<<Can republicans make hay based on ballooning Fed balance sheet? For it MUST balloon MUCH MORE for POG to reach promised land>>
while the republicans may be able to make political hay based on the fed balance sheet, to stem the tide of mathematical logic will take much more fortitude than empires typically can muster, especially one where many own guns.
if / when republicans do, i guess i am psychologically fortified to take advantage of the resulting chaos and get my entire nav on to the last train out of fiat paper town, because ...
imo, gold's rise to heretofore not often dreamt of heights is (i) ordained, and (ii) actually already baked-in by below factors (not all inclusive, but decisive enough)
- astronomical amount of unfunded on/off balance sheet debt embraced by the empire and now enveloping the universe, readying to crunch mass into a little bitty black hole from which not even light can escape, never mind all assets of every description
- the strong and rising wealth of china, india, and everywhere outside of usa that was partly enhanced by the usa, all that paper wealth which require protection, will seek out, engage with, and embrace protection
- the gigantica and just getting started clash of civilizations involving billions of folks that absolutely require continued funding, whether one rides airplanes or not
gold stopping in its inexorable rise at this juncture because team usa elects to bankrupt and default sooner rather than later makes no sense.
and even if team usa elects to and implement default by any means and commits econo-financial hari kari in favor of protecting the global reserve currency status, all assets will crumble, implode, and be pulverized, but i would guess gold would still do better than all other assets and its holders would be able to exit gold and buy manhattan, before breakfast, and load up on hawaii by coffee break, and round out the day in hong kong, starting the evening in paris and points southeast.
so, message to republicans, "do it".
p.s. extract from paulson & co presentation
gold is cheap, may get cheaper, but should get much more expensive, and should events go according to nightmare, out-of-reach expensive, but righteously so. |
