James Turk, co-founder and director of GoldMoney.com joins BoomBust to talk about gold, gold, gold.
Turk explains that gold has been used as money for five thousand years, and he argues why it’s much better than fiat currency. In fact Turk thinks that people are losing confidence in paper money because the super-rich are moving out of money and buying up tangible assets. He further argues that gold allows you to avoid the risks of political manipulation or economic warfare. [Read more...]
James Turk, co-founder and director of GoldMoney.com joins BoomBust to talk about gold, gold, gold.
When the Obama administration was plotting to overthrow the democratically-elected government of Ukraine, what in the world did they expect to happen in the aftermath? Did they just expect Russia to roll over and play dead as the U.S. and the EU installed a rabidly anti-Russian government in Kiev? Over the past few years, the U.S. government has chosen to foment violent political revolutions all over the globe. We have seen violent revolutions overthrow governments all across the Middle East and Africa, but when the U.S. government decided to do the same thing in Ukraine they made a major miscalculation. When you mess with Ukraine, and when you mess with Crimea in particular, you are crossing a huge red line as far as the Russians are concerned. By crossing that red line, the Obama administration has ensured that the relationship between the United States and Russia will never be friendly again. [Read more...]
Is the U.S. economy steamrolling toward another recession? There are an increasing number of indications that we are rapidly plunging into another major economic slowdown.
While it appears that Putin may have already initiated sanctions against the US with the halting of Russian ammunition exports to the US, let us hope that a full-blown economic war between the United States and Russia is averted. Our economy is hurting enough as it is.
But no matter how things with this crisis in Ukraine play out, it looks like hard times are ahead for the U.S. economy. Unfortunately, most Americans never learned the lessons that they should have learned back in 2008.
They just assume that the federal government and the Federal Reserve have fixed our problems and have everything under control, so they are not preparing for the next great crisis.
In the end, tens of millions of Americans will be absolutely devastated when they get absolutely blindsided by what is coming.
The following are the top 12 signs that the U.S. economy is heading toward another recession…
Ok, so this seems like a very big deal and a may represent a serious escalation in the soft conflict happening between the U.S. and Russia. As of today, the U.S. seems to be using financial warfare in its response. Not only does this Executive Order issued today appear to block certain Russian assets, it also imposes travel restrictions. The question on my mind now is, does Russia hold some of its treasuries in the custody of the Federal Reserve? If so, are these now frozen? [Read more...]
So much for “isolating” Russia. The Chinese government is publicly siding with Russia on the crisis in Ukraine, and that is very bad news for the United States. Not only does it mean that the U.S. is essentially powerless to do anything about the situation in Ukraine, it also means that Russia and China are starting to understand how much economic leverage that they really have. Yes, the Obama administration can threaten to slap “sanctions” on Russia or threaten to kick Russia “out of the G8“, but those actions would not actually hurt too much. On the other hand, Russia and China hold approximately 25 percent of all foreign-owned U.S. debt, and if they started massively dumping U.S. debt it could rapidly create a nightmare scenario. If Russia and China got together and decided to kill the petrodollar, they could do it almost overnight.
So when it comes to Ukraine, it is definitely not the United States that has the leverage. [Read more...]
In an interesting irony, investors are purchasing record amounts Silver Eagles while the top primary silver miners continue to lose money. Not only did investors purchase the most Silver Eagles in the month of February compared to previous years, the silver/gold ratio is off the charts.
This year, investors have purchased 3,750,000 Silver Eagles compared to 31,000 oz of Gold Eagles.
This is a staggering 121 to 1 ratio, shown in the chart below: [Read more...]
In World War II, the United States fought against rabidly anti-Semitic fascists. In 2014, the United States helps them overthrow democratically-elected governments. And the sick thing is that the mainstream media is acting an an accomplice because it is purposely ignoring or greatly playing down the rabid anti-Semitism in Ukraine. The anti-Semitism of many of the “reformers” that have seized power in Kiev does not fit with the narrative that the U.S. government is trying to push, so the mainstream media conveniently turns a blind eye to the fact that the United States is essentially helping neo-Nazis take power. The head of the Svoboda Party has denounced the “criminal activities” of “organized Jewry”, another top Svoboda official regularly quotes Joseph Goebbels, and the Party itself was known as “the Social-National Party” (in reference to National Socialists) until 2004. There is a long history of anti-Semitism in Ukraine, but our politicians in Washington D.C. don’t seem to care about that. All they seem to care about is making sure that there is not a pro-Russian government in Ukraine no matter what the cost.
There is a reason why Russian President Vladimir Putin cited “ultranationalists” as one of the reasons why Russian troops had to intervene in Ukraine. What we are seeing in Ukraine right now is eerily reminiscent of what we saw in Nazi Germany before World War II.
In fact nearly every point of assertion about, and defense of, the London fix process is embedded with half-truths or outright lies. [Read more...]
Instability starts on the periphery and moves into the core.
While it is clear that the instability in periphery nations is arising from dynamics unique to each nation, there is one unifying causal factor: the spoils system in each nation is breaking down.
In the U.S., the spoils system is almost unlimited. The spoils system is not only the foundation of every Elites’ political legitimacy, it is the thin layer of plaster that covers all the longstanding ethnic, regional, linguistic, religious and political fault lines that run beneath current nation-state arrangements.
This erosion of the spoils system has a peculiar characteristic: once the old spoils system cracks and collapses, it cannot be put back together. A new arrangement arises, despite the best self-serving efforts of the current Elites.
Indian premiums on gold, currently 15 % above international prices, pushed massive amounts of Indian savers into silver in 2013. Indian silver imports in 2013 were 6125 tons, an all-time record, up 189 % from 2115 tons in 2012.
In December, silver imports accounted for 825 tons, up 108 % month over month, and up an astonishing 6560 % year over year! [Read more...]
While gold is the king monetary metal, silver will turn out to be the king precious metal performer. Currently, gold is stealing the show as the East (China) continues to consume more than total world gold production.
However, silver will surprise the markets in the future as overwhelming demand will outstrip supply in a big way.
The key factor that will drive up the price (value) of silver much higher than gold in percentage terms, will be its affordability. As the price of gold heads back above $1,500 and silver to $30, an individual can buy a heck of a lot more silver than gold.
As the public and market are lulled back to sleep (presently) on the value of silver, there will come a time in the future when it will be impossible to acquire a single ounce… only at much higher prices.
Silver Will Be The King Precious Metal Performer.
Now that we have seen how spot gold is priced “loco London,” we can examine how other local markets, and other types of gold contracts, are priced in reference to the London spot market.
This includes other spot delivery locations, gold forward and futures contracts — such as the gold futures contract at the NYMEX in New York — and gold swaps, forward rate agreements, and options. [Read more...]
The West is still a mover of the gold price, but no longer the prime mover. While interest rates and inflation numbers are still very important drivers of the gold price, the world has essentially entered a “gold bull era”.
This era is themed around gold jewellery demand that should grow relentlessly for decades. It could soon totally overwhelm mine and scrap supply.
Gold jewellery plays a highly significant role in Eastern culture and religion, and bank economists continue to underestimate the enormous monthly tonnage imports of Chindian (Chinese and Indian) gold dealers. One upside surprise seems to follow another.
Demand grows relentlessly, because Chindian industrialization grows relentlessly. It’s an enormous multi-decade process that involves more than two billion citizens, who are all potential gold buyers. [Read more...]
Economist John Williams says if Russia sells its U.S. dollar holdings it could trigger hyperinflation. Could it collapse the financial system? Williams contends, “Yes, it certainly has a potential to do that. Looking outside the United States, there is something over $16 trillion dollars in cash or near cash. That’s about the same size as our GDP. If the rest of the world believes this is what’s going to happen, people who have been wanting to get out of the dollar for some time very easily could front-run the Russians. The scare is on. People will try to get out of it as rapidly as they can. We have not seen an economic recovery. We have not seen a return of health to the banking system. So the system is very vulnerable and if the Russians carry through with their threat, you have indeed the risk of it collapsing the system.”
On the overall economy Williams says, “It is rolling over and the numbers are starting to show we are starting into a new recession. Join Greg Hunter as he goes One-on-One with John Williams of Shadowstats.com.