Look at our financial world over 30 years from 30 miles high – the BIG PERSPECTIVE.
- Global debt exceeds $200 Trillion and is increasing rapidly. It will not be repaid at current value, and in the unlikely chance it is repaid, those future dollars, euros, yen, whatever will have been deeply devalued. Debt created to fund current consumption, instead of productive investment, is dangerous. Excessive debt is deadly.
- Global spending on war, militaries, invasions, weapons and so much more is huge. Net productive investment and value produced from those expenditures is effectively zero. Worse, wars are fought with borrowed “money” and the increased debt demands additional future revenue allocations to pay interest. Our future will be more and more debt.
- The war cycles are accelerating. War creates more debt, more commodity inflation, less personal freedom, and more profits for bankers and the military-industrial complex. War will become more common and far more costly.
- The process is simple – generate more warfare and welfare, more debt, more printed currencies, higher prices, more propaganda telling the populace that war is necessary, and repeat. It works, so don’t expect change.
Break the cycle in your life!
First, look at US population adjusted national debt and the smoothed annual price of silver for the past 30 years.
Then look at US population adjusted national debt and the annual price of crude oil for the past 30 years.
Simple Conclusion: National debt increases inexorably – by 9% to 10% per year, each and every year, and will until the system is forced to reset at some undetermined future date. Silver and crude oil prices will also increase, but very erratically. They are currently quite low. Note these examples of large moves in crude oil and silver.
Market From To From To
Crude $10.75 $36.90 Dec. 1998 Oct. 2000
Crude $51.00 $147.20 Jan 2007 July 2008
Crude $147.20 $35.35 July 2008 Dec. 2008
Crude $106.80 $44.45 June 2014 January 2015
Silver 20.94 8.53 March 2008 Oct. 2008
Silver 8.53 48.58 Oct. 2008 April 2011
Silver 48.58 15.41 April 2011 Nov. 2014
Yes, crude oil and silver are notoriously volatile, opposite to the inevitable government debt increases or the election of the next big-spending but impressively sincere politician.
So Stack Silver and remember that the big picture confirms that time, government spending, massive increases in debt, war, and political stupidity are all “on your side,” making that stacked silver more valuable.
No, it will not go up every year – as proven by the last four years of brutal correction in the ongoing silver bull market, or the last year of ugly correction in the crude oil market. All markets boom and bust, in variable cycles. Silver has been crushed for four years and will, in my opinion, rally substantially in 2015 and 2016.
Your stack of silver does not care that the powers-that-be have been manipulating the prices of gold and silver downward, or bonds and the S&P upward, because from the big perspective, silver prices will drive much higher, along with national debt, and most other prices.
KISS: Keep It Simple – Stack!
KISS: Keep Investing in Stacked Silver!
KISS: Kindly Ignore Social Stupidity.
KISS: Kleptocracies Invalidated by Stacking Silver!
Buy Low, Sell High. Silver prices have been crushed – a gift from the financial powers-that-be to the patient stacker. Yes, the correction has persisted longer than most “silver bulls” thought possible, but the value in silver remains, and the investment potential has increased in the past two years.
Final question: Would you rather possess a stack of silver eagles, or a stack of $20 paper Federal Reserve Notes, issued by a dodgy central bank and backed by nothing but full faith and credit of a government in obviously shaky financial condition? Repeat the question using euros, yen, pounds, or pesos and you are likely to come to the same conclusion. Trust real money, real silver, in your possession or preferably in secure storage outside of the banking system.
Repeat: Keep It Simple – Stack! Governments borrow and spend, debt increases, and commodity prices inevitably follow. Silver and gold have been money for thousands of years, and still are. Paper substitutes have all failed, either slowly or rapidly, and they will continue to fail, unless governments and central banks responsibly manage the value of currencies (NOT likely).
Gary Christenson
The Deviant Investor