"Nothing has changed and absolutely nothing has been accomplished. There is no “solution” to the crisis that will not result in massive pain, confusion and wealth decimation. The reason is patently obvious. At least half the continent is completely and helplessly bankrupt. There are only two outcomes to the entire situation. Either the sovereign debts are written off aggressively and the banking system declared insolvent and restructured or the ECB decides to turn on those printing presses to the tune of trillions and destroys the purchasing power of the union in Zimbabwe-like fashion. People will read this and think I am exaggerating . The phrase “it takes 5 minutes” keeps running through my head because all it takes is a small amount of time to see the situation for what it is. I am not that smart. This is obvious. The scary thing is that it is abundantly clear that the vast majority of U.S. investors have not bothered to take the 5 minutes necessary to understand how extreme and binary the outcomes to all this is. Their clients will suffer massively in the months and years ahead as a result of their laziness and lack of macro curiosity. "
- Mike Krieger
Michael Krieger Explains Why It Takes Only 5 Minutes
Gold Has Had Enough With Europe's Stupidity; Surges
One can kneejerk every headline coming out of Europe, or one can buy gold, which has finally had enough with this endless BS and has realized that no matter what the ECB will have to print, followed by everyone else.
-ZeroHedge
And if Gold has had enough of Europe's stupidity, how does it feel about the BS coming out US Federal Reserve?
First we get the FOMC "statement" that the financial media analysts scour for a change of sentiment from the "previous statement", or any glimpse of insight into the minds of our Fed Heads "today" as opposed to "last time". You can read yesterday's FOMC statement here.
And the scouring results are:
* Statement comparison:
Nov: FOMC says that "economic growth strengthened somewhat in the third quarter, reflecting in part a reversal of the temporary factors that had weighed on growth earlier in the year.
+ September statement read that "economic growth remains slow"
Nov: "Nonetheless, recent indicators point to continuing weakness in overall labor market conditions, and the unemployment rate remains elevated.
+ Sep: Recent indicators point to continuing weakness in overall labor market conditions, and the unemployment rate remains elevated.
Nov: "Household spending has increased at a somewhat faster pace in recent months."
+ Sep: "Household spending has been increasing at only a modest pace in recent months"
* This phrase remained the same:
"Moreover, there are significant downside risks to the economic outlook, including strains in global financial markets."
* Fed maintains its program to extend the average maturity of its holdings of securities as announced in September.
* Only dissenter was Evans, who sought additional policy accommodation
Taking Benny and The Fed Heads at their word, it was pretty obvious QE3 was not going to be unveiled anytime soon...or is it?
Why did the Fed "twist" their statement to give the "impression" that the economy had picked up recently [when EVERYBODY knows that is pure BS], and then dump the following in everybody's lap prior to Bumbling Ben's press conference:
Fed Slashes Economic Outlook, Raises Inflation And Unemployment Rate Projection
From ZeroHedge
And it just gets uglier:- Mike Krieger
Michael Krieger Explains Why It Takes Only 5 Minutes
Gold Has Had Enough With Europe's Stupidity; Surges
One can kneejerk every headline coming out of Europe, or one can buy gold, which has finally had enough with this endless BS and has realized that no matter what the ECB will have to print, followed by everyone else.
-ZeroHedge
And if Gold has had enough of Europe's stupidity, how does it feel about the BS coming out US Federal Reserve?
First we get the FOMC "statement" that the financial media analysts scour for a change of sentiment from the "previous statement", or any glimpse of insight into the minds of our Fed Heads "today" as opposed to "last time". You can read yesterday's FOMC statement here.
And the scouring results are:
* Statement comparison:
Nov: FOMC says that "economic growth strengthened somewhat in the third quarter, reflecting in part a reversal of the temporary factors that had weighed on growth earlier in the year.
+ September statement read that "economic growth remains slow"
Nov: "Nonetheless, recent indicators point to continuing weakness in overall labor market conditions, and the unemployment rate remains elevated.
+ Sep: Recent indicators point to continuing weakness in overall labor market conditions, and the unemployment rate remains elevated.
Nov: "Household spending has increased at a somewhat faster pace in recent months."
+ Sep: "Household spending has been increasing at only a modest pace in recent months"
* This phrase remained the same:
"Moreover, there are significant downside risks to the economic outlook, including strains in global financial markets."
* Fed maintains its program to extend the average maturity of its holdings of securities as announced in September.
* Only dissenter was Evans, who sought additional policy accommodation
Taking Benny and The Fed Heads at their word, it was pretty obvious QE3 was not going to be unveiled anytime soon...or is it?
Why did the Fed "twist" their statement to give the "impression" that the economy had picked up recently [when EVERYBODY knows that is pure BS], and then dump the following in everybody's lap prior to Bumbling Ben's press conference:
Fed Slashes Economic Outlook, Raises Inflation And Unemployment Rate Projection
From ZeroHedge
FED OFFICIALS SEE 2011 GDP 1.6%-1.7% VS 2.7%-2.9%
FED OFFICIALS SEE 2012 GDP 2.5%-2.9% VS 3.3%-3.7%
FED OFFICIALS SEE LONGER-RUN GDP 2.4%-2.7% VS 2.5%-2.8%
FED OFFICIALS SEE 2011 UNEMPLOYMENT 9.0%-9.1% VS 8.6%-8.9%
FED OFFICIALS SEE 2012 JOBLESS ESTIMATE 8.5%-8.7% VS 7.8%-8.2%
FED OFFICIALS SEE 2013 JOBLESS ESTIMATE 7.8%-8.2% VS 7.0%-7.5%
FED OFFICIALS SEE LONGER-RUN JOBLESS 5.2%-6.0% VS 5.2%-5.6%
Even the Federal Reserve sees the writing on the wall. If "economic growth strengthened somewhat in the third quarter, reflecting in part a reversal of the temporary factors that had weighed on growth earlier in the year", why has the Fed slashed growth and employment forecasts going forward? And if their forecast is this bleak, is QE3 in the pipeline?
Ask Gold?
Gold's breakout at $1677, and subsequent retest, has set the stage for a major surge in the price of Gold. If Gold can close this week above $1767, we can expect it to reach $1824 by Thanksgiving...$1921 by Christmas...and break ABOVE $2000 an ounce by the end of January 2012. These projected numbers are based on the recently completed Ascending Triangle consolidation between the $1531 low on September 25 and the breakout at $1677 on October 24. $1722 is now key support in Gold. $1677 is major support in Gold.
Silver at this time is following in Gold's shadow. It is difficult, and foolish, to try and project the price of Silver in a market that is so severely rigged by the CRIMEX. Silver must close above $34.68 this week to keep pace with Gold, should Gold close above $1767 this week. Not until we see the Gold/Silver Ratio fall below 49 will we see a surge in the price of Silver. Should Gold prices crack $2000 in January, it is highly likely Silver will be knocking on $60 an ounce at that time.
I know these are BOLD PREDICTIONS. Not just Gold is fed up with the BS coming out of Europe and the US Federal Reserve...EVERYBODY is! The inflation damn is about to burst. The ONLY way out of this financial calamity is through the printing press, and Gold knows this is true.
THE TRUTH SHALL SET YOU FREE
...if you have any doubts:
Lear Capital: Is the Fed About to Gut Your Savings and Retirement Accounts
as seen on ZeroHedge
FREE Video! Are Fed Actions about to crash the dollar and gut your savings and retirement accounts?
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