Folks, this country is being looted of it's assets. It is being destroyed.
1) The US Dollar has lost more than 40% its buying power since 2000. It traded for about 120 on the US Dollar Index in 2000. It went below 72 yesterday. It is headed lower.
2) More than 7 TRILLION dollars of wealth has evaporated from the world's balance sheets SINCE 1/1/08. How much is 7 TRILLION? Is that a significant amount?
3) Gold has gone from around $250 per ounce in 2000 to around $1,000 per ounce since that time. Gold is a lousy investment, isn't it? It doesn't pay interest. You could be getting 3% interest from a CD!
4) Oil averaged about $28 per barrel in 2000. Can you say $130 per barrel?
5) Silver traded between $4 and $5 in 2000. It is now trading for more than $20 per ounce.
6) Real estate is doing GREAT, isn't it? Real estate always goes up, doesn't it? Actually, it went down during the Great Depression, and we might be about to get another Depression. How will real estate do if that happens?
7) The Dow hit a then all time high of about 11,717 in January 2000. On the day I wrote this, it closed just above 12,145. WOW! About 428 points since January 2000! BUY AND HOLD! Stocks always go up! Actually, they don't. People who bought the Dow in 1929 had to wait until the 1950s for their portfolios to get back to where they had been in nominal terms. People who owned gold mining shares during the 1930s got rich.
8 ) Most bonds are yielding NEGATIVE real rates of return when inflation is considered.
9) The total monetary supply is being expanded by over 16% per year in the US.
10) The Dow has just about completed a “head and shoulders” pattern. Technical analysts normally regard this as a very bearish sign. I'm not a technical analyst. I'm a fundamentals guy. The fundamentals are crappy as well!
11) The Fed has announced that it is going to loan the bankers at least 200 BILLION dollars within the next month in order to “inject liquidity” into the system. In exchange for this, the Fed will accept a bunch of CDOs and other insane “investments” held by the banks as “security” for the loans. I don't think that the Fed will actually make the banks pay anything back. The Fed will create more billions out of thin air when the current rescue plan fails. The loans will “revolve” into outer space!
12) The Fed creates all its “money” out of thin air. It isn't backed by anything of value.
13) Inflation is a monetary phenomenon caused when central banks and their member banks (through the fractional reserve system) increase the supply of currency relative to the available goods and services. This causes prices to rise.
14) Our government and its “information organs” such as the BLS are LYING to us about the real rate of inflation and money creation.
15) Most people have not done ANYTHING at all to protect themselves from the evil policies that are robbing the middle class of what little wealth it has.
