Home » Debt, Economy, Gold, Inflation, International

The Path Ahead Is Clear

11 May 2010 5 Comments

The global economic strategy and policies moving forward is clear.  The printing of fiat currencies is the sole strategy and solution to every economic issue around the globe.  The trillion dollar bailout was meant to stabilize the Euro and send a message to the markets that the Euro will be defended (not sure how printing a trillion units of a currency symbolizes defense).  The effect was quick but has already began to fade.  Default and collapse in Europe might be prevented for a few months, but how much will be needed in the future?  Will two trillion be enough?  Each dosage will require more than the previous.

We’re a couple years into this printing press mayhem / bailout policy and there is no sign that it is ending.  I imagine that a year from now, I will be saying the same thing on this blog.  That is not a good thing.

Looking for somewhere to hide?  Maybe the following chart from today provide you a hint.

gold chart

5 Comments »

  • Stephan said:

    i dont think you should expect gold to keep rising, there is fear in the market, but no real reason not to trust the currencies. Once job hiring picks up(its already positive) consumer spending will return (we didnt learn our lesson about not spending more than we make) and the economy will return to normal 3-4% annual GDP growth.

  • 20smoney said:

    No real reason not to trust the currencies? Did you see the trillion dollar bailout? I guarantee you that it's not the last bailout.

  • mark said:

    The article speaks correctly of the fundamental issues regarding currencies, but then it asks you to draw conclusions about what to do about it by presenting an intraday chart. I dont see what the intraday chart has to do with it. Intraday charts are for day traders, not people who are deciding where to park their money for long periods of time.

  • 20smoney said:

    The intraday chart is not my reason for investing in gold. If you read the article, the currency discussion is my reason for gold. The chart was just an interesting chart of the day.

    If you think I'm proposing day-trading gold, then you completely misunderstood what im saying.

  • chanel flap said:

    Ich werde sicher sein, Modellierung pics post, wenn es ankommt.