What began as government social tinkering–with implied threats to banks and mortgage companies to extend to even the most marginal of borrowers–led to a greed-blinded mortgage banking business and the meltdown we are experiencing today. Now we are asked by the same congressional leadership to go along with taxpayer-funded bailouts of the very banksters who, [...]
321Gold.com - The Federal Reserve has bluntly refused a request by a major US financial news service to disclose the recipients of more than $2 trillion of emergency loans from US [...]
BullionVault.com - FIFTY YEARS AGO – just as the fictional 007 was thwarting Auric Goldfinger’s plan to empty Fort Knox and take America’s gold to Soviet Moscow – the US Treasury feared a very genuine loss of its real gold reserves. Gold’s role as the ultimate asset of national power was about to peak. By [...]
EuroPac.net - In recent months, investors have been unjustly chastised for their lack of consistency. In truth, they have an unblemished record of drawing the wrong conclusions. Last week’s 2nd quarter GDP report provides the freshest evidence of market cluelessness.
In its report, the Commerce Department stunned economy watchers by showing a 3.3% annualized increase in [...]
Ron Paul - Many who agree with me on a lot of other issues, do not understand my enthusiasm for gold and sound money or why I spend so much time studying and talking about monetary policy. It’s true that I talk about money differently than most, but the fact is sound money offers [...]
Ciovaccocapital.com - Mohamed El-Erian is the former highly successful manager of the Harvard endowment and current head of PIMCO. In an August 15, 2008 Bloomberg interview, he makes some comments which may help us to begin to understand the recent surge in the dollar in the face of less-than-ideal U.S. economic conditions.
Currencies move not because [...]
Economists who now see American troubles spreading around the world are predicting that foreign central banks will ignore the gathering inflation threat and follow the Fed down the rate cutting path. Similarly, they argue that since the downturn began here, the U.S. recovery will likely be underway while the rest of world is still decelerating. [...]
DollarCollapse.com - For gold bugs, the past few years have been kind of peaceful, intellectually speaking. Because they understood the dynamic of fiat currency leading to excessive borrowing leading to financial crisis, they were neither confused about what was happening nor swayed by the gibberish that passed for expert opinion. Alan Greenspan could ramble and [...]
The Latin term “fiat” roughly translates to “there shall be”. When we refer to fiat money, we are referring to money that exists because the government declares it into existence. It is not based on production or earnings, and not backed by any commodity. It is solely based on trusting the government. Fiat money is [...]
Like many pragmatic economists I have always warned that rapid expansions of government debt would result in inflation and higher interest rates. The explanation was always simple: rising supply of government debt inflates the money supply and weakens the government’s ability to service its debt through legitimate means. But in recent months, government has flooded [...]