I'm not bearish, mind you, on the prospects for the markets, especially the precious metals. The Fed will print plenty of money to accommodate the Government's deficit spending and debt accumulation. The prospects are hopeless for new leadership that will do what is needed to start saving this country. The Republican choices are beyond dismal (except Ron Paul) and Obama is really nothing more than an extension of his predecessor. Any Obama apologist who believes otherwise is a complete idiot.•We’ve increased our national debt by $5.6 trillion in the last three and a half years. It took from 1789 until 2000, two hundred and eleven years, to accumulate the first $5.6 trillion of debt.
•Our average annual deficit from 2000 through 2008 was $190 billion. Our average annual deficits since 2008 have been $1.3 trillion. Our deficits never exceeded 4% of GDP prior to 2008, but now they exceed 9%.
•The national debt will reach $20 trillion by 2015 and if interest rates normalized to the same level they were in 2007 (5%), annual interest expense would be $1 trillion, or 45% of current tax revenue.
•There are 242 million working age Americans and 100 million of them are not working. But don’t concern yourself. The Federal government reports that only 13 million of these people are actually unemployed. The other 87 million are just kicking back and living off their accumulated riches.
•The economic recovery has been so great that the 7.5 million people added to the Food Stamp rolls since the recession officially ended in December 2009 isn’t really an indication of severe stress among the 99%. Only 46.5 million Americans (15% of the population) need food stamps to survive.
•The unfunded liabilities of Medicare, Medicaid and Social Security exceed $100 trillion and cannot possibly be honored, leaving future generations to fend for themselves.
With that, I hope everyone takes the time to read thru this commentary from The Burning Platform: LINK
Just for the record, the entire precious metals sector is fundamentally and technically set up for its next big cyclical move to new highs.