Monday, May 3, 2010

Gold hits 2010 highs; Inflation up 2% in March

The dollar goes down, gold goes up. Your IRA, your 401K, any stocks or bonds you own, are dollar based. They're going down. You may have the same dollar amount, but the buying power of those assets will be diminished. And that's assuming the stocks these packages contain don't crash again, which they will.

Understand that inflation is not prices rising. Inflation is the devaluation of the currency. One dollar buys less units of whatever good or service you're purchasing. This usually happens when the currency is unnaturally INFLATED without a relative and corresponding increase in productivity. When they create trillions of dollars out of thin air, that's inflation. You don't see it at first, because only the privileged and the favored see the money first, and they enjoy the benefits of lower prices with more money to burn. But as that influx of money trickles down through the economy, the excess cash creates an increase on demand, and prices rise. To put it another way, if you could stick a shovel into your backyard and find lodes of gold and silver, gold and silver would be worthless. The only thing that gives our paper fiat money value is the money already in circulation. The more you print up, the more the new money dilutes the value of the old. This is textbook basic economic law and if you think the highly educated people in charge of our economy aren't aware of this, think again. This is all done by design, because they can never let a good crisis go to waste, especially one they engineered. When the dollar collapses, by their own design, they will unveil their hidden agenda - a cashless control grid and global government - as the inevitable and necessary solution, further enslaving us all.

And then the real party begins.

But only if you acquiesce.

Gold hits 2010 highs in flight to safety

    (Reuters) - Gold hit a 2010 high above $1,180 an ounce on Friday, gaining 1 percent as a widening euro zone sovereign debt crisis prompted investors to buy the metal asset in a flight to safety.

    The precious metal has rallied almost 6 percent in April, its biggest one-month rise since November, as credit ratings downgrades of Greece, Spain and Portugal unleashed a wave of risk aversion, channeling money into gold.

    Michael Daly, gold specialist at futures broker PFGBest, said that gold tends to outperform other commodities in times of crisis, and the currency of choice is gold for investors who worry about the viability of fiat currencies.

US inflation up 2% in March

    (AFP) – US inflation rose two percent in March compared to the same month a year earlier, according to the consumer price index published on Monday.