CRISISBOOM

Wealth cycles are nothing new, however, the potential of this upcoming cycle will be the largest in the history of mankind impacting that of global proportions. When the financial currencies of the world collapse, the transfer of wealth will happen literally overnight. Those who are invested in gold/silver certificates, bank accounts, stock market, checks, bonds, IRA’s, currency (ie Federal Reserve Note, Euro) are prone to loose everything they have worked so hard for. You must recognize what cycle we are in to avoid the pitfalls. It’s the same as common knowledge, if you were watching the weather channel and the meteorologist says that there will be a record blizzard in 24 hours what would you do? The first thing I would do is to make sure that my house has ample food, warm clothing and lots of firewood. If you don’t take these certain precautions surely you will suffer the consequences of hypothermia, starvation or even death.

Wealth cycles have a long history originating in ancient Greece and Rome.  Every time in history upon the birth of a fiat system when a  government intervened in free markets, the markets would eventually undergo a correction.  You can see that every time a government began devaluing its currency by creating more and more of it, certain events, like inflation or hyperinflation, would follow, every time.  In the case of America the same thing is beginning to snowball.

This current cycle that we are in heavily favors gold and silver. You see it on the news everyday and you read it in the newspaper. Question is, have you ever thought about selling your scrap precious metal to one of those gold buyers you just saw on TV a few minutes ago? If you were to sell your precious scrap metal or coins for the inflated quote of dollars they will give you then the following week the monetary system collapses what would you have gained?

Countries such as China have recognized this cycle.  It recently was announced that China imported 209.7 metric tons of gold during the first ten months of 2010.  That was five times more gold than China imported during the first ten months of 2009.  China is even encouraging its citizens to purchase gold and silver!  Other nations such as India, Russia, Brazil, even Sri Lanka  have been making news by announcing that they all want to build more gold reserves.   When you see large international moves like this, you have to know something is up.

Mike Maloney says “I’m not a gold bug or a silver bug. I’m really a cycles guy. Silver, I believe, is the best way to get a whole bunch of cash flow, real estate, high-dividend-yield stocks, or something that is creating income every single month. What you eventually want is cash flow.”

http://blogs.wsj.com/marketbeat/2010/12/03/gold-demand-huge-buying-from-china/

http://www.prisonplanet.com/buying-gold-why-are-the-chinese-gobbling-up-gold-like-there-is-no-tomorrow.html