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BMO Has A Simple Message To Its Clients: Go To Cash Now
In a surprising development, the most bearish, and easily most comprehensive, report that we have read in a long time on the broader markets, comes from Canada of all places, via BMO's Quant/Tech desk. The report's title is simple enough: Go To Cash - In Plain English. Not much clarification needed. Here is the gist: "We advocate switching out of equity positions and going to cash. The European sovereign debt crisis appears to be nowhere near over. The global credit environment is worsening. Cost of capital is going up and availability is going down. There are large gaps between where the credit market prices risk and where the equity market is priced. Equity is lagging the deterioration in credit conditions. Moves in currency, equity and commodity markets are mirroring the moves in the credit market. Global growth, in a credit-constrained environment, will slow. Profits will be squeezed by the higher cost of capital...We advocate a zero weight toward equity, and that investors convert their equity positions to cash."
Full report below, and here is a link to the original report with far more technical data.
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In Plain English: Fucked
I believe that's actually Anglo-Saxon.
Thank you for the correction, my ignorance is lessened.
Should have known the problem was broader than I thought.
Pretty bad when a decent fella can't even get away with a simple expletive isn't it?
You did your best!
Actually the etymology of "fuck" is in question - no definitive explanation of where it comes from and if the OED can't trace its origin ....
The Oxford English Dictionary states that the ultimate etymology is uncertain, but that the word is "probably cognate" with a number of native Germanic words with meanings involving striking, rubbing, and having sex.
Those Germans are a caution, aren't they ? Do everything the hard way; "striking, rubbing and having sex"; too complicated.
http://en.wikipedia.org/wiki/Fucking,_Austria
Learning is fun.
I see it as the WORLDS GVT's, and Banking systems have thrown everything but the kitchen sink at this issue, and VIOLA!.
Nothing is WORKING............bottom line, they are clueless on what to do,and are not willing to face the GP, with the measures it WILL take to rebuild it.
This is what you get when you Globalize everything, and everyone.........there is no FALLBACK position.
Shit is on the menu, and we all are going to eat it.
Public hangings will be in order shortly.
But, but didn't we have a guest poster recently that advocated averaging down on RIG?!
45.15 -4.02 (-8.18%) Jun 8 9:51am ET
Maybe something to look at after the new bottom. Way down there somewhere.
RIG is trading .7X book and GS just put out a sell on it today knocking it down 10%. Would never average down on this situation but am thinking about buying some RIG. If Obummer tries to come down hard on them, they can just take their rigs elsewhere.
how's averaging down and bying the dip working out?
(I for one am glad that shorting is considered an anti-American specualtor tool for the financial parasites by Cramer et al at CNBC)
I can't wait until everything is crashing again. I miss the constant adrenaline rush.
Maybe if we burn FRN at the altar of a local ATM then it will come quicker.
I am Chumbawamba.
Or just burn the ATM.
Dude, who keeps junking you today? Not OK.
As a side note, it is actually a good practice to burn some FRNs every now and then, just to remind yourself how worthless they are.
Isn't there a law preventing the intentional defacement or destruction of FRNs?
Of course, what you do in the privacy of your own bedroom is your business. :>)
Mr. Doo, or may I call you Steaming? I think Johnny Bravo is trolling the post to junk all those who jumped in his face last time. It is a petty thing, to be sure.
New rule: You can junk only after you post!
Yeah, I have been getting junked in pretty much every post as well.
I have little doubt it is the Master Bater, puerile and cowardly troll that he is.
You are being too kind. If he could post something new (or convincing) I would tolerate his drivel.
master bates ..could post his resume'// that would get things really moving .
he could highlight his time as pizza driver.. asst asst mgr , at the local movie house ,, taking tickets selling pop corn and drinks ,
or a copy of his grades and classes taken ,
underwater basket weaving , how to apply for a job.
the guy has nothing ,, he spends time trying to play a part and the idea he has made big dough in the markets ..part time .. is silly on the face. my humble opinion
Bravo / Bates posts his resume, would get junked 20 x a lot faster than my post the other day over at the Peace Flotilla thread!
He seems to be a bit scarce now that gold has had a slight bump.
Hey, I drove pizzas!
sure from time to time .. use a hand full of $100 dollar bills .
you may want to light a cigar,, make you much happier as those 100's go up in flames
let's not jump the gun yet... those $100s still buy a little bit of gold :^)
patience folks - all in good time.
burn ghost money, or "hell bank notes". . .
http://en.wikipedia.org/wiki/Hell_Bank_Notes
love the imagery of atm's with little clay dishes of sand, burnin' those hell notes!
(p.s. +1 unjunk to chumba, yer fan club is busy today!)
How long until Calpers comes in asking for another trillion dollars? That pension fund must be near busted with the recent collapsing of this ponzi market. I smell big time California problems rearing their ugly heads, well beyond of what we already know.
frankly, I don't know what is really holding up Kali, Floriduh, ILLinois, etc. That shoe is gonna fall eventually. My guess is Q3 or Q4 this year.
We've still got QE v2.0 and then QE 2011 Edition. They'll keep this bitch boiling until the meat just falls off the bones.
I am Chumbawamba.
Additional sticksaves will have to be bigger and bigger and the positive effective of the sticksaves will get smaller and smaller with smaller time frames.
Eventually the sticksaves will not work at all... see Europe as an example.
Not saying that there is some sort of line in the sand where things "suddenly" fall off a cliff. Rather we are going to be throwing crap overboard at an accelerating pace here soon enough. Super-duper QE, QE redux, extra-special QE, etc. can only go so far in some areas to provide balance between ultimate Fed goals, public outrage, potential for currency crisis, etc. Chainsaw juggling. Pull up a seat - it's going to be a hell of show. Bring towels, it's going to get ugly.
Frankly, I think they'll all be so busy blaming each other for the problems as no one will want to own it...that's where things will get interesting.
Jon Stewart just jumped the shark. Too bad many Americans consider him the real news. Stomping all over Helen Thomas is not funny.
http://www.thedailyshow.com/watch/mon-june-7-2010/thank-you--south-carol...
Regardless of WHO Jumper all over Helen, she's WAY past the point where she should have been Retired, long ago.
She's a virulent Anti Semite, and a racist/bigot...and has been speaking this kind of shit for years.Just so happened she got nailed with a Flip Cam,(by an offended race) and presto.............popped off once to many, to the wrong dude.
She didn't mention race. She didn't mention religion.
Technically, you are correct. She just said that all the Jews should up and move back to where they were so warmly welcomed back in 1942.
Also, technically, you're being obtuse.
Jon Stewart (born Jonathan Stuart Leibowitz[6]; November 28, 1962[6]) is an American political satirist, writer, television host, actor, media critic and stand-up comedian. He is best known as host of The Daily Show, a satirical news program that airs on Comedy Central… He is the co-author of America (The Book): A Citizen's Guide to Democracy Inaction, which was one of the best-selling books in the US in 2004 (borderline pornography). Jon Stewart was born in New York City to a Jewish family. He and his older brother, Larry (who is presently COO of NYSE [13][14]), grew up in Lawrenceville, New Jersey, where they attended Lawrence High School.[6] -- Wikipedia
Chumba I'm going to speculate a robot is junking all your posts 24x7x365
It's an algo...
Going into long term debt to pay short-term operating expenses is fiscally unsound. Going into debt for 20 years for 3 months operating expenses is beyond the absurd. Nonetheless, that is exactly what Arizona did.
http://globaleconomicanalysis.blogspot.com/
How this makes any sort of sense is beyond me but I'll bet lots of FRN's just dropped from Ben's helicopter this won't be the last time we see something like this.
They are going to fire 1,000,000 teachers....
Leave FLoriduh alone. You may need our beaches to collect oil.
soon they will all be islands and tip over?
Speaking of CalPers, Leo posted this.
Watch quick before it's removed.
http://www.youtube.com/watch?v=6_LfrThHV_Q&feature=player_embedded
F**king Brilliant.
"Now I'll have to collect recyclables."
got past the first 2 parts of The century of the self. The bernay character was worse than hitler. He just kills more slowly.
Pretty amazing stuff century of self, isn't it?
How old is your grandchild? We need a close up of a smiling baby face as an avatar to lighten things up around here. How about doing it merehuman? For us kids. :>)
CognitiveDissonance, your name is a great choice as i see it reflected daily. Akin to living in the twilight zone. Occasionally i ask "Do you still take paper money" and thank them for their folly. There are a few i have made uncomfortable .I am true to my promise to inform all i meet of the condition our condition is in. tactfully most of the time.
I dont get to see him close up. His name is sebastian and i have not meet him nor seen my son in many years. The woman wanted a child, but not the fella. She did inform me and i refused to believe her. After 2 years i lost my place on the menu due to injury and have rarely seen them since. My son thought i was dead and she allowed him to believe that. Now he is pissed as he has found out i am alive. Lol , good lord its a strange life.
I dont posess the computer savvy yet. never done a paste or copy and have a whole lot to learn. But the garden, fighting the good fight with the slugs is more important. i will try. 2 years 6 months.
Thats how i learned when changing diapers when its your own kid the shit aint so bad ! Lol.
Godspeed, mh.
+100
Which branch of the Bank of Montreal would they like me to pay my cash into?
Go to.....cash?
What is cash?
Cash is trash.
Go to money, sure.
Gold is money.
Go to gold!
gold and silver.
And tampons.
I am Chumbawamba.
BITCHES!!
Holy crap look at the market convulse...V-Tac!!!! get the crash cart ready!
I cannot wait
bring it on only then will keynesianism be shown for the croc of shit it is
Me too. Going long oil when this market falls apart (BP, XOM and RIG will be extremely attractive). Hey, I just may listen to Leo and buy solars too - after the devestation
schoolsout
You cajun? From La.
Nah, he's from SC
The root of the problem is the fact that Europe's banks desperately need American dollars. It's a dependency that traces back to the early 2000s, when, in the pursuit of big profits, European banks threw caution to the winds in greatly increasing their holdings of dollar-denominated assets. The total value of those investments went from $10 trillion in 2000 to $34 trillion by the end of 2007.
http://www.foreignpolicy.com/articles/2010/06/02/hold_your_schadenfreude
I wonder what it is now?
Bingo. However it hasn't been since 2000 it's been since 1945.
Something happened in 2008, US consumers stopped requesting new credit from the US commercial banks. Suffocation comes to mind. Europe will be far from the last to fall.
UPDATE:
You can mark my postings has junk, there are no financial islands, well maybe North Korea.
I enjoy reading brain Mako, keep it up brother...
thank you man... i figured there might be one person not throwing tomatoes at me. :)
Mako , shooting the messenger does not help, but they cant help themselves. it would be good if we junked and stated at same time ..why.
Hey, junkers, make your case. lets hear your side!
See my new ZH rule above: No junks until after you post! Fat lot o' good that'll do.
Yes, keep up your interesting posts Mako.
That goes for you too, merehuman!
Everyone gets junked so much now it's like a badge of honor.
Mako, please post one positive statement or recommended act on the coming storm (other than "prepare to swallow") a year? That would be awesome...
I'm not saying you're wrong about anything ...but you make John Derbyshire look like Liza Minnelli when her Oxycotin dealer shows up at the door, and that's saying something.
"Something happened in 2008, US consumers stopped requesting new credit from the US commercial banks."
Why would they? The One was on his way to paying their mortgage, their car payment, and their utilities bill.
If they are throwing tomatoes now they will only regret it more later. Not only will they be wrong in their "this is America it can never happen here" mindset and when the really hard times come they'll be wishing they had even those tomatoes to eat.
Well, I all I can say is this is how it always works. I am not right, history has shown time and time again why the Math ends up failing. History is right, not Me.
Humans have choice, but they keep choosing the same thing expecting a different result... the results will continue to be the same no matter how they repackage the lies.
Mako , its time for me to reup my CCB lic. this month. If i dont then i am out of business. It s a hard choice as i know i can pick up work and remain legal since many compatriots have folded. But if the government fails , what does it mean for me to be legal? Its all pointless as no one is building or buying houses now and every year i work i go deeper in debt to the IRS. Again pointless to give part of my sweat to others so they can fuck me with inflation and non representation. Its more like a mafia system.
I am out! While typing this my decision finalized. After 30+ years in business , no appointments, no more falls of scaffolding, yeah!!!
I look forward to panning for gold in my most excellent state of Oregon.
Mold country. You can smell the earth and its good! beats hell out sniffing the Gulf.
Oh , Beware the slugs will eat your garden crops. Beer has been working real well, but they have killed the early potatoes, radishes and carrots. Replanting today. Just saying so you all dont think its too easy to feed yourselves. We have only gotten one sunny day in ten and thats hurting growth also
congrats on moving away from the suffocating system, closer to reality!
the lack of sunlight is definitely taking a toll on the gardens, another system coming in tonight apparently. . . try copper barriers around your garden - depending on your layout, foil might work if it's a raised bed, or a circle of pennies, or copper pipe (maybe a find through your builder's network?) - the trick is to keep it polished, so as to shock the little buggers!
Broken egg shell and sand barriers work too. Surprised about your radishes, with 21 straight days of rain, mine are busting at the seams and HUGE! All my hot weather stuff is suffering from lack of sun though. Berries are having another blockbuster year, TONS of bloobs and rasps.
My tomatoes are doing great, as is the corn. The squash is just now running. I found a new variety (for me) of tomato -- African Togo. Very prolific and neat looking. The green onions will be delish!
Agree
Mako,
Yeah, "Something happened in 2008, US consumers stopped requesting new credit from the US commercial banks."
It's called an Election, and BHO's FAR left agenda to empty ALL our bank accounts,bring parity to us equal to Mexico, and kill the economy.
People are not, have not purchased like they would, if they had a CLUE how HIS F*%^&$% up fascist policies will hit them......
Fear of the unknown will close many a wallet...............sure did mine.
The details of his Health Scam, are just beginning to ooze out.........
He is basically nationalizing everything he's bailed out..........why would anyone want to HELP him do us in?.
Except for the Uber Left he has surrounded himself with,his ratings are like a turd swirling in a toilet bowl, and he continues to PARTY down weekly in the Peoples House, while 30+million are out of a job.
I don't know anyone who is:
-- borrowing money (far any reason)
-- starting a business
Hope and Change.
I am spending less too! I will soon sell stocks that have long term cap gains. Next year I will start selling my losers to offset income. Hey, I'm just doing my bit to save my butt and bring 'er down.
Further comment, it sure does seem like Obama partying very much like French Royalty right before their Revolution over there...
+1000 - very odd, that behavior.
http://av.r.ftdata.co.uk/files/2010/05/eurodollarbasisswapbig.jpg
It's the same thing that happened in the 30s, UK peaked, reserve currency of the world. Rest of the world suffocated, collapse eventually liquidation.
And we know what itook to get us out of that cycle............WWII.
I think the Suez canal/Nasser debacle had a little to do with Britain’s down fall as well. Hastened it at the very least
yes and if you owned gold in Germany you made a fortune and if you owned gold in the US you also made a fortune
O/T, the vix is down??? What??? Todays market is manic already!
This is good advice and I whole-heartedly recommend it.
I can't help it. Why Canada, "of all places"?
Because Canada wisely protected its national interest keeping its banking system "boring", the way a sensible banking system should be?
And this, "of all places" is where insightful analysis should come from? The nerve of those backwater hicks!
Canada will be imploding with the rest.
Eventually there will be no musical chairs left and everyone will be just standing there looking at each other. Of course the system will have to go into liquidation mode.
Unlike the 'barbarous relic' (which Canada can easily mine for anyway), and the barbarous fiat relic ($USD) energy is the true currency of the world, enabling all economic activity. There are an estimated 1.7 trillion barrels of (currently) economically-recoverable oil in Alberta. That's 51,000 barrels of oil per person.
Whether they're priced in $, EUR, Roubles, Yuan or monopoly money really makes no difference.
Plenty of oil and energy in the 30s, no demand as the credit system collapsed.
Plenty of land, farm equipment and labor... but no demand for food even though people were going hungry
In Europe, they went even a step further... they farmed and dumped food in the sea to get prices to go up, at the same time people were onshore going hungry.
Once the credit system really starts to get busy collapsing, you will see all the ones sucking on the global credit system go starving just like Europe is doing.
+1, has nothing to do with resources when credit collapses. Flawed system = inevitable fail, despite the "real" wealth (resources). It is a collapse in velocity of money on a debt-saturated system.
The collapse that will happen is probably not going to be worse than what happened throughout eastern europe in the 1990's. Probably the most dramatic collapse happened in the once-prosperous Yugoslavia that descended into outright warfare. Doctors that made the equivalent of 2000 DM a month saw their salaries drop to basically nothing in the ensuing collapse and hyper-inflation.
But, the areas not directly affected by war did not encounter mass starvation or mad max style anarchy.
Now, nearly 20 years later, Serbia still has rich agricultural land and a strategic position on the danube and the sava. Croatia's hundreds of miles of pristine mediterranean coastline remain. And life goes on. Normalcy is slowing returning to the area.
If the balkans can survive the collapse and subsequent war of the 90s, I can't imagine how euroland and the US will fare worse. Centuries of history suggest otherwise.
Aren't all comparisons to previous depressions moot? When has the entire world's economy rested on all-fiat currencies? And then collapsed?
This is a science experiment that has never been conducted.
For now mining and resources account for about 5% of GDP and banks are about 21% so if we think all those financials will go down we will have speed up digging and polluting don't you think so? What is the cost of doing it?
Looked at Canada's RE bubble lately? Yes, it's happening.
Agree. The real estate market in Calgary is showing signs of extreme stress. Listings way up, sales way down, and price reductions being emailed to me every 2nd day. This is very odd for a spring market. Canadian personal debt levels are much worse than our southern neighbours. We will not be spared.
A gree Canada is in better shape BUT just because you are sober in a car driven by a drunk does not make you safe.
that isn't just a Canada idea either... ice on the roads and fog ahead...
+100
"Because Canada wisely protected its national interest keeping its banking system "boring", the way a sensible banking system should be?"
Never heard that government bought 75 billion of mortgages from banks? Multiply that by 10 (to compare with US) and you have 0.75 trillion of support for infallible Canadian banks.
Not to mention exorbitant fees and horrible customer service . I never said I liked the Canadian banks, but they are generally stingy, conservative and old-school and this is far preferable from a financial system run by a bunch neo-aristocratic* dick-wavers.
* I don't know what this word means but it sounded nice in my head at least
You can count on Chinas southern state, Australia will be in on the collapse.
In last 3 weeks in Melbourne house auctions have stalled buyers have run away. Housing here is 500k and average income 60k a year, yeah no bubble here says the RBA. LOL
http://www.theaustralian.com.au/business/us-hedge-funds-dump-australian-bank-shares/story-e6frg8zx-1225875702144
So true, everyone is a developer these days (STCA)
Buy land in insane places. You will have somewhere to run, cultivate and safety. You will offcourse need a bear trap and a giant canon for bigfoot.
and i hear lightly peppered bigfoot lightly browned on a spit is devine.
makes good jerky too.
You have that exactly backwards from Bigfoot's perspective.
"Mmmmm, tastes like chicken!"
I am Chumbawamba.
yeah, i imagine so. but bigfoot were to devour me he would certainly meet his sad and untimely demise by one form of food poisoning or another...
I was all excited about my little island with plenty of sea food, but BP might have fucked ta plan all up for me.
So are Chavs the British version of white trash?
That Amanda Drury, blonde hair dark eye make up, reminds me of high school.
So trying to refresh the page is re submitting my post oops
Triple post, wtf
And the hits keep on coming. All we need is for grandma Jones to tell us she sold all her stocks and is 100% cash right now. :)
Ignorance is bliss. How I wish to be hit on the head. I am sure my wife will volunteer.
As a babyboomer I will certainly support economy with my spending after your pension reform proposals are implemented. I will have big bundle of money and borrowing power (like the rest of Babyboomers) to buy houses for last few years left in my life and by all those crappy things from Dollar stores and Walmart!!!! I'm really happy and looking with optimism into the future.
In the world we live in, pessimism is just realism in fast forward.
This piece acknowledges that, as credit outstanding currently swamps the economy, we must look to the credit markets, not the economy, for signs of stress. The economy is now a lagging indicator, predicated on how easy people and businesses can access credit. Spreads narrowed dramatically from March '09 through March '10, but are deteriorating again, with the epicenter now Europe, with Asia now feeling the pain as well.
This is a very well constructed piece, with a great deal of compelling evidence. The lagging economic indicators, like jobs and small business sentiment, are irrelevant. Credit is the only thing that matters, and credit is signaling that risk currently outweighs reward.
How are those Chinese solar stocks holding up?
This photo is not soft porn!
Must be an imposter Leo posting.
http://www.youtube.com/watch?v=BVn-jmCi4zI&feature=related
http://www.youtube.com/watch?v=xhkmDHLCUEs&feature=related
I ran across this and felt it might be something to try for MS Leo.
I am tired of this bullshit analogy.
If you are drinking from the glass, it is half empty.
If you are filling the the glass, it is half full.
I can't tell you the full financial picture about a company from its balance sheet alone, I need to see the income statement and cash flow statement.
And by the way, the realist would say that glass looks 50% filled with water and 50% filled with air. If only we started teaching our kids to think this way. I cannot judge whether its half empty or half full.
Actually, its time to go to the REAL cash i.e. Gold.
GG,
Gold hitting new all time highs in USD today and we still see the same worn out cliches and arguments from the gold bears. I have given up trying to help them. I ignore all their mindless blather completely now. A total waste of time. Best wishes....
It was/is PERFECTLY PREDICTABLE (if you REALLY know what's happening i.e.), yet many will claim they were/are "surprised" by it.
When you spend your entire existence studying lines on a chart then you naturally start to see things linearly. That's the problem with these TA Jockeys. They think the lines have a pure logic all their own and will never let them down.
You know who also thinks the lines they observe will never let them down? Cocaine users.
I am Chumbawamba.
Maybe (I've never been convinced about it) those trend lines had some meaning in the past but now with all those big guys playing government tune how you can even think about looking at them, there is no sense at all.
All ZH-er complain about government playing markets and still trying to find something meaningful in those beautiful graphs.
Long-term analysis with TA makes sense as the manipulation can be teased out of the dataview, and it is still useful for short-term (like intraday) tracking but in general I agree. TA does not take into account the massive fraud and fixing of the markets that is now taking place on a daily basis.
I am Chumbawamba.
I understand your point.
But if I were the Fed or Treasury and I was trying to move markets in more subtle ways, I would make sure I influence them in ways that would confirm TA, thus I could get the TA herd to jump in or bail out at certain times and magnify the effects.
If I were trying to move the markets and I was the Fed and Treasury.
You are right and they are doing it but in this market, thanks to them, you would have to change code every day to account for their own actions. It's so distorted that there are not able, even with the best programmers to do it anymore. Analysis of action and reaction takes time and at the time they arrive at some conclusions everything changes! Meanwhile they have to react to whatever happens, relying on old premises, and making bigger mess. I think they're slowly falling behind and getting out of sinc.
"....you would have to change code every day...."
Good point.
Silly me, I was thinking only of humans. You know, those biological machines that can quickly alter their own programing and adapt to new situations on the fly? :>)
nothing silly about it...
they 'confirm' the patterns to hook you in, then break it out to soak you...
i completely agree with your thesis that it's the players being played.
it was a hard but worthwhile lesson learning that limit-buys and stop-losses are the market-maker's way of seeing our cards.
no graphs for barter/physical possession
GG, i think the term in vogue is 'unexpected'
Got nothing quanitative to back up my opinion - just a gut feeling that the gold trade is really crowded right now. I might kick myself later, but I sincerely think there will be a better entry into most PM's coming soon enough. Holding for right now.
The REAL "crowded" trade is the dollar. Just think about it: practically the whole world is holding dollars - how many are holding Gold?
+1......I've given up on trying to educate my family and friends on gold!
My broker said this and my broker said that. Their broker is only going to make them BROKE!
They need not knock on my door later; go see your broker....door slams!
No need to be so harsh!
I plan on handing such people a nice collection of major US financial stock certificates --- Lehman and AIG are my current favorites --- along with a small bundle of $10,000 bills (soon at a bank near you!) that may be enough for them to buy a roll of toilet paper or two.
I know only 2 others who have physical non-jewelry gold.
Well, now you know Three!
Ah..don't junk the 24k jewelry gold holders. There's a lot of old world hoarders in that realm. The beauty of it is, it's not taxable when you sell. It's jewelry, not coins. Big difference. I'll keep that extra 28%, thank you. Buy the 1/4 or 1/2 or the one ounce bangles. Go to the Vietnamese, Chinese or Indian jeweler and then sell it back to them. Get the plain jane vanilla variety.
The crowded trade is credit...debt in USD's. When the margin calls gather steam so shall the scramble to cash begin.
Your problem is that you're looking at it as if it's a "trade".
It's not.
I am Chumbawamba.
Not really. Poor choice of words on my part. Just gambling I get a better entry so I get more of the shiny stuff.
Well, you're right. There will be ups and downs, and the swings will get larger as time goes on. It may be at $1,500 and go down to $1,250 intraday before recovering. But I wouldn't wait. Buy on the dips and do so often, as often as you can. Supply of the real stuff is running out.
Don't be Tim LaHaye'd.
I am Chumbawamba.
my 80 year old mother in law,, went into cash several years ago..at $320 gold ,,
she lives two blocks from the coin shop .
she is a happy camper. even bought a little GG stock at 7 bucks ,, now 45 .. she smiles all the time
If you do not have ANY, I would get started right away. Meaning now!
I have bought gold in small quantities for decades now. US Eagles, 1oz.
Give me the keys Lisa, I'll drive.....
In the meand time - WASHINGTON (AP) -- Federal Reserve Chairman Ben Bernanke said Monday he is hopeful the economy will gain traction and not fall back into a "double dip" recession.
"My best guess is we will have a continued recovery, but it won't feel terrific," Bernanke said
If you want to see some of his past "best guesses" watch this short video. . .
http://www.youtube.com/watch?v=HQ79Pt2GNJo
He is as psychotic/clueless as his predecessor.
Man I'm really confused. I understand the "go to cash" argument, but what if you have gold equities? Will they drop as well? With gold reaching new highs, will Gold equities drop as well?
Dude the hard stuff in hand is much better than seeing it on paper (in every sense on my comment).
Only holding the real metal counts at this point...equities will VASTLY underperform the metal (if they are not obliterated along with the stock market i.e.).
ONLY HOLD THE METAL.