"The gist: The Fed is seriously thinking about how it might begin the QE wind-down process. "
Look for a “runup” prior to the dive into the abyss.
It’s like erecting a ladder next to the cliff. The cliff itself just isn’t high enough for some people to fall off of - they have to climb higher.
——The domestic banks deposit these funds back into their respective central banks to earn risk free interest. ——
They are being paid now for losses that will occur when the inflation really begins and loans financing the debt decrease in real value.
Has anyone actually seen the gold at Fort Knox?
na.... sea shells are where the real action is!
Sea Shells have been used as currency for most of human history, and are extremely undervalued currently!
You know what they say buy low and sell high!
I am placing a “strong buy” on sea shells.
Gold may be worth owning, but it’s not that easy to spend. Need a loaf of bread and a half gallon of milk? How does 7/11 make change for that Krugerrand?
What type of gold do you recommend buying? US Mint coins? Krugerands? Maple leafs?
I might suggest that lead and brass in a certain form might even be a better investment for your long term security.
LLS
Right now there is a brawl going on between deflation and inflation, and yes, they can happen at the same time. This can be seen in grocery stores right now with some products suddenly jumping in price by an entire dollar “a unit” amounting to a 20% or more inflation, and others getting ridiculous discounts.
More than anything else this shows dangerous price fluctuations, happening at the enormous scale of commodities. This indicates that smaller markets could get nailed with far greater inflation or deflation, quickly.