Here are the latest news items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. We also cover hedges, derivatives, and obscura. And it bears mention that most of these items are from the “tangibles heavy” contrarian perspective of SurvivalBlog’s Founder and Senior Editor, JWR. Today’s focus is on Monthly Precious Metals Purchases. (See the Tangibles Investing section.)
I’ll start today with a couple of vicariously fun video links from circulating silver coin hunters: Epic Half Dollar Roll Hunt: Walkers, Franklins, and Silver Kennedy Halves!
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From chartist Hub Moolman: This Will Confirm The Gold Bull Market
Economy & Finance:
Wolf Richter recently posted this: New Trucks are Hot, Prices Surge. But Cars Face Carmageddon. And Total Sales Fall
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Charles Hugh Smith opines about inflation: Brace for Impact
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Here is a key passage:
“According to the World Economic Forum, pension funds around the world are short around $70 TRILLION. State, federal and local pensions in the US are $7 trillion short… and a recent report by Boston College estimates 25% of private US pensions will go broke in the next decade.
This is all happening because investment returns have been too low.
Pension funds need to earn about 8% per year to meet their obligations. And they traditionally do that with a conservative mix of bonds and stocks.
But with interest rates near the lowest levels ever, it’s impossible for pension funds to achieve that 8% with their usual tools (over the past year, they’ve only been earning around 5.5%).
So they’re getting desperate…”
At Zero Hedge: Moody’s Warns Illinois Governor: New Taxes Will Make More Residents Flee
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Over at Ammo.com: The 16th Amendment: How the U.S. Federal Income Tax Became D.C.’s Favorite Political Weapon. Here is a quote:
“Could you imagine a time in the U.S. when roads were being paved, there was zero national debt, and the federal government was completely operational – all without income taxes? This may sound like a Libertarian fantasy, but it’s actually an image of the America of yesteryear. Before the advent of the income tax, the U.S. government relied exclusively on tariffs and user fees to finance operations.
Unsurprisingly, operations were much smaller compared with today’s extravagant government programs like welfare, social security, and subsidies…”
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A Reader Letter on Monthly Precious Metals Purchases:
Reader A.Z. wrote to ask:
I would like to see an article on SurvivalBlog for those of us that don’t have a lot of
experience in gold and silver investing. Specifically, I am wondering if there is a
way to set up a monthly investment plan for gold and silver purchasing from a
reputable firm by letting said firm charge a credit card every month, sort of like
investing in a retirement plan at work. Thanks.”
JWR Replies: There is a small precious metals firm in Missoula, Montana called Montana Rarities that does precisely that. For security reasons they operate by mail-order only. They stock and sell gold and silver bullion coins, 90% silver circulated coins, rare mint state coins, proof sets, and some mint sets. With their monthly plan option, you can schedule recurring automatic orders. This is something akin to the Dollar Cost Averaging monthly stock purchase plans that are offered by some stock brokerages. It is a sensible, prudent way to gradually hedge into precious metals.
SurvivalBlog and its Editors are not paid investment counselors or advisers. Please see our Provisos page for our detailed disclaimers.
Please send your economics and investing news tips to JWR. (Either via e-mail of via our Contact form.) These are often especially relevant, because they come from folks who particularly watch individual markets. And due to their diligence and focus, we benefit from fresh “on target” investing news. We often get the scoop on economic and investing news that is probably ignored (or reported late) by mainstream American news outlets. Thanks!