Global investors had to muster the courage to keep calm as news of Cyprus’ proposed partial theft of all bank deposits took Wall Street by surprise, closed the country’s banks and drove the price of gold higher.
In the age of the Libor scandal, FASB mark to market rule changes, HFT programs front running retail investors, MF Global’s dramatic demise and Bernie Madoff’s outrageous Ponzi scheme, it continues to be taboo to entertain the idea of managed precious metals markets.
The legendary chairman of Sprott Inc. says it's time for people to take matters into their own hands and that means pushing further and further into precious metals equities as well as physical gold and silver.
Libor, Bernie Madoff, MF Global, Peregrine Financial, zero-percent interest rates, the Social Security and Medicare entitlement funds, quote stuffing and high frequency trading (HFT), and debt-based money. What do all of these things have in common?
Profligate spending in the United States is subject to the same economic laws as profligate spending in any other country. When warning signs are continuously ignored, the probability of an "unexpected" shock increases.
Adam Smith’s great insight was that in a commercial transaction both parties benefit. Before his time, it was generally believed that in an exchange of goods, one party usually gained what the other lost. The mistake was to misunderstand value.