Your
liberty isn't a question of mind over matter.
Even if you don't mind, it still matters.
As the editor of the Silver Bear Cafe, I spend most of my time researching current events. I explore the markets, the war, precious metals, the Federal Reserve and energy. In this weekly column I will attempt to condense the week's events and examine how the news might affect your pocketbook. JSB Financial Markets The average price of homes in Massachusetts and Las Vegas dropped in the last 30 days. Real estate prices have peaked and are about to tank on both coasts. The dollar has finally fallen off the cliff and is now in free fall. Nobody seems to notice. Nobody seems to mind. Central bankers all over the globe are beginning to shun the greenback. Australia's banks are refusing to accept them. The American stock and bond markets are about to implode. The world economy is about to implode. Nobody seems to notice. Nobody seems to mind. If the United States' real estate market is sick, if the dollar is dying, if the world economy is on the verge of collapse, don't you think somebody should mind? Well I mind, dear reader, and so should you. Even if you didn't re-fi your house, have saved diligently, are not maxed out on your credit cards, or strapped with ever increasing payments on ever declining assets, seven out of ten of your neighbors are. When they go down, they will drag you with them. Putin fixes the elections in Ukraine and everyone everyone screams foul. Diabold electronic voting machines over count thousands of votes for Bush in 5 swing states and nobody seems to mind. On the war front The war in Iraq, which, according to Government sources, was won in April, 2003, may last for generations. The U.S. has become so mired in the Middle East that current think-tanks suggest we may be there for decades. Nobody seems to mind. Iran's manufacture of nuclear weapons causes everyone to rant and rave. Putin says he has a nuclear missile system far superior to all others and nobody seems to mind. Your liberty isn't a question of mind over matter. Even if you don't mind, it still matters. Precious Metals Silver is as important a strategic commodity as oil. The need for a supply of silver in times of war is so essential, that a shortage of the metal could pose dire and direct consequences to the continued well being of our country. With the evolution of technology, silver has become so intrinsically important, that a lack of it will adversely affect America's national security. Meanwhile, as a result of the collusion between industrial users, central bankers, the Commodity Futures Trade Commission, (CFTC), the Chicago Board of Trade, (CBOT), and government regulators, spanning the past fifty years, inventories have all but disappeared. An interesting thing to point out is that when a missile or torpedo explodes, as much as 1400 ounces of silver is vaporized. This is one of the industrial reasons why the above ground stockpiles of silver have already been depleted to the point of scarcity. The artificial capping of the price of any commodity is not unlike the insertion of a huge cork in a volcano. This can result in nothing less than the massive explosion of its price in the immediate future Start purchasing silver bullion. Then buy some more. Community members, increase your holdings. Rather than just two brothers from Texas doing all the work, and consequently being an easy target, let's all become involved. Besides enriching ourselves through the exercise of buying and owning silver, we can passively wrest the control of the silver market out of the hands of the "Dark Side" and back into the hands of the people. This can bring about some very important changes, in one way, that will really make a difference. As the price of bullion subsequently rises, more and more people will begin to see Federal Reserve Notes for what they really are; fake money, and recognize and appreciate precious metals for what the really are; real money. If nothing else, it might make wars more expensive to fight. The downside risk is minimal compared to the upside potential. Oh, and by the way, for all you "Joe Six Packs" out there, a $10 bill you got in 2002 currently has the buying power of $6.50, (a loss of $3.50), while an ounce of silver you could have procured, at the same time, for $5.00, is currently worth $8.50, (a gain of $3.50). But the real deal is the two ounces of silver that you could have purchased for that 2002 $10 bill that would currently worth $17.00. That's a 70% increase on the original $10 but a whopping 250% profit when you compare holding the FRN to holding the silver. Hey, it's a no brainer, (and that's a good thing considering the level of brain power utilized by the average sheeple.) Most importantly, the price of silver, IMO, is about to "go to the moon." Energy China continues to gobble up energy resources all over the globe. The Chinese government is in discussions to acquire Calgary-based oil and gas giant Husky Energy Inc. from Hong Kong billionaire Li Ka-shing, in the emerging Asian power's latest move to deepen its economic ties with resource-rich countries such as Canada. But they are not only interested in Canadian resources. The state-owned China National Petroleum Corporation has signaled to the Kremlin it wants to take part in the December 19 auction of Yugansk - a key part of Yukos. China will soon become the largest consumer of steel, oil, cement, copper, nickel, silver, timber, coal, natural gas, and aluminum. Chances are, if you invest in the sectors that have control over these commodities, you will do alright. The Fed The ability of the Federal Reserve to create money out of thin air and then charge interest on this "funny money" is the bane of society and is the root cause of our eroding wealth yet "Joe Six Pack" hasn't got a clue. Financial Survival Live within your income, or below it, if possible. The only way that this economy will recover is by increasing our rate of savings. Today’s rate of household savings has dropped to .4% from 7.7% in 1992. We need to resurrect the virtue of thrift. EverBank’s FDIC-insured World Currency Deposit Accounts and CDs – denominated in any of the world major currencies, including the euro, Swiss franc and New Zealand dollar – offer you an incredibly simple and efficient way to invest in to many attractively priced currencies. Simply
exchange your dollars for the currency or
currency basket of your choice, and receive
interest rates several times as high as those
offered on dollar deposits. Eliminate as much debt as possible, especially “variable rate” debt, such as credit cards and lines of credit. Interest rates will be rising, so the elimination of debt offers a “real return” of escaping rising rates by creditors. Get some control over some fresh water. If you are depending on Social Security, stop. Follow the course opposite to custom and you will almost always do well...
More next week... If you have not yet joined "the Bear" and/or have questions, please call us, toll-free, at: 1 (877) 389-7626 May the Great Spirit be with you always,
Johnny
Silver Bear P.S. Refer two new members to the Silver Bear Cafe web site and earn twenty, (20), one troy ounce silver rounds. For more information on the Silver Bear Cafe's income opportunity, click here Disclaimer All statements and expressions are the sole opinions of the editor and are subject to change without notice. A profile, description, or other mention of a company in the newsletter is neither an offer nor solicitation to buy or sell any securities mentioned. While we believe all sources of information to be factual and reliable, in no way do we represent or guarantee the accuracy thereof, nor the statements made herein. The staff of Silver Bear Cafe are not registered investment advisors and do not purport to offer personalized investment related advice. The publisher, editor, staff, or anyone associated with, or associated to the Silver Bear Cafe may own securities mentioned in this newsletter and may buy or sell securities without notice. |
Its
not what you don't know that will screw you up, it's
what you know that is wrong. The spin you hear from the
mainstream media is intended to mislead you. Open your
eyes and face the future. If you leave your head in the
sand and ignore it, you are only leaving your butt exposed
for the world to kick. This all may sound like gloom
and doom, but when you get a handle on what is going
to happen, you will have a future filled with opportunity.
Fortune favors the Informed.