Gold to 1500 by years end?
TGR: Why’s that? What’s going to push it over?
JE: There’s no question what’s going to push it—the realization that the U.S. is broke.
TGR: Who doesn’t realize that already?
JE: Well, 90% of the people don’t. Ask the average citizen. They don’t have a clue what’s going on.
TGR: So we need the public to figure this out.
JE: Absolutely. The U.S. budget deficit is going to be 13% of GDP. That’s unheard of for the world’s reserve currency. There’s no way you get out of that easily.
TGR: But most people aren’t in the market anyway, so why would their realization affect the price of gold?
JE: Oh, it’s not them; it’s the people with the money—the people in the Far East and the Middle East. They will just want out of currency and as quickly as possible.
TGR: Why aren’t they buying gold now?
JE: They are. They’ve already started.
TGR: So why hasn’t the price gone up?
JE: It has gone up. But the fact is that, with the paper gold market, if you look at the short positions that the commercials, that the bullion banks, which are the agents of the U.S. government are running, it’s a complete fraud.
Very interesting post, investorzzo.
It will be even more interesting to see if his expectations pan out.
Good article and appropriate IMO. I think he’s wrong in that there won’t be the "perfect storm" though. I’ve spoken to a couple congress persons recently and they think Oil is going to $150 soon as well as Natural Gas getting quite high around fall. One is on the Energy Committee so……….? If this happens, watch out!