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What Amnesty & Free Health-Care have to do with Gold Rising

BUYING GOLD/SILVER, GOLD & SILVER, GOLD/SILVER COINS   No comments yet

Amnesty, by definition, has the same root as amnesia. Amnesia is the ability to forget and forgive all remembrance of an offense or occurrence. Today we will pinpoint exactly why today’s politicians are hellbent on expanding amnesty, free health-care, EBT participation (among other programs), and how this trend will ultimately influence precious metal higher. This has nothing to do with Republican or Democrat. This is 100% about the ability to gain political influence at all cost. Even if it means taking down the most powerful country ever to exist. Let’s dive in.

I write this as politicians sweep up celebratory party favors on Capital Hill. The war is won, at least for a few months, and the never-ending pattern of print and spend will continue. The answer is always “borrow more” regardless the challenge, regardless the program.

While the party favors still floated through the air, President Obama made what some feel was an unexpected statement by mentioning the importance of immediately getting back to work on the amnesty issue. His statement came while opponents still wiped away fresh blood from a vicious political battle they have little chance of winning; here is why.

Oh, by the way, this post is not motivated by personal political opinion but by fact. My opinion of all things political should not affect if you do or don’t protect yourself with silver or gold. Now, with that out of the way let’s continue.

It doesn’t take an accountant with Ernst & Young to declare that our country is monetarily broke. This means we as a country routinely spend more than what comes into our Treasury. So this leads some of us to attempt to explain why those in political control feel the need to expand programs or expand law that adds to such a deficit burden.

It is no secret that laws like Obama Care will add to our national deficit which leads to printing more money (the trendy term for “printing” is now “quantitative easing”, please get with the program if you’re still calling this necessity anything other than QE). Sure politicians claim crafty accounting measures, new taxation, and new regulation will pay for Obama Care but at day’s end we all know differently, as do they.

The same goes for the upcoming amnesty chess match. I once mistakenly believed that nationalizing healthcare was the Holy Grail of all things political but amnesty has proved me wrong. Declaring amnesty with a population of people mostly impoverished is ingenuous  for those thirsting for perpetual political power. Somehow those who benefit from amnesty confuse this opportunity to benefit from such social programs as a part of the American Dream. This misnomer is a terrible misbelief.

Things that are free to the public only work if those providing the service work for free. Free health-care clinics work when those passionate about taking care of others donate their expertise and time. There are no exceptions, I’m sorry.

Same goes for declaring the millions waiting for amnesty who primarily, or at least partially, depend on state and federal programs for housing, healthcare, and groceries. These, too, only work when such programs are mostly provided by donation of time, money, and effort. They certainly will not work…… long-term speaking, in a country already bulging from never-ending deficit.

Far too many in this great country like to blame the recipient when the blame belongs elsewhere. It’s human nature to take the easy path in life. Of course this country was built on hard work and risk, I certainly won’t argue this fact, but this doesn’t change the rule of human nature. I blame those thirsting for political control far over those working the system.

The future price of physical silver and gold is greatly influenced by the 600 words aforementioned. As our country becomes more dependent on the expansion of government programs this will greatly sway the political influences of the people. Those in power, both fiscally conservative or progressive, will have little choice but to vote according to the pressure of the masses.

If the masses depend on social services then how can we expect those in power to not legislate to appease. We are reaching a point when a politicians very life could be in danger if not.

It is important for those thirsting for political power to swell the nationalization of all things necessary in order to maintain control. What those in power ignore is the long-term effect of printing money to support such recklessness. We, as a nation, have reached the monetarily point of no longer turning back this perpetual necessity of printing currency to appease the masses.

Some of you are still asking what the heck is going on with the price of physical PMs (precious metals) over the last year or two. Your viewpoint is shortsighted, respectively, when we consider the long-term recourse of debasing the US dollar in a nervous globalized world. Precious metal will rise up until the world finds monetary balance….. not a moment sooner.

This isn’t to say we won’t see valleys before then. Nothing of value is unaffected in this monetary ocean of ominous uncertainty and intervention. Precious metal will rise unexpectedly and it will nervously decline too. At day’s end – I know of nothing as protective as storing part of your wealth in physical silver and/or gold.

QUESTION:  Hi there. Last week a friend who works at the Royal Australian Mint (RAM) gave my daughter a 1oz silver proof like coin (lunar series, 2013 year of the snake). My baby girl is 2 months old.

This was good timing as I’ve been researching investment options for her (looking at shares mainly). after receiving this beautiful coin I started researching into gold and silver investments. This is how I came across your site. Very informative site btw. Thank you for sharing your unbiased views.

I’m now considering silver as an option. We don’t have huge amounts of cash but want to start her off and add to it each year for birthdays and Christmas. I was wondering if you could clarify a few things for me as I’m a bit confused. I’m a complete beginner but am a fast learner.

1) What is the difference between proof and proof like coins? Is it good enough to buy proof like quality coins. E.g. A 5oz silver proof Luna snake from Perth mint is $480 where as proof like for the same thing at the RAM is $357.

2) What’s the difference  silver bullion coins and silver proof coins or proof like coins? 1oz silver bullion I can buy from Perth mint for $33 where as the proof like is $80 and the proof is $99.

I do like the pretty shiny finishes of the proof and proof like coins. I have about $1K to start her off with. I saw in one of your blogs that you said you prefer to invest in 1oz silver coins. Is that silver bullion or proof or proof like coins?

Hope you can help me.

TPS Reply:  Congrats……. I’m so glad to hear you’re taking such wise measures for your daughter’s sake (I’ve done the same for my two children). She is fortunate to have been born into such a caring family so focused on her future. Your questions are good and you are wise to question what is the best long-term investment for your hard-earned money.

I agree, the silver proof coins are exceptional. Although all coins made from silver or gold will provide protection the question is which ones will provide the most protection. I recommend waiting to purchase the proof coins until after you have a stack of low-premium silver bullion or rounds (I usually recommend legal tender silver bullion).

BTW, a proof grade coin is one of only the very best of the newly minted coins.

Amassing physical silver, or gold, is the goal. Any price paid in addition to the physical value of a coin is speculative. This is why I usually advise newbies to amass as much silver as possible in exchange for the least amount of currency as possible. Proofs, as you pointed out, cost more therefor they are rarely recommended…… at least when new to PM. This is only my opinion so I encourage, and admire, your diligence.

The same advise goes for rare or numismatic coins. This coin or bar choice almost always comes with an added premium subjective to opinion. This added premium can be volatile, in fact, volatility should be expected especially with rare coins. Paper PM is not recommended either.

Good luck and please stay in touch as your plan progresses. Thanks for the questions and comments.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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THE ART OF BUYING OR SELLING GOLD

BUYING GOLD/SILVER, GOLD AND MONEY, GOLD OR SILVER BUBBLE, SELLING GOLD/SILVER   No comments yet

Precious metal is a well kept secret. Folks who own physical gold, or silver, seldom advertise their wise discretion. Few blab across social networking and less openly discuss the nuts and bolts of buying PM (precious metal). In most cases this leaves you, the novice, searching for the right metal offered at a fair price. It’s hard for me to put an exact percentage on how many newbies pay far beyond necessary but I will estimate more than half do, or receive less, than the metal recommended here at TPS (The Prospector Site).

FACT #1: Not all Gold is good

It is a misnomer that gold is always a good investment (paper gold can be the worst choice for wealth storage in many cases). Anything other than physical PM carries far too much risk considering our age of fiat correction and financial insecurity. For this reason alone paper PM is not worthy of today’s discussion or space.

Retail gold, like jewelry, is a blend of artistic effort and precious metal. An established value is always subjective but, nevertheless, still a store of value better than most of today’s “typical” investments. In times of economic despair jewelry returns to a value measured in melt worth. This is why I recommend new bullion, rounds or bars over jewelry.

All physical PM buyers pay a fee over and above the intrinsic value of a gold bar, round, nugget, bullion, etc. This “premium” is what makes those selling PM wealthy but offers no real value to you as the buyer. The older (or rarer) the gold hunk the higher the premium, very simple. In return…….. new bullion, rounds, and bars offer the lowest premium.

Most folks buying gold in 2013 are not collectors or speculators. They, gold owners that is, view the echos of economic recovery as back-ground noise and realize we very well could be facing the end of a great fiat currency experiment. For this reason alone all should own physical silver or gold.

I recommend due diligence before buying your first gram of gold. Old coins are cool but best saved for the experienced PM buyer. Proof coins are flashy but also best saved for those solidly vested in raw precious metal beforehand. Think low-premium PM offerings that are easy to store, insure, and someday sell or trade.

FACT #2: Not all PM advice is good

This site doesn’t sell silver or gold but I would love to know how many precious-metal peddlers hear, “I understand gold is a good investment. What do you recommend?” At such time the art of buying or selling PM is in the hands of a stranger who could be more profit inclined than making sure you receive the best bang for your buck.

I hear so many nightmare stories of good gold intentions going bad. These tales always include trust, deceit, disillusion, distaste, and eventually embarrassment. At the end of the day far too many pay far more than necessary, for PM, because they fail to arm themselves with education.

There is no reason to fall prey to the PM distrustful, not in the internet age. Your education should not come by way of solicitation. Hard asset sellers are always well rehearsed with trigger words and phrases. These trigger phrases stir emotion and prompt protection but have no place for those implementing a controlled PM plan.

The best source for education and advice always comes from the unbiased.

FACT #3: You will someday sell

I have a close friend that has owned physical silver for years. He has no plans to ever sell regardless the value, regardless the offering. What he doesn’t realize is that someday he or someone sharing his last name will sell, or trade, his buckets of silver. It could be for profit, it could be for freedom, or it could be to feed the family, who knows…… but it will trade hands someday.

I personally will not buy silver or gold that I can’t easily track real-time value. Sure owning a coin that spent hundreds of years lost at sea is cool but how does the average Joe know its true value. After all, the only guarantee we have is a fluctuating melt value, right? For this reason I recommend asking two questions before committing to buy; how much are you asking and how much you will pay me to buy it back.

The difference between the two prices is very important. As of August 25th, 2013, a one-ounce gold bullion will run a buyer around $1475. The same bullion, less the premium, will sell around $1390-$1400ish. A second-hand market will bring a few more dollars. By the way, some PM buybacks require a dealer or broker to notify the IRS, some won’t. Do you know the difference?

But our faith in PM has less to do with dollars with each passing deficit day. Gold’s true value is its exchange value. For instance, I pay less attention to what gold trades in dollars compared to how many ounces of gold it takes to buy an average home in my neck of the woods or a sandy retreat countries away. This exchange value is the future gauge of your net worth. Dollar value is relevant now but this could change quickly.

QUESTION: Thanks for answering my questions, DC. Yes, it’ll be scary if the governments get creative and do something like Operation Rize. Can’t agree more about diversification. As for the insurance, I think I’ll ask a jewelry store nearby first.

And what do you think is likely to happen in the future? Will we have a repetition of what happened in 1980, where PM prices skyrocketed and retraced later? But considering the world’s current level of debt, can the central banks raise the interest rates like they did back then? Or will we have hyperinflation? But are the central banks so stupid to allow that to happen? Will we stick to PMs forever, or will we have to switch to other assets someday?

Looking forward to your reply and thank you very much.

TPS Reply: You’re welcome, thanks for asking great questions. What happened to PMs in 1979-80 was amazing but only a small sample of our future. So many things have changed on a global level that will affect us all on some capacity. Some will prosper but most will fall victim to an existence that only existed because of a debt-based lifestyle.  I have great concern for those not PM protected.

TPS often hears from readers who boast over their debt-free lifestyle. This is great, and recommended, but the truth is all will fill the pain of worldwide default as it becomes painfully obvious trillion $ obligations can never be repaid. This mess is what happens when we live in a society consumed by the here and now. Our commerce world has consumed the minds and energy of far too many.

You’re right; central banks will send all major currencies into a level of inflation unimaginable. I’m not sure if hyperinflation is the correct term but, nevertheless, it will not be kind to those attempting to live on a fixed pension or income. Most victims will view these days of economic correction (disaster) as “depressed” not realizing such a time is nothing more than another example of what happens when a fiat currency is overproduced. Silver and gold will account accordingly.

A dangerous trio has hijacked America’s future. The FED (central bank), Wall Street and politicians now control our economy. Washington DC proper now boasts an economic boom while the rest of America suffers from a myriad of challenges including, but not limited to, low-paying jobs, rising cost of living, financial tension, etc.

The world’s central banks circle the wagons in order to save our fragile banking system but not willing admit this effort is futile, destructive, and unfair. Anyone relying on a currency, not real money or hard assets, will, too, soon realize wealth stored in paper is growing worthless. Such an era will bode well for those holding physical silver/gold and my prediction is this run will not end anytime soon.

Although, we will reach a point when other assets will become so affordable, in terms of gold/silver, that the temptation to barter will flush wealth out of PMs and back to traditional assets (like real estate, stocks, etc). I don’t see a PM bubble anytime soon, nor do I see anyone holding PM in a hurry to trade. Thanks for the great questions and comment.

QUESTION:  Have you noticed the national debt clock? This is only possible because of our digital non-existent currency age.

TPS Reply:  Yep, it keeps rising, right? This is what happens when a government grows beyond its tax base. My recommendation is to keep stacking silver and gold until it stops.

Our transition to a digital currency is right on time. How else can a currency realize such creation on a global level? We are in the fourth quarter of a fiat currency meltdown created, and now propelled, by nothing more than greed and a political failure to transmit honesty, integrity, and strength. Other than that — this administration and other political leaders are doing a fine job by systematically dismantling our country piece by piece.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

 

 

 

 

 

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BANKING RISK

BUYING GOLD/SILVER, GOLD AND MONEY   No comments yet

By definition, the word captive describes the action of something, or somebody, held prisoner by a person or group until specific demands are met or money is handed over. Today I’ll explain how this affects you and why wealth stored in banks, all banks, will soon fall hostage to a condition I can only describe as a banking prison. Please add this risk as yet one more reason to store some wealth in physical cash, silver or gold.

Just the mere mention of “prison” and we picture worse offenders serving time in places like Alcatraz or Port Arthur penitentiaries. Few picture our local bank as such a site of incarceration or captivity. After all, banks prism beauty, security, strength, structure, and trust. Depositors rarely question the risk of an imminent hijacking of wealth, not from their bank at least.

The articles below prove how powerful a grip our banking industry has on the political orientation of tomorrow. Remember folks, this money is yours. Congress is nothing more than the entity elected to disperse our money in a responsible fashion.

An Obama administration program is under fire, with federal investigators finding that community banks used the government’s funds to pay back recession-era bailouts – instead of lending the money to small businesses as originally intended. source -CNN Money (April 2013)

or

The Treasury Department does not require banks who have received the money (TARP) to show how they are using it, claiming that it is not possible to demonstrate on a bank-by-bank basis. source – CNN Money (August 2009)

or

And here comes Goldman Sachs (GS), the royalty of Wall Street, racking up a huge $3.4 billion quarterly profit and making plans to pay bonuses that could average well over half a million dollars per employee.

Goldman, of course, is accomplishing this with the help of a $10 billion TARP loan from the government. source –Seeking Alpha

Since September of 2008 the protocol is nothing more than saving banks regardless the cost, regardless the irresponsible risk that crippled a once strong banking system. The marriage between Congress and a private Federal Reserve Bank (Bernanke) appears innocent enough but has created a one-sided monetary structure with little accountability. This is by purposeful design.

Each week I present facts as to why physical PM (precious metal) will rise in value over the balance of your lifetime. But the issues we’re facing today go far beyond profiting from PM investments. Our situation has transpired into financial survival in order to maintain some sense of personal independence. Silver or gold, regardless the price, is one of only a handful of positions to store wealth outside a corrupt banking world.

For those willing to take notice….. big bank officials now bounce back and forth between political positions of advisory and private banking. Nearly all those who advise this administration have a vested interest in supporting this status quo. This collusion bleeds beyond a conflict of interest. Their only interest is greed, power, and controlling your money.

Someday monetizing debt and printing currency will no longer support this thirst or greed. At such a time something will give and panic will influence those in political control to accept more of the same misguided advice from bankers.

Bankers will warn, eventually, that the entire financial network is under threat of collapse and politicians will react accordingly. Like today’s Cyprus, our banks too will ration and tax your wealth by limiting transfers or withdrawal of your money. This monetary progression is exactly what happens when banks dictate political influence and capital control.

If this threat I’m describing today sounds real then buy physical silver or gold. If not, stay the course. But remember that the merger between banks and politics never bodes well for those entrusting wealth in either.

QUESTION:  All of our savings are in 401k roll-over accounts.  These funds are not easily gotten to without tax consequences so we are hindered in our ability to accumulate physical gold/silver.  So, we have allocated about 30% of our savings in Gold/Silver ETFs.  We have been able to accumulate some physical silver a little at a time but is there a better way to protect our lifetime savings?

TPS Reply: Your question arrived just in time to work into this post, thanks. As I’m sure you’re aware, I’m not a big fan of wealth disconnect of any kind, but. The 401k accounts you’re describing do offer tax deferment and the opportunity to store wealth within PMs. The question of the day is does the fund actually have access to an equal amount of physical PM as you have invested? I personally doubt most funds do.

The next question is do you stay the course or suffer the tax consequences from rolling the 401k into physical silver or gold? We can address the ETFs but my biggest concern is when you mentioned “we have been able to accumulate some physical silver”. This, to me, implies that you’re not comfortable with your level of physical holdings, right?

My opinion is that physical holdings should supersede paper PM holdings. We will soon reach a point where all investments are in question of “real” or “paper”. This could lead to panic as wealth attempts to find solid footing.

I’m not a financial advisor so I can only offer what I would do if in your shoes. I would do whatever it takes to accumulate a balance of physical allocations, regardless. I would then store at least 1/3 within arm’s reach or with someone very trusted. By the way — this transfer of wealth could include liquidating, or trading, any personal asset into physical PM, not just a 401k.

Now, as far as your ETF,  Sprott Asset Management offers a gold-backed ETF and claims to hold all investment assets in physical gold bullion.  Eric Sprott has a respected name within the PM community and is definitely worth checking out. As always, due diligence is recommended so invest time before money. Thanks for the great question, and reading TPS.

 

QUESTION:  How long is the typical wait time for online PM purchases? I’m new to PM (just found TPS) but don’t like the idea of wiring $ in faith hoping the silver arrives as promised.

TPS Reply: I hear you loud and clear…… and 100% agree. The PM industry has little regulations; this is both good news and bad. This is why it is imperative to find a trusted PM trader with a respectable reputation BEFORE BUYING ONE OUNCE. The wait time is unlike anything else shipped since demand and inventory affect how long it takes to physically receive a PM order.

Your online PM dealer doesn’t usually have the PM in hand when you place an order. Most dealers are brokers which mean they work as a middleman between you, the consumer, and the wholesaler. Any delay in shipment usually stems from a whole seller not able to keep par with demand.

Have you considered buying a few silver ounces from a local coin shop? This face-to-face exchange will allow you to build a local relationship, instill confidence, and provide a cash-and-carry exchange. When consulting with PM newbies I usually recommend starting with silver or gold bullion paying as close to “spot” metal price as possible.

Save the large purchases for online and only after your PM confidence grows. Email me for a list of reputable PM dealers, I’m glad to help. Oh, and welcome aboard.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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Signs of a REAL RECOVERY

BUYING GOLD/SILVER, GOLD & SILVER, GOLD AND MONEY, SOCIAL UNREST, STOCKS AND GOLD/SILVER   No comments yet

Signs are a forewarning that something important is soon to happen. Arm numbness could be a sign of a heart attack. Night sweats could be an early sign of diabetes. Lately I’ve been searching for signs of a real economic recovery. How else can we explain the latest gold/silver decline, all while the DOW posts another new high, other than a true recovery, right? After all, the great metal sell-off of 2013 can only be attributed to a new found level of economic faith.

Is the city of Detroit a sign of economic recovery? Detroit dropped from a circa 1950ish population of just under two million to less than 700k today. No one counting can be surprised by the bankruptcy of a city when it loses over half of its middle class and industry all while simultaneously growing the state’s pension obligations. Detroit is certainly not a sign of recovery as we watch poverty overtake what was once declared the city of great opportunity.

Nearly half of the wealth of American is stored in real estate. The lion’s share of this wealth rests in single-family homes known as a principal residence. But just as we’re led to believe the great housing recovery is unstoppable (housing bubble 2.0) news of a recent major decline in new mortgage applications say otherwise. Is it possible our great housing recovery could be upended by a 1% increase in mortgage rates?

The signs of a housing recovery are few and far between when the three denominators holding RE values together are cheap money, faith, and leverage.

What is a house worth, in municipalities like Detroit, after stigmatized by bankruptcy? The value of your home is directly affected by the health, and obligation, of your state and local economy.

The anti-recovery list grows longer. The new-found affordability of the Affordable Care Act has to be a sign of recovery, yes? Cities collapsing under the strain of long-term debt and unfunded liabilities have to be a sign of recovery, too. The fact we’ve reached the point of unbridled QE must be the truest sign of real economic recovery.

Why Silver & Gold will rise!!

The positive signs of economic recovery presented by today’s media are nothing more than a monetary distraction. Most individuals have reached a point of no longer willing to think for themselves, not to mention the ability to question those who put motive over principle. If the media or internet says so then it must be true.

I know my stack of PMs will take care of my family’s future for one reason only; what most folks view as financially stable is supported by the ability to create (borrow, print, or tax) currency. Everything from social programs, pensions, real estate values, stocks, banks, etc have reached the point of fiat dependency. This recovery is as real as any structure built upon a foundation of debt leaving no other choice but print of die.

Only the minority now buck this trend of nonstop quantitative easing. The rest, the majority, only argue over how to spend it. Think about this for a moment, please. Can you imagine the Detroit inferno if the evening news reported a significant reduction in social services, section 8 housing, food stamps, disability, etc.? What if a politician announced a monetary commitment to stop deficit spending altogether? The clip below answers it best.

Not only would city streets in every major city burn but the outcry from those invested in paper assets would be so great that the very life of the one proposing such a foolish plan would be in jeopardy.

This “jeopardy” is why your stack of physical silver and gold must rise just to keep a natural order of monetary balance and buying power. The United States, most countries too, have reached the point of no other option than print to appease, both politically and economically speaking.

I know TPS has mentioned this before but we are long past the point of arguing if metal will rise. It must rise, and will rise, as our nation accepts we are to the point of print or burn.  TPS recently posted how debt has become a threat to our national security. I’ll go as far to say the domestic threat outweighs the foreign threat when we calculate the growing number of our entitled.

COMMENT:  I personally believe the gold bugs are about to be squashed – maybe less than $1000 an ounce!!

TPS Reply:  Thanks for the comment. If every prudent person sitting on physical gold had to sell now then “yes”, the gold bugs are soon to be squashed, at least the most recent buyers. But your theory has one giant hole in it when we consider that few bugs are sellers. In fact, many are out buying discounted precious metal.

Let me guess, the DOW is your suggested new opportunity of safe haven? If so, what happens to the value of today’s DJIA if not for perpetual QE? What happens when the DOW has to stand on its own monetary merit? Will the 2008 DOW meltdown pale in comparison when those with wealth realize it’s nothing more than a paper promise?

Bernanke’s pile of printed money supports Wall Street because the lion’s share of this fiat rests on Wall Street. Of course investors in return support WS because they have little choice other than follow the next bubble; can’t you see this? I, for one, will side with the gold bugs by taking my chances with sound money (according to our US Constitution & 5000 years of history).

QUESTION:  In your last post, Fake Money Threatens our National Security, you mention the word “printing” but this is inaccurate. The money is nothing more than a digit, not only is it fiat but it doesn’t exist at all…. literally. Your point is noted but you should clarify. Thanks for what you do!!

TPS Reply:  Great point, thanks. You’re correct, less than 1/2% of cash deposited actually exists. This number can vary but never anywhere close to a percentage that would make most depositors comfortable. This is why the banking world is deathly afraid of a bank run similar to what happened in Cyprus.

This is also why I recommend keeping most liquidity in cash, silver, or gold form. In my opinion, at least 1/3 of this wealth should be within arm’s reach safely stored in-house or with someone trusted. I wish more folks understood the fragile nature of today’s banking world, fractional reserve lending (banking), fiat currency, and, of course, real money.

Good for you and thanks for the reminder!!  By the way to all readers, if this sounds like an overreaction just research the words “bail-in” as it relates to today’s banking institutions. Why not take a proactive stance while this option still exists?

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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Fake Money Threatens our National Security, again!

BUYING GOLD/SILVER, GOLD & REAL ESTATE, GOLD AND MONEY, SELLING GOLD/SILVER, STOCKS AND GOLD/SILVER   No comments yet

Does the name Sam Upham ring a historical bell? Mr. Upham imprinted his name into history books in the most unusual fashion. In fact, Mr. Upham learned, well before Mr. Bernanke I should add, that the power to print is more profitable than the effort to work. Maybe this is why our gentleman of the hour printed nearly 15 million counterfeit Confederate dollars during this country’s Civil War over 150 years ago. Some respected historians believe our Civil War’s outcome was offhandedly determined by one “Yankee scoundrel” with the power to print money.

History is a road map seldom followed. So many readers are asking what it will take for physical PM (precious metal) to rise without questioning what happens when fake money rules the world. Like a wave building, the ill effects of fiat printing will soon position those holding sound money into a posture of wealth accumulation. Our country’s history is the only proof needed.

I would like to expand our history lesson for a paragraph, or two, before comparing a circa 1862 American currency to today’s precious metal alternative. The Confederate South created a fiat currency to afford a war. This new fiat currency, commonly called Confederate dollars, held no gold restraint because of a 100% reliance (sound familiar?) on those with the power to print.

Over creation, or over printing Confederate dollars led to rapid inflation as confidence in the money dropped all while volumes of Confederate dollars increased. It is worth mentioning that the cost of a man’s suit ran just under $3000 Confederate dollars as inflation gripped……. and then crushed this fiat money of the South.

For the record, the aforementioned Mr. Upham didn’t work for the Confederate Treasury. In fact, Mr. Upham was nothing more than a money bootlegger who realized the potential of combining cheap paper with barrels of ink. His ability to create fake money accelerated the Confederate currency into an inflationary spiral that led to the end of the Civil War!!!

I’m not a conspiracy theorist but it’s worth mentioning Mr. Upham was never caught, even with a $10k bounty on his head, and rumored to be protected by our country’s secret service till his death, hmm.

NATIONAL SECURITY:

Not a day passes without the mention of our country’s national security. The War on Terror rages long after September 2001 and the argument of a safer world is debatable. Less debatable are the costs of wars under the pretense of national security. To put it bluntly, we continue to borrow/print money in order to fight rotating wars.

The parallels between an extinct Confederate currency and today’s US dollar have reached an undeniable state of similarity.  The very act of overproducing our currency is now a compromise to our national security. This realization grows more haunting when we factor growing Middle Eastern tension and other threats of war.

Only a thin line separates the power to print, and then wage war, with the vulnerability of over creating a fiat currency that intensifies the threat to our national security. The Federal Reserve Bank promotes control but their actions say otherwise.

I’m not sure who tomorrow’s history will blame for the demise of today’s reserve currency. Will we print our dollar to death in order to sustain our consumer-based economy or will we destroy our currency in the name of national security while fighting never-ending wars?

Regardless why, physical silver and gold will protect the wealth of the few willing to accept today’s historical monetary lesson.

QUESTION:  DC, are we talking about someday trading pricey PMs back into a fiat currency (US Dollars)? Not sure I’m comfortable exchanging sound money for paper promises.

TPS Reply: Thanks for the comment and question; not a week passes without someone asking the same “what to do when it’s time to move on” question. You are correct, there will come a time to leverage wealth stored in silver/gold for another asset. We often envision this step, or process, transitioning through dollars first but this most likely will not be the case.

Complications arise the minute we convert an asset back into dollars. This complication could be a tax consequence (red flags or capital gains), wealth exposure, even security issues. The word that comes to mind is discretion. Discretion is a key component to owning, storing, and someday trading precious metal.

It’s worth mentioning that the same forces soon to propel PM higher will also have an adverse effect on other assets now over leveraged; real estate, stocks, and many businesses are a perfect example. When a business or property becomes overly leveraged it becomes vulnerable to a decline in revenue. The burden of leverage remains the same even if profits decline. This is the number one reason small businesses fail when a consumer-based economy cuts back on spending.

The potential to buy (trade) severely discounted property, stock, and businesses for precious metal will increase over this decade and probably the next, too. Those storing wealth in silver and gold will eventually realize the financial benefit of trading PM for another distressed asset. This trade bypasses the need to liquidate PMs into dollars, if structured properly.

This site will discuss many other options to trade, or sell, physical silver and gold in the near future. Thanks for the question.

QUESTION:  How does someone new to PMs know the best time to buy? I hear experts mention a “bottom” but how is the bottom recognizable?

TPS Reply:  Great question, thanks. The PM bottom is not recognizable…….. anyone claiming to know differently is nothing more than a paid PM spokesman. Too many forces now control day to day PM fluctuations, unfortunately. This means we must keep our eye on the long-term goal of wealth preservation by creating our own personal gold standard.

If you’re new to PM, and unprotected, please consider buying ASAP. No one knows when some event will push our economy to the brink…… just like the days in September 2008. The world’s banking institutions are now risky investment houses and highly leveraged. Sure central banks have rolled billions in dollars of liquidity into some banks but this cushion is pale compared to the exposure of most financial institutions.

My opinion is regardless the price paid PMs are worth it, especially when we consider the potential to preserve wealth ever so discretely. No need complicating this gift by guessing an actual PM bottom that will someday soon seem irrelevant.

Contrarily, I often recommend those PM protected to exercise patience when adding to their growing stack. The trend of late is declining. This means, in all probability, the same dollars will buy more metal in the very near future but only recommended for those already PM protected. Thanks for the question, and reading TPS.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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PRECIOUS METAL: PROTECTION OR PROFIT?

BUYING GOLD/SILVER, GOLD AND MONEY, STOCKS AND GOLD/SILVER   No comments yet

September 2008 was not a good month for most DJIA investors. It took less than seven September hours to drain $1.2 trillion from shareholders as the DOW index experienced a meltdown the likes Charles Dow never considered possible. Today’s gold decline reminds me of September 08′s DJIA in many ways. The same fear, same economic darkness, the same “will values ever come back?“, too.

I have no idea what prompts you to read a blog like TPS (The Prospector Site). Some read for assurance, some search for protection, and some want nothing more than to leverage gold/silver for profit. The latter are greatly disappointed as of summer 2013; my fear is this disappointment has a short shelf life.

Brave DOW investors who beat back the uncertainty of 2008 were well rewarded. These vivacious souls understood a 7617 point DOW drop over a few weeks could equal huge returns for those more focused on profit than protection.

After all, it’s always the few who stand strong that profit the most while all others run for the exits.

I’m no DOW fan, but it’s undeniable that investors have profited greatly since the days of 2008 volatility. Is it possible these same brave investors realized that stock holdings within profitable companies should not have declined in such a waterfall fashion, as they did fall 2008? Smart stock investors realized that such a bargain was a closing window of discounted opportunity.

Today’s physical silver or gold opportunity reminds me of the discounted blue-chip stock offerings of late 2008. I won’t speculate when precious metal prices will rebound but I can guarantee one thing. An ounce of physical silver, or gold, is worth far more today than what a person can buy it for, just like a 2008 blue chip stock.

Profit or protection:

If you’re protection minded, PM speaking, then the latest PM price drop means little…… maybe even nothing. Your plan is all about long-term fiscal prudence all while realizing a currency built on overpopulation (printing) cannot sustain value or buying power forever. A temporary waterfall decline within your PM plan – although disheartening – means little when compared to your plan of preservation, self-reliance, and independence.

The PM protectionist views profitability as a byproduct of wealth preservation. They also view the ability to transport wealth as an avenue to rebuild after a currency and government prove themselves as less permanent than what 99% of our neighbors would like to believe. The fact is history has not ruled in favor of print friendly economies or fiat currencies, never.

July 2013 is extremely unique for those who still trust physical PM. Generally I write from a precious metal long-term point of view, you probably already know this. But today’s PM opportunity is on the verge of presenting a shorter term position for profitability. If this is of interest……. please read on.

From this point forward I want to be perfectly clear. This writing creation you’re reading is presented, and should be interpreted, as a form of short-term speculation. Speculation is nothing more than a tally of risk compared to monetary reward and only played by those who can truly afford it.

We are soon to hit a PM bottom, this I’m sure of. I don’t know when or how low but the price of physical silver or gold will soon change her recent course. When it does the potential for quick profit is very real, but still not for everyone. Make sure you don’t confuse long-term PM prudence with the risks of speculation.

QUESTION: I hate to ask but must, have we reached a bottom for gold? Oil prices are zooming but precious metal prices are still in decline. Care to speculate?

TPS Reply:  Thanks for asking, and reading TPS. “No”, my opinion is we’re not out of this temporary fog of PM volatility and gold prices could fall accordingly. It’s impossible to predict how many weeks or months this downtrend will last. But it will end and when it does paper investors will drum a rhythm of precious metal opportunity, and the bulls will run again. We’ve seen this many times before and this time will be no different.

As mentioned over the last couple of posts; I’m not buying silver or gold at this point. I’m storing the cash just like I would PM waiting for the PM market to stabilize. Why buy now when the same dollars will buy more ounces, most likely, in the very near future? I can do this because I’m already PM protected. What about you?

Now, as for your crude question, oil that is. The situation in Egypt is stirring oil uncertainty and we can only speculate how this volatility will translate into pump prices. My guess, this is only a sign of the times and I’m personally not expecting cheaper pump prices anytime soon. Will rising crude prices drag PM prices up, very possible but not worth betting the farm, IMO?

Some economists believe a rising dollar index has more to do with the current price of precious metal far over anything else. I won’t disagree, but believe the PM decline we’ve watched since April of 2013 has as much to do with a paper PM sell-off dragging down physical values too. Regardless, both forces are only temporarily influential over the long term.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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WHY PRECIOUS METAL HAS ME WORRIED

BUYING GOLD/SILVER, GOLD & SILVER, SECURING GOLD & SILVER   No comments yet

Our physical silver and gold market is in a precarious position…… and this worries me. The great paper PM (precious metal) sell-off of 2013 started in April and showing little signs of reprieve as June fades into July. The hard asset faithful patiently wait for a bottom all while questioning the wisdom of owning physical silver or gold. All this while today’s media wastes little time casting disparaging remarks for those practicing sound money practices and prudence. Even with all the aforementioned, this is not why precious metal has me worried.

Thank you so much for joining TPS (The Prospector Site). This post, like the hundreds before, is all about translating monetary fact from fiction, sound money from paper promises. I have no doubt our world of financial rhetoric confuses many, maybe most. Hopefully we can clear the air of confusion that clouds the judgments of so many.

Even though the US Mint will sell more Silver Eagles in 2013 than any year prior, our physical silver market is on the ropes. Demand for silver is great but nowhere near equal to today’s level of economic turbulence and fiat uncertainty.  The great alternative currency experiment is nearing an end.

The PM volatility we’re experiencing as you read this is beyond the expectation of this writer. Honestly, I expected to see paper silver, and gold, dip but did not expect physical PMs would follow in such waterfall fashion. It’s easy for me to say prices will stabilize, then rise, because I understand the equilibrium between inflation (consumer prices) and physical PM.

After all, it was only after abandoning the gold standard we realized a rapid rise in consumer prices. The many decades before realized little, or only slight, inflation because the ability to print fiat did not exist. From Egypt to Brazil, the conflicts we see today are all a derivative of fiat currencies out of control.

Why I’m concerned:

Let’s take a closer look at this from a businessman’s viewpoint. A business expands as demand generates profit. This includes leasing or buying more equipment and space, growing a workforce, and so on. The goal is to generate enough product or service to match the market’s pace and trend. Simple enough I’m sure you will agree?

Today’s companies in the PM exploration and mining industry are in great trouble. Mining stock is in far greater decline than paper or physical PMs, even with rising worldwide demand. Why you ask? Because an ounce of real metal sells for less than the tangible cost to extract PM from the ground.

A company in the mining business doesn’t view silver or gold as a safe haven. They view PM as an avenue of business growth and profitability. The problem is we have reached a price point to where the return is not worth the investment, not to mention risk.

Each person considering owning physical silver or gold should expect to see an interruption in precious metal availability sometime in the near future.

The mining industry has yet another problem, as well. Today’s environmental challenges are complex and litigation is extremely expensive. Each passing day brings the threat of yet another environmental related regulation that requires new or updated compliance. It is only worth fighting through such regulation if the trouble equals profitability.

This tandem threat, environmentally motivated regulation and lack of profitability, is far more concerning than a temporary waterfall drop in PM prices. A mining bust will not return to a boom overnight, regardless if PM prices rise in the meantime.

TORONTO, June 24 (Reuters) – Barrick Gold Corp will lay off about 30 percent of corporate staff at its headquarters in Toronto and in other offices in a downsizing plan triggered by problems at major mines and a drop in the price of gold. Read it here.

So what does this mean for those of us living outside the complex world of PM mining? It means a growing market of PM buyers will soon compete for smaller piece of the pie. If current PM physical demand weren’t as great I would say declining output is in nature order, but this is not the case.

The collapse within the paper silver and gold market has caused adverse effects far beyond what most comprehend. Please take a moment to read the Q & A segment if you’re contemplating adding more metal to your PM stack.

QUESTION: DC, are you buying now?

TPS Reply: Thanks for the tiny question. My answer is “no”. I’ve suspended my purchasing plan until prices stabilize because I refuse to buy new metal only to watch prices free-fall soon after. Remember, this is all about ounces….. not price. If I can buy more ounces tomorrow with the same amount of money then why buy now?

I’m not a financial adviser, this means I’m speaking for myself and each reader can take it for what’s worth. I do offer consultation for those who’ve made their mind up to buy metal but want to make sure they’re buying the best metal possible, at the lowest price, but from a reputable source.

It’s easy for me to suspend my purchasing plan because I’m already PM protected. I own both physical gold and silver; my PM plan is on cruise control. Please don’t confuse my temporary action as a loss of PM faith, far from it.

If I were yet to own physical silver or gold I would buy immediately, regardless of today’s PM market volatility. Who knows when the economic shoe could drop leading to an overnight depletion of an already thin inventory of PM?

I will resume buying physical PM when prices stabilize, not before. Thanks for the question.

QUESTION: After reading Storing Silver & Gold I would like to add my two cents. I’m looking to purchase a standup style safe but a little conflicted over investing money for a block of iron when I could invest the same money into PMs. Right now a $1000 will buy a couple rolls of silver bullion!!! What about a compact safe instead? What is your opinion on PVC storage?(edited)

TPS Reply:  Thanks for the comment and question, as well as making the effort to properly store your PM. You’re correct, a thousand bucks will buy a substantial amount of bullion these days, but. Someday soon this silver will rise in value and your ability to safely store this stash is imperative in order to protect your family’s financial future (this is the goal, right?).

I’m not against using a compact style safe, depending on the situation, but prefer something weightier and less mobile. The important issue here is how it’s mounted more than size itself. Regardless, insure the safe’s contents just in case the unlikely worst-case scenario happens to you (the book’s last chapter provides private PM insurance information).

Also, you must consider that money spent on a good safe is also an investment; investing a $1000 bucks for peace of mind sounds very reasonable to me when we view such an expenditure as an asset, too. Since you read my book then you also realize safe manufactures, like Liberty Safe, can’t keep pace with consumer demand. I doubt this trend will do anything but compound – especially when we have an administration taunting gun control.

Now let’s discuss PVC storage. For those who are unfamiliar, storing PM inside a buried section of large diameter PVC pipe is extremely effective. This process includes capping each end to ensure all contents stay dry and airtight. The PVC section is usually buried vertically just long and deep enough to allow access as needed. My only concern with storing metal buried in the ground is who will know where to look if something were to happen to you? Be sure to let someone trusted know of your PVC storage plan.

Thanks for the comment and questions.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

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PM FREEFALL: What should you do?

BUYING GOLD/SILVER, GOLD AND MONEY, SECURING GOLD & SILVER, STOCKS AND GOLD/SILVER   No comments yet

Are you losing faith in physical silver? The question I hear most is “why”. Why are precious metal prices dropping when all the fundamentals are in place for it to rise? International economic volatility, threat of regional wars turning worldly, a flood of paper currency; the list is long and growing. The answer, my friends, is obvious, yet concerning, and the topic of today’s post.

It is unfortunate that we invest so much time, effort, and space in order to justify the only tried and true worldwide currency.  I agree, it’s impossible to ignore such  volatile erosion as we’ve witnessed over the last few months. No doubt this decline is disheartening to those new to PM (precious metal). For this reason alone we’ll invest time and space in hopes of answering why silver is dropping, should you buy now, and when silver will rise again.

Anyone with $11,700 can buy 500 ounces of American Silver Eagle bullion and have it shipped to their door (or local USPS). Comparing today’s silver offering to March 2011 is astonishing, to say the least. I founded TPS (The Prospector Site) in 2011 when the same 500 bullion ounces sold for over $21,000…… crazy! Precious metal experts, who coincidentally also pedal bullion related assets, can spin it anyway they desire but the loss, at least at this point, is very real.

In Why Silver & Gold Will Go Higher I expose the mystery behind silver and gold’s true value. Each coin in existence has literally two sides, value speaking. The first side is intrinsic, or has inherit value. The intrinsic value includes the grand total of effort to mine, mint, and distribute each PM ounce. No different than the land, concrete, lumber, wire, roofing and labor value it takes to build a home or an apartment.

The second side of a metal coin offers value too, but this value is much more subjective than the intrinsic counter side. This side is all about demand, nothing more. If demand raises so does the coin’s value. If demand declines well, I guess, today’s PM market is the best proof as we all watch silver/gold retreat.

So how can prices fall if demand for physical metal is up? After all, today’s PM peddlers and experts talk little other than how worldwide demand for PM is through the roof, right? If true, then why has gold declined from just under $1800 to less than $1300 per volatile ounce? The answer to these questions goes far beyond the paper manipulation argument so commonly made by the PM faithful.

PM manipulation?

The words “manipulation” and “precious metal” play over and over again reminding us of a late-night HBO movie. You’ve undoubtedly read countless articles – written by PM aficionados – that repeatedly prove how PMs fall victim to Wall Street entities like JP Morgan and other “cartel”. I have no doubt Wall Street giants work the PM system but this doesn’t explain why physical precious metal is falling.

Physical silver and gold are in decline because PM can’t compete with today’s level of money printing. Never before are so many currencies simultaneously committed to printing fiat in order to appease a rising tide of concern. This printing offers a false sense of financial security, built on a foundation of debt, which only temporarily relieves the inevitable correction soon to fall upon each of us. Nevertheless, printing money to artificially support handpicked assets hasn’t bode well for gold holders.

Never underestimate the power to create currency (money).

It is only because of FED support that giant banking institutions (the same who manipulate silver and gold to their advantage) even exist. Remember, these giant Wall Street banking institutions should have disappeared September 2008, and would have if not for the biggest bailout in US history. Organic assets like precious metal cannot compete, not while we have an administration and financial structure hell-bent on picking winners, and therefor losers too.

What to do?

With a deep breath we must ask ourselves, as PM faithful, what to do. Obviously, we can’t fight the billion dollar status quo toe to toe. Nonstop bitching won’t help either. Far too many promote staying the PM course but with silver $19ish and gold $1200ish I for one no longer support, at least without question, staying a course that hasn’t worked for some time now.

I own both silver and gold and have for many years. But if I were new to PM, and didn’t own physical, I would buy some now, just in case something black swanish happened in the near future, but keep most powder dry until prices stabilize. But for those looking to add more physical I’m not so sure I’d be in a big hurry to stack more, not with such PM volatility. Here is why.

Folks have lost faith in PM. This hasn’t helped support prices in the least. Eventually low metal prices will discourage mining output and this disruption will dry metal inventories. I truly thought demand alone would vaporize such a limited inventory of PM but this isn’t the case. When miners can no longer profit they will decrease output. A decreased output of physical metal will do more to separate physical from paper than anything else I know. At such a time, physical metal premiums will rise regardless of Wall Street’s paper party.

We must put the age we’re living in context. From the $50k car we drive to the $500k homes we live, they all hold value only because of manipulation thanks to the power to print. This debt won’t and can’t last forever. Eventually something will sever the ability to print and at such time physical PMs will find equilibrium of true value and worth. I base this on history far over my opinion. Not one person walking this earth knows when the fiat printing will cease or no longer work thanks to inflation.

QUESTION: DC. I enjoy and value comments and reply of TPS. I recently overheard a conversation in our local coin shop – ” nobody has any silver” – ” there is a serious shortage of silver” – “silver is constricted” – ” the mints can’t get the raw material” – surely some “PAC MAN” monster didn’t consume all the silver that was out there not TOO long ago.

With spot being 20ish it seems more likely there is a lot of holding and hoarding going on, also I have recently purchased a few MONSTER boxes, so those ASE’s are available with considerable discount from months past. What’s keeping silver at 20ish? Is intervention and manipulation that controlling? I don’t question that silver is suppressed, my question IS WHY and by WHOM. Based on your experience and expertise, how constricted do you think DEALER or secondhand supply will be when silver is $100ish? Also, would you care to guesstimate when $100ish silver will be probable rather than possible?

TPS Reply:  Ah, the questions of when and how much. First, thanks for the great questions. I realize you’ve made a substantial PM investment and certainly have earned the right to ask “why”. For what’s worth……. my long-term PM opinion finds deeper validation with each passing day. In the meantime, PM is as volatile as I’ve seen them.

Let’s dive into your questions. Those selling PM are no different from anyone else selling anything else. Demand is an emotion. If a seller can convince a potential buyer that demand is high, and inventories low, then this potential buyer is more likely to buy. I have no doubt inventories are low but physical silver is still readily available, without a long wait time I should add.

Far too often we hear about a Chinese thirst for PM. Recently a photo of an alleged crowd of 10,000 aligned buyers has circulated the internet all hoping to buy physical gold or silver. I’m not buying it. I’ve done business in China and can tell you for a fact that the Chinese play their cards close to the vest. Sure, the Chinese are buying PM but the truth is this public option has only existed for a few years. Up until recently a Chinese citizen could be imprisoned for buying or possessing physical PM.

The Chinese have but one motive. Their plan is to hoard enough metal to reestablish a gold-backed currency, and this is exactly what they will do. Can you imagine the offering for physical metal when the yuan unseats the USD as a world reserve currency? The one Chinese question still unanswered is will the Chinese have to sell their gold if and when their economy corrects and how will this affect their reserve currency plan? My guess is the Chinese government will confiscate private gold/silver holdings sometime over this decade, just my opinion.

You asked about who is manipulating metal and why. This manipulation is about Wall Street profit more than anything PM personal. For Wall Street, it’s all about making money and few care who is hurt along the way. Our financial system is run by distrustful thugs with little integrity or concern over the hardworking fabric of America.  Central banks benefit, monetarily, and enjoy nothing more than watching a competing currency, like silver and gold, decline. Again, never underestimate the power to print money or those willing to manipulate such power for personal gain.

The true injustice, or risk, of falling metal prices is not a loss of wealth. It is a loss of ounces that concerns me most. When a PM buyer pays more than necessary, because prices drop soon after, this inhibits the ability to buy more ounces for the same dollar exchange. In the long run all PM owners will appreciate such monetary prudence, but this doesn’t help over the short term.

When will we see $100ish silver is like asking when hot water will boil. Silver rising will happen only after the US dollar index declines. The world still invests in the USD and will right up till the point they won’t. Only after the dollar loses trust will silver see $100, then $200, then? I would hate to be shopping for my first physical silver at such an age. Look for the secondary PM market to swallow today’s dealer/broker trade as soon as metal prices rebound.

I was once asked who should buy (own) physical silver or gold. My answer, the best person is the one who buys metal, stores it away, and then lives life like PM never existed. It’s hard to do, for some, but over-analyzing PM will drive a person to drink; we’re living in interesting times no doubt. Thanks for email.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.


 

 

 

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MONEY YOU CAN BANK ON

BUYING GOLD/SILVER, GOLD AND MONEY, SECURING GOLD & SILVER   No comments yet

Banks in California’s Central Valley are on high alert, and they should be. There is a young man, around 20-years old I’m guessing from his picture, who has robbed at least six banks over the last few months. He doesn’t use a gun, doesn’t wear a mask, or does he make threats to the bank tellers. Most customers or bank employees never know the bank was robbed even though the man committing these crimes flaunts his face in front of high-tech surveillance cameras time and time again. The young robber simply walks into a bank, hands over a note, and then walks out with stacks of other people’s cash. Local banks are warning employees and urging people to be aware.

My motive for sharing this story of brazenness is less about warning than observation.  Today’s banking industry shows concern over such theft but the truth is they’re more concerned with endangering employees than losing dollars. The mother-ship bank, better known as the Federal Reserve Bank, can….. and will, replace stolen fiat with a keyboard stroke, no worries.

After all, 99.4% of the perceived money safely stored in your local bank doesn’t exist. It’s nothing more than a digit assigned to an account number.

Oddly enough, the same 99% percent of folks staggering your neighborhood streets, and still believing their dollars are stored in a bank somewhere, fail to understand the difference between money and fiat currency. This monetary ignorance separates these folks from sound money like physical silver or gold, respectively.

The Wells Fargo bank building in my local community is hands down the nicest and most expensive building on Main Street. I’m not a commercial appraiser but guessing this building has a value worth several million dollars, I’m willing to bet your community is no different. Just down the street, but on the same side, sits my humble-looking local coin shop (I would estimate this building’s value around $250k, but no more).

One building, the Wells Fargo one, reflects a perception of wealth and security even though it houses no intrinsic source of sound money. The other building, our local coin shop, needs some updating but houses many times the building’s worth in physical silver and gold, or, real money. Unfortunately, less than 1% of the folks passing by recognize the difference.

Folks living in the US are at a real crossroads. Monetary confusion influences them to store wealth in dollars, by way of banks, even though most folks realize something is not right within our banking system in a overpopulated fiat currency age. These same individuals view silver and gold as valuable but fail to recognize how significant PM (precious metal) is in such an age. The fact both metals have declined recently only adds to this confusion; my fear is this confusion will cost the unknowing dearly.

It’s obvious since you’re reading this you understand the difference between sound money and a fiat currency, congrats. Our banking system not only drums a fiat melody of wise investment but relies on this trickery for its very survival.  The fact remains physical silver or gold is the only money you can bank on.

1984 is now:

Our world is buzzing over yet another Orwellian fruition. It is obvious to all that nothing written or said is secret now that we’re living in a technological age combined with governmental overreach. The great salesmen peddle such intrusion as necessary to protect us but the truth is such intrusion is a choice between freedom and security. This writer will take his chances, if the choice still exists.

George Orwell called such propagandists “crypto-communists”. What amazes me is Mr. Orwell made such timely prediction in 1948-49 just one year prior to his death. He also refereed to individualism, or independent thinking, as thoughtcrimes. Time has now turned Mr. Orwell into Orwellian.

I’ll climb the highest mountain, if necessary, to once again explain the availability to store wealth in undocumented physical metal is a closing window. It is still 100% legal to trade dollars for real money, like silver or gold. We can argue when PMs will rise and by how much but only after safely securing the right metal for you. Please take a close look at physical silver and/or gold soon.

QUESTION:  If we’re talking silver, are we investing or jumping into a safe haven?  I’ve read plenty of your writings but still slightly confused on the financial goal. Thank you for taking the time to take my call (edited).

TPS Reply: You’re welcome, and thanks for asking. My opinion is that physical silver offers both the benefit of investing and safe haven storage. The primary goal is preservation but the byproduct of such prudence is wealth building, aka investing. My belief is silver, at around $27 physical, will soon double, double again, and then continue to surprise even the most PM optimistic.

Silver, and gold, have always maintained true value compared to effort, other assets and tangibles. This is why a $1 legal tender silver coin is worth just under $30 as of June, 2013. This is why a $50 legal tender gold coin is worth over $1400 dollars, too. It is only because of our USD’s devaluation that silver and gold rise in dollar value.

We have reached a very unique time both historically and monetarily. Never before have so many had an option to own physical PM while simultaneously living under a fiat currency age. This means all currencies have the option to print as much fiat as necessary to appease her people. This printing will not fix an economy but will offer temporary stability. The long-term effects are not historically good. In fact, the long-term effects of overpopulating a fiat currency impoverishes most who fail to understand how safe-haven investing works.

Over producing a fiat currency weakens the currency’s buying power; this is why milk, fuel, and your favorite soda continue to rise in cost. Most working for a salary, or living on a fixed income, believe the answer is to earn more but fail to understand we will soon reach a point where it’s nearly impossible to out earn inflation. But for now, printing currency has somewhat stabilized our economy but this stability will not last forever without real jobs paying a fair wage.

Hope this helps clear the confusion. Thanks again.

QUESTION: Experts are predicting $19 silver by late summer or early fall (2013). I don’t own silver but I’m taking a hard look at trading some savings for physical silver in the near future. My reasoning has to do with an administration that refuses to practice fiscal restraint. My question, is it wise to wait for silver to fall in price? I obviously don’t want to be like the ones who paid 50% more than necessary – not that long ago.

TPS Reply:  Great question and comment. You’re wise to consider trading dollars for physical silver, in my opinion. No offense, but I know of no PM experts anymore, only informed prognosticates. Because of this no one truly knows what silver prices will do over the short term. This is why I rarely mention short-term fluctuations especially during such an age of economic volatility.

Now long-term speaking, physical silver has to rise if for no other reason than the one you mention. By the way, both political sides have leveraged debt for political gain, power and control. You’re correct, this administration has added the most but mark my words the next administration will also fail to practice fiscal restraint. Wall Street, and our banking system, have too much control and will always put profit over prudence.

Going back to your question, I don’t offer pinpoint financial advice. If in your shoes, I would consider a 50% entry into physical silver, soon, and then spread my silver budget over the next few months. It is always possible silver prices could drop, like you mentioned, but a long-term fiscal plan should be the focus far beyond the possibility of a short-term dip. Thanks for the question.

By the way, I too bought silver only to watch it drop from its recent high. I lose no sleep over price drops because it’s all about ounces owned, properly stored, and an overall foundation of self-reliance built on a foundation of sound money. Dips and rises have no effect on my overall plan.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.


 

 

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BIBLICAL REASONS TO OWN GOLD & SILVER

BUYING GOLD/SILVER, GOLD AND MONEY   No comments yet

 

On my summer/fall read list is a book called Killing Jesus written by Bill O’Reilly. There are two things I can assure you about this book, even before I read it. One, it will spend months atop the bestseller’s list, and two, it will be extremely controversial as well – nothing stirs emotions like religion. Regardless your faith, regardless your view, the Bible is full of fascinating factual mentions of money. For the record, there is no mention, to my knowledge, of paper currency…… just silver and gold. With that, let’s dive into one of the most intriguing mentions of “real wealth” in human history.

I recently had an interesting consultation with a pastor of a small church. One comment this pastor made stands out as much, or more, than anything I’d heard before as a PM consultant. As our hour began to wrap, he said, “Well, if silver/gold are good enough for God – then they’re good enough for me. I need no other proof than this.”

Now folks, I’ve heard every reason under the sun to own gold, but this was a faithful first. This man’s faith leads me to ask if it’s possible we’re over thinking personal investing and monetary rule. Is it possible our world is so economic chaotic because of our failure to follow biblical recommendations of sound money? As with all things written here at TPS, the final decision is yours and yours alone.

Godly Gold:

The word gold is mentioned 417 times in the King James Bible. Silver, respectively, is mentioned 320 times and the world for money is mentioned an additional 140 times, as well. Both Hebrew and Greek words for silver/gold/money are mentioned throughout the bible and always regarded as noble, rare, durable, and malleable. It is estimated that Solomon’s Temple was made of over 3000 tonnes of gold (measured in talent, a talent is equal to 75 pounds).

To this day, each time we describe an athlete or entertainer as talented – we’re comparing these individuals to silver or gold according to biblical terminology. The bible often mentions Kings and Queens paid in gold/silver as part of God’s commandment. Not only does the bible compare PM to wealth but both Old and New Testaments compare the metal to knowledge, wisdom and faith.

Gold and silver are often compared to spiritual wealth within the bible. Some confuse 1 Timothy 6:10 with money as the root of all evil, but the scripture is often misunderstood. The correct reference is “for the love of money is the root of all kinds of evil”.

While researching today’s post I found myself intrigued. Few in today’s society stop to consider what the most popular book written has to say about silver, gold, or all things monetarily significant. By the way and for those interested, the bible makes the first mention of gold within the first few hundred words of Genesis (first book of the Old Testament). Genesis[2:12] “and the gold of that land is good; bdellium and onyx stone are there.”

The word of God & gold in 2013:

Few will argue the monetary role of sound money in biblical terms. It is obvious gold’s primary purpose was, and still is, storage of wealth and value while silver’s purpose was, and still should be, used for daily trade.  I personally believe that God created gold to be the foundation of an economic system that would be solid, stable and not subject to manipulation.

Flashing forward to 2013 we find physical silver and gold somewhat irrelevant in today’s economic system. Not one currency on earth still uses a gold standard to restrain government fiscal irresponsibility or monetary stability. This means it’s up to each of us individually to find and follow a monetary plan founded on sound money and fiscal prudence.

Not a day passes without someone reminding me that both silver and gold are worth much less than not long ago. I can’t argue this fact but the truth is today’s PM price has little to do with a monetary law of sound money principles. It is only from manipulation and intervention that we question, or even doubt, the benefit of storing wealth in precious metal.

Over the last few weeks we are reminded what happens when governments expand without restraint or fiscal prudence. The losses of American liberties are now too long to list but few associate how today’s fiat system allows leadership to expand without constraint. This trend, in my opinion, will worsen as fiat economies continue to rob the wealth of those not protected with sound money (silver or gold).

No different today than the words written thousands of years ago, “and the gold of the land is good”.

QUESTION I read where you still buy silver each month. Do you buy online or in person?

TPS Reply:  This is true; I still buy physical silver each month and have no plans to stop. Purchasing silver online or in person each has benefits over the other. Online precious metal brokers and dealers can sell physical PM, usually, for less than brick-and-mortar outlets. The key, regardless the method, is to find someone reputable that is willing to play a vital role in your long-term PM plan. To answer your question I use both methods to add to my stack.

The thought of purchasing physical metal stirs anxiety within most new to silver or gold. Even the author of a NY Times bestseller on investing once admitted, to me, her fear while making a first online gold purchase. The goal here at TPS is to offer peace of mind for those willing to trade fiat dollars for sound money. The key is to know what you what to buy, and willing to pay, before contacting a PM seller.

The benefit of buying silver in person is obvious. You hand the seller cash and they in return hand you physical silver. No waiting, no prolonged anxiety either. Another benefit of buying in person is developing a local PM relationship just in case you need to liquidate a few ounces in haste. Regardless the method, my advice is to ask plenty of questions all while practicing due diligence along the way. Thanks for the question.

 

DC Carlton is founder of The Prospector Site and author of the Amazon Kindle #1 Bestsellers Why Silver and Gold Will Go Higher and Storing Silver & Gold. If you’re looking for trustworthy PM assistance feel free to contact DC regarding his personalized consulting service. TPS doesn’t sell silver or gold; we represent you, the buyer, looking for affordable precious metal from honest trustworthy sources. Feel free to register here for his free online newsletter that provides precious metal insight rarely mentioned from mainstream media sources.

 

 

 

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