Gold and What Moves it.
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Gold and What Moves it.
Tracking all things that relate to and affect the price of gold.
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The Golden Truth: WTF? A Couple Of Irritations Today

The Golden Truth: WTF? A Couple Of Irritations Today | Gold and What Moves it. | Scoop.it

Dave in Denver:

 

"The bottom line is that our system is quickly collapsing into a state of Governmental totalitarianism. The signs are abundant. Just look at the way in which the MF Global catastrophe is being handled by the Justice Department. It's not and that's the problem. The Obama Administration is looking the other way while the JP Morgan and Jon Corzine walk away from looting at least a billion in customer funds.

 

"And what's with Obama signing a law the gives the Government the right to take control of the entire infrastructure and resource base of this country AND to implement martial law WITHOUT the exigencies of a national emergency. I'm referring to the recent National Defense Resources Preparedness Executive Order signed by Obama a couple weeks ago. Think he's not serious about this? Check out the recent ammunition procurement by the Department of Homeland Security: LINK. Those are not crowd control rubber bullets. Those are hollow-points designed for efficient killing. What is our Government worried about?..."

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Gold & Silver Acceptance Growing as Distrust in US Increases

Gold & Silver Acceptance Growing as Distrust in US Increases | Gold and What Moves it. | Scoop.it

With gold, silver and oil on the move, today King World News interviewed Rick Rule, President of Sprott Asset Management USA. Rule told KWN that resource wars are heating up and an acquisition binge looks ready to take place, led by Asian countries. Rule discussed gold, silver, oil, natural gas & acquisitions, but first, here is what he had to say about the proposed BRIC Bank and increasing distrust of the US: “I believe the concept of a BRIC’s Bank is a good idea. The move to have more multi-lateral competition in the world is appropriate. The fact that it’s being backed by the World Bank is something the BRIC countries need to be worried about.

 

"If you are going for backing from the institution you are trying to supplant, caution flags are raised. What I will be interested to see is how politicized the lending portfolio of the BRIC Bank will be. Certainly it couldn’t be worse for the world economy than the World Bank has been over time.

 

"This whole situation is indicative of the fact that societies are increasingly distrustful of the United States and to a lesser degree, the West’s control of the world economy. This also points to the fact that there are arrangements taking place that will eventually deny the US of seigniorage...." click over for the rest. 

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India`s imports of gold and silver tumble in Q1

India`s imports of gold and silver tumble in Q1 | Gold and What Moves it. | Scoop.it

MUMBAI (MINEWEB) - by Shivom Seth.


"Gold imports to India, the world's top importer crumbled more than 55% in March, with jewellers shutting down their establishments across the country demanding a rollback of the duty hike proposed in the Union Budget.

 

"The country would have imported just 15 to 20 tonnes of gold in March as against 45 to 55 tonnes that is usually imported on a monthly basis,'' said Prithviraj Kothari, president of the Bombay Bullion Association. He added that the high price of the precious metal also deterred fresh purchases.

 

"Imports of the precious metal shrank to 90 tonnes in the January-March 2012 period, as against 283 tonnes in the corresponding quarter of last year. In January 40 tonnes of gold was imported, while in February around 30 tonnes was imported. The jewellers strike and the import hike in March depressed demand further..."

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Pento - Global Recession, Monetary Madness & Gold

Pento - Global Recession, Monetary Madness & Gold | Gold and What Moves it. | Scoop.it

Today Michael Pento chonicles the mounting problems that Europe is facing and stated that gold is ready to explode higher if the Fed engages in more “counterfeiting.” Pento, who founded Pento Portfolio Strategies, also writes exclusively for King World News about the fact that consumer debt is rising, while savings is tumbling. Here is what Pento had to say: “The mainstream media is busy promulgating the idea that the Great Recession is a fast-fading memory and that it’s now clear sailing for the global economy. But the true numbers belie that notion. One of the supposedly good news items being celebrated in the U.S. was found in the ISM Manufacturing Survey released this week. It increased to 53.4 in March, from a level of 52.4 in the prior month.

 

"However, the somewhat better news on manufacturing came on the back of a U.S. consumer that has fully reverted to their borrowing and consuming ways. Spending increased by 0.8% in February, the most in seven months but incomes only increased by 0.2%. More importantly, real disposable income declined by 0.1%, which was the third such decrease in the last four months. As a consequence, the savings rate fell out of bed to 3.7% from 4.3%, which was the lowest level since August 2009.

 

"Therefore, the small rebound in manufacturing and huge increase in spending by the consumer is ersatz and unsustainable in nature. The problem is that consumer debt has now started to increase once again, at a time when it desperately needs to contract..." Click over for the rest.

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John Williams - Consumers Crushed & Economy Collapsed

John Williams - Consumers Crushed & Economy Collapsed | Gold and What Moves it. | Scoop.it

John Williams tells King World News:

“In an environment where politicians and Wall Street increasingly are hyping an economic recovery ... Main Street U.S.A. usually has a pretty good sense of actual business activity, irrespective of the hype out of Wall Street or Pennsylvania Avenue.

 

"As discussed in the hyperinflation report, a major reporting problem in the system is the understatement of inflation used in deflating the economic series. The use of understated inflation in deflating data results in an overstatement of the inflation-adjusted numbers. Following are graphs that represent official reporting or that have been corrected, at least partially, for inflation understatement. These graphs are updated from the referenced hyperinflation report..."

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In The News Today « Jim Sinclair's Mineset

In The News Today « Jim Sinclair's Mineset | Gold and What Moves it. | Scoop.it

Why Corporations Should Get Out of Cash, and Into Gold.

By Drew Mason

 

"While gold bulls may be an endangered species among traders today, five developments have occurred since the start of the year that may pressure gold and silver prices higher. These are: 1) the Federal Reserve’s commitment to maintain negative real interest rates through 2014, 2) the Fed’s admission that it is abandoning its dual mandate and now embraces “more than 2%” inflation, 3) recurring reports that nations previously considered to be U.S. allies are breaking from American-friendly ranks to buy Iranian oil using gold instead of dollars, 4) for the first time in years a public miner, Endeavor Silver, announced it will withhold the majority of its production because it feels gold and silver prices are too low, and 5) gold bullishness is near five year lows as measured by U.S. Mint demand.

 

"Against this backdrop consider that global allocations to physical metals are essentially zero. How can this be? Virtually every study of global wealth concludes gold is approximately 1% of assets despite the very positive macro backdrop..."

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Billionaire Hugo Salinas Price - World May Go Down in Flames

Billionaire Hugo Salinas Price - World May Go Down in Flames | Gold and What Moves it. | Scoop.it

Today multi-billionaire Hugo Salinas Price told King World News a complete catastrophe is unfolding in Europe. He also called Fed Chairman Bernanke “a vampire” and urged people to hold gold and silver because they will be the last things standing. But first, Salinas Price warned about the serious dangers we are facing: “I think that unless we see legislation, somewhere, that is rational and recognizes that gold and silver are really different forms of money, and that this whole scheme of paper is unworkable, then the world is going to go down in flames. The only thing that would last will be people’s savings of gold and silver.”

 

“But what kind of a world that will be? I think it will be a very nasty world. In spite of having gold and silver, that may not be enough to save you. They’re good things to have, but what we actually need to do is save our civilization and not go down in flames.

 

"I think the first thing to do would be to insert silver coins into the monetary system. That would be a healthy thing to do. I was very happy to see Ron Paul pull out a silver coin. To me it’s like he was facing the vampire Ben Bernanke with a silver coin, instead of a silver bullet...”

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Passaic, N.J. Considers Charging For Emergency Calls

Passaic, N.J. Considers Charging For Emergency Calls | Gold and What Moves it. | Scoop.it

PASSAIC, NJ (CBSNewYork) – When emergency crews respond to a car or building fire in Passaic, a bill might soon be sent out.

 

When the Passaic City Council meets next Tuesday, Mayor Alex Blanco said what they will not decide to do is levy fees against people in car accidents or building owners whose structures catch fire.

What they will do is go after the insurance companies.

 

“If you are a policy owner, you are already paying for it — this fire department service charge provision,” the mayor told WCBS 880 reporter Levon Putney on Friday.

 

He said the fees would only be applied if claims are made, and no fees would be levied for those without insurance.

 

There would be a $1,000 fee to respond to fires in buildings over four stories high. Single, two, and three-family homes would be exempt.

As for car fires, auto insurance would be billed $600.

 

{Expect more of this throughout the nation}

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Biden: "We Want To Create A Global Minimum Tax" | RealClearPolitics

"We want to create (what's called) a global minimum tax, because American taxpayers shouldn't be providing a larger subsidy for investing abroad than investing at home," Biden said at a campaign event."

 

{click through for the video}

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A Cashless Society May Be Closer Than Most People Would Ever Dare To Imagine

A Cashless Society May Be Closer Than Most People Would Ever Dare To Imagine | Gold and What Moves it. | Scoop.it

"Most people think of a cashless society as something that is way off in the distant future. Unfortunately, that is simply not the case. The truth is that a cashless society is much closer than most people would ever dare to imagine. To a large degree, the transition to a cashless society is being done voluntarily. Today, only 7 percent of all transactions in the United States are done with cash, and most of those transactions involve very small amounts of money. Just think about it for a moment. Where do you still use cash these days? If you buy a burger or if you purchase something at a flea market you will still use cash, but for any mid-size or large transaction the vast majority of people out there will use another form of payment. Our financial system is dramatically changing, and cash is rapidly becoming a thing of the past. We live in a digital world, and national governments and big banks are both encouraging the move away from paper currency and coins. But what would a cashless society mean for our future? Are there any dangers to such a system?..."

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Charles Hugh Smith: Welcome to the United States of Orwell, Part 4: "Consumer Protection" Just Another Federal Reserve Power Grab

Charles Hugh Smith: Welcome to the United States of Orwell, Part 4: "Consumer Protection" Just Another Federal Reserve Power Grab | Gold and What Moves it. | Scoop.it

From Charles Hugh Smith:

 

"How to mask yet another Federal Reserve power grab? Call it "consumer protection."

 

"This is truly Orwellian: the latest and greatest Executive Branch/Federal Reserve power grab is labeled "consumer protection." I am indebted to correspondent Jim S. who seems to be one of the few Americans to have actually sorted through this monstronsity and gleaned its true nature: an unprecedented extension of Executive (i.e. Imperial Presidency) and Federal Reserve power.

 

"Let's start by recalling that the Federal Reserve is a consortium of private banks.Calling a private consortium of banks the "Federal Reserve" is the original Orwellian misdirection, for there is nothing "Federal" about the Federal Reserve. It is not a government agency.

 

"Now guess who will fund and control this vast new bureaucracy of "consumer protection"? Yes, the private consortium known as the Federal Reserve. "TheConsumer Financial Protection Bureau (CFPB) will be an independent unit located inside and funded by the United States Federal Reserve. It will write and enforce bank rules, conduct bank examinations, monitor and report on markets, as well as collect and track consumer complaints."

 

{Click over for the rest in this good series.}

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Possible Opportunity in Gold Bullion Due to Indian Strike

Possible Opportunity in Gold Bullion Due to Indian Strike | Gold and What Moves it. | Scoop.it

"The Indian government has decided to double the import duty on gold bullion to four percent and enact a 0.3% tax on jewelry made from gold bullion starting in April. For over 11 days, the gold bullion retailers have been on strike and this is being felt in the price for gold bullion. While we did see a push higher in the price of gold bullion on hints last week by the Chairman of the Federal Reserve, Ben Bernanke, the long-term demand of Indian consumers is important in maintaining a stable price for gold bullion.

 

"While some estimate that gold bullion imports could fall over 20%, I think this might be an overly pessimistic viewpoint. With so much political pressure by the people of India, if we get a repeal of this tax policy, we would get a strong surge in the price of gold bullion. When so many people are moving in one direction, politicians will eventually listen.


"Indian people have long been consumers of gold bullion and will continue to do so for many decades. The good news is that, while gold bullion sales to India have almost stopped completely over the last couple of weeks, the price in spot gold bullion hasn’t moved that much at all. What this means is that there is a lot of underlying demand that has stepped up to fill those shoes. Once the Indian nation resumes its purchases of gold bullion, we could see a really strong move back up in price..."

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BOK’s Dollar Holdings Fell to 60.5% of FX Assets in 2011

BOK’s Dollar Holdings Fell to 60.5% of FX Assets in 2011 | Gold and What Moves it. | Scoop.it

Bloomberg by Eunkyung Seo:

 

"South Korea, Asia’s fourth-largest economy, pared the share of dollars in its foreign-exchange reserves to the lowest level since the global financial crisis erupted in 2007.

 

"Dollar holdings dropped to 60.5 percent of foreign- exchange reserves at the end of last year from 63.7 percent in 2010, the central bank said in its annual report for 2011 released today.

 

"The drop underscores a shift among reserve managers to diversify assets, with China’s yuan and Australia’s dollar among the beneficiaries. South Korea’s government earlier this year announced plans to invest in Chinese equities as well as bonds as the yuan’s international role increases.

 

“The move to diversify reserves away from U.S. dollars and the euro accelerated last year, largely on weaker fiscal fundamentals and subdued economic conditions in developed markets,” Wai Ho Leong, a senior regional economist at Barclays Capital in Singapore, said in an e-mail. “At the same time, it marked a move into gold, and bonds of stable emerging-market economies, particularly those with better longer-term prospects and currency appreciation potential...”

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Gold and silver-the ultimate anti-fiat currency vs Fed`s ‘sophisticated swindle`

Gold and silver-the ultimate anti-fiat currency vs Fed`s ‘sophisticated swindle` | Gold and What Moves it. | Scoop.it

Richard Karn: "It's interesting that if you go back to the late 18th century, the dollar has been on the gold standard roughly the same amount of time it has been on the Federal Reserve System, which presents us with a wonderful opportunity to compare the dollar's purchasing power over time.

 

"Throughout the 19th century, with all of the booms and busts, the wars, and the incredible territorial and industrial expansions, the dollar maintained its purchasing power very well on the gold standard. Since 1914, when the U.S. went to the Federal Reserve System and especially since it has become a purely fiat currency system since closing the gold window in 1971, the dollar's purchasing power has collapsed. Under the Fed's administration, the dollar has lost well over 95% of its purchasing power..."

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And You Thought The Fed Was Bad | ZeroHedge

And You Thought The Fed Was Bad | ZeroHedge | Gold and What Moves it. | Scoop.it

"When one cuts out all the noise, the only true purpose of aggressive (or not) central bank asset expansion, is to be a "buyer" of last resort of sovereign debt funding. Think of it as the source of credit money demand (and hence supply) when every other sector is deleveraging, and when a given Treasury authority needs to pump trillions in debt into the market but when nobody can afford to lever up and buy said incremental debt. Call it monetization, call it funding the deficit, call it whatever: that's what it is. And when people think of monetization, they think, first and foremost of the Chairman, who recently was caught praising the fiat system at a university named for a person who said the following prophetic line: "Paper money has had the effect... it will ever have, to ruin commerce, oppress the honest, and open the door to every species of fraud and injustice."...

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"What Does the Fed Do?" with James Grant -- Ron Paul Fed Lecture Series, Pt 2/3

Rep. Ron Paul sponsored this Congressional lecture on "What Does the Fed Do?", the second lecture in a three part series on the Federal Reserve System for Co...

 

Hat tip to http://www.twitter.com/tfmetals

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The Critical Number for Gold - Casey Research

The Critical Number for Gold - Casey Research | Gold and What Moves it. | Scoop.it

Revealed – the simple economic indicator that will tell you when it's time to sell gold.

 

By Alena Mikhan and Jeff Clark, Casey Metals Team

 

"There are many reasons why gold is still our favorite investment – from inflation fears and sovereign debt concerns to deeper, systemic economic problems. But let's be honest: It's been rising for over 11 years now, and only the imprudent would fail to think about when the run might end.

 

"Is it time to start eyeing the exit? In a word, no. Here's why.

 

"There's one indicator that clearly signals we're still in the bull market – and further, that we can expect prices to continue to rise. That indicator is negative real interest rates.

 

"The real interest rate is simply the nominal rate minus inflation. For example, if you earn 4% on an interest-bearing investment and inflation is 2%, your real return is +2%. Conversely, if your investment earns 1% but inflation is 3%, your real rate is -2%.

 

"This calculation is the same regardless of how high either rate may be: a 15% interest rate and 13% inflation still nets you 2%. This is why high interest rates are not necessarily negative for gold; it's the real rate that impacts what gold will ultimately do..."

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Jim Sinclair - Central Banks Buying Gold As Part of the Cure

Jim Sinclair - Central Banks Buying Gold As Part of the Cure | Gold and What Moves it. | Scoop.it

Today legendary trader and investor Jim Sinclair told King World News the gold market has turned into a coiled spring that will be extraordinarily explosive on the upside. Sinclair also said that central banks have been aggressively accumulating gold because it is going to part of the monetary solution. But first, here is what Sinclair had to say about the gold market: “The attempt to keep (the gold market) from moving higher, creates, by nature, a spring, a coil as it were in markets. If the spirit of the gold market could have been broken, it certainly would have been broken down at the $1,500 level. This thing is turning into a spring, into a coil, and when it goes it’s going to be something to behold on the upside. Both in the shares and in gold itself.”

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Endeavor Silver Explains Support for Sprott's Call to Treat Metal as Money - Ed Steer's Gold & Silver Daily

Endeavor Silver Explains Support for Sprott's Call to Treat Metal as Money - Ed Steer's Gold & Silver Daily | Gold and What Moves it. | Scoop.it

Ted Butler quoted on Ed Steer's Gold and Silver Daily:

 

"The bottom line is that the COT structures in gold and silver are still favorable. Can the commercials still collusively rig prices lower? Of course, they can, but that will only make the set up better. In COT terms, there is much more price room to the upside versus the downside. An added takeaway is the hint of a possible very sharp rally given how quick and forceful some technical traders entered the long side of the gold market on Monday’s [March 26th] rally. I would look at that as a harbinger of what may come, namely, strong technical-type buying once the moving averages are penetrated to the upside in gold and silver. At that point, it will become a question of how aggressively and manipulatively the commercials will be selling. Just make no mistake - this paper trading on the COMEX is the sole determinant of short term price movement. This is price setting, pure and simple. This is also about as far removed from the price discovery function of futures markets intended under commodity law as can be imagined."

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Richard Russell - Hang on to Gold, Massive Collapse Coming

Richard Russell - Hang on to Gold, Massive Collapse Coming | Gold and What Moves it. | Scoop.it

Richard Russell tells King World News:

 

"As for gold, I have a long-term position in the yellow metal that I will probably never exit or sell. My thinking is that sooner or later we will be subject to a major correction (bear market) that will wipe out or correct 60 years of inflation and leveraging. When that happens, I want to own the only kind of money that the Fed can't destroy.

 

"When the big deflation and deleveraging arrives, I see the Fed trying to halt it with QE3 and QE4 and QE5. Why do I say that? Because that's the way the Fed thinks, and that's what the Fed does. They did it in 2007 and 2008, and we know that the current Fed head will not tolerate contraction, and has a record to prove it.”

 

{Click over and read the full interview. It's worth it.}

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Real Time Gold Prices | Exact Price of Gold | Lear Capital

Real Time Gold Prices | Exact Price of Gold | Lear Capital | Gold and What Moves it. | Scoop.it
Get real time gold prices updates even when you're on the move. Keep abreast of the precious metal market price with Lear Capital.

 

Gold's actions are too me starting to look a bit bullish. In part that's because it's been in an over sold position now for a bit. Most of March.

 

I think one of the biggest things for me is the SWIFT news on Iran and the BRIC's with their move this week which puts further pressure on the dollar and its dominance. More nations are making moves away from the US dollar and her debt so this bears watching closely.

 

So, be sure to track the action next week. Get the free Adobe Air widget Exact Price and it'll sit on your desktop and keep you up to date throughout the day.

 

http://www.learcapital.com/exactprice

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Ben Bernanke Considers Your Happiness and Security Expendable

Ben Bernanke Considers Your Happiness and Security Expendable | Gold and What Moves it. | Scoop.it

"We think it’s fair to say that Ben Bernanke is willing to destroy the economy and your standard of living.

 

"We don’t know if he’s part of a deliberate coordinated effort to transfer your wealth to the political and banking elite…if he does what he does knowing full well the destruction he’s causing.

 

"Or maybe he just has a head full of bad ideas. Like a medieval “scientist” whose considerable knowledge all rests on the faulty premise of geocentricity.

 

"No matter what Bernanke says, no matter how much the masses put their faith in his words, low interest rates and unbacked money creation cannot cause economic growth. Not the sustainable kind anyway.

 

"All this interest rate manipulation causes are distortions. It may seem to create wealth and the appearance of economic vitality. But that activity is just misallocation of resources. And the misallocations will correct themselves soon enough. These corrections are attended by the disappearance of jobs in industries that should never have flourished (remember, these were misallocations)."

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Could This Emerging Financial Alliance Kill the U.S. Dollar? | Uncommon Wisdom Daily

Could This Emerging Financial Alliance Kill the U.S. Dollar? | Uncommon Wisdom Daily | Gold and What Moves it. | Scoop.it

{More following the Currency War shot heard round the world}

 

By Rudy Martin:

 

"A world-shaking event occurred this week in the global financial arena, and its impact will be felt for years to come. It will yank the wind straight out of the U.S. dollar’s sails and force a fundamental de-valuation of assets down to emerging-market levels.

 

"Five leading nations — Brazil, Russia, India, China and South Africa — are starting their own financial system with a development bank funded exclusively by their nations.

 

"They aim to establish an easy convertibility of currency (the real, ruble, rupee, renminbi and rand, respectively) and a focus on building long-term business relationships among themselves.

 

"This isn’t just some emerging-market version of the euro zone. These up-and-coming economic leaders are opening the doors of opportunity for emerging-market companies that are positioned to challenge the global giants in their respective industries.

 

"As an investor, you can’t afford to ignore this friendly meeting of the BRICS. (Note the fairly recent addition of the “S” with South Africa.) Here are three reasons why these countries are banking on a declining U.S. dollar and lessening U.S. influence … and why it may benefit you to do the same in the very near future!..."

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Stormtroopin' USA | Richard Mills | Safehaven.com

Stormtroopin' USA | Richard Mills | Safehaven.com | Gold and What Moves it. | Scoop.it

"As a general rule the most successful man in life is the man who has the best information

 

"No term generates more confusion or misunderstanding than fascism, too many people believe that fascism exists solely in images on the History Channel - storm troopers pounding thundering jackboots down cobblestone streets of occupied countries while throwing up the Roman salute. But fascism is not defined by clothing, symbolism or salutes.

 

"Fascism is a totalitarian system of government that bases its economy on capitalism, it's a marriage of government authority and military/police power managed by corporate influence.

 

"The liberty of a democracy is not safe if the people tolerate the growth of private power to a point where it comes stronger than their democratic state itself. That, in its essence, is fascism - ownership of government by an individual, by a group." Franklin D. Roosevelt

 

"Consider the following, all are characteristics of fascism:

 

"A dictatorial ruling cabal runs the country

 

"The military is increasingly being used to control the civilian population..."

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It is hard not to be optimistic about the future price of gold

"The rising middle class in the BRIC countries or emerging market economies have increased the demand for gold as an expression of their wealth status. The CBS ‘Sixty Minutes’ programme early this year analysed weddings ceremonies in India being made prominent with the large display of gold jewellery by both bride and groom. China, especially Hong Kong, boasts of some of the world’s finest fashionable jewellery stores with designs that are in world demand. Persons who had stored up their wealth in jewellery would gain more in real value terms than if the corresponding investments were made on financial products in Wall Street during the last decade...

 

"...The prominent benchmark for the price of gold has been the London Gold Fixing that meets twice daily via teleconferencing, representing five bullion trading firms of the London Bullion Market. The last meeting of the London Bullion Market Association (LBMA) was very optimistic about the future price of gold. The weakness of the major reserve currencies, the dollar and the euro, means that central banks will continue to trust gold since it is nobody’s liability. The worst is that when large savers like pension funds, health funds, etc, try to find safe haven for their money they face daily headlines like bank bailouts, sovereign debt crises or another recession; given the onslaught on their capital during the financial crisis these fund managers will be risk averse to bet on a commodity such as gold.

 

"There are numerous examples of gold regaining it role as a medium of exchange, for instance the Austrian Raiffisen Zentral Bank now offers clients gold based accounts. SWIFT international payments messaging system now allows payment via gold. Very soon there will be a gold money market and a gold bond market..."

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