We can expect the gold market to keep growing as if nothing has happened. Posted by James Randolph on January 26, 2011
Bad news for America, good news for the gold market.
January 26, 2011 – We can expect the gold market to keep growing as if nothing has happened – because nothing is happening. Both President Obama and Rep. Paul Ryan lavished us with poignant rhetoric but neither had much to say that we haven’t heard before. Both sides stressed the need to cease business as usual, but neither side got to the meat of the issues.
Obama is clearly intending to continue with business as usual in the recovery, printing more money to spend our way out of debt and holding down interest rates to channel even more of our dwindling assets into Wall Street. And we can expect further dollar devaluation as he moves to “double our exports over the next five years.”
Rep. Ryan at least spoke language that we can relate to. We can’t deny that “it’s no coincidence that trust in government is at an all-time low now that the size of government is at an all-time high” and that the “federal government . . . controls too much; taxes too much; and spends too much in order to do too much.” But reducing the size of government and limiting its reach is a monumental task that will take decades to complete successfully. We need real solutions right now.
One of the simplest and most direct actions the government could take is to get the Fed out of bed with Wall Street. It has no business being there and the arrangement should be investigated by Congress. It can’t be just a paper fix – the entire board should be fired and replaced with people who know how the economy really works in Anytown and not more closeted academicians and market insiders.
I heard absolutely nothing last night to give me optimism. That means the gold market will keep growing and gold investment will remain our best chance for surviving these times.
Senior Staff Writer – Certified Gold Exchange