In Mr Schiff’s latest back-on-form video blog (17th November), Connecticut’s finest son discusses the recent parabolic ups and downs in the gold market and how this volatile market uses the stairs to go up and the elevator to go down, to shake out the weak hands and the pre-Christmas-bonus speculators. Obviously, many nervous gold bugs will still be hiding under their beds at the moment, after the gold price cliff-dropped this week; however, those of us with stiffer backbones are still happy to keep accumulating at these temporarily lower beachside prices, indeed we welcome these major seaside dips to provide ourselves with better buying opportunities.
Schiff then goes on to explain how successful the Chinese will be with their proposed price controls, to counter all of the inflation they are creating, as they go paper-note for paper-note with Bernanke, with their Chinese yuan printing press.[You really do wonder if the economists in the Chinese communist party are either joking or really are as stupid as this?]
They will, of course, be as successful as Richard Nixon was in 1971, or as successful as the Chinese emperors were with their own paper money experiments, which they called ‘flying money’ — for good reason.
Schiff then finishes with the big thank you Warren Buffett has just given the US government for bailing Berkshire Hathaway out, and a warning to run a thousand miles away from the GM share sale, the largest IPO in US history; Schiff predicts that GM will go bankrupt again, soon, except in the case of a really massive inflation, which will cover up their otherwise more easily discernible losses.[UPDATE: Max Keiser has an interesting theory on where the $20 billion dollars came from to fund the GM IPO.]