Economics and Investing:

I couldn’t help but notice that the spot price of gold jumped $30 per ounce at the opening bell in Asia on Monday morning. (Which was Sunday evening, Rawles Ranch time.) Get ready for a very scary ride in all of the markets this week!

Reader J.D.D. sent this: World Financial Officials Hold Emergency Call to Discuss U.S. Credit Downgrade[JWR’s Comment: “Call in the tailors for an emergency meeting!” cries Les Empereur Sans Culottes.]

Four links from G.G.: Two bank closures on August 5th bring total for 2011 to 63 banks. (One of them was inside the American Redoubt.)

Marc Faber: Brace for a Global ‘Reboot’ and a War.

What a difference a week makes: ECB says will “actively implement” bond-buying. (A tip of the hat to Marilyn R. for the link.)

FY2011 deficit tops $1 trillion, with two months to go.

When Dollar Stores Are Too Expensive You know the economy is in bad shape when customers can’t afford to shop at dollar stores anymore.

Catherine Austin Fitts at The Solari Report: Federal Budget 101 & Catherine’s Response

France and Italy stand by to bail out biggest banks as euro crisis worsens (Thanks to J.B.G.)

Items from The Economatrix:

“Sudden And Unexpected” Burst of Downsizing Causes Layoffs to Explode Nearly 60% in July

US Recession Fears Grow as Consumers Curb Spending 

Euro Money Markets Freeze as Crises Escalate in Italy and Spain

Europe on Brink of “Major Financial Collapse”:  Guggenheim CIO