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The Dollar’s Ongoing Fall From Grace Will Soon Catapult Precious Metals to Even Greater Heights

The Dollar’s Ongoing Fall From Grace Will Soon Catapult Precious Metals to Even Greater Heights

gold vs dollar

I have been telling readers to put savings into gold and silver for well over 14 years now, and in that time, precious metals have had spectacular rallies as well as intense corrections. Weak hands have been selling and strong hands have been buying and holding for some time now. We have done this with the expectation of something far more than just a parabolic event; some of us have been predicting an economic crisis the likes of which have not been seen in almost a century.

Specifically, in 2018, I warned that there was a dramatic shift in Federal Reserve policy that would puncture the massive debt bubble they had been building since 2008. The crash of the “Everything Bubble” would inevitably lead to a spike in metals prices.

In an article published in January 2018, I warned that the Fed would increase the speed of its balance sheet cuts and interest rate hikes and that this would trigger an initial implosion in the U.S debt bubble and the dollar, along with flirtations with a stock market plunge. By the end of 2018, we saw exactly that.

By mid-2019, the Fed had reversed its fiscal tightening policies, but of course, it was too late; Pandora’s box had already been opened and economic instability was increasing. I continue to believe that this action on the part of the Fed was absolutely deliberate and that they knew they were initiating the beginnings of a crisis. The minutes of the October 2012 Federal Open Market Committee even reveal that Jerome Powell openly discussed what would happen, years before he became the Fed Chair.

…click on the above link to read the rest of the article…

Global Powers Take Next Step to Dethrone U.S. and the Dollar

china russia overthrow petrodollar

China, Russia, and Saudi Arabia are rapidly aligning in response to trade sanctions and political discord from western nations. Together, they could soon bring a dramatic end to the global supremacy of America and the U.S dollar.

Foreign leaders have been laying the groundwork to overturn America’s international superpower status for years. But now, their plan is finally coming to fruition.

Let’s examine China, Russia, and Saudi Arabia’s latest steps to dethroning America and the dollar. And while their actions will likely have serious consequences for your bank account, there is one sure way to stay protected…

My Enemy’s Enemy Is My Friend

For decades, China, Russia, and Saudi Arabia had little incentive to be allies. In fact, relations amongst the three nations were either cold or nonexistent.

But over the past few years, that all started to change for one simple reason: The U.S. became their common enemy.

So what happened to make U.S. relations with these three nations so rocky?

In the case of China, accusations of currency manipulation, threats of increased trade tariffs, and opposition to Beijing’s “One China” policy — the nation’s legal push to classify mainland China and Taiwan as a single entity — brought U.S.-China relations to an all-time low.

The U.S.’s relationship with Saudi Arabia began to crumble back in 2014, when the Obama Administration refused to slow Iran’s growing power in the Middle East, while actually attempting to restore U.S.-Iran relations.

Saudi leaders viewed this as a clear affront to the 1945 meeting between President Franklin D. Roosevelt and King Abdulaziz, which established an agreement to exchange protection from the U.S. for unencumbered oil trade between the two countries — while also setting a new precedent that Saudi oil trade be brokered primarily in U.S. dollars (birthing the petrodollar).

…click on the above link to read the rest of the article…

3 Uncommon Signs that an Economic Collapse Could Happen Soon

3 uncommon signs of economic collapse

As stocks continue to climb and the U.S. economy sustains its third longest period of expansion in history, market forecasters are seeking clues for when our next crisis may strike. So far, three uncommon signals have them worried.

Here’s an explanation of the three uncommon signs causing alarm, and what they mean for your savings…

Sign #1: Resurgence of Synthetic CDOs

The riskiest plays on Wall Street are made using financial instruments known as derivatives.

Derivatives are named for how they “derive” their value from the underlying assets on which they’re based. They give investors the ability to leverage assets — that is, control large quantities of an asset without actually buying or selling it.

Depending on how the underlying asset performs, derivatives can generate either massive gains or crushing losses.

But it’s when big banks and financial institutions start gambling in derivatives that things become especially dangerous. And that’s exactly what happened in the case of our last crisis: A slew of “too big to fail” organizations took on excessive risk through derivatives (mortgage-backed securities and others), and they couldn’t shoulder their losses when the bets went bad.

Now one of the most potentially destructive derivatives is regaining popularity after being shunned by Wall Street for years because of its role in the 2008 collapse.

The derivative is called a synthetic collateralized debt obligation (CDO), and Citigroup is spearheading its resurgence.

Granted, post-2008 regulations do make the market for these kinds of derivatives less liable to spark another collapse, and Citigroup executives claim to be pursuing this endeavor responsibly (we can trust them, right?). But Bloomberg reports the positive trend toward CDOs is still a negative sign (emphasis ours):

…click on the above link to read the rest of the article…

Olduvai IV: Courage
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Olduvai II: Exodus
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