Gold: The World's #1 Asset Class

Jim Sinclair’s Commentary
The risk is not the euro. It is whatever the target of the CDS OTC derivative gang is at any time.
This statement only complicates the situation and assists the problems of the euro.

There is no country or currency that can survive the wrath of an attack on their debt, the foundation of value, by credit default swaps. None.
Furthermore, all major currencies will all be attacked over the next 24 months.

Jim Sinclair’s Commentary
Everything will be bailed out. That includes every state and all sovereign debt as quantitative easing goes to infinity.
Gold will trade on this leg at a minimum of $1650. More than likely it will reach much higher.

Europe in Deepest Crisis Since WWII: Trichet
The President of the European Central Bank was quoted Saturday as saying that he still sees Europe's economy in its deepest crisis since World War II, or even World War I

Dangers of Paper Gold
posted by Eric De Groot at Eric De Groot - 3 hours ago
Good short video. The dangers of ETF gold are discussed at the 5:50 mark. The legal language of the prospectus hints of a game of musical chairs. The Economy & Your Portfolio: Source: cnbc.com

Market Manipulation And Front Running
posted by HMS at Marc Faber Blog - 6 hours ago
I think the Federal Reserve basically through keeping interest rates at zero is manipulating markets to some extent, and as you know we had these stimulus packages and quantitative easing by central banks ...





Breaking News from Moneynews.com
Bank of England Governor: U.S. Faces Same Danger as Greece
The United States is facing the same fiscal problems as Greece, says Mervyn King, Governor of the Bank of England.
“Bear in mind King is usually one of the most guarded policymakers in both British and central banking circles. Not yesterday,” the U.K. Telegraph reported.
“It isn’t often one has the opportunity to get such a blunt and straightforward insight into the thoughts of one of the world’s leading economic players. Most of this stuff usually stays behind closed doors, so it’s worth taking note of.”

King’s “frank” comments were definitely not “pleasing” to President Barack Obama and to European leaders, the Telegraph reports.
“He also believes that European Union must become a federalized fiscal union — in other words with central power to tax and spend — if it is to survive. Just two of the nuggets from one of the most extraordinary press conferences,” the Telegraph reported.
King is not the only leading opinion-maker worried about the parlous fiscal state of the United States.
Nouriel Roubini, appearing on Fox News, notes that the fiscal crisis started in 2007 with too much debt in the private sector.
Now, the United States and Europe have socialized the debt. Trillion dollar deficits are not sustainable, however.
“What has happened in Greece could happen in the U.S. We could have serious problems," says Roubini, the former Clinton White House economist, and professor at New York University.
"We have the debt of the federal government. Many state and local governments are bankrupt. There are unfunded liabilities for social security. There are unfunded liabilities for state pensions.”

Protesters Attempt to Storm Irish Parliament

Greek Communists Rally Against Austerity Measures

Roubini: "The US Economy is Unsustainable"

US faces same problems as Greece, says Bank of England

Millions of jobs that were cut won't likely return.

FDIC Backing 8,000 Banks with $13 Trillion in Assets and a Negative Deposit Insurance Fund

Toxic Mortgage Fears Hit Morgan Stanley

this over at Alphaville: In fiat money we do not trust. "Monetise. Monetise. Monetise. Inflation. Inflation. Inflation."

UK: More than 1 Million Forced to Take Part Time Work

Panic Buying of Physical Gold in Europe Threatens Depletion of Austrian Mint

White House's Volcker: Future of Euro in Doubt

Banks In Peril from EU Debt Shell Game: Economist

And in case you missed the news last Friday: Bank closures cost $7.3 BILLION for one week. Reading through this article, one learns we are bailing out banks in Puerto Rico: "The Deposit Insurance Fund (DIF) was tapped for $6.5 billion in the first quarter of 2010 and another $9.4 billion for just the first month of the second quarter. This brings the estimated DIF deficit to $36.8 billion excluding the prepaid $46 billion that sits on the sideline for 2010 through 2012. After applying the $15,333 billion prepaid assessments for 2010, the DIF is in arrears by $28.0 billion. After you apply the total $46 billion prepayments, there is only $9.2 billion left that's supposed to cover all losses through 2012. It looks like the FDIC will have to tap its $500 billion line of credit with the US Treasury, which will put tax payers on the hook yet again."