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weatherbill
11-17-2007, 08:59 PM
This is an email I sent to my family and friends......if you are new to investing, please save this info and begin to prepare, but first, in order to do so you need to be convinced that an economic crisis is ahead, so to educate yourself, please go to Youtube and type in "economic collapse" or "dollar crisis" or something along those lines and listen to what many advisors are saying and remember the proverb
"In the council of many, is wisdom." Her eis that letter..........

I want you to take some time out of your schedule and just look into this, so you can be sure for yourself, and know that this is the right move.....by the right move, I ammerely saying, it is not wise to have all your savings in US dollars, but to diversify....

http://www.kitco.com/charts/livesilver.html

http://www.kitco.com/charts/livegold.html

these are two links to a reputable well know place that sells precious metals called KITCO
Mark this in your my favorites.
Those two links are 3 day charts of the present price of gold and silver.
You can also float around the web site to learn more.
Gold and silver have always been the asset people run to in the time of financial crisis to hedge agaisnt a failing economy and inflation.
I encourage everyone to diversify some US dollars into silver and gold, but especially silver. In comparison, in a financial crisis, silver can 5 times your money, where as gold may 2 to 3 times your money in comparison. I hold both.
You can also open an electronic trading account for gold as well with Kitco.....they call it their gold pool account. You would need to wire money to them to do it.

Another place is APMEX http://www.apmex.com/

I usually buy silver from them becasue they have some of the best prices. You are not looking to buy rare coins. You simply want to buy silver or gold bullion to hedge agaisnt the dollar. To give you an example of how you can benefit. If the dollar faces devaluation and you bought gold at $800 per oz and it goes to $1600 per oz, you can cash in that 1 oz of gold to say, pay your mortgage 2 X over instead of just 1 time with $800 USD.
One expert said that if we had an equivilant crisis like we had in the early 80s, when silver went to $50 per oz, in today's dollar value, it would go to $120. Right now silver is trading around $15 per oz. As you can see, you can do quite well in a financial crisis.
There is a peace in knowing that what you saved and worked hard for and want to leave your children, will not become worth much less when the crisis hits. When a financial crisis hits, you won't have any need of freeking out becasue you know you will be well by being prepared.
I beleive if there is a melt down of the dollar, it will bring other currencies down with it temporarily till the markets stabilize. We face what I beleive to be an innevitable strong recession coming and it is wise to prepare. I encourage you to google video such temrs as "economic crisis" or "dollar collapse" etc...... learn what you can, but never trust the corporate news. They will lie to protect their financial interests so they can get out of their markets before something bad happens.
The fundamentals are there and all the indicators are telling us we are in economic trouble. The housing bubble has just started and will be a slow long process, but also, we have China funding our debt and they along with other global financiers are over weighed with US dollars. They will one day want to "diversify". That means they will start dumping their many dollars on the market as recession hits, devaluing it's value. We also have a credit card debt crunch coming that has not hit yet.
With the Fed printing up money out of thin air, to pay for the war and an overblown gov. that can't get a ballanced budget, we are in for more of the diluting of the dollar and thus, it's devaluation. If we go to war with Iran, gold, silver and oil will jump big. Oil will go to liek $120 a barrel, gold to $1000 per oz and silver to $60 per oz......of course, depending on how much we go to war with Iran. God I hope Ron Paul gets in!
If you buy silver or gold, buy on the dips in the price. Look at the charts and wait for a dip in the price. In the long run, it won't matter really. I bought some silver the other day and right now I am down about $300, but becasue of my experience in the market, I don't sweat it a bit becasue 2 years from now, I will be doing just fine! You have to think long like this when buying precious metals........
If you've never had experience in any of this, it can be overwhelming. Relax. Take a deep breathe. You have time, but start preparing now! Learn as much as you can from youtube videos. There is an awsome amount of . It's going to be an exciting time ahead for some and a sad time for others. Remember, we can help some folks out also, if we are prepared.
I hope you all take this to heart and know, that I'm only looking out for you my peeps, ok?
Alright. Let's prosper in the next few years and be ready.......and defintely be helping our circle of people where we're at when this time comes. The only way to do that is by being prepared......

melbo
11-17-2007, 09:02 PM
Thanks.
You ever make your move?

weatherbill
11-17-2007, 09:06 PM
Thanks.
You ever make your move?

???? what do you mean, move????

inibo
11-17-2007, 10:54 PM
I'm in no position to buy gold, I simply don't have enough income, but a few ounces of silver each paycheck is doable. I'm completely clueless about it though. I was looking at the AMPEX site and they seem to be legit. I'd like to hear from a few other folks about them or other alternatives. Don't taze me, bro.

Lord Xar
11-18-2007, 12:02 AM
I have a question. I have a good chunk sitting in a CD at 5%.

So, what is the problem with money sitting in CD , if its insured?

Even if the dollar drops, I still have it. It won't dissappear. Is it because I might have 10K and it stays 10K, but products GO UP in price so a loaf of bread would cost $10 a loaf, so it takes more money to get the same thing?

Explain this to me....

Malakai0
11-18-2007, 04:39 AM
I have a question. I have a good chunk sitting in a CD at 5%.

So, what is the problem with money sitting in CD , if its insured?

Even if the dollar drops, I still have it. It won't dissappear. Is it because I might have 10K and it stays 10K, but products GO UP in price so a loaf of bread would cost $10 a loaf, so it takes more money to get the same thing?

Explain this to me....

If the real inflation rate is 10-15% and your earning 5%, your account is still losing value.

If you buy precious metals or some kind of commodity backed assets, their value rises with inflation.


If the price of food and gas were to rise quickly as is the case with hyperinflation, the value in USD of your investment would scale the same (or better as people rush to buy metals).

rodent
11-18-2007, 04:48 AM
I have a question. I have a good chunk sitting in a CD at 5%.

So, what is the problem with money sitting in CD , if its insured?

Even if the dollar drops, I still have it. It won't dissappear. Is it because I might have 10K and it stays 10K, but products GO UP in price so a loaf of bread would cost $10 a loaf, so it takes more money to get the same thing?

Explain this to me....

Gold, at its peak, was up something like 33% [in dollars.] Your CD is only going to give 5%. If inflation is >5%, you lost money.

CD is generally a good way to lose money. Ron Paul's arguments are good in that people don't have to take unnecessary risks just to keep up. The current economy pretty much forces you to invest, and most people haphazardly dump all their money into the stock market and hope the whole economy will get better. That is a really stupid bet, given the nature of this country right now.

I'd cash out of the CD. However, be careful about when you buy gold. You can lose money also. I'm waiting for a bit of a pullback before I get back in. I rode it up to $800 from the low 600s and sold it all. Now I'll probably buy some more when the price correction is over.

freelance
11-18-2007, 05:32 AM
I have a question. I have a good chunk sitting in a CD at 5%.

So, what is the problem with money sitting in CD , if its insured?

Even if the dollar drops, I still have it. It won't dissappear. Is it because I might have 10K and it stays 10K, but products GO UP in price so a loaf of bread would cost $10 a loaf, so it takes more money to get the same thing?

Explain this to me....

If precious metals are pacing or out-pacing the dollar, then inflation doesn't affect you the same way it would if you hold the dollar. I read yesterday that one large food distributor is increasing its cost to the retailer 12% next week. If you're making 5%, then you just 7% buying power at the grocery. PMs may not (probably will not) increase by 12% next week, but look at the buying power you would have if you had invested when gold was $300 something an ounce a few years ago.

You can do the same thing with Canadian and Swiss short-term T-bills. You just sit back and laugh each time the dollar drops. The dollar had a little surge the past week, but look at these two charts:

Short-term chart:

http://stockcharts.com/h-sc/ui?s=%24USD

Long-term chart:

http://stockcharts.com/h-sc/ui

HTH

seapilot
11-18-2007, 03:00 PM
CDs IMO are not even great in a good economy because they penalize you if you withdrawl early. Money Markets are better because they actually hold the CDs that you invest in and you can withdrawl anytime with no penalty. Not sure how M.M will do in a dollar crisis imagine it wont keep up with inflation. The FDIC is insurance up to 100,000 per account is run by the FED, they will just print you up 100,000 if your bank defaults and devaluing the dollar more in the process.

Been watching long term bond prices go up while everything else is going down, but havnt heard of anyone recommending them for a good spot to park money. Stocks are bad place unless they are international stocks or energy. Gold, silver is good to maintain value of your wealth. Might get some before supply runs low if a crisis occurs.

Also if you have room in your garage or house, go to wharehouse stores like Costco or Sams club and stock up on dry goods or other items before prices go up. You get a lot better deal buying in bulk and every month prices will go up as the dollar goes down and energy goes up.

kylejack
11-18-2007, 03:07 PM
I have a question. I have a good chunk sitting in a CD at 5%.

So, what is the problem with money sitting in CD , if its insured?

Even if the dollar drops, I still have it. It won't dissappear. Is it because I might have 10K and it stays 10K, but products GO UP in price so a loaf of bread would cost $10 a loaf, so it takes more money to get the same thing?

Explain this to me....
Correct. Meanwhile, gold will still buy roughly the same amount of bread. Silver, gold, and gasoline, along with most other commodities, have doubled in value in the past few years because of rampant inflation. If you bought gold or silver before this happened, you can still use the gold to buy about the same amount of gasoline (or corn, or wheat, or whatever).

Try this video: http://www.youtube.com/watch?v=QPwZ-wQFFu8

fluoridatedbrainsoup
11-18-2007, 06:29 PM
Also this video, good for explaining what real money is to anybody who still holds paper illusions: http://www.youtube.com/watch?v=1w0LOtWmy_o

near_tucson
11-18-2007, 11:35 PM
Saudi minister warns of dollar collapse
Saturday, 17th November 2007
http://www.thebusiness.co.uk/news-and-analysis/358346/saudi-minister-warns-of-dollar-collapse.thtml

“The dollar could collapse if Opec officially admits considering changing the pricing of oil into alternative currencies such as the euro, the Saudi Arabian foreign minister has warned…”

Not only is the dollar’s fall in value so significant that OPEC is reportedly discussing moving to euros, real inflation appears to be in double digits, government claims to the contrary not withstanding. Independent economists are estimating that real inflation is actually at 12 - 14% /year < http://www.nowandfutures.com/key_stats.html > rather than the 3.5% reported by the government < http://www.inflationdata.com/Inflation/Inflation_Rate/CurrentInflation.asp >. If the first figure is correct, then all of our dollars (and our retirement funds) are rapidly decreasing in purchasing power.

Here is an example that demonstrates my point concerning the significance of inflation: When I was first learning how to drive (in 1975), I could have purchased 4 gallons of gasoline for 1 silver dollar (1 ounce of .999 fine silver). Today, 1 ounce of silver can still purchase 4 gallons of gasoline - even though it now takes almost 12 dollars to do so. It is not the value of silver and gasoline that has gone up, but rather the value of the dollar has gone down. In fact, the Federal Reserve's own inflation calculator < http://www.minneapolisfed.org/research/data/us/calc/ > shows that today's dollar has only 5% (5 cents) of the purchasing power it had when the Federal Reserve was created in 1913.

In addition, the price of gold and silver – as denominated in dollars – has almost tripled in the last 6 years < http://www.kitco.com/ >. That indicates that in the last 6 years the dollar has lost nearly 2/3rds of its purchasing power. So much for US savings or retirement accounts.

For Freedom,

Casey



P.S. The following video does an excellent job of providing an understanding of the historic roots of the dollar, how the Federal Reserve operates and what our current economic situation is today, in a simple, clear presentation:

Money, Banking and the Federal Reserve
The Ludwig von Mises Institute - http://www.mises.org/

http://video.google.com/videoplay?docid=-466210540567002553&hl=en
or
http://mises.org:88/Fed

melbo
11-20-2007, 08:47 PM
???? what do you mean, move????
DOM