Thursday , 27 July 2017


Gold Going Parabolic In Next Few Years – Here’s Why

We are now starting the hyperinflationary phase in the USA and many otherGold-bars-on-100-and-50-dollar-bill countries as a result of the accelerated fall of the U.S. dollar and this will be reflected in the parabolic rise in the price of gold over the next few years.

So writes Egon von Greyerz (goldswitzerland.com) in edited excerpts from his original article* entitled Hyperinflation and Gold’s parabolic rise.

[The following article is presented by  Lorimer Wilson, editor of  www.munKNEE.com and the FREE Market Intelligence Report newsletter and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.]

von Greyerz goes on to say in further edited excerpts:

When a country lives above its means for an extended period and prints money which it can never pay back, the rest of the world will punish the country and its currency. It took the U.S. over 200 years to reach a debt of US$8 trillion. Since Bernanke became chairman of the Fed in 2006, US debt has more than doubled to $17 trillion. That is an incredible ‘achievement’ and the beginning of the parabolic rise of US debt not by tens of trillions but by 100 of trillions of dollars. This is no different to the Weimar Republic or Zimbabwe and a completely natural consequence of what is happening now.

In real terms, which of course is gold, the dollar has lost 98% since the creation of the Fed in 1913.

[In summary,] the U.S. dollar fall has started and will continue to accelerate….

In history there has never been a situation when most major economies were in the same dire situation [at the same time – until now].

  • Japan is a basket case with 200% debt to GDP and a rapidly aging population.
  • China has a major credit bubble.
  • Most of Europe is badly indebted with high unemployment and a social structure which makes it very uncompetitive.
[As such,]…there is no nation [in a position to]…save indebted governments worldwide. Add to that a banking system which is still full of toxic debt and highly leveraged and we have the perfect concoction for the end of a major economic cycle in the world.

USDEBTtoGOLD-2010-2013

Conclusion

For the few investors who are fortunate to have some savings to protect, physical gold (stored outside the banking system) will perfectly reflect the fall of the dollar and other currencies by rising parabolically in the next few years.

[Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.]

* http://goldswitzerland.com/hyperinflation-and-golds-parabolic-rise/ (©2013 GoldSwitzerland)

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One comment

  1. well,
    Turkey is a rapidly developing country and the largest national economy in Central and Eastern Europe. last couple of years they are debt-free. yes, no debt at all.