1. Paper money is being printed by global governments to cover debts
2. Gold rose to $850/oz in 1981, so if you consider almost 30 years of inflation, gold has a long way to go. In fact as recently as last year producers were struggling to stay ahead of costs.
3. Interest rates are very low, inflationary pressures are going to build, creating a negative rate environment. Governments are constrained from rising interest rates by high household debt levels, at a time when people are losing their jobs.
If you want to know more about the political philosophy behind markets, and their manipulation by governments, in coming months we will be releasing a number of eBooks which discuss how these state of affairs have developed, and how they need to be reformed.
-----------------------------------------------
Andrew Sheldon www.sheldonthinks.com
No comments:
Post a Comment