SATURDAY, AUGUST 6, 2011
Only Believe in Gold
The inevitable is now in process, policy makers are not going to be able to avert an inflationary contraction, markets are starting to recognise reality. The credit of the United States has been downgraded, the euro is in a death spiral, nations teeter on the brink of bankruptcy. Power and wealth are shifting eastwards on a tectonic scale. Ever since the 2008 credit crisis and the doomed attempt by central bankers to solve the underlying debt crisis with more debt and inflation. All predictable, in the case of the euro almost every eurosceptic from John Redwood to Nigel Farage predicted it down to even the exact catalyst – Greece – a decade ago.
Step forward Andrew, Lilico formerly at Policy Exchange, who is equally as pessimistic as Guido, as long ago as 2009 he predicted a double dip with“double digit inflation and probably a recession in 2013 – stagflation.”
At the same time Guido argued that
Mervyn King even talks about the threat from deflation – Guido sees that merely as an excuse to justify printing even more money via quantitative easing (QE). QE means inflation is inevitable.
Get your wheelbarrows out, stock up on gold and baked beans. If you can, buy a productive asset, like farm land – it is an inflation hedge and you won’t go hungry.
Here comes inflation – as it always does when governments turn on the printing presses…
Guido wrote in 2008
“holding gold will be insurance as much as an investment. If you have apocalyptic fears, holding physical gold coins is reassuring.“
In 2009 Guido marked the
“symbolic of the end of the twentieth century Anglo-American dominance of the world” with “the purchase by the Indian Central Bank of 200 tonnes of gold from the IMF. The Indian Central Bank paid an average of $1040 per ounce.”
Mr & Mrs David & Maureen Somers must be doing pretty well now.
Told you so…
See also : The Bank of England’s Great Inflation Swindle, Coming Soon : Double Digit Inflation, Double Digit Inflation is a Black Swan, Bank of England Pension Fund Surges Betting on Inflation, Yo Dude, Where’s the Deflation?, UK Dec CPI Posts Largest Jump On Record to 2.9%, Growing Unease About Old Lady’s Secrecy, Something Odd in the Banking Bill
Saturday Seven Up
This week 97,892 visitors made 308,963 visits to view 474,673 pages – traffic is down some 10% with parliament in recess and the political and media class are on the beach. The blog has still managed to be at the forefront of two stories this week; the inevitable unravelling of Piers Morgan and the campaign for the death penalty. The latter provoking an inbox full to capacity and “progressives” to apoplexy.
If you want to read Guido’s round-up of the week’s news from behind the blog, subscribe (for free) to the Guidogram email here.
The top stories in order of popularity were:
- Scandalous European Parliament Email Triggers Gossipping
- David Leigh, The Guardian’s Hacker-in-Chief, Lied to Guido
- Gnome v Moron –Private Eye Twists the Morgan Knife
- Popular Support for the Restore Justice Campaign
- The Petition Goes Live
- Sunday Brunch with Brillo
- Labour Turn on Piers Morgan
You’re either in front of Guido, or you are behind…
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