I think the global economic, financial and political situation becomes more fraught with danger every passing day.  The central banks are essentially impotent now in the face of an insoluble global debt and derivatives situation…

The have now been reduced to running their mouths and providing whatever amount of liquidity is required to keep the whole edifice from imploding.

It would appear that the U.S. Fed has painted itself into a corner with its promise to raise rates.  They have waited far too long.  Now the U.S. economy is giving ground noticeably, despite the government’s bogus economic statistics to the contrary.

Much of the dire financial situation is being kept from the public by the government, or provided in such ways as to minimize the seriousness of the situation. New federal budgets are being presented and passed, with spending growth continuing apace with no slowdown.

All of which suggests that individuals can do little but anticipate the coming meltdown. Those holding paper assets such as stocks and bonds should also recognize that the value of such assets could disappear in a puff of smoke.

When President Nixon took the U.S. off of the gold standard, it untethered the economy from a reliable, tangible standard that had worked for centuries. When economies fall into crisis situations, trade is stabilized and normalized through the use of hard assets.

When confidence in fiat currencies disappear, hard assets become the preferred method of trade. While no single individual can change the trajectory of our economy, it may be prudent to add tangible assets to your portfolio such as gold or silver in order the weather the financial storm that is surely on its way.

Source: kingworldnews.com