posted on Sep, 20 2005 @ 02:35 PM
I think that since Super Storm Katrina and the "biblical" Flooding more people fear that the end of times, gods wrath is upon them. Fearing this
they expect an economic collapse... Result, they buy more gold. More Demand for Gold Equals a higher selling price for Gold. As things get worse,
the demand will increase and so will the price of gold.
Your Paper Money is worth nothing, Your Credit Cards, Bank Accounts, ... all of it. where is your true value if the economy collapses?
In 1920's in Germany they burned stacks of money to keep their houses and appartments warm. Because it cost less to burn the money then it did to
buy gas/oil. This was the worst period of hyper- inflation in recorded history. Everything was too expensive, food wasn't even affordable anymore.
And it wasn't because of shortages and the costs had to go up, no. It was because Paper Money lost its value almost overnight.
With all of the economic problems America is already faced with, including an illegal war in Iraq, and the 100 BILLION Dollar clean-up/mismanagement
taking place in the aftermath of Katrina.
National Deficits the WORST in HISTORY. We are a Credit Card Nation, and eventually China and Japan are going to want their money back. Imagine
China one day calls in all of our debts, because they are having their own problems, or because they are mad at us over Taiwan or N.Korea?
What if OPEC decides to use the yen or the Euro as its Oil Currency? Overnight you will see the dollar lose 50% of its value.