In February 2007, I said gold would hit 2K by the end of 2011, it reached USD 1921.00. When I said that, Gold was around 665.00 an ounce.
link
I have been saying since the start of 2015 that gold will hit at least 5000.00 in ten years - by the end of 2025. Some may say that is a long time, but for me a 300% return in ten years is very good.
There are many reasons why I believe it will reach at least 5K, however, I will state just one; as the US debt goes, so does gold.
I believe that the US debt will increase in current US fiat currency terms, therefore, IMO gold will increase, but if on the other hand the US debt stays the same or decreases then maybe gold will not hit 5K. I am betting on the former.
NOTE: Please note that this is not investment advice but just my personal opinion and yes I do invest in Gold.
Tuesday, June 30, 2015
Tuesday, June 7, 2011
Things will get uglier
It will get uglier for sure; that is the world economy, of course. The first leg of this greater depression started in 2008 and the consequences was dire, however, there has been the appearance of a recovery, which, indeed, is more of an illusion. The real numbers are no better than they were in 2008, even though the nominal numbers may reflect differently. There will be a second leg which will be uglier, because it is common sense that what took 28 years to build up cannot be undone in two or five years. If one figures that this depression started in 2008, then it is only 3 years old, therefore it still has a long time to go yet; when it ends still cannot be accurately forecasted except for the fact that this decade will be a lost decade for a large amount of people in the USA and some other parts of the world
The second leg could start either in the Q3 2011 or Q1 2012, or it can happen anytime within the next 5 years, however, the balance of the world economy right now is very precarious with a 54 percent possibility that things will get worse as of today. If there is one more disaster the size of what took place in Japan recently, then that will trigger it in a hurry. However, if there is no disaster of that magnitude but there are smaller ones coupled with any downturn of European economies on the brink along with any of China, India, Russia or Brazil that that will send the world economy over the edge.
The Global economic health Index. The higher the Index the worse the Global economy:
My advice, even more so now is, live below your means and hang tight, be good to your fellow living beings. For those with the courage, intelligence and knowledge there will still be money to be made in the stock market but wall street is not main street so look out for people and fight against any forms of socialism or communism.
There may be some politicians who will try to socialize the economy, but most of them will more than ever be dishing out more corporate welfare, this should make me happy because I am an investor, however, that leaves the majority footing the bill which is highly unethical. We must guard against politicians and special interest groups using this as an opportunity to eradicate decades of freedom that many fought for. Also, we must not let trade unions and social groups drive the USA or Canada into communist or socialist states. That being said we need both sides, the extreme capitalists and the diehard socialists to ensure that we meet somewhere in the middle.
Even though capitalism is not perfect it is still the best system as long as it has not gone mad and worth defending even though right now it looks like it may have failed because of a few mad men.
The second leg could start either in the Q3 2011 or Q1 2012, or it can happen anytime within the next 5 years, however, the balance of the world economy right now is very precarious with a 54 percent possibility that things will get worse as of today. If there is one more disaster the size of what took place in Japan recently, then that will trigger it in a hurry. However, if there is no disaster of that magnitude but there are smaller ones coupled with any downturn of European economies on the brink along with any of China, India, Russia or Brazil that that will send the world economy over the edge.
The Global economic health Index. The higher the Index the worse the Global economy:
My advice, even more so now is, live below your means and hang tight, be good to your fellow living beings. For those with the courage, intelligence and knowledge there will still be money to be made in the stock market but wall street is not main street so look out for people and fight against any forms of socialism or communism.
There may be some politicians who will try to socialize the economy, but most of them will more than ever be dishing out more corporate welfare, this should make me happy because I am an investor, however, that leaves the majority footing the bill which is highly unethical. We must guard against politicians and special interest groups using this as an opportunity to eradicate decades of freedom that many fought for. Also, we must not let trade unions and social groups drive the USA or Canada into communist or socialist states. That being said we need both sides, the extreme capitalists and the diehard socialists to ensure that we meet somewhere in the middle.
Even though capitalism is not perfect it is still the best system as long as it has not gone mad and worth defending even though right now it looks like it may have failed because of a few mad men.
Thursday, March 17, 2011
Market pullback
Well, the markets have pulled back and it may still have a bit more to go, but I personally am starting to buy back in slowly.
Here is my chart of where the market is currently:
Here is my chart of where the market is currently:
Tuesday, February 15, 2011
Markets due for a pull back
The Stock market is due for a pullback. Looking at my chart below you can see that over a certain threshhold the market always pulls back. This current bull has been running for a while and will go through a correction of at least 7%.
Sunday, May 9, 2010
More Trouble Ahead
Some of us for years have be forecasting everything that has unfolded so far and a few of us have gone even further to say that we would enter what would come to be known as the greater depression. We are officially in the greater depression. The media and politicians may look for many reasons to say that the economy is getting better, they will manipulate the unemployment numbers, the housing and GDP numbers to make things look rosy, however, until manufacturing and R& D full time employment increases the recovery will be nothing but a figment of imagination. Service sector jobs will not make the economy grow over the long term.
There is a wave or ARM and Alt-A resets coming starting in June and lasting till 2012; I expect to see many more foreclosures. Currently the inventory of houses foreclosed and coming up for foreclosures will take banks about 9 yrs to clear up; based on the current numbers of sales vs foreclosures.
The numbers:
• 11 million home owners currently under water on their mortgages
• As of March, banks had 1.1 million foreclosed homes – up 20% from a year earlier
• Additional 4.8 million mortgage owners are 60 days behind in payments or in foreclosure process
The ARM, plus Alt-A resets combined with a possible increase in interest rates will lead to sure disaster. I do not see any real turn around in the economy till around 2015 earliest. As I have stated before it cannot take 1, 2, 3, 4 or 5 yrs to undo 30 yrs of damage. Best case scenario is 8-10 yrs.
The economy will turn around for sure, but there has to be a true reset and the more the government interferes the longer the reset will take when instead the earlier would be the better. However, whatever the scenario, life in the US as we knew it has changed forever and will take many generations to return to that state, if ever.
There is a wave or ARM and Alt-A resets coming starting in June and lasting till 2012; I expect to see many more foreclosures. Currently the inventory of houses foreclosed and coming up for foreclosures will take banks about 9 yrs to clear up; based on the current numbers of sales vs foreclosures.
The numbers:
• 11 million home owners currently under water on their mortgages
• As of March, banks had 1.1 million foreclosed homes – up 20% from a year earlier
• Additional 4.8 million mortgage owners are 60 days behind in payments or in foreclosure process
The ARM, plus Alt-A resets combined with a possible increase in interest rates will lead to sure disaster. I do not see any real turn around in the economy till around 2015 earliest. As I have stated before it cannot take 1, 2, 3, 4 or 5 yrs to undo 30 yrs of damage. Best case scenario is 8-10 yrs.
The economy will turn around for sure, but there has to be a true reset and the more the government interferes the longer the reset will take when instead the earlier would be the better. However, whatever the scenario, life in the US as we knew it has changed forever and will take many generations to return to that state, if ever.
Sunday, March 14, 2010
Cuba is one messed up country
• Mortgage industry controlled by the government
• Financial industry controlled by the government
• Auto industry controlled by the government
• Healthcare industry about to be controlled by the government
Socialism and Communism never worked and never will, unless the intense passion for innovation is not important.
• Financial industry controlled by the government
• Auto industry controlled by the government
• Healthcare industry about to be controlled by the government
Socialism and Communism never worked and never will, unless the intense passion for innovation is not important.
Monday, December 28, 2009
My annual soapbox.
I am a vegetarian. I became one based on the unethical treatment of animals and it was my little way of saying that I will no longer support that part of the meat industry that ply its trade unethically. Also, currently, I have enough other choices that I do not need to eat meat, poultry or seafood.
My friends are pretty much all meat eaters but I believe that they are all ethical about it; in that they consume basically what they need and do not indulge in the pure gluttony that goes on in most of North America.
Why anyone would need to eat a 10 ounce stake, a rack of ribs, 25 wings, a whole lobster or veal (baby calf) is beyond me and just pure gluttony. There are many other examples. But the meat, poultry and seafood industry has only one interest and that is to make as much money as possible in any way possible, with absolutely no interest in ethics.
Ed, one of my friends, and I have discussed this very topic many times about the cruelty to animals and the pure gluttony of North Americans in general. We have also discussed what we believe is killing this planet and it is, simply put, over consumption.
People do not need to eat the above mentioned portions of food. People do not need to have a new cell phone every year people do not need to have a new laptop every year or two years. How many pairs of shoes do people need? These are just some examples.
Essentially, we need to live life and enjoy it, but with consideration for all other living things around us and the consequence of our actions on them. Therefore, as we indulge and live our lives from day to day, we should do things within reason, and realize that everything we consume requires energy to manufacture and grow and there is only so much energy on this planet. Also, the side effects of the process of growing and manufacturing can be very detrimental to this planet.
For example, much of the waste of the animals that we consume end up poisoning our water systems, and we kill over 50 billion animals per year to support our gluttony.
Happy New Year's everyone!
My friends are pretty much all meat eaters but I believe that they are all ethical about it; in that they consume basically what they need and do not indulge in the pure gluttony that goes on in most of North America.
Why anyone would need to eat a 10 ounce stake, a rack of ribs, 25 wings, a whole lobster or veal (baby calf) is beyond me and just pure gluttony. There are many other examples. But the meat, poultry and seafood industry has only one interest and that is to make as much money as possible in any way possible, with absolutely no interest in ethics.
Ed, one of my friends, and I have discussed this very topic many times about the cruelty to animals and the pure gluttony of North Americans in general. We have also discussed what we believe is killing this planet and it is, simply put, over consumption.
People do not need to eat the above mentioned portions of food. People do not need to have a new cell phone every year people do not need to have a new laptop every year or two years. How many pairs of shoes do people need? These are just some examples.
Essentially, we need to live life and enjoy it, but with consideration for all other living things around us and the consequence of our actions on them. Therefore, as we indulge and live our lives from day to day, we should do things within reason, and realize that everything we consume requires energy to manufacture and grow and there is only so much energy on this planet. Also, the side effects of the process of growing and manufacturing can be very detrimental to this planet.
For example, much of the waste of the animals that we consume end up poisoning our water systems, and we kill over 50 billion animals per year to support our gluttony.
Happy New Year's everyone!
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