the time is now

[lamboguy]

it is time to protect yourself. if you own gold that is in the hands of coin dealers or intermediate party's and are just holding pieces of paper, get the physical metal in your possesion.

don't trust brokerage firms or banks with your money, take hold of it and try to turn it into precious metals.

don't let the media influence you that things are alright. they jsut simply are not. most of the banks and financial institutions are completely broke thruout the world.

i haven't seen the new presidents economic plans yet, i doubt if it is much different than the one that we have now. i urge you to take these precautionary steps. i hope they are only precautionary, but i don't like what's going on now. to many banks going under and melting away.

[robert99]

Banks and Governments are having to dump gold to pay for the bail-outs.
Rolex watches might be a safer bet.

[lamboguy]

if i remember right, the same thing happened to england back in the 70's, the bank of england emptied out their gold to pay their bills and devalued their currency. a few months later gold went from $35 an ounce up to over $800 an ounce. thanks for bringing that up!

[cmoore]

How low will the Dow go??

6200 is my guess..

[RichieP]

How low will the Dow go??

6200 is my guess..

4,500 within 15 months

[cmoore]

4,500 within 15 months

That low..WOW!!!! I'm glad I put my 401k in the stable fund a year ago..Now I just have to figure out where the bottom is..Like that's possible..:D

[lamboguy]

the dow may go down to those mentioned numbers, but i think it will go up first. if there is no promise for the future then it will get destroyed.

i say we see 10k before 6k on the dow. after we see the 10k it will be pickem whether it goes up or down from there. i am an optomist, i say up.

[robert99]

if i remember right, the same thing happened to england back in the 70's, the bank of england emptied out their gold to pay their bills and devalued their currency. a few months later gold went from $35 an ounce up to over $800 an ounce. thanks for bringing that up!

No one has ever revealed the "technical" reasoning why half the gold reserves were sold - it was nothing to do with the £ currency. The devaluation happened earlier under the previous inept Conservative administration (“Black Wednesday”, when John Major’s government lost £3.3 billion in a day in its failed attempt to prop up the pound.)

Other people's money in a politicians hands is only worth 5 cents on the dollar and who today is believed to be leading the world economic recovery strategy - none other than Gordon Brown.


"GORDON BROWN is to face questions in parliament after revelations that he disregarded advice from the Bank of England before he sold off more than half the country’s gold reserves at the bottom of the market (from 1999).

They have revealed that Bank of England officials had serious misgivings over the chancellor’s determination to sell 400 tons of bullion in a series of auctions between 1999 and 2002, when the price was at a 20-year low. Since then the price has almost trebled, meaning the decision cost the taxpayer an estimated £2 billion.

The Sunday Times has established:

o The Bank of England, which has managed Britain’s gold reserves for more than 300 years, was never asked for its advice on whether Britain should sell the gold. A senior Bank of England executive said the timing of the sale was “not debated”.

o At a secret meeting with senior gold traders, Bank of England officials were warned that the proposed auctions would achieve the worst price for taxpayers. The officials are understood to have agreed with the analysis but said they were powerless to influence the Treasury.

o Several Asian countries including China are named by an insider as having bought the gold “on the cheap” from the Treasury. The Chinese may have made more than £1 billion from Brown’s botched sell-off.

Warnings over the risks of losing money from the gold sell-off are understood to be set out in internal correspondence sent by Bank of England officials to the Treasury in 1999.

Last night the Bank of England sought to distance itself from the decision to sell off the gold. In an unusual intervention, it said: “In regard to the gold sales, the Bank acted solely as agent and the decisions were taken by HM Treasury.”

Its statement casts doubt over previous assurances given by Treasury ministers and Tony Blair to parliament that the decision to sell the gold reserves was made on the “technical advice of the Bank of England”.

A senior investment bank director, present at a meeting held by the Bank of England in May 1999 to discuss the sell-off, said: “We were told this was a Brown thing and that the Bank had no say over what was going on. The officials were unhappy.”

The gold sell-off is seen in the City as Labour’s equivalent of “Black Wednesday”, when John Major’s government lost £3.3 billion in a day in its failed attempt to prop up the pound.

[robert99]

"What is causing this?
The crisis and the developing downturns are what Marxists call a devaluation of capital. This process occurs when the underlying trend in all capitalist economies towards a decline in the rate of profit finally manifests itself in real falls in profits. A huge volume of accumulated capital is unable to find an outlet in sufficiently profitable investments. This is when credit lines and loans are suddenly withdrawn. The excess has to be devalued or destroyed. Then the big capitalists and national governments fight among one another over who will bear the cost of devaluation: whose order books will be reduced, whose factories will be closed down, whose stock markets will plummet, whose loans will be written off, whose housing stock will be emptied, who will bear the burden in higher unemployment, whose wages will be reduced in value. Both inflation and recession are forms of this devaluation – both will be used to make the working class pay the price. Once this excess capital is removed from the system, then the cycle recommences with an economic recovery, with profit rates having been temporarily restored by the violent process of devaluation.

What an insane system, which can only keep itself going through regular and repeated crises and shakeouts, through the destruction not of capital in abstract, not just a number on a balance sheet, but through the destruction and degrading of real living standards, real jobs, real hopes and dreams, real lives.

The task of the working class movement around the world is to coordinate its resistance to the crisis, to fight to stop the capitalists forcing us to pay the price of the crisis of their system, and to organise politically – so that we can bring all our resistance together in a challenge to this irrational system."

[sammy the sage]

""The task of the working class movement around the world is to coordinate its resistance to the crisis, to fight to stop the capitalists forcing us to pay the price of the crisis of their system, and to organise politically – so that we can bring all our resistance together in a challenge to this irrational system."

How true...in a book learning, white wedding world...

But if one is smart enough to do this...said person...will JUMP to the OTHER side...in REAL life..

just a FACT of human nature....

Sucks I'm NOT smart enough to be on the other side. :( :mad:

[LottaKash]

"What is causing this?
The task of the working class movement around the world is to coordinate its resistance to the crisis, to fight to stop the capitalists forcing us to pay the price of the crisis of their system, and to organise politically – so that we can bring all our resistance together in a challenge to this irrational system."

Sounds Good, what do you propose Robert, I mean to unite and organize politically ?....Do you think that this will un-bankrupt us if we do this ? Is it too late ?..... I am being facetious of course, as, we are in such a pickle globally as well as at home(s), we have just got to laugh and pray in all this mess, and that it is my intent here (haha).....:jump:

best,

[JustRalph]

"What is causing this?
The crisis and the developing downturns are what Marxists call a devaluation of capital. This process occurs when the underlying trend in all capitalist economies towards a decline in the rate of profit finally manifests itself in real falls in profits. A huge volume of accumulated capital is unable to find an outlet in sufficiently profitable investments. This is when credit lines and loans are suddenly withdrawn. The excess has to be devalued or destroyed. Then the big capitalists and national governments fight among one another over who will bear the cost of devaluation: whose order books will be reduced, whose factories will be closed down, whose stock markets will plummet, whose loans will be written off, whose housing stock will be emptied, who will bear the burden in higher unemployment, whose wages will be reduced in value. Both inflation and recession are forms of this devaluation – both will be used to make the working class pay the price. Once this excess capital is removed from the system, then the cycle recommences with an economic recovery, with profit rates having been temporarily restored by the violent process of devaluation.

What an insane system, which can only keep itself going through regular and repeated crises and shakeouts, through the destruction not of capital in abstract, not just a number on a balance sheet, but through the destruction and degrading of real living standards, real jobs, real hopes and dreams, real lives.

The task of the working class movement around the world is to coordinate its resistance to the crisis, to fight to stop the capitalists forcing us to pay the price of the crisis of their system, and to organise politically – so that we can bring all our resistance together in a challenge to this irrational system."

Wow! Right out of the manual for recruiting to the socialist side of life..............

Much of what you say is true. But it works much better than anything else and the economic cycles are long and provide for improved wealth and living conditions unlike any other in the world.

In the U.S. a portion of the "capitalists" decided to take advantage (housing industry) and ran amok. Their partners in crime, the Banking industry decided they would invent a way to profit on top of the housing industry. The system fell apart. The Bankers acted like they always do, in a herd mentality and fed off each others gains until they crashed into the wall of reality.

Think about it, it had to happen. The fact that a 1800 sq. Foot house in San Francisco was presumed to be worth half a million dollars and sometimes 3 times that, depending on the neighborhood, clashing with a 1800 sq foot house 500 miles away selling for 150k ? It was obvious things were out of control. There had to be some natural correction on the horizon. The two had to meet in the middle somewhere. There had to be a similar or equal correction as seen in the past. It has happen several times in the last 50 years. But the scale of this over valuation by banks and builders fed off itself to such heights that almost all institutions were complicit. This includes the governments who were taxing property based on these inflated values.

This brought about overfed municipalities that borrowed against future tax collections. They hired in excess and they built and expanded at a rate well beyond what was prudent. Ornate and fabulous has become the theme and face of government. Right down to the local level. Where rainy day funds should be brimming over, you find expanded services, ornate buildings and layoffs happening every day. It is a symptom that has been seen before, and through cyclical economic conditions is corrected over time. But this time, they fools at the top went way over and above any period seen in our history.

Toss in the Congress who decided to force those at the top (Bankers) to include every single economic layer of our Society in this robust rush to the proverbial American Dream and you get a correction the likes of which will only hurt those on the lower end more than ever before. Once again, the do-gooders hurt those more by trying to help them with artificial incentives. Yet this time, the actions of our Congress, The Bankers and Builders, and those who ignored the absurd climb to the top will have perpetrated an economic disaster and possibly several criminal acts along the way, of such magnitude...........that the baby boomers may never get to retire.

Part of me says that after a couple of years, the geniuses (sarcasm icon needed) will figure out a way to run the economy back into over-valuation again and the cycle will start all over. Capitalism at it's finest...........but maybe this time we learn from our mistakes.

[Lefty]

It's amazing to me that they'll take my no-good dollars for all that good gold. Hmmm...