|
GOLD
CONTINUES TO STRENGTHEN! Gold continues to reveal it just cannot be beat nor held back. Definitely a true bull market in action.
Wow! Is gold ever exciting today! How well I remember those days when the price ebbed down to the low 250s, but no more. I was in a book store today in Haywood Mall and I saw gold prominently displayed on the front cover of the major business magazines. Does this mean gold is at its peak and cause for concern? Not really as we are yet on our way to 1,000 an ounce. What we are seeing today simply is gold shifting back to the role it once played in ancient of days. It is becoming again the cornerstone of a portfolio. Gold is becoming again the foundation that the builders rejected for 20 years. The ebb and flows of the gold price no longer concern me because I am keeping my focus on longer term trends. And that really is where our vision should be. The day to day oscillations do not concern me a bit. Think long term. Can you envision “long term?” All your eggs don’t have to be in the golden basket but you need at least a significant percentage of your investments in gold related equities. “Gold has shown an incredible amount of strength in the past few weeks and I believe that this is just the start of a huge run up in its price. Silver will show even more powerful gains than gold because it is a consumable industrial metal and it shares the same monetary properties of gold.” click I just got back from the local Starbucks. Tried a Caffe’ Americano. I still say a cup of coffee is a cup of coffee. But put a fancy name on a cup of java and you can charge double for it. Smart marketing. Brings me back to gold and why I enjoy being a strong advocate for the yellow metal. Gold needs no fancy marketing nor exotic sales package. It never loses its value and over time in a crumbing world its popularity and respect merely grows and grows. It’s a no brainer for this deteriorating decade. I haven’t said much about GATA in a while but they are still out there quietly doing their work for a free gold market. I like to think that GATA took over from the late great James Blanchard as gold’s principal advocate and sponsor. Le Metropole – “…the king of technical analysis of the markets and the most venerable of U.S. financial letter writers, RICHARD RUSSELL, HAS FULLY CONCURRED.” “In an unusual weekend letter distributed yesterday, Russell told subscribers to his Dow Theory Letters: "Let's start with this vital and rather shocking piece of information, courtesy of Stephan Roach, chief economist at Morgan Stanley: 'Net foreign inflows into longer-term U.S. securities fell to just $15.6 billion in December 2006. This is the weakest reading in nearly five years. This stands in sharp contrast to America's enormous external financing needs -- about $3.5 billion of foreign capital inflow each and every business day is required to fund a current account deficit that was running at close to an $875 billion rate in the first three quarters of 2006.'” "WHAT DOES THIS MEAN? IT MEANS THAT THE SQUEEZE IS BEGINNING.” click What is the purpose of all these letters written by so many on all these websites? I think I can speak for most writers when I say there is an objective to all these articles. Consider the following text below. “…our real sources of vitality lie in a tradition – perhaps best represented by Voltaire – of healthy skepticism, individual creativity, and free choice.” Morris Bermen, The Twilight of American Culture I like what I just read. All of us at all times should harbor and maintain a “healthy skepticism.” I fear those who do not question our present administration. I fear those who do not question the present state of our economy. I fear those who maintain a false sense of optimism about our future. Fear is a healthy and necessary emotion as it reminds us at all times to exercise caution. Nothing wrong with exercising caution and restraint. I watch the evening news and I read the papers today and notice a common theme. That theme is a lack of fear and a lack of respect of where our personal and national lives are headed. There is no “healthy skepticism” today. And for that reason is why our country is moving toward a major “readjustment.” And that “readjustment” is coming and indeed is just around the corner. Our world today is too confident, too cocky, too comfortable. And we many times deny the truth because it often bites. “Knowing the truth,” writes Levin, “would be a different kind of happiness – a more satisfactory kind, I think, even if it turned out to be a sad kind.” Morris Bermen, The Twilight of American Culture And as the text above admonishes we should seek always the truth even when it is painful. And what is the painful truth today? Our US economy is headed toward “hell in a hang basket.” Did I say that correctly? I’ll say it again. Our US economy is heading to hell in a hang basket. “This phrase, meaning "to deteriorate rapidly", originated in the U.S. in the early 20th century.” click So, if we can recognize these painful truths then we will also understand why gold and resource investments will continue to represent the best investments as the century continues to unfold before us. I have written repeatedly that part of the coming destruction will be a continuation of the demise of the middle class. And a strong middle class is always the foundation of a healthy economy. But the middle class is disappearing. “Why is this slide toward greater inequality occurring? Partly, it is because the concentration of wealth in fewer and fewer hands…” Morris Bermen, The Twilight of American Culture But all roads lead back to gold. Why? “As massive debt becomes a major national problem, “writes Kevin Phillips, “it also becomes a major financial opportunity…” “For a select few, in other words national collapse is a good business opportunity.” Morris Bermen, The Twilight of American Culture Now are you beginning to understand why gold will only continue to create greater wealth and will only rise in value as our destruction comes nearer? I like to think that I tell it like it is. I do don’t I? And if just a little of that truth sticks then its recipient will discover how to profit. And those profits can be enormous. Gold Letter emails brief reviews of undervalued gold, silver, uranium and other resource stocks that are under valued and poised to rise. Email me. Make it interesting. David Vaughn
Gold Letter emails brief reviews of undervalued gold, silver, uranium and other resource stocks that are under valued and poised to rise. Our top 10 best performing stocks are up 2,140% and our top 50 best performing stocks are up 530%. The top 50 represent 52% of all Gold Letter's recommendations - 60 min. delay. Gold Letter is the only newsletter that keeps and publishes this kind of data which is updated real time every 60 minutes as the markets are open. You won’t find this precise record keeping else where. Just a reminder that one of my goals is including comments from you the reader. Hardly anyone else does this and I believe your opinions count. It is the small investor that ultimately will drive the gold market and gold price to the moon. The future will be shaped by you the small investor . Send me an email. CONTACT
INFORMATION The publisher and its affiliates, officers, directors and owner may actively trade in investments discussed in this newsletter. They may have positions in the securities recommended and may increase or decrease such positions without notice. The publisher is not a registered investment advisor. Subscribers should not view this publication as offering personalized legal, tax, accounting or investment-related advice. The news and editorial viewpoints, and other information on the investments discussed herein are obtained from sources deemed reliable, but their accuracy is not guaranteed. Authors of articles or special reports are sometimes compensated for their services. The opinions of FSU contributors do not necessarily reflect those of Financial Sense. |
