Earthquake Hits Japan & New Secrecy Acts
A 7.1 magnitude earthquake struck off the Northeast Coast of Japan creating a small tsunami that hit Japan’s eastern coast – where the crippled Fukushima nuclear plant is located. The government insists there was no damage, According to reports, the tsunami reached waves of only 30cm (1ft) in the region.
Nonetheless, Japanese Prime Minister’s government is planning to introduce a state secrecy act that can limit public access to information on a wide range of issues from military to earthquake damage like that at Fukushima nuclear crisis. Like we are seeing from Finestein in the USA and in Europe seeking to prevent even free movement of people classified as “trouble-makers”, Japan’s new law would substantially expand the definition of official secrets and journalists convicted under it could be jailed for up to five years. The US imprisoned the NY Times Journalist Judith Miller on contempt of court for refusing to give up her sources.
The more the economy declines and the various governments refuse to revise the world monetary system because it will result in a loss of THEIR power, the more we will see these types of measures to silence anyone who speaks the truth. Freedom of Speech is honestly a barbaric relic of the past according to the new governments that have emerged around the world.
Gold Coins – Worth Holding?
QUESTION: Martin, I enjoy reading your blog and thank you for sharing all your knowledge. I have a simple question.
For someone who is not a trader, who has a net worth of $5m+, no debt and plenty of long-term income from oil royalties, does it not make sense to hold 10-15% of my liquid net worth in gold coins? I started buying gold in 1999 and have continued to accumulate for the last 14 years. Any reason not to put 10-15% of my oil income into gold coins as part of my savings plan?
Thanks again for all you do, A
ANSWER: Yes. Gold should be held in coin form rather than bars. At least coins were exempt previously. There is nothing wrong with holding gold coins. As a traders, you have to sell and move with the flow. You can hedge if your coins are a large part of your asset base. But I would not recommend buying more or averaging down. You buy when the cycle turns.
Eliminating Democracy – The Seed from Which Revolution Grows
Be it Europe or the USA, the drive to eliminate democracy is underway. Politicians are doing their best to prevent the voice of the people to have any impact. This is what sets the stage for revolution. It goes hand in hand for when government tries to simply dictate to the people, eventually the whole thing implodes.
In the USA, Boehner tried to dictate to the newly elected Republicans from the Tea Party. There was the introduction upon arrival like at college. The newly elected were told they will vote the party line. The Tea Party people said no. Therein began the crack that will eventually divide the Republic Party in two.
In Europe, the same undemocratic policies are in place. Only the Commission can introduce legislation. Never anyone elected. Newly elected politicians can refuse a proposal from the Commission, as in they did with Mersch on October 25th, 2012 regarding his appointment to the ECB. His appointment was rejected by the majority of the MEPs. Nevertheless, the EU can still install anyone they like anyway, which is what happened. Effectively, the EU Parliament is no different from the old Soviet Duma that pretended to be a democratic institution. The Duma played only a symbolic role as is the EU Parliament.
This is how government continues to degenerate into oligarchies and dictatorships. This is part of the cycle as people turn away from PUBLIC aspects toward PRIVATE going into 2032.
Give them Games & Free Food and Politicians Can Steal Everything
The French 75% tax on anyone making more than €1 million has resulted in the collapse of sports in France. The soccer players can earn far more money in any other country than they can in France. The people who typically own teams are millionaires who have nothing else to spend their money on. At the end of November all games have been cancelled. Hollande forgot the golden rule of Rome – give them games and free food, and they will leave the politicians alone.
Donating to Promoters & Bankers – The Wall Street Charity
QUESTION: Martin, you said in a recent blog: “Gold peaked with the low in the ECM in 2011 and it should rise after 2016 into 2020. This is a matter of the overall business cycle.”
Have you now changed your major low in gold forecast from the original before or in Jan 2014 to now in 2015? Has your gold major low forecast cycle analysis changed to expect a major low in gold before 2016 now instead of by Jan 2014?
And your original forecast of the earnest rise in gold from 2014 through 2017 to now from 2016 to 2020? we will all be frail by then!
Also, is this a sudden sense one gets from reading your blogs these days of your new found enamoured feelings towards stocks now? LOL
Has Marin joined the Dow 31000 crowd and gold back to $250 bandwagon?
ANSWER: The low and the high are different events. The earliest for a TEMPORARY high is 2017. However, if we are looking at a full blow collapse in pension funds, escalating interest rates, sovereign debt collapse and rapid acceleration due to interest rates, then the cycle may be extended into a high for 2025 WHICH I HAVE STATED BEFORE with a postponement. If we get a cycle inversion where all government assets decline and capital loses full faith and confidence in government, then the next cycle into 2024 could be exceptionally wild and gold will invert relative to the ECM. This Private Wave finally peaks in 2032 so we have only 2 more 8.6 year waves after the current one and they should be a Phase Transition with capital in full flight running away from government. The 2032 high may be the FINAL high for gold and all tangible assets in the counter-trend to PUBLIC(government) assets.
So a bull market phase is 13 years, then 23, 26, 31-32, 37 and 51. I have stated many times you get the 2 to 3 year correction after a 13 year rally as is the case often with these other intervals as well. NOTHING moves in a straight upward direction. There mustALWAYS be the counter-trend move. A 23 year rally brings us to the 2022 target on the next wave. If gold rallies into that turning point and declines into 2028, it has completed the cycle inversion from Public to Private Wave formation. A rally from 1999 in the 32 category brings us to 2032. This will all be laid out in the upcoming Special Gold Report as will the case of what REALLY moves gold historically – not the bullshit sales pitches..
Gold has NOT yet exceeded the 1980 high adjusted for inflation using a 1981 based CPI where the Dow has done so, You just have to wake-up and realize that some of these theories are sales gimmicks that sound logical but there is NO proof like the hedge against inflation.
Anyone who has ever eaten a carrot has died. That is an ABSOLUTE true statement that can be proven. Now introduce TIME and you will see there is no real correlation betweendeath and eating the carrot. This is the entire problem with analysis – it inevitably tries to create a one-dimensional relationship when it is far more dynamic and complex.
If you continue to argue the same dead points that were argued for 19 years as gold went down from fiat to hyperinflation, then you will be one of those fools who is easily separated from their money. EVERYTHING is connected. Capital shifts between assets classes for each boom and bust and it floats around the world from one country to the next in search of that one-way street to all the riches of the world. You have to determine if you want to separate from the herd or run off the cliff like the rest of them.
YES the Dow has a chance of doubling. I have stated that BEFORE. However, that doesNOT imply a collapse in gold to $250 or $100 or anything else insane. I would not expect gold to go much beyond a retest of the 1980 high of $875 in the worst of cases in this nominal world where the one-eye analyst is king. Gold should fade the $1,000 level and then the headlines will claim gold is dead. When that happens, the lows are near.
So you may hate my guts because gold has declined. I get such hate mail it is unbelievable. One even said ever since I was released gold has declined simply because I alone said so and that proves I can manipulate the world. I suppose everything I touch turns to gold like some James Bond movie as well. As long as you keep trying to find someone to blame for your own mistakes, you will never see the light. Don’t bother going to church or help charities. You donate far too much now to the promoters and bankers. I am sure they appreciate your donations.