Euro crisis gets worse.

It is quite obvious now that Socialist moves in Europe or in the US are not growing the economy. Nor are those moves stabilizing the financial situation.

Pressure is mounting on Portugal, Italy and Belgium as they face a bond auction next week. These countries have to pay higher interest rates and pay higher insurance on theirbonds. The uncertainity is once again channeling money into dollars and moving the US Dollar higher. The Dollar Index has once again hit 81, forcing gold prices lower.

Meanwhile, something funny happened to the propaganda tour of the Obama regime and the Liberal Media. It was "highly anticipated" that upwards to 300,000 new jobs would have been created and noted in the last report. The actual number was 130,000. The actual (true) unemployment then has worsened, even though the regime reports it had dropped to 9.4%. The continued weakness in the US economy is made worse by the anemic growth of Europe, so that Western governments have to rely on inflating their currency. Sooner or later, this will lead to serious inflation.

This will be the year that gold prices go through the roof. We should see a modest increase between late Jan and April and enter the hyperbolic phase in the Summer.

How long is inflation and low growth expected to be around? Four or five years, FED Chairman Bernanke anticipates. About right. By then Obama should be gone as President, Republicans should be in control of the Senate as well and the Media destroyed for its lies.