This page has been archived and commenting is disabled.
Faber: "1 Trillion Dollars A Month" Money Printing Coming
Today’s AM fix was USD 1,311.75, EUR 959.51 and GBP 813.24 per ounce.
Yesterday’s AM fix was USD 1,316.00, EUR 962.27 and GBP 814.05 per ounce.
Gold rose $1.10 or 0.08% yesterday, closing at $1,315.20/oz. Silver climbed $0.31 or 1.42% closing at $21.19. Platinum rose $2.64 or 0.2% to $1,433.74/oz, while palladium increased $8.50 or 1.2% to $747/oz.
Gold hovered in a tight range today between $1,310/oz and $1,330/oz. Traders await the release of U.S. jobs data to gauge the health of the struggling U.S. economy. A poor U.S. nonfarm payrolls number should lead to safe haven buying that could lead to a breach of resistance at $1,330/oz and gold soon testing $1,380/oz.
Gold in US Dollars - 40 Days
A good jobs number could see gold weakening below short term support at $1,310/oz and a possible retrenchment to $1,280/oz.
The U.S. September jobs data has been postponed for 16 days due to the partial U.S. government shutdown that began on October 1st. U.S. Fed Bank President of Chicago, Charles Evans, commented in an interview yesterday that the fiscal discord in D.C. will probably delay the decrease in the Fed's monthly bond buying which is gold positive.
The market continues to digest the continuing fall in the holdings of the biggest gold exchange-traded-holdings fund dropped the most in 15 weeks as gold flows from London to Switzerland and on to Asia. Holdings in SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 10.51 tonnes to 871.72 tonnes on Monday -- its biggest fall since early July. It is believed that this gold is flowing East to willing and eager buyers in China particularly.
Gold bullion dealers in India are struggling to get gold bullion and are paying record premiums just ahead of the peak festival season next month.
Marc Faber the author of "The Gloom & Doom Report" was interviewed on CNBC's Squawk Box today.
Faber commented, "The question is not 'tapering', the question is at what point will they increase the asset purchases to say $150 billion, $200 billion, or a trillion dollars a month."
Faber was one of the few investment advisers to clearly warn of the coming global financial and economic crisis in the months and years pre-Lehman. His company Marc Faber Limited provides investment advisory services to financial institutions, corporate clients, family offices and high net worth individuals around the world.
Mark Faber
‘QE-4-EVA’ is here to stay, as Faber laid out "every government program that is introduced under urgency and as a temporary measure is always permanent."
Simply put, "The Fed has boxed itself into a position where there is no exit strategy," and while inflation may not be present in the 'chosen' indicators, Faber trumpets, there's been incredible asset inflation - "we are the bubble. We have a colossal asset bubble in the world [and] a leverage or a debt bubble."
There will be massive wealth destruction, he concludes, "one day this asset inflation will lead to a deflationary collapse one way or the other. We don't know yet what will cause it."
Last April, Faber said the world will face "massive wealth destruction" in which "well to-do people will lose up to 50% of their total wealth."
In this morning's Squawk Box appearance, he said that could still happen but possibly from higher levels because of the "asset bubble" caused by the Fed.
Faber, whose advice has protected millions of investors in recent years, warned of a global systemic crisis possibly due to the massive size of the global derivatives market which is now worth over an incredible $700 trillion.
He warned “when the system goes down,” and only plastic credit cards are left, “maybe then people will realize and go back to some gold-based system.” He wisely said that, “I advise everyone to have some gold.”
Gold in US Dollars - 5 Years
Faber has warned in recent months that there could be a flight out of cash and overvalued bonds and into equities and gold.
In January, in response to a question from Yale University’s Robert Shiller querying the recommendation to hold gold, Faber said: “I’m prepared to make a bet, you keep yourU.S. dollars and I’ll keep my gold, we’ll see which one goes to zero first.”
GoldCore’s 10th Anniversary Gold Sovereign & Storage Offer
Click For Details: Gold Sovereigns
@ 5% Premium Over Spot (normally 8.5%-15% premium) & 1st Year's Storage @ Half Price
Offer Closes October 25th
»
- GoldCore's blog
- 34127 reads
- Printer-friendly version
- Send to friend
- advertisements -
Yes of course. Obtain a warehouse and security dogs, then put up razor wire and armed guards. Put your tons of commodities in the warehouse. Pay for that over a few months...and it might get costly. If you are out in the wilderness or country on a large farm then maybe storage of large items, consumables, commodities makes sense.
City life won't allow simple hoarding of large consumable items...they will get stolen, or other people will have issues with your methods. Not enough room or structures to store tonnage in the City.
Modern life...and if you Rent...then your landlord or neighbors may not enjoy your hoarding around them, or if its heavy might crash too much.
If you make it out of the city to the countryside then you will be 'fare game' like Mad Max...so better carry all the time to defend your turf, and make sure your neighbors won't poach your game or stuff. Not easy.
Easier than not doing it.
The city is a death zone - don't be there.
You've never been in business for long, that much I can tell. People who can't see and capitalize on opportunities but spiel out reasons why something can't or won't work never do anything (except make excuses for their failure). In business you have at best a 50:50 chance of success. Most can't cope with that reality, but people with capacity and talent often make it. The incapable and mentally weak make excuses, whine, lose heart and fail very quickly. Just because you'd take such a uninspired and dimwitted approach don't assume others would do things anything like you suggest. They also won't limit themselves to any one approach, or commodity, or asset, like you also so stupidly presume.
I agree Element.
Hope for your success and survival and abilities.
razor blades and cigarette lighters
Tobacco and silk stockings!
Hookers and Beer!
optimist- booze and viagra
pessimist- body bags and shovels.
Mad-max pragmatist:
some bodies conveniently dig their own graves before they are bodies
Others are good fertilizer regardless so why intefere with nature using body bags?
Starting to sound like the pilot's survival list in Dr Strangelove. Not that there's anything wrong with that. I asked a few people in various locations about this and one of the things that came up more than once was typewriter ribbons and paper. Hadn't expected that.
I 'm guessing things like detergent/saran wrap/aluminum foil will always be in demand.
And a great challenge on foil.
Aluminum foil needs immense pressure to roll it out & carry & cut those rolls, and huge amounts of electricity to extract aluminum from molten bauxite. At smaller scales you don't much improve safety or reduce cost - it's a giant battery in reverse, essentially, moving aluminum to one terminal.
I can't remember which one... since Al gives electrons to Fe in thermite I'll guess it's electron-heavy and moves to the anode.
Meh. Google it. I'm at work so I'll pass on the research today
You're on the right track. Cigarette's , soap, TP and WATER-Potable water. Each human consumes at least one gallon per day. If the system breaks down, these will be extremely valuable.
Aside from the heavy stuff that silver & gold & amo might buy, those will go a long way in easy bartering.
http://www.aws-h2o.com/
solar, propane/nat-gas to electric via an inverter, fuel cells... whatever.
Extract water from the air.
Well...Silver is 'poor man's Gold'. And there is Sterling Silver. Pre 1965 US dimes, quarters, half-dollars have 90% Silver.
We are probably "going back" in the future.
Monetary Triangle - Unit of Account, Store of Wealth, Means of Exchange. Ancient truth of what we use for Money, but true.
Fiat may fail on the "store of wealth", that is what we are discussing.
> Kinda of hard to buy a gallon of milk with a 1 oz gold piece.
Only a moron would consider it. Smart folks would use silver.
Real smart folks know that grocery store milk is tainted with toxins and have stopped drinking it and so don't need to consider how to pay for it.
buckbugs are doomed
fuckin shills anyway
<Faber said: “I’m prepared to make a bet, you keep your U.S. dollars and I’ll keep my gold, we’ll see which one goes to zero first.”>
If it is just about preserving wealth via putting it into something physical you can do that via buying 25kg bags of sea salt at market rates. It doesn't even matter what you use to store the wealth in, as long as there's going to be a market and a predictable demand for trading it, over time. Something that people consume is going to be a lot more useful, and valuable, plus easier to unload when you want to, or need to. There are many items that won't 'go to zero', and won't perish or spoil quickly or easily.
OK. Swallow a ton of seasalt and get it across the border and poop it out...dare you.
Diamonds, Gold and Jewels have been transported over millenia and epochs.
Not sure how you carry or store barrels of oil without having some difficulty.
Live on a 2nd floor or higher ?
Own a house ?
These are all issues for commodity storage and hoarding.
Gold is compact, stable, won't burn or rot.
#1 rules change: diamonds are common as dirt & the most elegant gigantic diamonds can be made using compressed carbon gas, unlike past centuries
#2 you can take a boat or a truck with salt, wheat, etc.
If you can only take what you can carry inside you, at this stage of the game, you won't get far. Scanners will detect gold, diamonds, drugs inside you & you'll either be arrested or cut open.
Trekking across borders does not involve any technology. Many have walked out of bad places over the last centruy in Europe. It wouldn't be too smart to walk into a scanner...yes, agreed. Just walk to where you want to go. Gas and flying will probably not be available anyway. There are many reasons to prep and prep in all things.
Food and defenses, precious metals and clean water. Shelter. They are all critical for survival, short-term and long-term.
You'll need a way to carry & store food, water, medicine, tools, etc., if you're walking between countries.
It can be done, it has been done, but might I suggest mentally preparing in advance & financially: finding a way to afford travel to the destination BEFORE only foot traffic can safely get through.
I might also suggest some boats may be required so if you cross that off the list you also cross off a lot of safe havens.
A mere currency crisis is something considerably short of the end of the world last I looked, there are numerous ways to deal with it other than the monochromatic crap you're so mesmerized by. There are thousands of ways of diversifying your options in ways that serve your purposes and needs. If you're too much of a fruit cake to realize that, whatever. Last I looked I don't live in Bosnia, or the Congo, or Somalia, and I'm not likely to need to cross any borders, or eat and crap out a fucking gold ingot. But I did say if you want to get wealth to the other side of a currency crisis, there are many ways to do it.
I totally agree Element.
OK. Please do those and let us know how they work. Not sure why you are so profane, but profanity and abrasive methods must work for you. Hope for your success in the many ways to 'do it'. Simple ways are the best. I imagine if you were in Germany with 25-lbs of salt it would be difficult to leave Germany and get to safer location; on the other hand, if you have 25-lbs of Gold you might find it much easier to travel, survive, and have something when you get to your destination. Personally simple is the best way to do things.
The people with the gold generally do better than the people with the salt.
Look you fucking moron the 25kg bag of sea salt is called an EXAMPLE of a diversification OPTION. I do not have a warehouse full of sea salt idiot, it's to point-out that almost anything can be used to transfer wealth to the other side of a currency crisis, if you are sure a market for it will emerge on the other side and that people will need it OVER TIME.
That was the point, not the bloody sea salt you tool.
Way too many people like you can't think of anything creative as a practical diversification of the options, and all you can do is repeat the same old tired crap you've read on some web page that told you how to think, instead of thinking for yourself.
And you're talking like it's the end of the bloody world. What the hell's with that? It is like the Russian Rubble collapsing, or the euro or pound stirling snuffing, it is not the crack of doom, the world will not end.
Money "stores" wealth. Gold stores wealth, and is considered money. Salt is not money and does not serve the purpose of wealth preservation.
So it is a poor comparison, yes.
today we have freezers & fridges. In the days there were none, salt was much more useful & was considered money.
Salt (sal) is the origin of the word 'salary'
You would be well served to read up on the history of 'money' and how salt fits in to it. With the advent of the internet there is no excuse for ignorance.
Yup.
The ancients.
I agree if modern society collapses to a 4th world then salt will be critical for survival. Like in regions of Africa or Asia, or other countries, today, that are 3rd world or have many poor.
It is not a good contemporary comparison between simple food stuffs and precious metals...you can't eat metals, and salt really isn't worth much these days.
The weight/volume comparison without economic collapse (today):
1lb salt: $3/lb (US), 0.391 l.
1lb gold: $19400/lb, 0.0235 l.
Gold is 16x more compact by volume for the same weight (mass) of both.
Today in the US and western world cities, gold is many times as 'valued' by weight or volume as salt.
Again, comparing food to precious metals is not too useful, but can be done.
I see you're trolling, as no one could possibly be that fucking dumb as to continue on, when you've already been told more than plainly that salt was an example, that the point has nothing whatsoever to do with salt per-sec, and everything to do with having a market at the end for the wealth transfer.
Is it even possible you could be any more a complete and utter cretin?
so I should pay my 1/10th oz gold maple at the troll bridge as I throw a pinch of salt over my shoulder?
Maybe I should just teach them how to make soap.
I am HardlyZero...so I guess I am "zero" which is less than Elementary...Dear Watson !
At least an element is something...I am nothing.
(hardly has two meanings, one means 'not' and the other 'at'...they both apply; a slight contradiction, but its good)
Cheers.
You're much too dumb to be on this site.
OK. I get the impression gold or silver are neither of your elements.
Imminent demise of the petrodollar? Seems the Saudis may be bailing out?
http://www.dailymail.co.uk/news/article-2472680/Saudi-Arabia-severs-dipl...
If Ben Turki has said what he is alleged to have said that is the most damning statement made about Pax Americana. Even Putin has not said that in public.
Ben Turki is a senior statesman who was in the current incumbent's place as head of Saudi security.
Ominous as he is very close to the king.
Remember that Prince Bandar has been reputed a pro American middle man in the relation between USA/SAUDI. He took over from Prince Turki who was a harsh critic of US tolerance of Israel and resigned in 2001 as he felt King Fahd did not heed his advice.
If Princes Bandar and Turki are now on the same page relative to US back peddling in Syria, that means the Saudi hawks and doves are now anti Obama bigtime...that is very ominous and the Prince Ferdinand at Sarajevo moment is not far away if the US allies in the region (guess who) or an agent provocateur takes one of them out to preempt all Saudi determination to go the Yuan route for future payments on oil.
Prince Turki was linked to Al Qaeda and actively promoted Ben Laden as young mujahidin in Afghan in the 80s. Prince Bandar was always anti Al Qaeda post 2001, and so his current support of these radical rebels in Syria shows his position has evolved and he is scared of old enemy Iran forging an anti Saud alliance with the secular Assad clique.
USA's sunni-shia divide and rule Iraq strategy is losing its impetus now, as all three : shia, sunni and secular Islam, are now, although divided amongst themselves, united against Pax Americana inefficiency and about turns, which benefits nobody, destroys arab lands and makes Israel sole arbitrator as local watch dog of oil patch amongst destroyed arab nations (Libya, Egypt, Syria, Yemen and who knows who is next to be subjected to "perverse arab spring").
Uh-oh. This could make things get ugly quick.
We might have to send flowers...or something.
1 bouquet of depleted uranium coming right up ....
if only.
Saudi Arabia breaking Diplomatic ties w/ America could be the "Black Swan/Arch Duke Ferdinand" Moment/Event which leads to WW3.
America cannot/will not, allow the US Dollar to lose its world currency reserve status.
more likely America's predation will focus on "Saudi Regime change" and the rest of the world will cheer us-just like they did in Iraq, Iran would gleefully carve up the middle East with Obama and vice versa, we already turned over Southern Iraq to Iranian leadership.
Iran is the "left" wing of Islam, Saudi Arabia the right, and the Israelis will side with whomever wins.
Its not clear any military can truely support their fiat currency. Recent examples are Libya, Egypt, and Syria.
When dealing with countries that can not be easily entered without huge losses, how is fiat supported ?
Yes, the external areas are 'defended' but internally the countries are total chaos...so then only silver or gold or jewels will be used internally.
How do you force someone to use your fiat ?....these days....?
"America cannot/will not, allow the US Dollar to lose its world currency reserve status." How these days ?
America IS losing it world reserver currency status and are ensuring that they do every day. Gutted manufacturing sector, systemic corruption in political and judicial system, continuous systemic fraud in financial sector ... how does a mega military apparatus change any of it? Answer: nothing ... they WANT WWIII, that way all the crooks have the cover of war to slither out of sight with their ill-gotten gains.
The Petrodollar regime is enforced by the 5th Fleet and nuclear bombs. Saudi Arabia cannot simply walk away from the USA. But things can change. If Iran deploys nuclear weapons, everything changes. We will no longer be able to enforce the Petrodollar as we do now. This is why the Iranian nuclear weapons program has to be taken out NOW. A revolution in Saudi Arabia that overthrows the Monarchy could also be very bad for the US.
You can't take it out - there isn't one.
LOL! Well, in that case...GO IRAN!
when trying to make a point about the importance of investing in precious metals I ask this simple question:
" suppose that you now have let's say 13 100 $ notes and a single gold 1oz coin. You put them in a drawer in your house and forget about it until your son, 15 years from now opens that drawer and finds your stash. Do you think he'll be happier to find the paper banknotes ot the gold coin."?
Considering that 15 years from now those $1,300 of FRN's will buy a loaf of bread or the 1 oz gold coin that will allow him to escape the U.S. I'd say the gold coin.