Category: Economics & Investing

I predicted seeing ads once the base metal value of nickels hit two times their face value (“2X face”), but not this soon: BoxOfNickels.com. I’m confident that you can expect to see more such nickel entrepreneurs in the near future–especially once the base metal value exceeds 1.5 times face value. (7.5 cents for a nickel.) Speaking of changing valuations (in this case, deflation), have you seen the chart showing the change Bitcoin values in the past three months? It now takes more than $15 USD to buy one BTC and in a brief spike the rate got up past $30. …

Mr. Rawles: Is it too late to invest in precious metals? Do you still recommend Northwest Territorial Mint? In Christ, – Karen F. JWR Replies: No, it is not too late to invest, but you should watch the market carefully and buy during price dips. Yes, Northwest Territorial Mint is trustworthy.  But I’ve heard that they can develop a backlog of several weeks when the precious metals market is in a particularly frantic period.  Summers are typically slow for the precious metals market, so it is a good time to buy, both in terms of price and no worries about …

Several readers sent this piece, highlighted at The Drudge Report: China ratings house says US defaulting: report. “In our opinion, the United States has already been defaulting”. It is beginning, folks: German Rating Agency Feri Downgrades US Government Bonds: AAA to AA! George C. suggested this commentary from Doug Casey: Our Economic Future: From Best to Worst Case Sterling and Euro Fall on Economic Concerns – Gold Rises to Record £950.81 British Pounds an Ounce B.B. sent this: US Is Nearing Even Worse Financial Crisis: Jim Rogers Some other recent quotes from Jim Rogers: “Bernanke Is A Disaster” Who Will …

JWR,   I have read with great interest articles posted on your blog.  Scott’s article was a good read but left me scratching my head.  I am no math whiz but dropping an extra two tons onto a residential second floor seems a little unsafe.  I know Scott did not mention the overall room dimensions or joist sizing, or extra precautions he took, but overall I thought a residential floor is generally rated to a safe load of 40 pounds per square foot.  For a 10’x12′ room that would be 4,800 pounds. A box of pennies is 3.25 inches tall, 4 inches wide, and …

SurvivalBlog’s Editor at Large, Michael Z. Williamson sent this: A Few Charts That Show Why Quantitative Easing Was A Miserable Failure That dreaded “D.” word is spoken again: Bullard sees debt default as big global risk. (Thanks to B.B. for the link.) A bit late to jumping on the band wagon: Traders Are Dumping Stocks and Buying Gold and Silver Reader Pierre M. suggested this: President Obama’s phony accounting on the auto industry bailout Bill J. sent this: Senators seek crackdown on “Bitcoin” currency. (JWR’s Comment: I’m not surprised to see Senator Schumer’s name mentioned…) Items from The Economatrix: Low …

Fed: Default would be dangerous; Fitch may cut rating. (A hat tip to Sue C. for the link.) The dreaded “D” word is spoken: China warns U.S. debt-default idea is “playing with fire” K.A.F. sent this interview of Peter Schiff: Lack of buyers may force Treasury to boost interest rates Reader J.B.G. spotted this: True Cost of Fannie, Freddie Bailouts: $317 Billion, CBO Says Reason # 4,386,662 to leave the Mickey Mouse State: California taps highest income taxpayers for more revenue. (A hat tip to Tom B. for the link.) B.B. spotted this: Federal Reserve Set to Implode Economy. Also …

Mr. Rawles,   After packing many rolls of nickels in .30 caliber ammo cans, I now use a much quicker storage method. Specifically, I discovered that I can place five cardboard boxes of nickels that I buy from the bank ($500) directly into one 20 mm ammo can. The five cardboard boxes fit perfectly in the can, with no extra room. I can load each can in only 1-2 minutes. The packed cans are heavy (maybe 115-120 pounds), and therefore difficult to move. So I usually position each can where I plan to store it before placing the boxes in it. I bought a bunch of 20 …

J.D.D. recommended this excellent video clip: Must See Tom Woods Speech. Woods is a very entertaining and thought-provoking speaker. Matt R. sent this: Will Germany and France stave off a Greek default? My Big Fat Greek Debt Default: Greece, the Global Perspective. (Thanks to Kostas for the link.) Courtesy of Pierre M.: Taxpayers Dollars Still Bailing Out Banks G.G. flagged this: Falling from housing peak: John McMonigle’s ride Items from The Economatrix: Consumers Borrowed More For 7th Straight Month Companies Pulled Back On Job Postings In April Stock Indexes Fall For 5th Straight Day OPEC Split Over Increasing Oil Production …

SurvivalBlog’s G.G. sent this: Bob Rodriguez: The man who sees another crash. Moody’s Warns Big Banks Of Possible Downgrades Don’t Hold Your Breath Summer job bummer: Teen unemployment 24 percent. (Thanks to G.G. for the link.) Items from The Economatrix: Treasury Continues to Dip into Retirement Accounts BBC HardTalk:  Jim Rogers Moody’s Threat of US Downgrade Departure from S&P’s Warning

B.B. was the first of several readers to send this article: China Has Divested 97 Percent of Its Holdings in U.S. Treasury Bills. here is a key quote: “Most of the U.S. national debt is made up of publicly marketable securities sold by the Treasury Department and I.O.U.s called ‘intragovernmental’ bonds that the Treasury has given to so-called government trust funds—such as the Social Security trust funds—when it has spent the trust funds’ money on other government expenses.” Talk about a Ponzi scheme! The Sky Is Falling, It Is Time To Panic And The U.S. Economy Has Fallen And It …

When Faith In U.S. Dollars And U.S. Debt Is Dead The Game Is Over — And That Day Is Closer Than You Might Think. Wayne Root: Why the Greatest Depression of All Time Has Begun How Gold Could Reach $13,644 An Ounce And Silver $843 An Ounce Reader K.A.F. sent a link to and article that illustrates that the implication of metals stripping can go far beyond crack heads electrocuting themselves: CSX train derails in Taunton; police investigate theft of railroad tracks Dulce et decorum est: Bank of America Gets Pad Locked After Homeowner Forecloses On It. (Thanks to Greg …

JWR, Thank you for your site, I read it daily. I would like to point out that local coin auctions are another good place to pick up some silver. I came across an ad in the classified section of the local paper for a coin auction that was being held at one of our local auction houses. They had a web site that listed all of the coins that were to be for auction that following weekend. There were over 500 lots of coins for auction that day. I picked up several 40% Ike dollars for $3-$5 less than what …