Hyperinflationary Happy Hour Extended to 2014 ~ The Risk Averse Alert

Wednesday, January 25, 2012

Hyperinflationary Happy Hour Extended to 2014

Drunk on monetary moonshine served up these past few years at Ben Bernanke's Federal Speak-Easy, party goers today welcomed the promise of three more years in distorted reality stuffing dollar bills into the financial system's chaos-o-meter, and just making the thing leap...


Note spot gold's increasing volume trend since late-December. The stock market (let alone AAPL) could take a lesson. Nevertheless, building is a technical case for claiming spot gold's projected, final parabolic advance appears underway.

The greater bulk of gold's upcoming lift still is thought likely to coincide with the initial phase of the stock market's upcoming dismantling. As such, then, my view supposing a negative turn in the market is very near developing appears substantiated with today's spot gold reaction to the Fed's promise of cheap monetary moonshine through 2014.

A liquidity flood both delivered and promised by immoral incompetents on both sides of the Atlantic plainly finds investment capital seeking a store of value. Of course, this is becoming increasingly difficult to find in securities markets because, following 2008's assassination of confidence in Wall Street's shadow banking system (a.k.a. "Adam Smith's Leveraged Ponzi Scheme"), profit margins are under pressure even to the point of driving into the ground providers of the physical economy's lifeblood — energy. Whether this fact is being ignored or denied in general is inconsequential, as its growing effect is inescapable and Bernanke's Federal Speak-Easy is committed to serving it up with smiling faces demonstrating no empathy for the crazy physical effect their poisonous elixir causes.

Fast Money
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