muses of the moment

July 29, 2011

Emergency Meeting!

Filed under: Dollar Crisis, Gold and Silver Investing, Precious metals, The Federal Reserve, US Government Debt — totallygroovygirlfriday @ 11:48 am

Click here as zerohedge reports that the Primary Dealers have been called to the NY Fed for an emergency meeting (noon today).

Check back with zerohedge for more news throughout the day. This day is shaping up to be very interesting. Gold is up. And for some reason this morning, CNBC is running the gold price with the stock indexes on the lower left corner. I thought the price of gold didn’t matter?

Just released letter from Martin Armstrong dated July 28, 2011

Filed under: Economic Confidence Model Cycle, Martin Armstrong — Tags: — totallygroovygirlfriday @ 11:43 am

Martin Armstrong has just released his latest letter entitled Restructuring the World dated July 28, 2011 (8 pages). Click here.

Watchdog

Greg Hunter, our own usawatchdog.com, has nailed the true problem once again. The debt ceiling can be raised, but a credit downgrade is the beginning of the end. The interest on our debt is killing us now (requiring us to raise the debt ceiling to cover ongoing expenses and interest), imagine how more quickly we will die as the rates are increased due to risk.

The more money that the US must pay out in interest, the less money available for all other government expenses from social security to the wars. That is the shift from a too-much-debt problem to a cash flow problem.

Click here for the full picture.

In the latest report from Shadowstats.com, economist John Williams said, “If I were to script a scenario as to how the United States quickly could debase the U.S. dollar with maximum impact, impairing the dollar’s reserve status and dwindling global credibility, and accelerating the movement towards a U.S. hyperinflation, it would be extremely difficult to come up with a more destructive course of action than what already is taking place in Washington, D.C.  The chances of a U.S. debt default remain nil, but risk of a U.S. sovereign credit rating downgrade—though small—is increasing. ..”  

You can’t control the outcome in Washington DC, so you will have to protect your savings, future, and investments yourself.

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