GOLD 0.51% $1,391.7 gold futures

the big collapse could be very near

  1. 243 Posts.
    The end of the current financial system, as we know it, may be iminent. If you would have asked me even two weeks ago if collapse was imminent, I would have said it was highly unlikely, now I am saying it is possible. Bernanke may be able to patch things up short-term, if he is lucky, but long term the U.S. financial structure is in serious trouble. There is just too much Treasury debt that needs to be raised. An international panic out of Treasury securities, even a slow controlled panic, means the Fed will be the major buyer. This will ultimately mean record inflation.

    And keep this in mind, we have never seen a collapse of a currency like the dollar. Even the hyperinflation during Germany’s Wiemar Period can not serve as an example. Since the dollar is the reserve currency of most of the world, a panic out of the dollar means more dollars will return to the U.S. shores than any country has ever experienced.

    Other countries have had collapsed currencies, but never in the history of world of finance has so much currency been held outside a country of issue that could come flying back, almost on a moments notice. If the panic out of the dollar starts, even if Bernanke stops printing money (unlikely), all the dollars flying back into the U.S. could cause a huge price inflation all on its own.

    http://www.infowars.com/the-big-collapse-could-be-very-near/

    My comment; As the US $ moved higher due to de-leveraging awhile back ( nothing to do with value or dollar strength ), could the same move occur with the flight FROM dollars, controlled or not, and will the POG in USD behave in like manner to the de-leveraging effect ?

    Cheers
 
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