The War on the Dollar.

Those of you who read these posts have come to understand my take on what is happening in the world, especially in the United States. Essentially, we have fallen into the clutches of a collection of radicals, perverts and fruitcakes. The way they see it, the instability in the world is caused by the United States being too rich and too powerful. So, they aim to trim what they consider undesirable: our wealth and our power.

The Obama regime is following the path that Hitler took: becoming the financial stabilizer of the country and the source of economic power and medical care. In order to control the country, the regime's allies in the FED and its affiliates had collapsed the banks and rescued them with monopoly money. They have now set us on a course where they guarantee and control industries. Our wealth is being down-sized. How? By making energy more expensive and by lowering the value of the dollar. By manipulating the banks and mortgages, the regime hopes to induce deflation and "fight" that with large sums of printed currency.

The world is not populated by fools but various kinds of villains, so they know that our government is intent on lowering the value of the dollar. That is why the world is buying gold, silver, oil, uranium, copper, metals and other commodities. These will increase in price, because they are not denominated in dollars, but in their actual (or perceived) value.

The power over international monetary matters have now been ceded to the G-20, which includes China and Brazil, two Socialists countries. Their interest is to allow the Obama regime to reduce the value of the dollar. In fact, the Gulf States no longer sell oil in dollars and that is the first international step to dethrone the dollar as the world's reserve currency.

My forecast remains the same: gold rising and the dollar falling. Gold has set new highs two days in a row and doing it again today. While, I thought that gold would take a breather yesterday, it merely slowed its ascent and continues to rise today. We can expect the price of gold to rise to the 1,300 indicated by the reverse head and shoulders, but it could be even 1,500.

Good investing!