Economic Tumult Or Total Currency Collapse: Detlev Schlichter: Whether The Fed Continue To Print Money Or Not, Holding Physical Gold Is The Safest Course Of Action.

Money News:

Economist and author Detlev Schlichter says governments now have two stark choices: stop printing money and spark economic tumult, or keep printing money and risk total currency collapse.

Both choices are grim, and holding physical gold is the safest cource of action, he wrote on his website. Schlichter is the author of the book “Paper Money Collapse – The Folly of Elastic Money and the Coming Monetary Breakdown” and is a former asset manager.

“My three favorite assets are, in no particular order, gold, gold and gold,” he wrote, noting that the current global economic problems represent a paper money crisis provoked by central banks.

“Whenever paper money dies, eternal money — gold and silver — stages a comeback,” Schlichter said. He said that throughout history, every experiment with paper money has sooner or later ended in failure, with over-issuance the predominant cause.

Investors Don’t Understand The Risk In The System

from KingWorldNews:

Today 40-year veteran Don Coxe spoke with King World News about what is happening in the markets. Here is what Coxe, who is Global Strategy Advisor to BMO ($538 billion in assets), had to say: “Well, what’s happening right now is the that stock prices are falling (since October 19th) because it turned out that one of the things the pollsters never asked people was, are you a serious investor? Who were you supporting, Romney or Obama? What we now know is that there were more serious investors supporting Romney, and they are pretty upset. So they are selling stocks.”

“You say, ‘Well why aren’t they buying gold?’ What they are doing, first of all, is getting their portfolios in line, and they are going to cash first. They realize that the so-called fiscal cliff is simply the first face of reality for the administration. But they are not going to come up with anything for it that gets the deficit down below 3/4 of a trillion dollars per year.

Nobody is suggesting that. They are saying they can’t afford to do that…. 

INDIAN BANKS BANNED FROM LENDING FOR GOLD PURCHASES

from silverdoctors:

India’s central bank has banned banks from lending money for the purposes of buying gold.

“It is advised that no advances should be granted by banks for purchase of gold in any form, including primary gold, gold bullion, gold jewellery, gold coins, units of gold Exchange Traded Funds (ETF) and units of gold mutual funds” said a statement issued by the Reserve Bank of India Monday.

India is traditionally the world’s biggest gold buying nation.
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