Where? As long as it is investing. If politics, my time does not allow it. Have to wait till retirement.

Dan is a bright guy!

Agree with your second to last paragraph.

BIRD……thanks for the thoughts concerning spell check . I dropped my computer, so I am unable to utilize the convenience. I will have to be more careful in the future, in my attempts to communicate to the general public.
As for checking for perfect spelling, my time is worth more than the time required to consult WEBSTER., each and every time. I am much more concerned with the message and thought , than the spelling , since I am constantly reading the 1605 King James Bible, which is OLD ENGLISH, old habits are hard to change…. ……..You might get a copy , there are some great messages which you might find beneficial in you life long journey through this world. There are some great quotes and saying , and heck you might even get a chance to correct some of your devilish tendencies.
Your friend in need………………………………………………………j………

some more great comments concerning HSBC…..at kwn………..and the 7 VAULTS BEING CLOSED………..

Did kind of wonder about that L P G!

It’s all good CFS.
Best,
LPG

Birdman,

Thanks for the added point re: synagogue in Egypt.
Good to know and thanks for correcting me if I point something which isn’t accurate.

Best to you,

LPG

I am afraid I have to argue with you on point number #3, LPG. I was in Cairo and visited a Synagogue which was once a tourist site according to guidebooks. It is now closed and manned by armed guards day and night (for security reasons they say). Pictures were forbidden and the security men threatened to take my camera when I persisted in taking a photo from a distance. There are not any operating Synagogues in Egypt at this time to my knowledge. See the link below where it details that the last one that was operating in Alexandria has now been permanently shut in 2012. And don’t even mention churches which are much more common. The mood there is quite sour towards Coptic Christians.

Egypt Shuts Down Last Jewish Synagogue
http://www.frontpagemag.com/2012/dgreenfield/egypt-shuts-down-last-jewish-synagogue/

Reposting here as I posted up there by mistake.

*****

Birdman,

Thanks for the added point re: synagogue in Egypt.
Good to know and thanks for correcting me if I point something which isn’t accurate.

Best to you,

LPG

Not older than me!

thank-you Ebolan

I was curious one day and went and looked to see if they had any books on Nicolas Tesla and they didn’t have a one.
I thank you for the recommendation on The Creature from Jeckyl Island.

I guess there was a group of lawyers looking into why Ron Paul votes never got counted.
I never did hear what happened with that.

Just curious about why YOU keep mentioning it all the time.

BIRD………I assume your answer is NO…..

So basically you just keep saying 1871 and don’t know why its important to you? You are one strange dude Jerry but each to his own. You just seem so obsessed about it that I thought maybe there was a personal reason. Have you talked to the goldfish about it?

By the way, I did read up on it………and its total crap.

J,,,,,,THE LONG ,,,,,,,OOTB ! AND BIRDMAN ! LOOK 8 DISS AND ANSER ME TANK U ! https://www.youtube.com/watch?v=j0XobMAloVw

Bird,
We agree that it’s crap. That’s why we want to repeal it.

If you are saying it’s crap, as in not real? Your full of crap.

BIRD…….So, you read it , …..We what did it say……….

Bird …..can not answer that one Chartster……..

Bird…….Your insults only show, your lack of knowledge in the subject matter….

BIRD …..You said you were curious…..why I mentioned it,…. if you knew anything about it , you would not have asked to begin with………………

Bird…….btw………..I posted the answer to your question……..1871….LAST WEEK..

OK, relax you guys. I only meant its a bad deal for you Americans if its true. Shorthand version I said its crap (as in the deal, not your objection). But I read quite a few documents and don’t see much official backing up the assertion there is such a big difference between of and for. Maybe the problem is in the interpretation and the change is not quite as earthshaking as some of the writers imply. I really don’t know. But like I keep asking, why do you guys care so much? Did it cost you money or something?

BIRD….You have not read, or you do not understand any of the documents which the forefathers created.

Oh yeah, what the hell was I thinking. And remote mind control, and anal probes, Donald Rumsfeld, the Queen of England with double eyelids and of course the Bilderbergs, Council on Foreign Relations, Rothschild conspiracy and Jekyll Island.

Shoot! I almost forgot about gold suppression and the evil cabal of Bankers.

Did I forget anything?

Yeah Bird, you forgot the Lubbock Lights!

Jekyl Island?, what the heck is wrong with the Jekyl Island story?

Meeting was true…conspiracy to control the world is bunk (in my opinion).

I could be wrong, but wasn’t Jekyl Island when the bankers decided to buy all the newspapers? After they realised how inexpensive it was to do.

Did they put a gun to everyone’s head and make them read and believe too?

I mean, where the hell is personal responsibility anymore? Is it just a blame game and we are all led around by a few guys too smart for the rest of us? This is insane. The public did not get dumbed down. They were just lazy and indifferent. That is their fault. Nothing ever changes in all history and the sheep will always be led because that is what sheep are intended for.

Good point, did people really need to be “dumbed down?”
I guess what is ment by that is they just believe the BS they are told.

You get me.

Everywhere we turn it is the same repetitive blame game lately. The stories on the internet on virtually all the side-stream websites are the same idiotic formula. The Bankers are to blame…the Fed is to blame….the Government is to blame.

It is a total f**cking bore and I am getting sick from it all.

NOBODY accepts personal responsibility.

All I read is how the Rothchild’s or the Troika or the Obama or the 1% or the martians or the Democrats from outer space are doing something secretly bad to us and we are all getting screwed. Apparently because they are all a whole lot smarter Chess players and we are all too stupid to understand the game.

Maybe that’s what really upsets me about KWN. The very essence of the show is that there is a conspiracy of smart powerful people working behind the scenes to steal our money and our dignity. No real facts either other that flimsy little pieces of driftwood that the weak minded cling too in a storm. Just blame and accusations.

Our own Gary Savage does it too. He drives me nuts with his idiotic conspiracy ideas and does not see the inconsistency of saying on the one hand that the Fed has our backs while on the other asserting they are robbing gold investors blind with market manipulation and machinations.

Too stupid for words.

But you know what bb? When we accept all the loser blame game theory what we are really doing is admitting we are weak and lazy. That there are people who are more discipline and intelligent that us and we are not even worthy to play in the same sandbox

I just hate it like poison. It is why Gold-Bugs disgust me so much. They cry victim from dawn till dusk and not one of them ever thinks maybe they made a mistake or maybe they just don’t understand metals and commodity markets.

So since they can’t learn therefore everyone is against them. How can they lose with that philosophy? Just blame, blame, blame. They cannot even be bothered to learn the basics after reading sites exactly like this for years on end where excellent advice was offered for FREE!!!!

Guess I am just saying they have to grow up and stop being so infantile.

I have tried to post this three times. Not sure what is wrong.

Okay to summarize what I said about an hour and a half ago.

Most people are not willing to take responsibility for their own actions – True! It is always somebody else’s fault.

Investing and most of life is simply a chess game. A person better be in the arena where they can play the game with expertise. Simple as that. No more and no less!

lol Too funny Bird.

Alberta has to run a deficit for awhile, lots of discussion about what to do about it.
Jim Prentice, the guy that wants to be premier says everyone is to blame, all Albertans, we shared the benefits spending to our income.
Heck he almost got himself hung. lol

Well I have bb, and they have great taste is good red wine!

Yeah, it’s too bad Al. Getting to the point I can hardly read some sites anymore because the story always reads the same way. Sorry about the rant by the way. That one really flew off my keyboard and got posted before I put my brain in gear and reviewed it. I should not have mentioned Gary since that was a little unfair. Feel free to delete it….sorry Gary!

Your comments don’t get dealeted.

OK thanks Al….but there are a few I regret because they were spontaneous outbursts. I kind of feel bad about picking on Gary is all because I really like the guy and think he is pretty bright.

Yeah…no thanks! Ha!!!!!!!

Building 7 fell because it was very poorly constructed.

lol, you mean it wasn’t a fire started in a waste basket?

Honestly bb, I have no idea. Maybe it was just old.

Controlled demolition Bird, same as the towers.

I swear man, I was not there when it happened. All a coincidence.

I read a long time ago……..do not keep your gold in a lock box in any US BANK.
But, you did mention Canada, so , I hope it is ok.

Lawrence…you have a lot of confidence in being protected from others. What happens
if the bank has a derivatives melt down? Are They Going After Safe Deposit Boxes?

http://armstrongeconomics.com/2013/09/08/are-they-going-after-safety-deposit-boxes/

Canada is fine Lawrence….if you are a Canadian. I would not think that safety deposit boxes are protected territory for foreigners though. Not with the new Fatca regulations anyway. I kind of suspect you could not even rent one with an American passport although I would have to check on that.

Bird…….”I would not think” you say………Problem number one.

You not supposed to use safe boxes in Canada for PMs either, need to read the contract you sign when you rent them. Slightly different at different banks.

Not sure, but since that economic action plan and the banks own your money, they might own the contents of the safety deposit boxes too.

Maybe your problem is because you have a reading, writing and comprehension problem. But that aside, here is an answer to storage of gold, cash, currency and coins from TD Canada Trust that might answer your question.

“Use of safety deposit box – You will not store in the box currency or legal tender of any country or jurisdiction, nor use the box for any purpose other than the storage of valuable papers and property which do not conflict with any laws, rules or regulations regarding fires or health or which are, in our absolute opinion, a danger or nuisance. You will not mark or deface the box in any way. You may not assign,
sublet or transfer the right to the safety deposit box or access to it. We may immediately terminate your rights hereunder upon any breach of
the terms of this Part E of the Agreement”.

And here is a thread from the bank that confirms the above without explicitly discussing gold. I presume that gold is considered cash, currency or money in the banks interpretation but it is left open for unknown reasons.

Can I Keep Cash in My Safety Deposit Box. — TD Canada Trust
http://www.td.com/to-our-customers/tdhelps/#psce|cid=871|lid=1|tid=001|vid=c032fe22e

Thanks Bird

My comment was for Jerry OOTB by the way….not you bb.

Bird , you are to funny………..Your mind is devilish as I said before….

I disagree on that one Jerry. He just believes other things. So what?

Go back to your bible.

I guess that you are talking to me.

I still believe it. Certain players are just evil!

Bird……that is the smartest thing you have said in a week.

Thanks for the information. I think storing gold is fine since everytime a bank clerk have been beside me.

I personally don’t. If the shtf, I want precious metals in my possession!

No Al, that remark about going back to the bible was my retort to Jerry. How did you manage to post a comment inside our conversation btw? I can’t see a “Reply to Comment” anywhere on the thread except at the start.

I have no idea.

Must be a SIGN………..lol

Good morning Bird.
I see you are out trolling….and in good spirits I hope…… A spiritual awaking is required, which would be the beginning of understanding…….In the beginning, God is the authority, and passes the authority to a ruler, to protect the good from the evil.
Your mind only works with a devilish intent, as is recorded in about every conversation you have with everyone here, that is in favor of FAIR WEIGHTS AND MEASURE.
You my friend , have a lack of understanding , why a group of people would want to have FAIR WEIGHTS AND MEASURES. When a corrupt govt,ie fed, bankster, HSBC, MSN, OBAMA, try and STEAL, GOD GIVEN RIGHTS, AS given thur the CONSTITUTION, BILL OF RIGHTS and THE DECLARATION OF INDEPENDANCE. GOOD PEOPLE , which were given these RIGHTS OF …..FREEDOM FROM GOD….NOT MAN get a little excited.
When man and an institution attempt to extract, steal, cheat and lie…through a SYSTEM, that was not LEGAL to begin with…….The people moan…..
Starting with ROMANS 13……it is written, that we are to respect authority, God given authority….Which is the BILL OF RIGHTS AND THE US( not the US ofA) CONSTITUTION.
Notice I SAID …..US….not the US of a…………..which was changed by the ACT OF 1871.

sorry…..FREEDOM OF …NOT FREEDOM FROM….
sorry for all misspellings, and actually I punched the submit button before I was finished

Ps………Sorry that I would expect you to have any knowledge in regards to another country’s rights and agreement…………..I do not know a thing about AFRICAN LAW, so, therefore I am sorry for that my lashing out might have offended you……….j

correction no. 2…….forget the correction that stated FREEDOM OF…,

AND JESUS …….turned over the TABLES OF THE MONEY CHANGERS.., which is the first acknowledgement ……that fair weights and measures are expected.

OK Thanks Jerry. I am getting a better idea of what you are talking about finally. The explanation helps. It was all I was asking for.

I concur completely here.

Ha, you picked this up. I thought you are better than this. I started investing in gold silver since 2004 when gold was 400 and silver was $7 in US$. In Canadian dollar it was around 15% higher than those. I always buy more when price is low and sell some when price is high. So my investment is dong fine even though not as well as I hoped. My fundamental theoretical base is on the money printing by the central banks. They have no choice but print because they screwed up in the and still doing so. . They certainly have not disappointed me. Money printing leads to inflation and PM price going up has been proven right for the entire human history. This can not be covered up by a few years’ derivative creation and selling of official gold reserves. The real problem is impoverishment of general public by the elites using financial repression scheme. However the general public are totally unaware due to the indoctrination by the people like you. People seem numb to the debt and derivatives in every level and not realized they are on the hook for these, all because of people like you, you turned media into giant brain wash machine. Now you are doing it to this alternative media. Martin Armstrong might be right, someday people may hang bankers as they did before. I sincerely hope that we do not follow Nazi Germany’s example.

BTW, I have invested in many areas, PM is only one. My real estate, stocks, China investment are doing great.

Good post J…..Long…….

Chartster…..thank you ….appreciate……..j.

You said I was a banker Lawrence. I did not say that. It’s a little tiresome that every time somebody makes a counter point to what some of you guys write that you immediately call me evil, a troll or a banker. What the f*** is with all the name calling and false accusations anyway. Can’t you just have a disagreement anymore and move on?

Some of you gold-tards seem literally insane from where I stand. And you call yourselves men of science!!!! What a joke.

I for one like to hear dissenting views. For me gold and silver is a hedge against all the money printing that’s been going on and my bet that it will continue. Its not an investment as much as insurance. I have it to hold from 5 to 10 years that’s why I don’t really care to much if it drops some.
But if does go up before 5 years, then I will be claiming its an investment.

Thanks gregd, my thoughts exactly!

Thanks Greg! Some of these guys just seem to insist I drink their Kol-Aid though and then they start hurling insults at anyone who disagrees with their narrow conspiracy view of the world. Like we should all think alike or something. Maybe they want to own the internet and control all the thoughts that come in…..so no dissent is allowed for gold bugs. We have got to tow the gold-tard party line or we won’t fit in.

Honestly, I really don’t care what most of them think. Their minds seem warped.

Everyone is different and believes different things Bird. You know that!

I think I did not say you are a banker since I don’t know. What I said is the people like you. It is a force involving many people. Not every banker is bad. I have several bankers who are regular people like me. They don’t make as much money as I do. What I mean is in a generic sense. A group high level bankers who buy out and control politicians as well as many countries. I am sure this is what people mean by bankers (should we use banksters?). Banker is not by profession, it is a combination of big money and politics. I just follow a convention.

Agree Lawrence.

Remember I too was once a banker!

OH NO OWL…………YOU ARE An X MONEY CHANGER……..now we know the real problem

Darn it Jerry, please quit placating the guy!

That was worth repeating.

Gold Tards!

BIRD TARD,

BIRD TARD….re …peat, the tweet

Tweety pie….you know we lov ya………………

YO FRANKY…………WHAT MESSAGE WITH THE CRAZY VIDEOS ARE YOU TRYING TO SEND YO ????

BUY GOLD AND SILVER MORE COMING !

BUY GOLD ! https://www.youtube.com/watch?v=XJtLHtffZvw

You may not have seen it, but I did. I happen to love that song.

Ebolan,

Good stuff. Mr. Harris has a brilliant mind and clearly a very deep thinker. He’s superbly skilled in delivering his thoughts cogently in a very laymen oriented format.

What a fascinating high IQ individual.

🙂 🙂
Once again Dave you nailed it. I sent him an email and told him he was a ego maniac…

🙂 🙂 🙂 But he will say you are wrong. Of course!

Putting that aside, the world really does not need anymore of Bob’s open racist anti-Israeli propaganda. I don’t know who pissed in his Cornflakes but his remarks are starting to rub me the wrong way.

Yes, that is the worst thing to do, buying when there is fear in the air.
The only reason to buy is because it is cheap.

Buying on fear, usually marks a short term top. Buying when fear is in the air costs you money.

The question is can gold below $1000.00/oz.? Certainly it can. Will it? I don’t think so.
Are you mentally prepared if it does? If not, don’t play at all or buy less. Buy what you feel comfortable with and no more.

Just realize that Mr. Market has it wrong. Think of all we’ve been through in the last 15 years. Gold peaked at 1900 and silver 50. At the climax of fear. Systemic failure, wars, Iraq, Afghanistan, Libya, Egypt, quantitative easing, zero interest rates. It was all there for a top.

At current prices the environment reminds me of a price low. World peace around the corner (peace with Iran) gas prices at 15 year lows, silver in the teens. Think about that one. Think about all that labor, to search, find, excavate, clean, refine, stamp, and package for sale. And buy a silver eagle for under $20 per. That is cheap. Period.

I could care less what any technical chart says its time to hold what you got and buy a little each time it drops. And ignore everyone.

ALL TECHNICIANS, and I do means all, ALWAYS change their lower targets. anyway. Whatever price their lower price target is, when that is breached, provide an even lower target. It occurs in any and all markets. So what are they then? Are they technicians, or trend followers?

Buying the nasdaq at 5000, is that cheap? I could care less what any technical chart reads.
Is it in expensive? It certainly isn’t cheap, and everyone knows it. But those money managers know they are smarter or faster than the next guy, so they play the game.

But since we are at the greater fool point of that market you must ask yourself, is this a smart thing to do? Money is a store of value. It represents labor, either physical or mental. Is it safe to put my blood, sweat, and tears in this asset.
Is there a sucker out there, that will buy it from me at a higher price if I buy it today?

Sooner or later gold and silver will catch a bid when those either manipulating the market lower by naked shorting or those who are long stop selling.

It turns when those who are up to their eyeballs in stocks, bonds, real estate realize they are putting way to much of their blood sweat and tears into stocks, bonds, and those type of assets. They will ask themselves, do I really need more of this? Is this smart?

Out of favor assets like gold and silver are exactly that. Do you want to buy at 1900 or 1170? Silver at 50 or silver at 16?

Good luck.

Just out of interest, off topic I guess.
But in 1933 when Hitler became chanceler? The germans offered to the German Jews an opportunity to move to palistine.
Depends on who you read of course but what I have been able to figure, is a Jew would deposit his money in Germany, that cash bought farming equipment in Germany and was shipped to Palistine and sold there. The money and profit of the sale would be givin to the person that deposited it in Germany. There was a treaty between the German government and the Jews for this. I forget he name. Was profitable all around I guess.
Anyway, this went on till about 1941/2 until the Germans needed their ships for the war.

I have not heard that one, bb. Any documentation?

Probably best if you and I don’t discuss this topic because there is going to be fireworks bb.

lol, fire works are a good thing. You can blame me for finding this out and mentioning it, but I didn’t come up with the treaty, “Haavara Agreement”.
Researching it you do find some discrepancys, but the over all gist is the same.

Another note, I found one big reason Hitler didn’t like Zionists was their roll in getting the Americans into the first war.
Im not trying to promote Hitler here, Im just sayin, stuff like one of Hitlers drivers was a jew and personal friend of Hitlers for example,thats something you never hear, not everything we hear from the victors of any givin war is entirely accurate.

One of the biggest lies for example, by the Americans, they won the war. How arrogant.
Anyway, not everything we hear is true.

Just for fun, another reason Hitler didn’t want the Jews in Germany, they controlled the banking.
The Vatican bank played a big part with the Nazis, and it was Mussolini that returned the Vatican to Italy.
Darned fascists.

Some truth to that, but a bit simplistic bb. I believe that Hitler had much larger and more evil reasons.

Regarding the Vatican, I am very sorry to say that I believe that was the case.

Sounds like you don’t agree with Bob M!

Mr. old and wheezy!

bb,
The “excuse” of the war against the Jewish people by hitler was religion, the real reason for it was to steal the gold from the countries and diminish the Jewish population from wealth , as they were becoming competition in the banking world. They held assets! And those assets were stollen from them, as well as life it’s self.

The war was about money, not religion. Always has been always will be..

Amen Chartster!

Al, I was just stating one reason Hitler didn’t appreciate the Jews was they controlled the banking, same thing as the American president(forget which one) “killed the bank”.
Rothchild took the bank of England after the battle of Waterloo, thus, jewish banking.

The Nazis, being Christian naturally gravitated to the Vatican bank as it was Christian as well.
The Vatican helped many Nazis escape in the end.

But of course there was more to it than just banking, systems were in opposition, fascism and communism. Big opposition to one another, that’s why it was a major shock when they signed the peace treaty.

The Americans, notably the Bush family were in complete support of the Nazis and made millions from it, remember, at the time the Nazi party was a legitimate political party in the states too.

After the war, the Americans employed many Nazis, Klaus Barbie for example, the butcher of Lyon for one, fasicim has been around in the states for a long time actually.

Who was it that penned “o what a tangled web we weave?”

A lot of people don’t know this, but the German forces had Jews in it, officers and even a general or 2, as well as the wafen ss had Moslems. Unreal I know, but ya gotta remember, they lost, they don’t get to write the history.

But the main thing to learn from all this stuff is nothing has changed, we are taken to war for profit by psychopaths, doesn’t matter from what system of government.
Saying democracy is better than communism is just bologna to get people to war.
Ra Ra god is on our side lets go kill the heathens and we’ll be home by Christmas BS.

BB, in all seriousness an interesting comment!

I bet they are, I would be.

Tony, bird say’s something and bb agrees, think for yourself but beware of Pinocchio and jiminy cricket.

Pinocchio is different in that a person or another Pinocchio type could always tell when he was lying.

Probably right Mr. Irish!

Al, I know you think that way, but to me it is self serving. DT

I don’t agree Machine Gun. I am too old and, quite frankly to smart, to be self serving!

Dick, try to add some content to the site instead of your usual out of the blue criticisms. You know man….put some meat on what you are saying so we know you are credible and not just a sour grapes Toronto type who is angry about the gold bears being correct.

“Al, I was just stating one reason Hitler didn’t appreciate the Jews was they controlled the banking,”

Oh my goodness! Hitler killed millions of Jews because they controlled the banking industry? There were no Christians in the banking industry? This is the same propaganda Goebbels was known for.

ONE reason Victor5.
I stated earlier I was NOT promoting Hitler, but history is what it is.

Had you read what I said you would have found another reason, he didn’t appreciate the Zionist getting the US into the war.
That alone contributed (maybe the primary reason) to ww 2 by the way.

There was MORE than one reason Hitler didn’t appreciate the Jews, I had merely said that ONE reason……
No offence but people might want to read before commenting.
And as for mastering Goebbels work, check McDonalds or any other of just about every Western company.
The Americans brought the propaganda guys to the states after the war.

I know, unfair of me to say, there is a big difference between the fascist police state of Germany and the American fascist police state of today.

Studying history can actually tell us where we are going Victoer5, unfortunate we have it so distorted.

I guess the point is that there are two distinct patterns in play at the same time here. First, markets are forward looking and attempt to price in changes in the economy but secondly they can also be highly reactive during periods of crisis as everyone is not anticipating anymore but rushing like chickens to protect capital. That’s what they call a panic and gets us into the really destabilizing period that can be fairly unpredictable and impossible to control. Certainly the Fed cannot be counted on to manage much at that point as their major policy tool of moving rates is near its end but also because what is happening elsewhere in the world would overwhelm pretty much anything that was attempted. I think we are going to see pensions, insurance companies, banks and some private debt all blow up at once. Right around that time the bail-ins will begin leaving many families temporarily insolvent as they get converted to shareholder equity. There is pretty much nothing that can be done to avoid a wider bond implosion at that stage as the domino’s fall. But all that really means is a whole lot of investors in every imaginable category will never get paid. That is the final outcome of a bond bust. For the most part this is inconceivable to most people and they would be truly frightened if they were aware of its inevitability. But its actually a normal part of the business cycle even if this particular one is delayed. Nobody is ever really ready for these things. It’s like waiting for a car accident to happen. All you can do is buckle up and brace for the impact……. but at least you have a chance when you know its coming!!!

Sounds like you guys think holding some American currency might be an idea for a candian. Or anybody I guess.
Something to think about.

Bird,

There is a lot of excellent information in your snippet to think about.

At the end of the day, nothing is going to side step what awaits the world and the debt reconciliation and currency destruction that is already in motion. It’s going to be a sad and painful period of time for even those that think they have it all figured out.

It is very difficult for some folks to imagine that these pieces of US dollar script are actually going to hold value for a period of time and allow the average Jane/Joe to position themselves in a more advantageous way for the rolling defaults that are gaining steam. But to the worlds surprise before this has run its course, dollars will be beyond valuable for an unknown length of time.

I think its worth mentioning that aside from too much debt, an additional component of the deflation onslaught is the sheer magnitude of what I call the paper money poor. That situation includes you, me and just about everyone.

You can’t explain the paper money poor cascading effect to the average person because most can barley tie their shoe lasses or balance a check book. But in its most bare terms, it’s a phenomenon that surrounds us all, every where in the world at all times.

With the exception of the super-wealthy, and even them to some degree, the world is becoming deeply engulfed in a feedback loop of money destruction through across the board insolvencies which, in and of itself, destroys the number of currency units in circulation. This currency dynamic, although silent in its destructive nature and not understood by one in a million, exacerbates the deepening pressure of the organic deflation dilemma that feeds on itself as money is horded and its value increases through limited production and availability.

The world is on the doorstep of a cataclysmic reserve currency shortage and debt rebalancing over a number of years into the future which will compound deflations effects, not a hyperinflationary event as people have been led to believe.

So what should we do about it? And how should we prepare? If you knew for example that pensions might be substantially reduced in the coming few years would you take steps now to avoid the consequences?

And what steps? Are there even strategies to avoid the worst outcomes?

We should all reflect back on what happened in the Soviet Union when it broke apart and descended into effective insolvency. I recall reading at one point that pensions crashed to as little as 15 or 20 dollars a month. The state was simply unable to pay.

Wealth itself evaporated and the consequences for the retail economy, manufacturing, war-making and all else tumbled together. The collapse was breathtaking in its severity. But will we fare any better?

What of social benefits, state subsidies, university grants, welfare, healthcare, the space program and the rest? Is anything sacred really when debt collapses? One of the more insightful things I heard recently was from one of the billionaire investors (don’t recall which now) who said he just hoped he would survive and would feel he was a success if he came out of the carnage with only half his wealth!

Debt destruction equals asset destruction remember and the hardest hit of course are those with the assets that ultimately tumble in value. So the real carnage takes place amongst those who are at the top of the economic pyramid and from that group there will be more than a few wiped out to zero when they cannot service the debts they hold as the game ends.

But what about the average guy? He is not getting away Scott free either. And this is when income, savings and self sufficiency really starts to matter….when ordinary preparation is not enough and when personal debt can be your undoing. We should start talking about this now because the day is getting closer.

Sadly, most people are completely unprepared and the victims will be the multitude.

Great post Vortex, I was writing at the same time as you and so just saw it. I agree with what you are saying about the deflationary effects on money and that the dollar will be the last to go. But even it will meet its Waterloo in the end. During the last depression the dollar was devalued against gold to correct the imbalances. But I had an odd thought the other day that this next time it will be devalued against the Yuan and that may explain the willingness of authorities to shift gold West to East where a new Renminbi might take up the banner of one of the primary reserve currencies partially backed by gold. In other words, at the moment the Chinese admit to their gold hoard an overnight and potentially substantial devaluation would occur in the dollar. Maybe its a bit crackpot but give it thought and tell me what you think.

Bird, you asked ………………… “So what should we do about it?”

My most basic and truthful answer is, there is very little at this point that can be done to counter-act or off-set with any degree of certainty what is needed to do to confront the enormous problems we have coming our way.

Once you have destroyed the predominant financial architecture of the human race, the very basis of finding value in inanimate objects that humans need to exist circumvents the physiological and geological vassals that enable our existence.

Our current system has in its very existence destroyed the ability to value human labor and services rendered and properly value and maintain a fair and honest structure of payments for that human labor and services. We have allowed a flawed and unfair system at its core, to diabolically grow and mutate the very DNA of what gives humans the self-awareness and appreciation to excel and grow with conscience and meaningful forethought.

We are by nature competitive and extremely intelligent amongst other important factors.

At the very ground floor of mans continued collective ability to maintain and construct a world worth living in is going to require a new financial foundation at its core and a greater admission that we have humans that detest the human race and address this difficult dilemma with an honest and open mind and be willing to do the things that are necessary.

What is unfolding is simply out of our control and ability to deal with it, because we as a species have relinquished our individuality, integrity, honesty and sovereignty to a small close nit group of eccentrically diabolical humans that I call the “untouchables” that have to this point been able to circumvent the universal laws of mathematics and nature.

They have enacted powerful firewalls to stop mans ability in facilitating, finding and maintaining a global equilibrium of sustainability.

Bird, you have asked so many outstanding and pertinent questions that need to be answered, or at the very least debated on an intellectually honest basis. Although I may disagree with you on a few political ideals, your breadth and depth in many diverse areas is immensely appreciated and valued. I wish more folks here could find common ground to expand the talking points and put aside personal antics and roadblocks to a greater discourse.

I know I didn’t come close to answering your questions, so we will continue to talk and debate these very important subjects.

V

bb, thank you for all the kind comments.

bb please chime in at anytime and let your voice be heard. Your comments and opinions are very valuable along with everyone’s.

thank you

V

I agree. Keep talking bb and we will surely get a great conversation going.

And +10 for Vortex’s comment.

Directed to all, but at this time a bit of emphasis on BB, Birdman and Vortex.

Great commentary gentlemen. We will be discussing this later today in a Daily Editorial.

Hey thanks Al!!

You could very well be right Matt. This is one of the most curious aspects of the current discord in capital markets taking place at this time. So we await an accounting from China as to its real holdings. But I have long suspected the official reserves over there easily exceed 6000 tonnes just based on easy to Google purchases. How much more than that is a mystery but the estimates of others that they have a mere three or four thousand tonnes strikes me as a big miss on totals. Recently we have read new estimates above 10,000 tonnes and I find those to be more plausible.

Matt,

I guess with the gold holdings China has just changed the financial structure globally. Maybe that’s why China announced the renminbi as a reserve currency that is backed by gold? And maybe that’s why the Shanghai exchange will be setting the price for gold?

Chinese law requires that all gold produced domestically must be purchased by government. I am not sure whether it go through SGE. According to some source, it does not. Based on what I know on the authority, they will bypass exchange since the law was enacted before the exchange was founded. The model should be like it has been in the old way, it goes through administrative channel because the leaders trust that way as safer against corruption. When it comes to official purchase, middle man comes with corruption. When it is purchased, gold goes to an organization call something like bureau of gold management (forget the full name) under state council. It sits there for as long as it need. If they desire, they can do a transfer like 2009. Otherwise, it sits under state council. Since the west don’t understand Chinese structure, they focus on PBOC. Since the law was enacted in early 2000s, China should have produced around 4000 tons. So if China does not purchase any gold in other way. Government and PBOC should have 5000 tons.

In other words they easily have 10 to 15,000 tonnes at this point. That would not be a surprise to me considering all the other purchases that we do know about plus those that are suspected. At that size it starts to make a difference.

Not sure it would be that much, Bird. I believe the think tanks want at least 8000 tons to match that of US. I know their mentality is very different than what the West feel. CCP has been on a survival mode for a long time and they have US subversion carved in their mind. I think they want gold to prevent financial attacks, same as the purpose of holding treasury. It is hard to be #2.