"The top five foreign holders of Freddie and Fannie long-term debt are China, Japan, the Cayman Islands, Luxembourg, and Belgium. In total foreign investors hold over $1.3 trillion in these agency bonds, according to the U.S. Treasury's most recent "Report on Foreign Portfolio Holdings of U.S. Securities."
"The prospectus for every GSE bond clearly states that it is not backed by the United States government. That's why investors holding agency bonds already receive a significant risk premium over Treasuries."
We should all be outraged if our taxpayers are forced to bail out foreign governments. >>
He's right on the money where he talks about how driven it is becoming in Asia ( Asia in general) and while I think his move is an interesting one, I personally would have liked to see him back Ron Paul with 100 million and then leave after absolutelty proving that the country has already fallen into the abyss whereas it doesn't make a damn difference who is running things.
Does anyone know what his position is on precious metals? Numismatics?
We're about to make an offer on another house. Eeeeeeeeek !
Indymac...Closed on Friday afternoon, after business hours. It doesn't seem fair that they hooked all the customers like that, it doesn't seem right that they made those depositors twist and scream all weekend about their assets in that bank. There's a lot of things not right but when a bank like that gets shuttered, it's obvious that there are a lot of other things not right either.
Monday should be interesting. We'll have the government making a lot of comforting media things so people don't get scared, we'll have the punters ready to play full contact pro with no pads, we'll have the people that are funding this operation (us) wondering what the hell to do next while their 401's are trapped in retirement hell, we'll have the financials twirling around each other in an intense huddle, and then we will have the metal markets responding to the amalgam of all these messages. Excellent time to work your plan and not get spooked by special effects or distractions; onward, through the fog.
Methinks metal may move upward on Monday but it might also be a fool's rush because it has been trading within 10% of 900 all year and nothing fundamental has changed. The weakness of the markets is already factored in and surely a bank or two going down is not going to suprise the punters that are holding gold in it's range. Of course you have to factor in the 1009 jump when Bear Sterns went wonky but it quickly settled back to 900. The current crisis certainly may give some credibility for letting the relic rise to a higher base of maybe 925 or so for our entrance into Fall. We have not seen any clear, major direction away from 900 all year but it may be forming up from that base now to make some stronger gains. It sure is going to get the regular guys to be thinking about what they have going on with their bank as in...where are my assets and how do I get to them; it's about the cash money. So, there may be a blip upward with the metal but look for the settlement at a newer, firm base after a little rush early in the week; it's only natural and a nice 925 base seems reasonable by the end of the week and that should carry us to September unless a ministampede kicks off somehow...regardless, stay with the plan. If the price gets outrageous...let some go back into the great continuum and book the gains. If it dips, keep accumulating, be diligent, work your plan, don't get distracted. The three P's: Pay attention, have a Plan, be Prepared.
Just thinking out loud. For entertainment purposes only.
Indymac...Closed on Friday afternoon, after business hours. It doesn't seem fair that they hooked all the customers like that, it doesn't seem right that they made those depositors twist and scream all weekend about their assets in that bank. There's a lot of things not right but when a bank like that gets shuttered, it's obvious that there are a lot of other things not right either.
FDIC actions of this sort occur frequently, although generally not to large institutions. I have a friend who is in a fairly high position with the FDIC in the Mid-Atlantic region and another who workerd with them for about 10 years. People can still write checks on their accounts and access ATM machines. The doors are locked just to get the principals out of their offices. After a few hours, or in this case, a weekend, the doors are opened and business is transacted normally under FDIC control. For people who dont visit the bank on a daily basis, they dont even know there was a takeover. It is a very orderly process. The vast majority of people do not know how FDIC insurance works and panic. Very, very, very few have deposits at the bank that would exceed the insurance limits, so their fears are completely unwarranted.
What was not right about this situation are the comments made by my Senator, who caused the run on the bank. It also should be of no suprise that IndyMac went under, as the stock was only trading at 28c, down from $50 a year earlier.
FDIC insurance is only as good as the banks that pay premiums into the system. What is the current funding level, something around $50 BILL? Another IndyMac or two and that pot is empty. At that point what do the "guarantees" to $100K mean to Mom and Pop?
A similar situation exists with the backing of Fannie and Freddie. It doesn't come from Congress nor the full backing and faith of the US Govt.
I enjoy reading cohodk's posts too as well as the other frequent posters here...at least when I can understand them. Those that work in the financial sector or play with stocks and bonds daily have a leg up on the rest of us.
About 1000 banks went under during the 1988-1993 era but there were also many more banks before the current craze of merging came about. How ever you compare that time to the next 5 years, 2008-2013, the next few years will easily top it.
In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
<< <i>I enjoy reading cohodk's posts too as well as the other frequent posters here...at least when I can understand them. Those that work in the financial sector or play with stocks and bonds daily have a leg up on the rest of us.
About 1000 banks went under during the 1988-1993 era but there were also many more banks before the current craze of merging came about. How ever you compare that time to the next 5 years, 2008-2013, the next few years will easily top it.
In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
roadrunner >>
My vote is $1,500 gold because of this year's financial perfect storm...which still brewing.
Also, read on google news that BO thinks that fannie and freddie won't need any bailout help. They will when he runs the roost.
<< <i>FDIC insurance is only as good as the banks that pay premiums into the system. What is the current funding level, something around $50 BILL? Another IndyMac or two and that pot is empty. At that point what do the "guarantees" to $100K mean to Mom and Pop?
A similar situation exists with the backing of Fannie and Freddie. It doesn't come from Congress nor the full backing and faith of the US Govt.
roadrunner >>
I think you are fairly closee on the FDIC munber, but IndyMac will be the 3rd largest ever and will only use about 10% of the FDIC's funding. There will be many more failures, but I wouldnt worry about the FDIC running out of money.
Most "mom and pops" do not have anywhere near $100k in the bank. Or if they have more assets than that, any smart mom and pop would have it spread among many institutions. Also most mom and pops would have their money in a brokerage account which would be protected up to $500k. However, since the average "worth" of a family between the ages of 45 and 55 is only about $140,000, very few have anything to worry about. Except perhaps that they do not have enough money.
BTW---my illustrious Senator wanted to load FNM and FRE to the gills with more mortgages just a few months ago. Time to vote these bums out. Schumer
Regardless of the amount from $500 to $100,000, most Moms and Pops have something in the bank and would be unhappy to lose it or get a fraction of it back from the FDIC. My concern is the ability of the FDIC to pay off down the road. I wouldn't trust them to $10,000 right now. There are many Mom and Pop coin dealers who have accounts in the up to $100K range and losing that is certainly a concern. To my mnd the mattress and box spring is a safer bet than FDIC. Then again, gold and silver are even safer imo and do pay "dividends" when prices rise over time.
The $500K brokerage account scares me. How does that work? I know my own company keeps a working account of a few $ Million in Bank of America. But, I couldn't think of many riskier places to keep such a sum. Though business does have to be conducted.
Thanks RR. While we may butt heads from time to time we are very similiar. Scary, eh?
Oftentimes I write/speak in riddles which even confuses me. My poor wife. LOL
I dont know what the next 5-10-20 years will bring. It is possible that it may be the worse that not only the USA, but the rest of the world, has had to endure, or perhaps not. What I do have a pretty good idea of though is that if the US banking system fails, so will every other and this would cause a global depression most likely ending with global war. I think, hope, we have become a civilized enough species that we dont need have to go this route.
Here is a link to brokerage account protection... SIPC
<< <i>In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
roadrunner >>
at least this thread is still ON topic (most of the time,)
it has been heating up hear, the other topic is dying a slow, painful death
I have stated on many occasions and on this Thread a long time ago that I don't have the knowledge of the subject at hand to contribute. I have asked in this Thread that I would like to know exactly what one does with gold once a person has it. I have followed this Thread and read it from the beginning. The variety of opinions, predictions, personalities and unusual observations has been enjoyable. I now have my second question on this subject. Why not own only gold? Not Real Estate, not rare coins, not furs, not Art, not jaguars or Yugos or Corvettes or Harley Davidsons, not antique furniture, not stock, etc. In short, if gold is the only safe position, then anything else is meaningless. I would appreciate any But, However and Because thoughts be presented courteously, as I am truly interested in the answers. Convince me I should be allowed to matriculate to the 5th Grade. Respectfully, John Curlis
If this turns into a Depression and things get bad, there is nothing you will be able to do with any assets you may own...My father fought with the 82nd AirBorne during WWll, he said he saw many women in Mink Coats with large diamonds on their fingers digging in garbage cans for food to eat! There will be no one to make change or trade your gold or silver. Your concerns will be food and water and how to stay alive!
I also hope Our Society is civil enough not to come to war on our soil!
<< <i>I have stated on many occasions and on this Thread a long time ago that I don't have the knowledge of the subject at hand to contribute. I have asked in this Thread that I would like to know exactly what one does with gold once a person has it. I have followed this Thread and read it from the beginning. The variety of opinions, predictions, personalities and unusual observations has been enjoyable. I now have my second question on this subject. Why not own only gold? Not Real Estate, not rare coins, not furs, not Art, not jaguars or Yugos or Corvettes or Harley Davidsons, not antique furniture, not stock, etc. In short, if gold is the only safe position, then anything else is meaningless. I would appreciate any But, However and Because thoughts be presented courteously, as I am truly interested in the answers. Convince me I should be allowed to matriculate to the 5th Grade. Respectfully, John Curlis >>
sorry i am not a teacher and got a D+ in macro economics in college and i swear it was the professor's fault!! (actually i take full blame)
simply stated gold is money...if you take inflation...which devalues USD then obviously gold rises in price. gold has been a universal (global) standard of wealth for centuries.
there is a lot of manipulation in day to day trading but the trend of inflation up, gold up is where it all lays or lies (IMHO)
i have bought physical silver and gold recently as a hedge to my other investments. i am somewhat of an economic pessimist and don't enjoy seeing foreclosues and repo's and hardship, but my choices have run contrary to the "gotta have it now crowd"
If you don't believe in gold or silver.... and are not comfortable with it..... by all means, DO NOT buy it. To each his own.
Some of the posters in this thread have followed their belief... and have changed a significant portion of their net worth into precious metals. Others, perhaps a much smaller portion. It all comes down to your own personal beliefs and comfort level. BUT, we are each responsible for our own decisions, and must pay the price if wrong, and reap the rewards if we are right.
Why can't I get this #$&**@ crystal ball working!?
Many people who saved their money and survived the last Great Depression had their money in Annuities...Insurance policies...check them out you can find them either through an Insurance Agent or Someone who deals with Living Trust.
If this turns into a Depression and things get bad, there is nothing you will be able to do with any assets you may own.
Cash will still work and not being present during the last depression I don't know how those holding gold coins did. This time around we have silver coins as well. While it was basically illegal to hold or trade gold coins following FDR's 1933 proclamation I don't see that occuring this time around. Interesting that gold mining stocks, and Homestake Mining in particular (today called Newmont) bucked the trend following the start of the depression and increased 6X or more in value. That tells me that if gold ownership were allowed beyond $100 for bullion, that it would have appreciated in price as it became a medium of exchange/barter.
The staples of living will represent real value: cash, clothing, food, water, fuel, medicines, wine/beer, supplies, guns/ammo, tools for working, etc.
But rather than allow a banking crisis the CB's will inflate their hearts away and replace currencies if they have to. Yes, it's hard to write about what you could do to survive other than being debt free and being stocked 100% in food/supplies/heating fuel, etc. I don't see any problem with being into say 20% cash, 50% gold/silver, and 30% into whatever other areas interest you. Frankly, 90% gold is no problem either imo. It's far more liquid than art, antiques, coins, cars, beanie babies, etc which all will likely fall in value as things get rougher.
<< <i>I have stated on many occasions and on this Thread a long time ago that I don't have the knowledge of the subject at hand to contribute. I have asked in this Thread that I would like to know exactly what one does with gold once a person has it. I have followed this Thread and read it from the beginning. The variety of opinions, predictions, personalities and unusual observations has been enjoyable. I now have my second question on this subject. Why not own only gold? Not Real Estate, not rare coins, not furs, not Art, not jaguars or Yugos or Corvettes or Harley Davidsons, not antique furniture, not stock, etc. In short, if gold is the only safe position, then anything else is meaningless. I would appreciate any But, However and Because thoughts be presented courteously, as I am truly interested in the answers. Convince me I should be allowed to matriculate to the 5th Grade. Respectfully, John Curlis >>
People should be like the squirrel which gathers acorns for the winter.
Indeed we have a much wider variety of needs and a much longer time frame to view. This means we need to gather a variety of assets to protect against not only the winter but a wider array of crises and contingencies. There are myriad opportunities to see our acorns turn into oak trees to reap the rewards.
It is this savings which forms the basis of the capitalist system and those with the acorns and saplings expect and demand rewards. But there are periodic storms which arise and blow away acorns, saplings, and great oaks. These, too must be gaurded against and most of the time this is the promary function of gold in one's holdings; it doesn't blow away so easily. Normally the amount of gold you own should reflect your confidence in the long range weather forecast. When you see storms or gluts of acorns on the market then you trade acorns for gold. When you see good weather for saplings you plant trees.
Right now looks like a very good time to hunker down and unload some acorns.
My parents and grandparents lived through the hyper-inflation of the 1920's in Germany when a wheel barrel full of marks would by you a loaf of bread. My mother had many stories of trying to be cutesy in front of the American troops to get a piece of chocolate...she was 4-11 years old at the time.
If our human condition gets as bad as has been remarked here there will be a (un) civil war. If it's global it's gonna be ugly and today's countries may be renamed in an updated world map of 2020.
<< <i>Many people who saved their money and survived the last Great Depression had their money in Annuities...Insurance policies...check them out you can find them either through an Insurance Agent or Someone who deals with Living Trust. >>
Are you sure about that??
Aren't annuities based on the ability of the issuing company to invest and pay? If the companies were going broke during the depression.... I find it hard to believe annuities were still being paid out. But.... I do not have much knowledge in these products, and also did not live during the Great Depression years.
Any one else out there have knowlege of what dlimb2 has mentioned?
It is hard to believe we stand at the edge of what we thought could never be. It is almost mind boggling. What our fathers and forefathers have taught us through their time on earth has shown us the way to help ourselves in time of need. Yes history is meant to teach us, but some peoples ears can not hear!
Sinclair is now saying "it's right now" rather than "this is it." The fact that he is stating he is certain this is going to happen, only makes it is more chilling:
History was made last week but so few understand it and less understand how to protect themselves.
The events of last week are so serious that saving newspapers for generations to come will amaze people who read them in the future. Some of the questions you will hear are:
How in the world did people see the great dollar-destructive inflation coming? How could they possibly stay in the dollar? How could people have not bought gold? You have to be kidding. Funds were short up to their eyeballs in junior gold shares. These juniors are the only means of getting new reserves. Why did investors in juniors fail to take definitive action to stop the lending of their shares to the shorts? Why didn't everyone keep their hard earned dollars in gold? Why were the OTC manufacturers not arrested for first degree financial murder? Why did so many educated people fail to see "This was it"? Why did so many educated people not understand the unwinding of the entire financial system was accelerating?
The facts of the debacle:
The largest bank failure (IndyMac) in US Financial history occurred because of OTC derivative losses. The two giant real estate financiers, Freddie and Fanny, are balance sheet insolvent. In English this means both companies are busted, all because of OTC derivatives. The damage to the financial system’s estimated size is predicted to be $1.6 trillion dollars. This number shocks people, but it is still far below the real number. Once again we should all give thanks to the OTC derivative Geeks.
Freddie and Fanny are to be rescued by smoke and mirrors designed to look like private sector investments.
This weekend the US Treasury and The US Fed are calling all banks and financial institutions that have populated the Begging Bowl Fed Loan Window to stay solvent to buy the multi-billion dollar bond issue scheduled to be auctioned on Monday. That is a joke as these institutions will have to buy them for their own account if they don't have insane clients to stuff with this paper. The question is where are these busted financial entities getting the funds for the bail out? Are these funds coming from the various Federal government entities that can buy any US security or bond?
I know why! Because people are told there are backup security measures and total melt down is impossible, and they believe it! I have heard it with my own ears, but I never believed it!!!!! Not for ONE MINUITE.
In my heart I wanted to believe it, but my mind would not allow it!
<< <i>ok, would some of you please interpret this Sunday's financial announcement from our beloved leaders? >>
Mind boggling. And what's even more mind boggling is the size of the masses in this country whining, crying and begging for even MORE socialism. How many of these fools will actually tell you it's a "compassionate" philosophy.
More government = less prosperity, equity and freedom.
The equity in this land is being sucked out of it. I'm sure everyone has heard the arguments lately that claim "ownership" is over-rated. Over rated? The bedrock of a free society, property rights are over rated.
I've seen the paper-million marks but never a coin. Is that a commemorative of disaster, token or der real McSchmidt?
Ren
Ren, it's a German Notgeld coin - many of the provinces made emergency money during the hyperinflation era due to a coin shortage. Some of the coolest-looking ones were the horse coins, from Westphalia.
I have a 200 million mark note. Will you cash it for 4 of those please.
Coyn, sorry. I paid real money for the coin not too long ago, and can't let it go for a piddling 50 million Marks in notes.
I just dug out my stash of notes that I got at the last St. Louis Coin Show, and the scary thing is how fast the note denominations seemed to have increased:
1000 Marks Reichsbanknote - September, 1922 100,000 Marks Reichsbanknote - February, 1923 20,000,000 Marks Reichsbanknote - July, 1923 100,000,000 Marks Reichsbanknote - August, 1923 500,000,000 Marks Reichsbanknote - September, 1923 5,000,000,000 Marks - Die Finanzdeputation - October, 1923
Q: Are You Printing Money? Bernanke: Not Literally
Tincup, it was the Insurance companies that financed the building of our WWll campaign, once Japan Bombed Pearl Harbor....the money had to come from somewhere.... There is no investment better than in your country!
Fixed Annuities or Combination of Fixed and Indexed(DO NOT GO VARIABLE)
Also your Money when placed within an Annuity is guaranteed $ for $...and depending upon which annuity you choose it does pay no less than a a given %...so it does pay an interest whether the world is at war and tanking or the world is all rosy and bright!
Insurance Companies have nothing to do with the Financial Banking World.
Comments
<< <i>
<< <i>"Yeah....OK"
I'm likin' the second one in on the right. >>
i know you didn't mean this but i want the one on the far right >>
I'll take the middle one ...
dollar coins any thoughts ?
<< <i>Chinese Government is Top Foreign Holder of Fannie Mae, Freddie Mac Bonds.
"The top five foreign holders of Freddie and Fannie long-term debt are China, Japan, the Cayman Islands, Luxembourg, and Belgium. In total foreign investors hold over $1.3 trillion in these agency bonds, according to the U.S. Treasury's most recent "Report on Foreign Portfolio Holdings of U.S. Securities."
"The prospectus for every GSE bond clearly states that it is not backed by the United States government. That's why investors holding agency bonds already receive a significant risk premium over Treasuries."
We should all be outraged if our taxpayers are forced to bail out foreign governments. >>
Wow! Watch these bas tards bail them out too.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
GREAT POST TOM!!
Based on absolutely nothing.
Scott
<< <i>Jim Rogers: The Dollar is Doomed and the Fed's Days are Numbered >>
More:
JIM ROGERS
He's right on the money where he talks about how driven it is becoming in Asia ( Asia in general) and while I think his move is an interesting one, I personally would have liked to see him back Ron Paul with 100 million and then leave after absolutelty proving that the country has already fallen into the abyss whereas it doesn't make a damn difference who is running things.
Does anyone know what his position is on precious metals? Numismatics?
We're about to make an offer on another house. Eeeeeeeeek !
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
Monday should be interesting. We'll have the government making a lot of comforting media things so people don't get scared, we'll have the punters ready to play full contact pro with no pads, we'll have the people that are funding this operation (us) wondering what the hell to do next while their 401's are trapped in retirement hell, we'll have the financials twirling around each other in an intense huddle, and then we will have the metal markets responding to the amalgam of all these messages. Excellent time to work your plan and not get spooked by special effects or distractions; onward, through the fog.
Methinks metal may move upward on Monday but it might also be a fool's rush because it has been trading within 10% of 900 all year and nothing fundamental has changed. The weakness of the markets is already factored in and surely a bank or two going down is not going to suprise the punters that are holding gold in it's range. Of course you have to factor in the 1009 jump when Bear Sterns went wonky but it quickly settled back to 900. The current crisis certainly may give some credibility for letting the relic rise to a higher base of maybe 925 or so for our entrance into Fall. We have not seen any clear, major direction away from 900 all year but it may be forming up from that base now to make some stronger gains. It sure is going to get the regular guys to be thinking about what they have going on with their bank as in...where are my assets and how do I get to them; it's about the cash money. So, there may be a blip upward with the metal but look for the settlement at a newer, firm base after a little rush early in the week; it's only natural and a nice 925 base seems reasonable by the end of the week and that should carry us to September unless a ministampede kicks off somehow...regardless, stay with the plan. If the price gets outrageous...let some go back into the great continuum and book the gains. If it dips, keep accumulating, be diligent, work your plan, don't get distracted. The three P's: Pay attention, have a Plan, be Prepared.
Just thinking out loud. For entertainment purposes only.
FDIC actions of this sort occur frequently, although generally not to large institutions. I have a friend who is in a fairly high position with the FDIC in the Mid-Atlantic region and another who workerd with them for about 10 years. People can still write checks on their accounts and access ATM machines. The doors are locked just to get the principals out of their offices. After a few hours, or in this case, a weekend, the doors are opened and business is transacted normally under FDIC control. For people who dont visit the bank on a daily basis, they dont even know there was a takeover. It is a very orderly process. The vast majority of people do not know how FDIC insurance works and panic. Very, very, very few have deposits at the bank that would exceed the insurance limits, so their fears are completely unwarranted.
What was not right about this situation are the comments made by my Senator, who caused the run on the bank. It also should be of no suprise that IndyMac went under, as the stock was only trading at 28c, down from $50 a year earlier.
Knowledge is the enemy of fear
A similar situation exists with the backing of Fannie and Freddie. It doesn't come from Congress nor the full backing and faith of the US Govt.
roadrunner
We all do.
and has about 40 billion in reserves. It is likely that if more large
banks become insolvent, the mandatory charge to banks for FDIC
will be increased. WALMU has taken about 8 billion of those reserves.
Camelot
About 1000 banks went under during the 1988-1993 era but there were also many more banks before the current craze of merging came about. How ever you compare that time to the next 5 years, 2008-2013, the next few years will easily top it.
In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
roadrunner
<< <i>I enjoy reading cohodk's posts too as well as the other frequent posters here...at least when I can understand them. Those that work in the financial sector or play with stocks and bonds daily have a leg up on the rest of us.
About 1000 banks went under during the 1988-1993 era but there were also many more banks before the current craze of merging came about. How ever you compare that time to the next 5 years, 2008-2013, the next few years will easily top it.
In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
roadrunner >>
My vote is $1,500 gold because of this year's financial perfect storm...which still brewing.
Also, read on google news that BO thinks that fannie and freddie won't need any bailout help. They will when he runs the roost.
Ren
<< <i>FDIC insurance is only as good as the banks that pay premiums into the system. What is the current funding level, something around $50 BILL? Another IndyMac or two and that pot is empty. At that point what do the "guarantees" to $100K mean to Mom and Pop?
A similar situation exists with the backing of Fannie and Freddie. It doesn't come from Congress nor the full backing and faith of the US Govt.
roadrunner >>
I think you are fairly closee on the FDIC munber, but IndyMac will be the 3rd largest ever and will only use about 10% of the FDIC's funding. There will be many more failures, but I wouldnt worry about the FDIC running out of money.
Most "mom and pops" do not have anywhere near $100k in the bank. Or if they have more assets than that, any smart mom and pop would have it spread among many institutions. Also most mom and pops would have their money in a brokerage account which would be protected up to $500k. However, since the average "worth" of a family between the ages of 45 and 55 is only about $140,000, very few have anything to worry about. Except perhaps that they do not have enough money.
BTW---my illustrious Senator wanted to load FNM and FRE to the gills with more mortgages just a few months ago. Time to vote these bums out. Schumer
Knowledge is the enemy of fear
<< <i>Jim Rogers: The Dollar is Doomed and the Fed's Days are Numbered >>
Last line of Rogers; "I predict the American central bank will not exist within 10 years."
So will the Chinese central bank or English central bank run our fed and with what currency?
Ren
The $500K brokerage account scares me. How does that work? I know my own company keeps a working account of a few $ Million in Bank of America. But, I couldn't think of many riskier places to keep such a sum. Though business does have to be conducted.
roadrunner
Oftentimes I write/speak in riddles which even confuses me.
I dont know what the next 5-10-20 years will bring. It is possible that it may be the worse that not only the USA, but the rest of the world, has had to endure, or perhaps not. What I do have a pretty good idea of though is that if the US banking system fails, so will every other and this would cause a global depression most likely ending with global war. I think, hope, we have become a civilized enough species that we dont need have to go this route.
Here is a link to brokerage account protection...
SIPC
Knowledge is the enemy of fear
<< <i>In any case....let's keep plugging along lest the 2008 SAE thread catch up to us. First to 10,000 wins. Which comes first, 10,000 posts or $1500 gold?
roadrunner >>
at least this thread is still ON topic (most of the time,)
it has been heating up hear, the other topic is dying a slow, painful death
<< <i>
<< <i>Jim Rogers: The Dollar is Doomed and the Fed's Days are Numbered >>
Last line of Rogers; "I predict the American central bank will not exist within 10 years."
So will the Chinese central bank or English central bank run our fed and with what currency?
Ren >>
Yuan, if there was a guess
<< <i> Please sir my family is starving, I'll do anything to put some meat on the table.
Start up the meat grinder, Rocco, we just got another volunteer. >>
Not to worry, we got covered
fed solution link
gold will rise and the stock market will continue its
severe decline. All in all, a rather gloomy day indeed.
Camelot
<< <i>overheard conversation in neighborhood meat market, NYC 2012
<< <i> Please sir my family is starving, I'll do anything to put some meat on the table.
Start up the meat grinder, Rocco, we just got another volunteer. >>
>>
"Soylent Green is people!"
C. Heston
Schumer - Don't Blame Me!!
<< <i>ok, would some of you please interpret this Sunday's financial announcement from our beloved leaders? >>
I think it means that those who bought UYG at the close on Friday will wake up tomorrow with a smile
Knowledge is the enemy of fear
I also hope Our Society is civil enough not to come to war on our soil!
But it never hurts to be prepared!
<< <i>I have stated on many occasions and on this Thread a long time ago that I don't have the knowledge of the subject at hand to contribute. I have asked in this Thread that I would like to know exactly what one does with gold once a person has it. I have followed this Thread and read it from the beginning. The variety of opinions, predictions, personalities and unusual observations has been enjoyable. I now have my second question on this subject. Why not own only gold? Not Real Estate, not rare coins, not furs, not Art, not jaguars or Yugos or Corvettes or Harley Davidsons, not antique furniture, not stock, etc. In short, if gold is the only safe position, then anything else is meaningless. I would appreciate any But, However and Because thoughts be presented courteously, as I am truly interested in the answers. Convince me I should be allowed to matriculate to the 5th Grade. Respectfully, John Curlis >>
sorry i am not a teacher and got a D+ in macro economics in college and i swear it was the professor's fault!! (actually i take full blame)
simply stated gold is money...if you take inflation...which devalues USD then obviously gold rises in price. gold has been a universal (global) standard of wealth for centuries.
there is a lot of manipulation in day to day trading but the trend of inflation up, gold up is where it all lays or lies (IMHO)
i have bought physical silver and gold recently as a hedge to my other investments. i am somewhat of an economic pessimist and don't enjoy seeing foreclosues and repo's and hardship, but my choices have run contrary to the "gotta have it now crowd"
hope that helps, some at least
If you don't believe in gold or silver.... and are not comfortable with it..... by all means, DO NOT buy it. To each his own.
Some of the posters in this thread have followed their belief... and have changed a significant portion of their net worth into precious metals. Others, perhaps a much smaller portion. It all comes down to your own personal beliefs and comfort level. BUT, we are each responsible for our own decisions, and must pay the price if wrong, and reap the rewards if we are right.
Why can't I get this #$&**@ crystal ball working!?
Cash will still work and not being present during the last depression I don't know how those holding gold coins did. This time around we have silver coins as well. While it was basically illegal to hold or trade gold coins following FDR's 1933 proclamation I don't see that occuring this time around. Interesting that gold mining stocks, and Homestake Mining in particular (today called Newmont) bucked the trend following the start of the depression and increased 6X or more in value. That tells me that if gold ownership were allowed beyond $100 for bullion, that it would have appreciated in price as it became a medium of exchange/barter.
The staples of living will represent real value: cash, clothing, food, water, fuel, medicines, wine/beer, supplies, guns/ammo, tools for working, etc.
But rather than allow a banking crisis the CB's will inflate their hearts away and replace currencies if they have to. Yes, it's hard to write about what you could do to survive other than being debt free and being stocked 100% in food/supplies/heating fuel, etc. I don't see any problem with being into say 20% cash, 50% gold/silver, and
30% into whatever other areas interest you. Frankly, 90% gold is no problem either imo. It's far more liquid than art, antiques, coins, cars, beanie babies, etc which all will likely fall in value as things get rougher.
roadrunner
<< <i>I have stated on many occasions and on this Thread a long time ago that I don't have the knowledge of the subject at hand to contribute. I have asked in this Thread that I would like to know exactly what one does with gold once a person has it. I have followed this Thread and read it from the beginning. The variety of opinions, predictions, personalities and unusual observations has been enjoyable. I now have my second question on this subject. Why not own only gold? Not Real Estate, not rare coins, not furs, not Art, not jaguars or Yugos or Corvettes or Harley Davidsons, not antique furniture, not stock, etc. In short, if gold is the only safe position, then anything else is meaningless. I would appreciate any But, However and Because thoughts be presented courteously, as I am truly interested in the answers. Convince me I should be allowed to matriculate to the 5th Grade. Respectfully, John Curlis >>
People should be like the squirrel which gathers acorns for the winter.
Indeed we have a much wider variety of needs and a much longer time frame
to view. This means we need to gather a variety of assets to protect against
not only the winter but a wider array of crises and contingencies. There are
myriad opportunities to see our acorns turn into oak trees to reap the rewards.
It is this savings which forms the basis of the capitalist system and those with
the acorns and saplings expect and demand rewards. But there are periodic
storms which arise and blow away acorns, saplings, and great oaks. These, too
must be gaurded against and most of the time this is the promary function of
gold in one's holdings; it doesn't blow away so easily. Normally the amount of
gold you own should reflect your confidence in the long range weather forecast.
When you see storms or gluts of acorns on the market then you trade acorns
for gold. When you see good weather for saplings you plant trees.
Right now looks like a very good time to hunker down and unload some acorns.
-Chauncey Gardner
If our human condition gets as bad as has been remarked here there will be a (un) civil war. If it's global it's gonna be ugly and today's countries may be renamed in an updated world map of 2020.
Ren
<< <i>Many people who saved their money and survived the last Great Depression had their money in Annuities...Insurance policies...check them out you can find them either through an Insurance Agent or Someone who deals with Living Trust. >>
Are you sure about that??
Aren't annuities based on the ability of the issuing company to invest and pay? If the companies were going broke during the depression.... I find it hard to believe annuities were still being paid out. But.... I do not have much knowledge in these products, and also did not live during the Great Depression years.
Any one else out there have knowlege of what dlimb2 has mentioned?
History was made last week but so few understand it and less understand how to protect themselves.
The events of last week are so serious that saving newspapers for generations to come will amaze people who read them in the future. Some of the questions you will hear are:
How in the world did people see the great dollar-destructive inflation coming?
How could they possibly stay in the dollar?
How could people have not bought gold?
You have to be kidding. Funds were short up to their eyeballs in junior gold shares. These juniors are the only means of getting new reserves. Why did investors in juniors fail to take definitive action to stop the lending of their shares to the shorts?
Why didn't everyone keep their hard earned dollars in gold?
Why were the OTC manufacturers not arrested for first degree financial murder?
Why did so many educated people fail to see "This was it"?
Why did so many educated people not understand the unwinding of the entire financial system was accelerating?
The facts of the debacle:
The largest bank failure (IndyMac) in US Financial history occurred because of OTC derivative losses. The two giant real estate financiers, Freddie and Fanny, are balance sheet insolvent. In English this means both companies are busted, all because of OTC derivatives. The damage to the financial system’s estimated size is predicted to be $1.6 trillion dollars. This number shocks people, but it is still far below the real number. Once again we should all give thanks to the OTC derivative Geeks.
Freddie and Fanny are to be rescued by smoke and mirrors designed to look like private sector investments.
This weekend the US Treasury and The US Fed are calling all banks and financial institutions that have populated the Begging Bowl Fed Loan Window to stay solvent to buy the multi-billion dollar bond issue scheduled to be auctioned on Monday. That is a joke as these institutions will have to buy them for their own account if they don't have insane clients to stuff with this paper. The question is where are these busted financial entities getting the funds for the bail out? Are these funds coming from the various Federal government entities that can buy any US security or bond?
roadrunner
In my heart I wanted to believe it, but my mind would not allow it!
50 million just doesn't go as far as it used to............
(the coin isn't even gold - it's brass, or brass plated.....)
I knew it would happen.
<< <i>Imagine that all of your savings are in Dollars instead of Marks, and that this is 2008 instead of 1923:
50 million just doesn't go as far as it used to............
(the coin isn't even gold - it's brass, or brass plated.....) >>
I've seen the paper-million marks but never a coin. Is that a commemorative of disaster, token or der real McSchmidt?
Ren
<< <i>ok, would some of you please interpret this Sunday's financial announcement from our beloved leaders? >>
Mind boggling. And what's even more mind boggling is the size of the masses in this country whining, crying and begging for even MORE socialism. How many of these fools will actually tell you it's a "compassionate" philosophy.
More government = less prosperity, equity and freedom.
The equity in this land is being sucked out of it. I'm sure everyone has heard the arguments lately that claim "ownership" is over-rated. Over rated? The bedrock of a free society, property rights are over rated.
Incredible.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
Ren
Ren, it's a German Notgeld coin - many of the provinces made emergency money during the hyperinflation era due to a coin shortage. Some of the coolest-looking ones were the horse coins, from Westphalia.
I have a 200 million mark note. Will you cash it for 4 of those please.
Coyn, sorry.
I just dug out my stash of notes that I got at the last St. Louis Coin Show, and the scary thing is how fast the note denominations seemed to have increased:
1000 Marks Reichsbanknote - September, 1922
100,000 Marks Reichsbanknote - February, 1923
20,000,000 Marks Reichsbanknote - July, 1923
100,000,000 Marks Reichsbanknote - August, 1923
500,000,000 Marks Reichsbanknote - September, 1923
5,000,000,000 Marks - Die Finanzdeputation - October, 1923
I knew it would happen.
There is no investment better than in your country!
Fixed Annuities or Combination of Fixed and Indexed(DO NOT GO VARIABLE)
Also your Money when placed within an Annuity is guaranteed $ for $...and depending upon which annuity you choose it does pay no less than a a given %...so it does pay an interest whether the world is at war and tanking or the world is all rosy and bright!
Insurance Companies have nothing to do with the Financial Banking World.