Category: Economics & Investing

G.G. flagged this: Look Around: There’s Major Commodity Inflation Happening Everywhere A rush to buy tangibles: Argentines Say Buy Now as 25% Inflation Outlook Buoys Car Sales Carla M. wrote: “I have been shopping thrift shops all my life and when we moved to our current location that didn’t change. What has changed is that for the past three years sewing patterns had been .25 each, but two weeks ago the price jump to .99 each. As a side note, I can buy sewing patterns new for .99 when they go on sale at the local fabric and crafts stores.” …

More FDIC Friday Follies: Bankruptcy & Closures: Six More Bank Failures Makes 125 in 2010 Wasteland: Europe stalked by spectre of mass unemployment. (Thank to J.M for the link.) Retirement on Hold: American Workers $6 Trillion Short J.H.B. liked this piece by commentator Devvy Kidd: Bail-outs of Freddie and Fannie will bury us under unpayable debt Tom F. sent us this link: Congressmen Weiner and Waxman Set Gold Hearing Items from The Economatrix: A September Surprise is Coming…As Stunningly Stupid Politics Spread Widespread UK Civil Disorder “Inevitable” The Daily Gold And Silver Report reports COMEX warehouse shortages. A short squeeze …

My cousin in England sent this: Preventing Your Government From Stealing Your Gold Respected Oil Analyst Charles Maxwell Forecasts Peak Oil by 2017 Retirement Fund Trillions Lure Government Grabbers. (Thanks to Jeff for the link.) M.E.W. flagged this news item: Chinese think tank warns US it will emerge as loser in trade war Items from The Economatrix: Why Governments Love Inflation and You Should Love Gold Two Big Threats to the Economy Shrink a Bit FedEx Delivers International Profits But Cuts US Jobs Average Mortgage Rates Rise to 4.37%

Several readers sent this: IMF fears ‘social explosion’ from world jobs crisis. Here is a link to a key PDF from the study: The Challenges of Growth, Employment and Social Cohesion–Discussion Document When Will Net Energy from Fossil Fuels Peak? RBS sent this: How Debt Can Destroy a Budding Relationship. $170,000? Did Ms. Eastman do the math on how long it would take to make her college education pay for itself? Siggy sent this: Tap Dancing on A Land Mine Items from The Economatrix: How Hyperinflation Will Happen In America. (This excellent essay was originally posted in Gonzalo Lira’s blog …

Peter Schiff Says U.S. is Powerless to Prevent Runaway Inflation, Silver to Soar to $100 US poverty on track to post record gain in 2009. It is noteworthy that in 2008, the poverty level stood at $22,025 for a family of four. But that would have been considered “upper middle class” back in the 1940s. So part of this impoverishment can be attributed to the hidden tax of currency inflation. We need a sound currency! G.G. mentioned this item: 59% of Canadians would be in trouble if their pay was delayed by a week Another step in the staircase of …

California home equity hangover: $649 billion in HELOC loans nationwide with most in California. Two Years Later: The U.S. Economy Still Needs a Spark Plug Two years after Lehman Brothers collapsed in a $639 billion bankruptcy and the short-term financial markets seized up with terror, we’ve backed away from the brink. But skittishness in the financial markets hasn’t gone away. It’s just taken a different form — for instance, driving gold prices up 56% from $805 an ounce on Sept. 3, 2008, to $1,253 Sept. 3, 2010. With spot silver now solidly above $20 per ounce, and spot gold above …

More than a dozen readers sent this: Doomsday warnings of US apocalypse gain ground B.B. sent us this: CBO Predicts U.S. Debt Crisis if Deficits are Not Controlled Sovereign defaults ahead? Wreck the Currency or Default on the Debt? by Jeffrey Rogers Hummel. (Thanks to G.G. for the link.) Randy F. forwarded a bit of Gloom und Doom: Our Debt Is More Than All the Money in the World Items from The Economatrix: Era of Economic Illusion Over Mutant-Rat Epidemic Spreading Economic Black Plague Chinese Manufacturing Data Points to Dismal US, EU Christmas China Fears Depreciation of $2.45 Trillion of …

I. Introduction As of September 2010, it appears that physical silver is today potentially the most explosive precious metal play in history. A combination of factors – chronic scarcity, inelastic demand, and expanding consumption has created potentially one of the most profitable opportunities ever seen. The following analysis presents the base rationale for purchasing silver. Furthermore, significant evidence exists to point towards downward manipulation of the silver market by large bullion banks, further compressing the market. It is this author’s opinion that a parabolic top in silver could easily surpass the 20x rhodium price increase from $500 to $10,000 over …

John Tamny predicts: The U.S. Goes Back to the Gold Standard. (Thanks to “T Moo” for the link.) B.B. sent us this: Homebuyer tax credit: 950,000 must repay Jonathan C. flagged this: Outlook Gloomy at Secret Billionaire Meeting. “They saw the United States in a long-term slow growth environment with the near-term risk of recession quite real,” Items from The Economatrix: US Mint Running Out of Silver (and Excuses) The Lights Have Officially Gone Out in the US Union Pension Funds, the States, and Financial Ruin Sustainability Key to Global Economic Health, World Leaders Warn

Fear As Food Prices Soar Video: DeLaughter Says Food Inflation to Drive Farmland Demand Reader L.C. wrote: “I feed my family mostly certified organic foods. We deal primarily with local farmers for our meat and produce and dairy needs, but the kids do like a hot dog every now and again. So I have been buying Applegate Farms organic hot dogs from the local organic market for years. The price in the last couple years has been $5.79 for a package of 8. Today at the market they had a “brand new look” on the new packaging. The price is …

Rosenberg: Here Are 13 Signs That We’re Actually in a Depression Right Now. (Thanks to P.D. for the link.) Greg G. sent us this: Michael Burry is Long Farmable Land, and Agrees With Paulson on Gold (But Not the Other “Recovery” Themes). (Greg’s observations: “Michael Burry, a famous hedge fund manager has stopped investing other people’s money altogether and has gone ‘all in’ on farmable land with water on site and physical gold. I think that this guy is a undercover prepper.”) Americans Saving More as Debt, Job Worries Mount. Steve K. mentioned the “I Want Your Money” Official HD …

After a two week interlude (including a Holiday weekend), the FDIC Friday Follies have resumed, with the announced closure of Horizon Bank, Bradenton, Florida. OBTW, have you noticed how bank failures have become so commonplace that they are hardly even mentioned by the mainstream media? Treasurys Tumble Following Weak 30-Year Sale. The rate of return on Treasury paper are bound to rise, and that will push up prevailing interest rates, and that in turn will further slow the economy, including home sales. We are poised to enter a death spiral, folks. Watch interest rates and the US Dollar Index (USDI) …

Grocery Shrink Ray Minimizes My Brownies. “At least it’s less embarrassing and diet-damaging to devour an entire pan of brownies with the rebooted, withered Betty Crocker Turtles.” Getting ready for more inflation? One can only wonder why the US Postal Service now requires SDR valuation calculations for insured international shipments.

Over at the View From the Porch blog, Tamara posted this gem on the recoveryless housing market: Missing the point. The comments that follow are also worth reading. Reader Sue C. highlighted this article: OECD Says Slowdown ‘More Pronounced’ Than Anticipated KAF sent this: Stimulus? Who Said Anything About a Stimulus? Items from The Economatrix: Stocks Resume Rally as European Debt Worries Ease. Consumers Cut Back on Credit Card Use Once Again Job Openings Rise for First Time Since April Hopes Rise as Jobless Claims Fall, Trade Gap Eases Stocks Extend Gains After Drop In Jobless Claims Mortgage Rates Edge …