In this fast-moving age, it is so easy to take your eye of the prize. Short-term trends can easily throw one ‘off track’. For every analyst who will tell you a stock or commodity is going up, there is another one who will tell you it is going down in price.
Who to believe?
When in doubt, consult the longer term charts! On my website (www.pdegraaf.com) I provide a collection of about 20 long-term charts that help me (and will help you), to keep your eye on the prize!
These charts are updated at regular intervals and there is no charge for looking.
One powerful force that is currently causing many people to take their eye off the prize is the outcry of deflation. While there can be no doubt that there is ‘asset deflation’ going on, (houses, used cars, stocks and many commodities) are tumbling downhill as people panic. There is however no ‘monetary deflation’ going on. On the contrary, there is currently unprecedented ‘monetary INFLATION’ taking place, and never before in history have so many countries inflated the various money supplies with this much additional money in such a short period of time.
The Federal Reserve has just updated its latest Adjusted Monetary Base chart (courtesy St. Louis Fed). Since early September the increase is 650 billion. On an annualized basis this is an increase of 450%. The reason this monetary inflation has (not yet) shown up in consumer price is for two reasons. First, too many people are mesmerized by the assets deflation that is going on around them and second, it takes time for money to work its way through the system. Call The Superior Gold Group and start building your wealth in PRECIOUS METALS. Their number is 888-969-6465, please ask for the Gold Guide to build your nestegg in precious metals, GOLD!
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