Friday, May 27, 2011

Can't Turn the Spigot Off Blues

Read this. Here are a few shots from the article to give you an idea of the importance of the subject matter.

That blue line down at the bottom heading up from left to right is a support line. It is not a tried and true indicator but generally it is a good barometer of where things should be. Now over towards the end of that line you can see that the actual index has completely crashed through the support line. If you have any excess d011ars, convert them to something tangible. It doesn't have to be precious metals but by all means avoid like the plague anything paper. A CD, for example, is paper. It is only worth what they say it is worth. AND they are the ones holding on to it. People whose wealth only comes in the form of savings accounts, money market, stock market, may soon find those assets locked away while the prices of staples begins to hyper-inflate. Litigation to get your money back? Good luck with that.

The above graph is a good illustration of the value of the d011ar. Most people really don't know what that means and I am not about to try to explain it because I don't totally understand all the implications either. But what I can understand is that as the gov allows trillions upon trillions of paper to be printed they overall value of my paper goes down. Gas, food, precious metals all cost me more with every piece of paper they print.

A typical Hollywood scene shows our hero trapped in a room with water rising around their feet. This is the plight of Americans today. Most are trapped in a room with monetary liquidity rapidly rising around our waist's and no one seems capable or willing to turn off the spigot.

Friday, May 13, 2011


I have a feeling that the price of gold is about to go exponential. 'About' being +/- 5 years. Silver has been in the mid to high 30's for a while. Still up a high percentage over 6-12 months ago. And several hundred per cent from 10+ years, so silver is still a good deal and this pullback can get 5 quality oz.'s for around 200 fedbux.
For a real cheap thrill, try buying some Copper bullion. It is dirt cheap but impressive once you feel the coins in your hand. I buy from here,"Provident Metals" Plus they will resume their rightful place as coinage accepted someday right behind silver and gold. As it has always been. Since Ancient times, there has been a metal coinage. It is a fact of civilized society. With all the various catastrophe's over the millenia, society drifts back to safety of metal money. Unlike a paper note, it degrades very slowly and once struck can last for many, many years of service. It has to because there will be relatively few in circulation.

Who would trust paper money after a global disaster? We know one is coming. We don't know what yet, but it could be this from the Jet Propulsion Labaratory, "Comet Elenin" or here. It may not be The END, but it should be interesting and that's what you'd expect from a Comet if only because they are so rare in one's lifetime. Like Space putting on a show just for us. Humbling and fascinating. That last link also explains that there is a double whammy for around the same time as the Comet is also to be another Celestial visitor, the Comet Honda. In fact Elenin and Honda cross paths somewhere inside of our orbit around the Sun. I mean this is way more than one could hope for in a single lifetime.

Sunday, May 8, 2011

On Mother's day

I'm really pleased with the recent developments in the 'family' relationships. So far, from what I've read, I'm relieved that you all turned out to be pretty good kids. Caring for your children as you do. Late in life I decided to raise a young'n.
From the beginning, I followed a variation of the Golden Rule i.e. 'Do Unto Others...' in that I want to be the Dad I wanted as a child. And it seems to be working pretty well, but it has always been true that adults easily remember various stages of Biblical 'Discipline' from their youth.
My advice would be to remember those times from your childhood, and rather than react to situations e.g. spilt milk, broken windows, etc stop and remember if you had a similar incident. If you did/did not like the results, then by all means change it for the next generation. Break the cycle.

But I'm just a man and my opinions may be better kept to myself.


Happy Mothers day!

Friday, May 6, 2011

Response to Bob Moriarty

Please read Bob Moriarty's article, titled "Silver Rally".

I, and maybe many others, laugh at these kinds of articles where-in one guru or another tells me what a sucker I am for buying silver, especially in the last few days when the run-up to fifty buck an ounce was, and still is, very profitable to us.

He recounts the usual crash and burn history and inevitably of history repeating itself. That is all well and good and in fact, expected. What he fails to take into account is most of us probably bought gold and especially silver, way back when it was 5,10,15,20 an ounce. So the recent highs and the more recent declines haven't affected me very much at all. Yes I might have missed out on some healthy profits but I am still hundreds of percent above the price I paid for it. Most of us are still way ahead of the game. I cannot think of any other investment where I have made hundreds of percent. Stock Market? Puhleeze. Money Market? No again. T-Bills/bonds? Now you're just being stupid. The only thing that is right up there with silver, is gold. This place, Provident Metals, is making and selling copper bullion. Copper bullion in bars and coins may have been around for a while but it has been well hidden. I have been collecting other PM's for years and had never heard of copper as an investment bullion. No more. I have also begun buying copper. In much the same way I began collecting silver oh so many years ago when people laughed a the idea. Copper may never be considered valuable enough to establish a 'big bank' ETF but when paper is useless real coins will buy that loaf of bread your family needs.
Bob just doesn't understand that there are people out here who just cannot accept that paper will ever be as valuable as metal. Someday the paper holders will be the laughing stock but on the other hand, they may make a killing selling toilet paper to those of us who can afford to buy it.