Real Wealth #216 02/11/2009
Dear Gold & Energy Advisor Subscribers,
Tearing a page out of the Bush Administration’s play book, the Obama Administration has adopted the philosophy that if you’re against the “economic stimulus” and don’t agree with the President’s approach to restoring solvency to the nation’s banking industry, then you’re against the President and his efforts to save America. This is hardly the change promised during the campaign.
The fact is that while I didn’t vote for President Obama I’d really love to see him succeed, but I’m not blind to the clear missteps he and his Administration are making on an almost daily basis.
The
Fixing the housing market has to begin with putting an end to “mark to market” and enforcing a mandate to banks that have and are accepting money from the Federal government to exhaust every effort to modify home mortgage loans. Had this been done when the sub-prime debacle started to emerge we may well have had to commit less than $2 trillion to heading off the current recession.
Eventually the Obama Administration and Congress will realize stabilizing housing with aggressive loan modification legislation, but only after we’ve seen two or even three more very expensive efforts to stabilize the banking sector and stimulate the economy in other ways.
The delay in addressing the real problem will mean we’ll see the
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On Friday, I cautioned that gold’s move below $900 an ounce was temporary – fake out.
Gold is now up more than $50 since that heads up. Gold is going to climb steadily as the banking sector sees more failures, the economy deteriorates, and the Trillions of U.S. Dollars, Pounds, Euros, Rubles etc... are created and used by governments to jumpstart the world economy. A flood of paper will mean $2,000 even $5,000 gold.
Yesterday, I recommended my Gold & Energy Options Trader service which was up over 185% in 2008 and has been piling on profit after profit. This morning, my subscribers received a sell recommendation on an option trade we made just 9 days ago – whopping 70% win in just 9 days.
This demonstrates exactly the kind of leverage and power my staff and I are delivering in this horrible stock market.
Okay, I don’t have a CNBC TV show and I’m not a celebrity analyst, but none of that matters. What really matters is the profits that land in your pocket. All the rest is posturing and hot air.
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Best Wishes,
James DiGeorgia
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