Real Wealth #221 03/16/2009
Mint Suspends Gold Sales: China Warns on U.S. Dollar and Debt!: UBS Warns $10,000 Gold
Dear Gold & Energy Advisor Subscribers,
The demand for gold is so strong, and the supply so limited the United States Mint has temporarily suspended the production of both Mint American Eagle Gold Proof and Uncirculated Coins.
According to the US Mint they suspended production...
“...because of unprecedented demand for American Eagle Gold Bullion Coins. Currently, all available 22-karat gold blanks are being allocated to the American Eagle Gold Bullion Coin Program, as the United States Mint is required by Public Law 99-185 to produce these coins “in quantities sufficient to meet public demand . . . .”
The United States Mint will resume the American Eagle Gold Proof and Uncirculated Coin Programs once sufficient inventories of gold bullion blanks can be acquired to meet market demand for all three American Eagle Gold Coin products. Additionally, as a result of the recent numismatic product portfolio analysis, fractional sizes of American Eagle Gold Uncirculated Coins will no longer be produced.
I realize that the many investors are taking heart in the fact that the Dow Jones rallied last week and may be hopeful that the worst of the credit crises and recession may be over but its far from over. I’ve been warning that the worst is yet to come and continue to do so.
Rapidly rising food prices coupled with weakening currencies in
Gold possible heading to $6,948 even $10,000 an ounce?
The rising danger or a monetary collapse and a wicked round of inflation has prompted a new $2,500 target price for gold by at UBS Securities. According to analyst Daniel Brebner and others at UBS Securities, the firm’s analytical recently plotted out a number of scenarios using various levels of strength for inflation and the U.S. dollar, and predicted that gold will not fall below US$500 an ounce between now and 2015, and could rise all the way to US$2,500 an ounce.
To get there would require inflation at 1970s levels and a weak U.S. dollar, UBS said. The bottom end of the range would require static inflation and a strong dollar.
There is another possibility UBS raises: what if a new gold standard was adopted to support currencies, particularly the U.S. dollar?
Using the current value of the
But is that really possible? The UBS team noted that a gold standard would theoretically bring some confidence back to currencies and stabilize them. But it would create all kinds of problems by removing flexible exchange rates, and they noted that not much headway has been made in this area.
Regardless there are no shortages of problems ahead. Many are being created by the printing of TENS OF TRILLIONS OF NEW DEBT.
The danger is so great that it promoted
Premier Wen Jiabao noted that
“We have made a huge amount of loans to the
If you’ve been a subscriber to Gold & Energy Advisor for a little while you’ve no doubt remember the few issues I’ve done in the past entitled “The Death of the Dollar” and “China’s US $ Blackmail” which details how China's growing wealth and military power will help drive gold to $2,500 and platinum to $5,000 per ounce. The U.S. Dollar and our economy are absolutely at the mercy of
Premier Wen Jiabao statements should be seen as the first shot across the bow of the economic security of the
There’s big trouble brewing: Right now the
There’s a reason there’s a gold coin shortage and even a shortage of bullion that is so severe the U.S. Mint has had to suspend sales of U.S. Gold Eagles. Smart money all over the world is looking past the temporary rays of sunshine and hope and is focused on the bigger long term picture which are being summed up very well by Chinese Wen Jiabao in his warnings to the Obama Administration.
If you’re not holding at least 15% of your available investments in physical gold ( I am now recommending 50%), platinum and or rare numismatic coins as a proxy against a monetary collapse you’re playing with fire. The danger continues to grow. My staff of gold experts at Finest Known are available at 1-866-697-GOLD (4653).
The U.S. Mint was selling 1 ounce gold American Eagles before they suspended sales for about $1200 delivered.
We have a small group of just 75 of these coins left but each has been graded and authenticated by NGC FLAWLESS GEM UNCIRCULATED MS70. The amazing flawless gold coins are available for about 10-12% more than the mint was charging for coins not certified and graded and the coins the mint was selling were not guaranteed to be flawless. It’s a big difference.
Finally if you have an IRA you can now put physical gold in your IRA to get all the details call 1-866-697-GOLD (4653).
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