts of reasons for everything. Normally, this is the market condition wherein the price of a forward or futures contract is trading below the expected spot price at contract maturity. Consequently, the resulting futures or forward curve is “inverted” whereby it is negative because gold is trading […]