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Wednesday, 16 October 2013

The Economic Trend Is Not Pretty

By Anne Trimble


It was a slow summer for the U.S. economy in a lot of ways, most of them negative. But the action is about to get fast and furious in Washington, D.C., and Americans deserve to understand the bottom line in what's about to transpire.

The bottom line is that a new period of trauma and turbulence is about to overtake the federal government and, along with it, the international economic climate. At this time, we're recommending that our customers review their investment portfolios--and take full advantage of the current weakening of the cost of gold and silver.

The United States economic situation cannot shift into second gear because of the weight of the heavy federal deficit spending. In between 2009 and 2012, the federal government recorded the largest federal budget deficits since 1946, according to a recent report by the Congressional Budget Plan Office. Federal debt held by the people is now 73 percent of the economy's GDP-- a percent higher than at any other time in U.S. history apart from a brief period around World War II.

And it is twice the percentage at the end of 2007, before the global financial crisis - and before the "solution" imposed by the new President Barack Obama was essentially to load the problem onto the backs of the American taxpayer. Then, the president found all sorts of socialistic tools that he liked, ranging from heavy layers of new regulation, such as Obamacare, to demonization of entrepreneurs.

Because of this, CEOs and small-business owners still fear for the future and continue to be conventional in how they go about dedicating their capital. Business incomes are falling as labor is being scaled back. Additionally, customers are spending less as they fret over their own monetary concerns.

It's no surprise that Fed Chairman Ben Bernanke just recently decided against easing back on "quantitative easing"-- i.e., U.S. government investments of our very own bonds-a measure that has basically been keeping the United State's economy from collapsing.

Only a Band-Aid solution will come out of this. More financial handwringing lies straight ahead. And the only thing that you as an investor can do is invest in God's Money - gold and silver instruments that have stood the test of time and can give you the most isolation possible from the economic disaster being imposed by Washington.




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