World Reserve Currency Change Nothing New

As they say, the hand writing is on the wall, tjos article from March. And, at least to me, the weakening dollar as the trigger seems more and more plausible. This accounts for the pairing of the GBP as well.

"What we as Americans need to prepare for is the possibility of a new world reserve currency. If we lose this status, US Dollar demand will drop dramatically and will cause a massive loss in value for the Dollar. This will cut the value of anything that is Dollar denominated. There are many ways to protect yourself, but at ITM Trading we believe that gold is the best way to do it as it is the only true form of real money. Gold is a currency in its own right. It is the perfect hedge against inflation, hyperinflation or currency collapse. The handwriting is on the wall in regards to where the dollar is headed. We can’t keep printing money to bail ourselves out; the world just won’t allow it for too much longer."

http://www.itmtrading.com/blog/2011/03/timothy-geithner-welcomes-a-new-world-reserve-currency/

Alan Greenspan on gold:

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. ... This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."

Alchemist wrote:As they say, the hand writing is on the wall, tjos article from March. And, at least to me, the weakening dollar as the trigger seems more and more plausible. This accounts for the pairing of the GBP as well.

"What we as Americans need to prepare for is the possibility of a new world reserve currency. If we lose this status, US Dollar demand will drop dramatically and will cause a massive loss in value for the Dollar. This will cut the value of anything that is Dollar denominated. There are many ways to protect yourself, but at ITM Trading we believe that gold is the best way to do it as it is the only true form of real money. Gold is a currency in its own right. It is the perfect hedge against inflation, hyperinflation or currency collapse. The handwriting is on the wall in regards to where the dollar is headed. We can’t keep printing money to bail ourselves out; the world just won’t allow it for too much longer."

http://www.itmtrading.com/blog/2011/03/timothy-geithner-welcomes-a-new-world-reserve-currency/

Alan Greenspan on gold:

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. ... This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."

Even better than that is Silver. Also a store of value, easy to carry, easily denominated. Silver has way outperformed gold. It is the "poor mans gold" because a larger percentage of the populace can afford to buy it. It is not just a precious metal but, because it is the best conductor of electricity with the least amount of resistance (stays cooler with current passing through it) and is super resistant to oxidation and/or corrosion....it is an industrial metal. So you have two ways that upward pressure is placed on its value (precious metal...actually less available than gold and industrial metal....used by all societies going through industrialization (China, etc.) Plus....the silver market is a small market.....only $5 billion of silver traded....which means that it will take far fewer people to enter the silver market to influence it's price to the upside. Silver has a much greater propensity to double to $80 than gold does at $3200. Lastly...the correct historical ratio that silver has to gold is 1/15th the value. Since Gold is currently trading at $1620, Silver SHOULD BE trading at $108......so at $40....it's a steal. Here's the really neat thing.....when the Dinar is released.....the dollar will strenghten short term....Silver will weaken and one can pick it up ona dip. So, we do have an opportunity to "Double Dip"......perhaps not with the Dong....but definitely with Silver. Happy investing!! xpectarius

I am highly invested in silver and I believe the price is artificially low, mostly because of silver leasing on the commodities market. I believe eventually the bottom of the silver leasing scam will burst and silver will be allowed to reflect it's true market value, which will allow it reflect a much higher value.

when the Iraqi Dinar RV?RI is released, both gold and silver are going to devalue to around $375 on gold and $4 on silver, this is the time to double dip. I have sold 100% of my metals and am going to buy back at this time.

xpectarius wrote:

Alchemist wrote:As they say, the hand writing is on the wall, tjos article from March. And, at least to me, the weakening dollar as the trigger seems more and more plausible. This accounts for the pairing of the GBP as well.

"What we as Americans need to prepare for is the possibility of a new world reserve currency. If we lose this status, US Dollar demand will drop dramatically and will cause a massive loss in value for the Dollar. This will cut the value of anything that is Dollar denominated. There are many ways to protect yourself, but at ITM Trading we believe that gold is the best way to do it as it is the only true form of real money. Gold is a currency in its own right. It is the perfect hedge against inflation, hyperinflation or currency collapse. The handwriting is on the wall in regards to where the dollar is headed. We can’t keep printing money to bail ourselves out; the world just won’t allow it for too much longer."

http://www.itmtrading.com/blog/2011/03/timothy-geithner-welcomes-a-new-world-reserve-currency/

Alan Greenspan on gold:

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. ... This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."

Even better than that is Silver. Also a store of value, easy to carry, easily denominated. Silver has way outperformed gold. It is the "poor mans gold" because a larger percentage of the populace can afford to buy it. It is not just a precious metal but, because it is the best conductor of electricity with the least amount of resistance (stays cooler with current passing through it) and is super resistant to oxidation and/or corrosion....it is an industrial metal. So you have two ways that upward pressure is placed on its value (precious metal...actually less available than gold and industrial metal....used by all societies going through industrialization (China, etc.) Plus....the silver market is a small market.....only $5 billion of silver traded....which means that it will take far fewer people to enter the silver market to influence it's price to the upside. Silver has a much greater propensity to double to $80 than gold does at $3200. Lastly...the correct historical ratio that silver has to gold is 1/15th the value. Since Gold is currently trading at $1620, Silver SHOULD BE trading at $108......so at $40....it's a steal. Here's the really neat thing.....when the Dinar is released.....the dollar will strenghten short term....Silver will weaken and one can pick it up ona dip. So, we do have an opportunity to "Double Dip"......perhaps not with the Dong....but definitely with Silver. Happy investing!! xpectarius

Absolutely correct about silver. Silver is consumed in technolgy apps. Silvet mines are running out, there is a limited supply. China has found new deposits and investments in these companies stocks could be profitable.