Loading ...Anyone remember me saying they drove Gold higher on propose? Either to destabilize the bull market, or acquire physical for delivery to “whoever”, (at promised lower costs) with them not CARING about the high prices, because they just pay with newly created paper money?? The bozos take gold in or let gold out.
Between ’69 and ’79 they raised rates real high 21% to suck paper money in. From 81 onward they dropped rates to get paper money OUT into the system. They are stymied at this time now because tax payer wages are too low, and tax supported wages and benefits (entitlements) are too high.
I don’t care HOW low they keep rates. Its not going to raise wages in the USA without a shortage of labor or an abundance of wealth producing jobs. Sales and service and gov’t jobs are useless costly overhead.
A producer can survive WITHOUT an office, showroom, or a person to service his PRODUCT. But a sales and service person can NOT survive without the production of the product.
The whole global system is out of whack because our representatives take advice from various self interest business people, that promoted integrating financial systems and production using rigged exchange rates and artificially cheaper foreign labor using increased “productivity” as the excuse.
And lets not forget the global welfare freaks that have a war on poverty in foreign nations. They spread the wealth too thin. Too many workers and not enough work with “productivity”. (lay off half, and make the other half work harder)
Less productivity? Derived from profits. Hire twice as many people, and let them take it easy. 🙂
Chart and Story:
Part:
“Essentially, the best way to play the dow/gold ratio trade, is to do so with an understanding of the timing of Central Bank participation (through gold purchases & sales), and monetary expansion & contraction.
“So where are we at the moment? Just look around. Central Bankers globally are smirking in the face of bearish gold sentiment, with “central bank gold buying in the fourth quarter of 2012 mark[ing] the eighth consecutive quarter of net purchases by the official sector and the highest level since 1964,” as reported by the World Gold Council.”
http://bullmarketthinking.com/200-years-of-the-dowgold-ratio-suggest-staggering-moves-dead-ahead/