A dollar saved is 97 cents earned*

Insider Trading?

without comments

Banks scammed consumers buying homes through predatory lending and illegal appraisals, artificially boosting home prices. Those who were smart enough to stay out of that game lost financial power to inflation caused by the creation of trillions of dollars in false wealth.

The real estate bubble burst. Banks essentially stopped lending to each other because they no longer trusted each other’s books. So the banks needed bailed out for engaging in risky bets. To stop the financial melt down US taxpayers were fleeced of hundreds of billions of dollars to bail out those same banks. Such a move is/was cause for concern, causing many investors to want to diversify out of U.S. Dollars and invest in commodities like gold (one friend said he was buying dry food and has a gun!)

Some banks, like J.P. Morgan, used the fleeced taxpayer money to short hot commodities like gold, cratering the price of gold.

With many central governments having budget shortfalls and fast declining economies (even with record low interest rates) many may need to sell their gold stakes.

No matter where you put capital, your money is being used against you – unless you are a bank. 🙂

This reminds me of how the US government gave defense contractors classified information so long as they would go on TV and lie to the US public, selling the Iraq war.

Written by admin

January 8th, 2009 at 9:22 am

Posted in investing

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