World economy

Confronted with a Nightmare Scenario [Video]

~ admin ~ Leave a comment

RubinoGreg Hunter – Financial writer John Rubino says there is no easy way out for the financial and political mess the United States has created for itself.  Rubino starts with the economic problems and explains, “Now, inflation is starting to spread. . . .

Look at lumber.  If you are trying to build a house, it’s $35,000 more now than it was two years ago just because of lumber.  Iron ore, house prices, grains, food and you name it, we’ve got inflation going on.  At the same time, we have an apparent labor shortage.  All these companies are coming out and saying we would love to take on all the business we are being offered to us, but we don’t have enough people.

Even Uber and Lyft cannot find enough drivers.  It’s weird it is happening this soon, but we should not be surprised since we dumped tens of trillions of dollars into the economy over the past year.  This is what you would expect if you get the money supply going up 30% or 40%, which it did.  This is what you get.

Continue reading →

Gold & Silver Quarterly And Monthly Charts

~ admin ~ Leave a comment

Michael Noonan – This will be our final weekly commentary on the markets.  What we know for certain is that the globalists have a stranglehold on the markets, and more importantly, a stranglehold on all Western nations to the point where life has become a theater of the absurd, negative, and without an end in sight.

We have been leaning in this direction for some time.  Time off at the end of August, when access to a computer and news was limited to an hour a day, and we chose to use only a small portion of the allotted time, drove home the point, or more appropriately the pointlessness of what is going on all around the world.

Two anecdotal stories put our sense of senseless activities into a context.  1. The boiling frog, and 2. Rip Van Winkle.  The frog analogy compares how when put into a pot of boiling water the frog will immediately jump out to escape from the danger of being boiled alive.  When a frog is placed into a pot of tepid water, there is no sense of any danger.  The temperature of the water is then gradually increased and the frog adjusts to the change until the point where the frog eventually becomes boiled alive.  With Rip Van Winkle, when he awakens after a 20 year sleep, all of the changes that have taken place after his two decade absence are so glaringly obvious to him.

Continue reading →

Gold And Debt: Astonishing Comparisons

~ admin ~ Leave a comment

GaryChristensonDebt and budgets in the trillions of dollars and euros are difficult to comprehend.  The US budget is nearly $4 Trillion per year while the US official national debt exceeds $18 Trillion.  A single large bank may hold contracts for more than $50 Trillion in derivative contracts.  Global debt is approximately $200 Trillion.

Let’s relate those numbers to gold prices, gold mined each year, and gold mined throughout history.

  • According to McKinsey & Company total global debt as of December 2014 was about $200 Trillion. Although the exact amount of mined gold is unknown, assume that 172,000 metric tons of gold have been mined throughout history.  At 32,151 (troy) ounces per metric ton, that calculates to about 5.5 billion ounces of gold.  If that gold backed the debt at 100%, each ounce of gold would back $36,000 in debt.
  • According to McKinsey & Company, the global debt has increased by about $57 Trillion in the last seven years. In round numbers 3,000 metric tons of gold are mined each year.  The debt increase in the last seven years would equate to gold mined in those seven years at nearly $85,000 per ounce. Continue reading →