Friday, July 23, 2010

Hi Ho Silver, Or, A Word To The Wise

The Obama Administration's new requirement that demands a paper trail for any transaction over $600 has the nation up in arms over the massive paper load and extra time, manpower and expense these new rules are going to require.

Consider. Why in the world would the government have a need to know if you bought a $1,000 garden tractor, or a pair of earrimgs for your GF, or a new suit from The Men's Warehouse, or anything else you wanted sporting a price tag over $600?

The answer is, they don't. For the most part, the government doesn't give a damn what you spend your money on, so long as you keep spending.

Ahhh, but then there's gold. Real wealth. Real wealth that survives and maintains its value through thick or thin, through whatever financial disasters a stupidly run government can come up with.

So, this new law is actually intended to keep track of gold sales. Now, when anybody buys as little as one ounce of gold, there will be paperwork recording the transaction and sent to Uncle Sam.


Today we Americans are allowed to buy or sell our gold as we see fit, but there was a time when this was not so.

During the Great Depression era, Roosevelt - by presidential executive order - ordered all Americans to turn in their gold. If they did not, there was a fine of $10,000 and up to ten years in jail. Roosevelt had all manner of fine-sounding reasons for his criminal confiscation of private property, from it was an "emergency", to it's "good" for all of us.

It took another administration and another Congress to reverse this unconstitutional and criminal act.

Obama, or whoever takes his place, will do exactly the same thing Roosevelt did... Demand we turn in our gold - real wealth - and exchange it for whatever paper currency the Fed may be issuing at the time, paper backed by nothing and representing zero wealth, but exclusively controlled by institutions and groups mostly unknown by the average citizen. Roosevelt and the Progressives could not allow Americans to possess real wealth, such possession took the total control of finances away from a central authority and put it in the hands of individuals. You cannot redistribute what you cannot control.

Obama is going down the exact same path, a plan for total control outlined by Progressives in the 20's and 30's and being forced on us today. The Progressives long-held dream is total control of everything by a central authority... In this case, the federal government, which they presently control. Americans must not be allowed to have access to a source of real wealth, independent of - and untouchable by - any controlling agency or group.

So, when the president(Obama or the next one) issues an executive order demanding the turning in of all privately held gold, the government will already know where it all is.

That brings us to silver, the other precious metal. Historically, gold was worth around twenty times more than silver, meaning it took much less space to hold and store real wealth using gold, making gold the obvious choice for individuals wise enough to protect their assets from the obvious perils of paper currencies.

This very moment gold is trading for $1,203/oz. and silver for $18.28/oz., not the historical ratio of twenty-to-one, but closer to a ratio of sixty-six-to-one. Should silver return to it's historical ratio of value to gold, it will rise to a value of around $60.00/oz.

The true value of silver has been intentionally suppressed because of it's extreme value to all manner of industrial processes that need the metal, particularly in this electronic age. However, last year annual silver demand exceeded the annual supply for the first time in history. Up went the price... silver has recently doubled in value.

What could cause the value of silver to explode? The process is already happening. First, track gold transactions to know where it is being held, and then confiscate it by presidential executive order.

Can't happen? It already has happened... At the hands of the Progressive president Roosevelt, and now we have Progressive president Obama following in Roosevelt's footsteps.

This new requirement to create a paper trail of gold transactions will create a surge in the silver market when folks who have the desire to protect their assets with real wealth (and at the same time wish to remain under the governmental radar), switch to silver.

Watch the price of silver go up and up.

Once it becomes apparent that Obama is going to call in all privately held gold, the silver rush will begin in earnest.

Watch the price of silver - to coin a phrase - necessarily skyrocket.

1 comment:

Ted Amadeus said...

The world's first and second suppliers of gold - Russia and South Africa - are holding on to the stuff and only selling to BanKhazar on a regular basis...That's the majority of the reason for the $1200/oz rate.
We'll look into the silver thing.