“Recovery is here!” the Pollyannas shout. “This is the first sign. And soon all nations will be following with their rate increases.” They talking, of course, about the Australians decision to hike their central bank index rate. And instantly the howls of recovery were on the lips of all the pundits. But ...read more

In my father's house are many mansions. Surely one of them has a room with no elephants in it.... Not to crunch too many metaphors right here at the top, but a consensus seems to be firming up in the animate jello of the Internet that we have entered the Season ...read more

"Legally defining the official dollar/gold price and backing it with convertibility is the only means by which...the markets can be assured that Volcker's successors would not be tempted to try another monetarist experiment." -Jude Wanniski, former Reagan advisor, April 1982 So does the price of gold rise or fall in a deflation? Hint: ...read more

Whether inflation or deflation strikes, a growing number of people are fast buying gold for defence... It’s common knowledge that gold bullion proved the most reliable wealth-store during the vicious inflation of the late 1970s. Yet almost un-noticed, gold has once again been the best-performing asset bar none this decade, too. Gold ...read more

If governments wised up and ceased pumping trillions of new money and credit to back-stop assets with unsupportable values, you'd get a severe and painful deflation. The flow of money and credit would contract and the general price level would fall—most severely for those assets that benefited the most from ...read more

It’s time to call the global crisis what it is: the worst financial collapse since 1929. That’s no surprise to our readers, who have been amply warned over the last five years. But now even government officials, after trying to ignore the facts on the ground for the last couple ...read more

What an absurd old world we live in. The Bank of England is worried about deflation, but only so it can justify the massive inflation it's cooking up. Barack Obama is outraged about US$165 million in bonuses at AIG and will use all legal means to stop them. Like he ...read more

"Inflation and deflation are both a crisis in money. Which leaves gold as a secure store of wealth against both monetary panics..." The 1970s didn’t just curse the world with cheap German wine and the Bay City Rollers. That decade gave us soaring inflation, too. Gold's stellar run up to $850 per ounce, ...read more

Just as Mr. Obama has danced into the oval office, we've arrived at a moment when a lot of people have a hard time imagining the future. This includes especially the mainstream media, which has reached a state of zombification parallel to that of the banks. But even in the ...read more

Good news everyone. Gold has reached a one-month low. In fact, February gold futures on Comex fell the most in six weeks. They tumbled four percent on the day, down US$34. This is very good news. It means you will have a chance to buy gold at lower prices before it ...read more