Gold Sets New Record as QE2 Devalues Fiat Currencies

[highconscienceness]

Last night gold hit a new record in response to the Federal Reserve’s QE2 madness and word by the World Bank it wants an international gold standard. Gold soared from Monday’s finish of $1,390.00 to $1,391.00. It opened at $1,405.50 to $1,406.50 an ounce.

The corporate media is abuzz today with news that since the Fed announced its intention to print hundreds of billions of dollars in funny money and spend it on Treasury bonds in a supposed attempt to kick-start the economy, investors have flocked to the precious metals market for shelter. “Traders are buying up gold as the Federal Reserve’s $600bn stimulus deal last Wednesday was seen by many as liable to aggravate inflation. Gold is considered a safe haven in times of inflation,” reports the Telegraph today.

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[Plinco]

This is a part of the nwo plan. Now they are moving to crash the dollar.

 

[Bible_Belt]

the Federal Reserve’s $600bn stimulus deal last Wednesday was seen by many as liable to aggravate inflation.

The Fed admitted that inflation is actually their goal, because they fear deflation even more. Inflation is supposed to at least ebb and flow with the business cycle and have somewhat of a known cure, but deflation is the current dread disease of the world economy. There is no cure, or else the Japanese would have figured one out by now for their own economy, which has been on the road to nowhere since the 1990's. The Japanese birth rate has even plummeted. Couples stop having children when they give up hope that life is getting better every year and not worse. Deflation is the loss of hope. What the Fed is doing is trying to prop up peoples' hope by letting them continue to see large numbers on their 401k stock market retirement account statements. Most people will not realize that a dollar's worth of stock is depreciating as fast as a dollar's worth of anything else.

 

[Mr.Positive]

Deflation is the loss of hope. What the Fed is doing is trying to prop up peoples' hope by letting them continue to see large numbers on their 401k stock market retirement account statements. Most people will not realize that a dollar's worth of stock is depreciating as fast as a dollar's worth of anything else.

Bingo! It's a game of smoke and mirrors.

Most people don't realize we have debt-basted money. It's the way our monetary system is designed. In deflation, the velocity of money comes to a standstill. Money doesn't move, it sits there, a death blow to the economy.

By triggering inflation through monetary easing, what they are trying to do is increase the velocity of money. How fast it changes hands. They are essentially trying to stab a needle of adrenaline into a dying patient's heart, so to speak.

EDIT: Looks like China is not impressed with QE2. Looks like they are trying to pull the plug on the dollar. http://market-ticker.org/post=171703

 

[synergy1]

Bingo! It's a game of smoke and mirrors.

Most people don't realize we have debt-basted money. It's the way our monetary system is designed. In deflation, the velocity of money comes to a standstill. Money doesn't move, it sits there, a death blow to the economy.

By triggering inflation through monetary easing, what they are trying to do is increase the velocity of money. How fast it changes hands. They are essentially trying to stab a needle of adrenaline into a dying patient's heart, so to speak.

EDIT: Looks like China is not impressed with QE2. Looks like they are trying to pull the plug on the dollar. http://market-ticker.org/post=171703

QE2 will not incentivise companies to hire, but rather put their money into commodities or other high yield financial instruments. Without the promise of added business, why both risking anything by bringing an employee on board w/ medical and benefits. also people buying commodities like precious metals will increase the long term cost, no?

 

[Mr.Positive]

QE2 will not incentivise companies to hire, but rather put their money into commodities or other high yield financial instruments. Without the promise of added business, why both risking anything by bringing an employee on board w/ medical and benefits. also people buying commodities like precious metals will increase the long term cost, no?

Exactly, which is why I think QE2 will fail. I think what they are hoping for is to make imports more expensive, exports cheaper, to help stimulate the economy...but I'll admit, I don't know much about this.

Could we be heading towards a currency war? China is pissed at us, they want a strong dollar. Maybe countries all over the world will rush to the printing presses.

 

[Plinco]

It is amazing how people don't understand this. It is going to be over soon.

 

[Wiesman44]

dear knuclehad op:

If you actuallly trade Forex, you'll see that currently the US dollar is not currently being devalued. In fact, its strengthening. Its high was 1.42ish and its now at 1.37ish. Its only THOUGHT that the dollar would be highly devalued.

Its not a fact. But its likely.

If anything, we'll see high inflation. Many posters in this thread have been correct about the inflation.

 

[Julius_Seizeher]

People have been saying "It's all over" for the last 5000 years, and despite every seemingly legitimate reason why things should or could have ended, the sun still rises and those with a positive mindset continue to grow and achieve while the "doubting Thomases" stand on the sidelines, vainly hoping the world will end so they won't have to face the music anymore.

If you have a pessimistic loser mentality, at least find enough strength of character to keep it to yourself.

 

[Plinco]

People have been saying "It's all over" for the last 5000 years, and despite every seemingly legitimate reason why things should or could have ended, the sun still rises and those with a positive mindset continue to grow and achieve while the "doubting Thomases" stand on the sidelines, vainly hoping the world will end so they won't have to face the music anymore.

If you have a pessimistic loser mentality, at least find enough strength of character to keep it to yourself.

But with turmoil, there is opportunity. And yes, it is all over for many people.

 

[Plinco]

And one more thing:

Wiesman44 and Julius_Seizeher... both of you. I am not clear if you are referring to me, but you had better not be. If this were in person I'd be mighty P!ssed off if you called me a lair or say that I am weak. I tell things honestly to the best of my ability.

 

[Plinco]

Here is the difference between weak people and strong people:

Weak: naive, dishonest, unprepared, disrespectful, irresponsible

Strong: vigilance, honest, prepared, respectful, responsible

Everyone agree with me so far? good.

The greatest leaders in history came in during crisis when it was all over for one thing and the beginning of something new. I don't have to mention their names, we should all know who they are.

The financial system will collapse. Granted, this has been said for a long time, but since the economies of the world are detached from the laws of reality, it will happen. It is not "if" but "when" and we can speculate on "how."

Now I understand that the urge of the moderators to lock this thread, but I appeal to you that this is a healthy debate.

 

[Gaucho]

People have been saying "It's all over" for the last 5000 years, and despite every seemingly legitimate reason why things should or could have ended, the sun still rises and those with a positive mindset continue to grow and achieve while the "doubting Thomases" stand on the sidelines, vainly hoping the world will end so they won't have to face the music anymore.

If you have a pessimistic loser mentality, at least find enough strength of character to keep it to yourself.

That's because as far as the USD is concerned, it was 'sell the rumour buy the fact'.

Unless the FED went beyond expectations on QE2, but they were basically at market, so it was already priced in.

It's all about G20 now.

 

[Quiksilver]

People have been saying "It's all over" for the last 5000 years, and despite every seemingly legitimate reason why things should or could have ended, the sun still rises and those with a positive mindset continue to grow and achieve while the "doubting Thomases" stand on the sidelines, vainly hoping the world will end so they won't have to face the music anymore.

If you have a pessimistic loser mentality, at least find enough strength of character to keep it to yourself.

I wonder what the Romans thought on August 20, 410 A.D..

-

Of course there is plenty of profit to be made for those with enough wealth to scoop up cheap assets. However it is wealth made at the expense of the nation that allowed you to achieve such wealth. No wealth is being created in such a period, it is just shifting hands. The strength of a nation is determined by how much wealth it creates.

-

That is also an unfair statement in regards to people at different stages in their life. A person in their mid-forties who has saved and prepared for the 'period of turmoil' in which lots of wealth can be made, is in a position to capitalize on it by scooping up assets for pennies on the dollar.

What about for a student just graduating college? Very little money with which to take advantage of the situation, and very few job prospects.

It's a case example of the future being sold for the present. It's fine if you don't have to be around to see the future I guess ...

I know people who have become very wealthy in the past three years. The difference between them and me is that they have the capital to 'buy in' to this wealth, whereas a lot of people in my age range or younger can only sit and watch. Regardless of how optimistic one is, reality is still reality and one has to have a certain amount of money to 'buy in' to the game.

Now I understand that the urge of the moderators to lock this thread, but I appeal to you that this is a healthy debate.

Can't speak for the others, but I only lock threads or delete posts when people are slinging feces at each other.

 

[Serialized3]

EDIT: Looks like China is not impressed with QE2. Looks like they are trying to pull the plug on the dollar. http://market-ticker.org/post=171703

Fuck those chinks. I say we export our excess of spoiled, entitled white bitches and in return, we get forgiveness on our limited (~20%) amount of debt outstanding to them. Maybe our sluts can debase them. Awesome.

 

[Mr.Positive]

Fuck those chinks. I say we export our excess of spoiled, entitled white bitches and in return, we get forgiveness on our limited (~20%) amount of debt outstanding to them. Maybe our sluts can debase them. Awesome.

Hell ya! I like this post and I like the way you think!!

 

[Plinco]

I was thinking a ratio of trading two American women for every foreign woman.

 

[highconscienceness]

EDIT: Looks like China is not impressed with QE2. Looks like they are trying to pull the plug on the dollar. http://market-ticker.org/post=171703

Bingo! Actually not a bingo.

Now every god damn country is going to dump the dollar. I heard money issues is what really caused WW1. Of course in school they teach you it was the sinking of Lucitania. Interesting.


Whatever is your believe system, I think we can all agree on one thing.

ONE - investing into Gold (or Silver) preserves the value of money you have right now.



One word on inflation. It is a hidden tax. Today you have 1 dollar in your pocket, tomorrow, thanks to inflation, you'll have 50 cents. In a deflation, you might have $1.50............ Buying power for all you '50 cents' out there.



P.S. - WW1 brought U.S. economy out of the great depression. No wonder elites are talking about crashing the dollar, and having a WW3. http://www.youtube.com/watch?v=4dC8HG8b0CU

 

[Alle_Gory]

It is amazing how people don't understand this. It is going to be over soon.

My friend, our troubles have just started. Right now there are discussions about the current status of the American Dollar. Other countries aren't liking the value they're getting and are considering alternative currencies. Japan is worried about the skyrocketing value of the Yen causing their exports to become far too expensive. The Europeans are complaining about China and the artificial low values of the Yuan. Meanwhile, the Americans are printing money as a way to get out of debt. Dillute the currency and suddenly that trillion dollar debt is now worthless.

Here in Canada we're not doing anything about it because we're stupid. The high value of the Canadian Dollar is going to kick our ass very soon.

Gold is going to go up for the time being until new info becomes available. But so far, there's indication that we're heading towards currency wars.

This is due to globalization. A common ground hasn't been reached yet.

One word on inflation. It is a hidden tax. Today you have 1 dollar in your pocket, tomorrow, thanks to inflation, you'll have 50 cents. In a deflation, you might have $1.50............ Buying power for all you '50 cents' out there.

The worst thing you can have is deflation like in your example. A small amount (1-3%) of inflation is considered healthy. It's an indicator of economic progress. Anything above 3% and you've got trouble.

 

[Outsider]

They're gonna print more money! That's awesome! More money for me to stack! I can't wait to get my hands on some of that!

Oh wait, you guys are mad they're printing more money? Ok cool, ya'll complain, I'll collect.

Peace.