This week,
we’ve examined three powerful forces now arrayed against the
U.S. dollar ...
These are not mere “predictions.” As we’ve seen in my emails to you this week, each of these assaults on the U.S. dollar is happening right now. And as a result, the dollar’s value — the value of YOUR dollars — has plunged more than 14% in the last 6 months. Worse: Each of these assaults on the U.S. dollar is still in its early stages! As they continue to hammer the greenback in the months ahead, the dollar’s decline can only accelerate wildly. The fourth horseman of the dollar apocalypse Now, a FOURTH, and even more disturbing anti-dollar movement is quietly brewing in Washington, New York, London, Paris, Berlin, Moscow, Shanghai, Tokyo and many other financial capitals worldwide. Unlike the other assaults on the dollar we’ve examined, this “ultimate debt solution” is NOT yet in place. The world leaders and central bankers who discuss it now speak only in whispers; behind closed doors. But for reasons I give below, I’m convinced that world leaders now have no choice but to implement this solution — and that it will soon explode into the headlines. If I’m right, it will spell SUDDEN DEATH for the U.S. dollar — and an instant, explosive implosion in the buying power of your money. When this solution is unveiled, it will be too late for you to shield yourself. The trap will have been sprung. You will simply awake one morning to discover that your money buys only a fraction of what it did 24 hours earlier. My mission is to help make sure that you are NOT surprised ... that you have ample time to protect your savings, investments and retirement ... and that you also have what you need to continue growing your wealth — even as this ultimate debt solution robs others of everything they’ve ever earned. The ULTIMATE global debt solution It’s no secret that the U.S. credit crisis spread like wildfire around the globe — or that nearly every government on Earth has amassed enormous new debts in an effort to spend its way out of this crisis. Put simply, the U.S. government is NOT alone. Many governments around the world are now drowning in debt — and they’re desperately searching for the “magic solution” that will keep that debt from crushing their economies. And like President Obama and Fed Chief Bernanke, they fear that the only way they’ll ever be able to service their debt — let alone repay it — is to do so with cheaper money. The only way for that to happen would be for the G-20 — the world’s largest economies — to agree to a new monetary order, much like they did 65 years ago by signing the Bretton Woods agreements in 1944. Even while World War II continued to rage, Allied leaders met in Bretton Woods, New Hampshire. Their mission: To stabilize wildly fluctuating currency exchange rates. Their solution: Create a new world monetary order that pegged global currencies to the price of gold. This time around, global leaders are faced with a different problem: Massive debts that none of them can ever repay. But the solution will seem eerily familiar — and like the Bretton Woods agreements, it involves the price of gold. To instantly slash the value all of their currencies at once, world leaders simply need to raise the price of gold. For instance:
Will the G-20 slash the buying power of money by doubling the price of gold? Maybe. Maybe they’ll raise gold prices less; maybe more. If anyone tells you he knows, he’s pulling your leg. But one thing seems clear to me: With the entire developed world now drowning in a sea of unpayable and in some cases, unserviceable debt, resetting the price of gold is the ONLY way out. In fact, the process has already begun with the explicit calls you’ve been hearing in the press from heads of state for “a new financial architecture” ... “a new Bretton Woods” ... “new financial regulatory structures.” How soon is it likely to happen? Again — nobody knows for sure. It may be a few months from now or even a couple of years in the future. But I have absolutely no doubt that it WILL happen. Money — the U.S. dollar and every other major paper currency — will soon be gutted of its value by decree. There is simply no other way out. We’re here to help you protect yourself and profit I am deeply concerned that you do not have the information and recommendations you need to insulate yourself and your family from this great global war on the value of your money and on your financial security. In fact, our team is already planning a special briefing to give you everything you need to weather this storm — but we need your help:
Ask anything you like and we’ll do our best to get you the answers you need to shield your wealth. Best wishes,
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Weiss
Research, Inc.
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Could China Propel Gold to $2,000?
http://seekingalpha.com/article/1615...-gold-to-2-000
Last week Alan Greenspan noted that "Rising prices of precious metals and
other commodities are an indication of a very early stage of an endeavor to
move away from paper currencies.”
In other words, people are buying gold as a hedge against inflation.
Here in China, our firm
SinoLatin Capital has been approached by numerous Chinese
companies specifically looking to acquire gold mines in Latin America. We've
studied the market for some time and we see China making several Latin
American gold mining acquisitions over the next few years. How can retail
investors benefit from these trends?
But back to China. How could China affect
the price of gold? We live in China and spend a lot of time with
local industry leaders and policy makers. We hear repeatedly that the time
has come to think seriously about how to survive the perceived dollar
devaluation. In some cases we note serious concern, and in other cases
absolute dread over a perceived dollar crash. Over the past six
months Beijing has made a series of moves to protect itself against a dollar
devaluation. In a recent "BRIC Summit" in Russia several months ago, Chinese
leaders came out strongly in favor of a new reserve currency to replace the
dollar (including the IMF's "SDR" currency). China is also quietly
purchasing mining assets and gold bullion. But the government has recently
gone further. According to Financial Sense:
As recently as 2002, the private ownership of gold was prohibited in China.
You could be jailed if caught with any in your possession. Beginning in
2009, in a stunning about-face, the central government removed all
restrictions. In fact, as Mineweb and other sources report now it is
actively pushing folks to buy some personal metal, with
China’s Central Television, the main
state-owned television company, running news programs cum infomercials,
letting the public know just how easy it is to purchase gold and silver as
an investment.
It truly is as simple as can be,
because every bank sells gold and silver bullion bars in four different
sizes to individuals.
(Try to find the same the next time you make the trek down to Wells Fargo.)
Mining companies are reportedly encouraging employees to convert some of
their wages to gold on payday. Gold is traded in some form 24 hours a day.
And paper proxies for the metal are also soaring in popularity.
There are persistent rumors that the export
of silver has already been banned. Gold could be next.
Thus China, which only yesterday was the
lowest per-capita consumer of gold in the world, is bidding to
become the biggest. Some analysts believe it will pass India – the top dog
since forever – as early as 2010. Clearly,
the government believes the country is strengthened if everyone who can
holds some hard currency.
All this suggests a mania in the making, and only in the formative stage.
Imagine if hundreds of millions of new consumers climb on that particular
bandwagon…
Gold is up 27% over the past 12 months and last week it hit the psychologically important US$1,000 mark. Could China propel this further? From our vantage point in Shanghai this is entirely possible.
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