I have had my current posts about buying gold rather than give it to those people, if you can call them such, in Wall St., cranky and one of my flatmates called me a "fearmonger", which in British English is a pretty serious charge. I will admit to being cranky, but when you government wants a $700 Billion dollar blank check, I think you can be a little cranky. Now, a fearmonger I am not but I am plenty afraid of what is going on in government and in the market. I oppose a $700 BILLON dollar bailout for those who made bad loans. On the other hand, if we do not do anything, it would be very bad. The problem, and it is a problem for most things in our lives, is striking the correct balance between punishing those who made bad loans and helping to support those who accepted those loans. There will be pain on both sides as the coming deflation (or will it be hyperinflation?) beats some people into the ground.
On the other hand, I would still recommend having some gold and silver coin in a safe deposit box or in a safe location. It is basically a hedge against something going really really wrong. I will probably be doing that but I am waiting to see what happens in the gold and silver markets. In the next couple of weeks, we should know if there will be a bailout and if it will work or not. The reaction of the markets will be interesting.
In any case, these are very uncertain times and I can only hope that it will be ok but my nature does not really allow me to ever thing everything is alright.
posted by Chris #9:24 PM | 0 comments |