Next week - Germany and Bernanke
posted on
Sep 08, 2012 01:17PM
Rob Reiner in today's Internationa Forecaster warns next week anything could happen in the markets. With Europe and the US overwhelmed with slowing economies and expanding debts problems, September 12th and Sepember 13th are two big days that will produce expected market movement: 1) The Germain court decides if it's Constitutional for the country to join the ESM(Europran Stability Mechanism) thus supporting Graghi's plan to buy sovereign debt and 2) Bernanke wraps up the two day FOMC meetings.
Reiner's conclusion is stepped up kicking of the can down the road with more monetary stimulus. The expectation of more morphine being pumped into to the failing patient could account for the strength in the precious metals this week and possibly next. The failure of central bankers to admit they messed things up along with being confused on how to steady a listing ship equals inflation and trouble for the rest of us. In order for the system to be fixed there has to be massive haircuts but the bankers and major bondholders plainly say no, passing it on to the people with our representatives more concerned with their careers and their benefits, above and under the table, than for us.
The folks that have gold and silver and the companies that own it on their properties will be the survivors and the controlling landlords of the new tomorrow. The question is, will you be holding enough? Forget the Hollywood drama of scaring you out of your positions and keeping the public's attention away from this, will you have enough when the day arrives?