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I think most of the stuff I am now reading is extreme - what is a trillion dollars for goodness sake - I have real problems computing the numbers.
Our debt is extreme
Nationalising the banks is extreme.
What's extremely unsettling is that we are now going to spend our way out of debt and the only gold on people's mind at the moment is gold credit cards and a santa rally just like the old times as the ASX sends out oversold signals.
The country thinks it is creating wealth by buiding houses and there are kids that think a $50,000 credit card debt is normal - now that is extreme!
Meanwhile gold in AUD is up 33% for the year and is doing a good job in preserving my wealth and the guys digging or storing it in the ground have just got to be happy.
What's the downside - the USD to get stronger maybe!
Volatility in the gold game has always been extreme too I guess and the only way to cope with that is with a lot of patience.
Another 20-30% down in all markets and BHP at a cyclic low of $17 over the next couple of years will get things really going for gold miners I reckon. Most people I know are telling me this is a great buying opportunity on the ASX - its worked for them and their favourite stocks for some 50 years or so -who am I to tell them that maybe this financial crisis is extreme and this time it really is different!
We are cursed with interesting but extreme times!
