John Williams of www.shadowstats.com is the most trusted source for true government statistics. (The only one I trust period.)Our governments statistics can no longer be trusted.For example, some years ago as the price of fuel rose, they stopped including it as well as food to calucalate the rise in the cost of living - CPI (consumer price index). What a scam.

Ben Bernanke's Hyperinflation And Economic Collapse http://www.kitco.com/ind/Hunter/dec042009.html







I have to give a huge kudos to Jim Sinclair. For years he’s had what he
terms angels, which act like magnets to the gold price. Once again they’ve
proved to be reliable areas as one number was $1,224, and the high this week
just before the correction was $1,225. He’s the most important resource you
have access to in these times and I suggest you give his site a daily read as I do.


An interesting article came out of the UK this past week echoing many of
my thoughts. The line that really caught my eye was; So far, China has just 1.7pc
of its reserves in gold, or 34m troy ounces. I was told by a top Chinese official that they
are buying on the dips so as not to crowd out the market, which means of course that
gold cannot “crash” unless you think China itself is going to crash — or stop building
reserves” Now that we have seen the first real correction in this move higher we
will get a much clearer picture as to whether, and at what level the so called
Chinese put will be at. I have a feeling it will be right around here.






All U.S. Mint gold offerings are sold out, suspended, or limited


My Dearest CIGA D,
Hyperinflation is always and only caused by serious currency problems. It is not a product of economic events, but more of a final loss in confidence in the currency.
A strong dollar equals no hyperinflation.
If the dollar holds .7200 USDX then there will be no hyperinflation, only standard inflation. If the dollar breaks to .6200 there will be some hyperinflation. If the dollar trades below .5200 there will be hyperinflation of the century.
Data yields conclusions, opinions yield confusion.



North Koreans In Shock As Cash Banned

A great comment from the above story.

Kieran ODonnell wrote:
This will happen across the world, the difference being that each denomination which is intrinsically linked (unlike the Won), such as the Euro, the Dollar, Yen, and Sterling will be devalued at the same time on the same day. This has been proved possible by the united fixing on the exchange rate in 2008; each central bank did it at the same time. Remember.... if all major debtors and creditors devalue their currencies at the same time, by the same amount, their liabilities to each other remain the same, the only losers are you and me with our savings and our cash holdings. And don't be fooled into thinking your mortgage and credit card debt will be devalued... not in a million years, they will ADD the zeroes immediately !!!So why bother then? Because currencies such as the Yuan won't be part of it, and the wealth and debt will be reduced automatically. After all, China is one of our largest creditors, and probably the only economy (aside from the other BRIC nations) with enough cash holdings to absorb the impact.There have been numerous warnings recently to buy commodities of true value such as gold, silver, jewellry, wine, art etc, and those that continue to trust their savings on fiat currency (basically paper) are not protecting themselves. Do not be told to "Keep calm and carry on", sort yourself out. The worse that can happen is you have a load of gold in a tin under the floor, which one day you'll cash back in for currency.This makes everyone uncomfortable so they ignore it, deny it, laugh at it, probably including the North Korean population on Friday last week, but they're not laughing today.Good luck, I do hope you find your way.



Charting The Great World Trade Collapse


This comment is very accurate description of our current financial mess.

by cougar_w on Wed, 12/02/2009 - 12:29#149287
Blew it up, yes, but it was a steaming pile of creaking wreckage for a while.
The US ability to create and then absorb "imports" and boost globalization was a product of two important and lethal trends;
1) We quit maunfacturing things ourselves and sent the factories (and those jobs) overseas;
2) Former factory workers then took out consumer loans and turned their homes into ATM machines so everyone could then buy the stuff from overseas we no longer produced ourselves.
Neither of those realities was sustainable. And, we cannot easily return to either practice, and certainly not both. No fucking way under the sun is that experiment going forward.
The whole thing was a huge 30 year circle-jerk of greed in US industry and financials. And a major rip-off of the middle-class. People bought into this fantasy on the promise of leasure, entertainment and easy riches via Ponzi schemes and real estate flipping. Lies, fraud and propaganda. What a crock.
Well it's over now, friends. Blown to ratshit. The only thing holding this game together is the thin thread of QE fisted off on the US taxpayer and suffering middle-class as "heroic effort to save the economy". And what did we think we would be "recovering" to? Debt and off-shoring? Are we really that stupid? QE didn't bring back our exported jobs and it didn't erase our debt. We. Are. Toast. It won't even have saved the big banks. Waste of money and worse -- far worse -- a waste of TIME.
When we go down on the next leg, I fear there will be no bottom until every god-damn thing done in 30 years is un-done and erased. Until the debt evaporates in total debt destruction and the jobs come back as local industry and production because the infrastructure and credit required for moving crap all over the planet implodes.
cougar