Remember, we have lost about 9 million jobs over the past 11 years, as well as 440,000 businesses due to free trade, globalization, offshoring and outsourcing. Tariffs would level the playing field and leave no advantage to cheapening one’s currency, because it would be accounted for in their tariff structure. Having lost our export markets we have a jobless recovery that can never improve, nor can our balance of payments deficit and our increasing debt cause not only falling revenues, but falling job creation. This is just another artifice to try to stave off the inevitable. Lowering the dollar is not the answer. Having a level playing field is the answer.

Price fixing is an exercise in futility and so is a course of mandatory wage increases pursued to play catch up with runaway inflation. Even though higher numbers show sales growth they are misleading and only a reflection of higher pressing inflation. This is not economic growth; it is price inflation. Such an exercise is geared to keep people and business solvent, but in the long term it accelerates inflation and leads to worse problems down the road. The economy is exhibiting deterioration at the edges and that is to be expected for an economy that has been so badly misused. What is left of manufacturing is in decline and until the system is purged such deterioration will continue. It is not only the US, but also the UK and Europe that have followed the Keynesian course and then display suppression when inflationism overrides their systems. These governments are shortsighted and do not posses the strength to cut expenses and raise taxes. They will come slowly when it is to late.

They do not seem to understand balance and sacrifice. Price regulation and wage controls are artificial answers and only expose economic decay and in time fail to work. This value distortion leads eventually to a barter type system, which is inefficient. Then again this would not be necessary if the currency system had not been abused as it had been. This is what happens to nations that wallow in debt in excess of 100% of GDP. The excuses are multifold but the results are always the same, and that is default. Those who created the system in which we are now enmeshed know exactly what they are doing. This game of controls and more money and credit only buys time to pick the right spot to pull the plug and begin another war. We can never understand how bankers can believe the system will collapse, but they remain immune. These same bankers have been in part responsible for current and future inflation and the proliferation of derivatives, which create a faux system within a system. Once these derivatives unravel they will create an explosion at the heart of the banking system. That will take out the top five banks in the US.

There has been no reform and there will not be any. Tariffs will come when it is too late, as will regulatory reform. The proliferation of fiscal debt will continue, as will the exorbitant creation of money and credit. They cannot stop. If they do the system will collapse. That will happen, but only when those driving and controlling the system allow it to do so. We have just witnessed the disinformation calculated to deceive the public into believing that there is a recovery afoot. Nothing could be further from the truth. What little upside that was seen was a lift via price inflation. When figures are released there is never an addendum explaining that if inflation were removed, what the statistics would really be. That is why we have a 5 to 10 year bull market in gold and silver ahead of us, whose presence is so powerful that no governments or central banks can regulate, suppress or overwhelm it.

We have learned from studying the history of currencies for the last 6,000 years, that gold and silver are the only real currencies. Recently we have seen a 40-year hiatus, but, of course, in the history that is the blink of an eye. Being mortal is disturbing because you can see history, but not the future. But we say you can approximate the future by learning about the past. His-story, the history of man. Bankers wed to the fractional banking system really despise gold as a backing for currencies, because it dos not allow them to create infinite amounts of money and credit. This leads in time to monetary debasement and the kind of conditions we are witnessing today. As we said previously, we have seen an almost entirely unnoticed titanic struggle between the US dollar and gold over the past 2-1/2 years, and gold has been the winner hands down. Now we are seeing the inflation factor come into play. The Fed at the same time continues to support the bond market to keep interest rates low, even going to the extent of manipulating the Treasury Inflation Protection Securities to create an illusion that inflation is a minor factor. The manipulation of bond prices in the US Treasury market has all but driven all investors, both foreign and domestic, away from these markets. Finally investors, particularly professionals, see the situation for what it is – plain and simple fraud. In addition, they are tired of observing the scams totally lacking in prosecution to say nothing of the selective corporate welfare, which has been doled out to fellow Illuminists. All they can see is unbridled monetization and inflation and lower dollars as far as the eye can see.

In recent developments the US, England and France have declared a so-called NATO war against Libya. They have frozen $32 billion held in trust by the US in the US. That is the largest amount ever held by the US concerning a foreign country’s asset. The three countries want Libya’s oil, four water aquifers, central banks and their 484.5 tons of gold, plus the Libyan funds held by other countries. These three want to steal it all and leave the country destitute. The EU has in addition frozen $67 billion. It is thought that because the US is desperate for funds that they will now put into the economy those funds to help keep the economy from collapsing.

The US Treasury and the Fed have created a giant bond fraud and the world’s professionals and governments are well aware of it. If they have to take the US dollars in trade they have to take the inflation that comes with them.

They not only have to tend to inflation in their own economies, but fight off dollar inflation as well. That is why nations are dumping US dollar as soon as they receive them by buying raw materials, investing in land, real estate, plant and equipment and gold and silver.

The bankers and the western governments now expect us to believe that Osama bin Laden is dead. He died years ago. This is just more propaganda for a distraction to more important matters, such as the deterioration and collapse of the western financial system. Anything to keep the game going, anything to deceive. We see no comment in any media that the US and European countries had frozen some $32 billion in US banks and $67 billion in European banks of Libyan sovereign wealth funds. As you have seen desperate people do desperate things. These funds do not belong to Mr. Gaddafi, they belong to the Libyan people. It is simple the west is broke and needed the funds. When you see Chatham House all over the European news you know the black nobility executed this.

As such events occur we have Fed Chairman Mr. Bernanke totally lacking integrity telling us there is little inflation and that the Fed just needs more time to complete recovery. What recovery, it must be hiding because we do not see it? What the Fed is doing is no monetary experiment. It has been tried over and over again through the centuries and it is well known among professionals that what Mr. Bernanke is doing does not work. When you hear from Mr. Bernanke that commodity price effects will likely prove transitory, when there has been a bull market in commodities since 1999, and that bull market is getting stronger, you have to question Mr. Bernanke’s integrity. He reminded us of the dollar’s previous comeback proved the safe-haven status of the dollar. How laughable. The rally created by banks was market rigging and we exposed what they were up to early. They are now running the euro up to make even more profits. This week or next the euro should reverse its rally as meetings resume in Greece. To these people currencies, gold and silver, commodities and markets are like footballs to be kicked around. It is not surprising that long-term confidence in the dollar is falling as uncertainty and instability, along with climbing inflation are becoming noticeable. There is no question the Fed has spent many years off course serving its owners and controllers in banking and on Wall Street. This time it is different. This time they are taking the whole system down deliberately to force the peoples of the US, UK and Europe to accept world government. This is not abrogation of responsibility or incompetence; this is willful greed and destruction. In QE1 and QE2, the banks and Wall Street were saved and then the Treasury. Little was done to address what was going on in the real economy. All credit, monetary and fiscal policy, was used to extend the health of the financial community and select transnational conglomerates.

Speculation has been the result of credit expansion almost all of which was pointed at Wall Street, banking and AAA rated transnational conglomerates. We find it interesting that all commentary and reports are based on Fed assumptions. Their policies and end game are rarely questioned, especially when other professionals know what they are up too and they know it does not work. Is it because they are Keynesians? In part yes, but the key is they are afraid to speak out, because if they do they lose their jobs, or in some cases are suicided. These people play hardball and they are unmerciful killers. If you don’t believe that just look at all the wars they have created and financed on both sides. You cannot approach what the money powers are up to with logic and reason. You are dealing with a predatory animal that will out of hand kill its own for power and survival.

How can anyone believe the Fed Chairman when he tells us that there are well-anchored inflation expectations, when real inflation is about 10% and even the uneducated public understands that? This is a monstrous lie, all and sundry know that, yet the media and the powers behind government perpetuate that lie cloaked in propaganda.

As a results of such prevarication gold and silver hit new highs. That has of course brought a barrage of sell recommendations from the regular suspects on CNBC, CNN and Bloomberg, along with the comments of silver mania, bubble, etc. What is worse though are the 96% of newsletter writers who have been consistently wrong for the past five years. It is sell, sell and switch to gold. The coin dealers go right along with the program for profit of course. What a woeful gaggle of dunces and opportunists.

The public doesn’t believe the Fed inflationary lie nor do professionals believe a weak dollar is good for the economy. For Bernanke to even allude to higher official interest rates is laughable. These same “expert”’ observers go right along with the perpetuation of what the Fed has done for a century and that is rob the public blind. Very few want to return monetary policy to the Treasury and perhaps honest transparent policies, that put the American people first, not Fed shareholders.

As we said three years ago, the Fed will expand money and credit until it cannot any more and then they’ll have a new world war to eliminate population and distract the public’s attention away from social, financial and economic chaos.

Right now the big push is to sell silver to buy gold based on the gold-silver ratio. We have been in the markets for 52 years and that ratio has never worked. All the traders who listen to this foolishness will end up last in line. Jackrabbit trading is for losers, we know we were traders for 25 years.

What does not seem to be self-evident among investors and others in that the same group controls Treasury and the Fed. They do what they feel like doing and the media, which they own and control, does exactly as they are told. Writers and commentators say we need more rules to control the Fed. What we need is an end to the Fed, but these weak willed characters refuse to say that because they do not want the wrath of the elitists down on them. What a scurrilous group. There are not going to heavy new rules, because the people who control the Fed have purchased 95% of congress and the judiciary. There has to be violent and radical change and unfortunately there is only one way that can come about.

A new report prepared by goldcore.com says that gold and silver prices are undre pressure these days. The main reason why precious metals prices are getting challenged is on account of the prospect of the interest rate hike in the US and European Union.

According to the report, gold’s two consecutive days of nominal record highs have seen some profit taking as oil is flat, the dollar is marginally higher and the euro has fallen. The ECB’s 0.25 % interest rate hike may lead to further profit taking today but rising interest rates in an increasingly inflationary environment will be positive for gold as it was from 1965 to 1981.

“It is only when real interest rates turn positive (nominal interest rates are again above the nominal rate of inflation) that gold and silver’s secular bull markets may be challenged. Inflation in the eurozone is 2.6%. Today’s interest rate rise will leave eurozone interest rates at 1.25% well below the 2.6% rate of inflation meaning that savers continue to lose out due to very low yielding deposits,” it says.

Similarly in the US, the cost of consumer goods and services has climbed 2.1% (as measured by the CPI) over the past year while Ben Bernanke has kept interest rates at 0% for over two years now.

These inflation numbers are official government statistics and are subject to hedonic and other peculiar statistical adjustments which underestimate the real rate of inflation as being experienced by the public who are feeling the pinch from rising food, energy, insurance, healthcare and other costs.

Negative real interest rates will likely lead to precious metal prices continuing to rise or rather very low yielding fiat currencies falling in value versus non yielding finite gold. Rising interest rates are bullish for gold also as they may see the primary asset classes of equities, bonds and property come under pressure again.

The safe haven, inflation hedging, liquidity and diversification benefits of gold have never been more needed by the investment and savings public.

Here is more on the gold and silver price fluctuations from goldcore.com

Despite this need for gold as a safe haven and diversification to protect from inflation and negative real interest rates, most of the non financial media has ignored and barely reported gold’s record nominal highs in recent days. Despite, incredibly uncertain geopolitical and macroeconomic conditions facing people internationally.

In the same way that sections of the media ignored and downplayed the risk posed by debt, derivatives and property bubbles prior to the subprime debt crisis and bursting of various property bubbles, so today the monetary and macroeconomic risks and the risks posed by inflation to the public and our economies are being downplayed and largely ignored.

What little coverage there is of gold, continues to often be slightly biased with negative terminology such as “gold hits new peak”, “gold peaked today”, “investors piled into gold”, “investors flock to gold” and “speculators hoard gold”. All of which are factually inaccurate and misleading..Headlines regarding “gold peaking” have abounded since gold rose above $700/oz. Given our inability to forecast the future movement of any asset it is always best not to predict if something has ‘peaked’ – especially in a headline.

Also, many journalists continue to fail to report the important fact that the record highs are nominal highs and that adjusted for the significant inflation of the last 31 years, gold remains well below its inflation adjusted high of $2,400/oz.

The primary indicators of investment demand for gold – the Commitment of Traders (COT) data and Total Gold ETF Holdings continue to clearly show that little or no one is “piling into” gold – not even the speculators.

It is interesting that such negative terminology is rarely used with regard to equities and bonds – especially as bonds are likely the largest bubble in the world today.

When the non financial press cover gold they often quote bankers, stock brokers, CFD providers and other financial service providers warning about gold and suggesting gold is a bubble and is risky. It is interesting that these same individuals never advised their clients to own gold but now they believe they are experts on the gold market and can advise people not to buy or to sell.

Instead of urging diversification, they give simplistic reasons as to why gold may or “will fall”. Diversification is what they should have been advising for years and their clients would be in a far better position if they had.

Since gold rose above $800/oz in 2007 there have been umpteen definitive statements that gold was in a “speculative” bubble and would fall. If I had an ounce of gold for every time I have heard such “experts” warn regarding gold being a bubble, I would be rich as Croesus.

To be fair, it is likely that part of the reason for the very limited coverage and somewhat negative treatment of gold is that some journalists and editors genuinely believe that gold is a speculative bubble. They may be being cautious after the experience of recent bubbles when much of the media failed to warn regarding, and indeed cheer led, recent equity and property bubbles.

They are right to be cautious in this regard. At the same time, they have a duty to report all of the facts in a non biased manner and to offer a plurality of opinion regarding all markets – including the gold market. Focusing on any one asset class and ignoring others is a failure to report the markets.
Lack of knowledge regarding financial markets, investments and savings is detrimental to the wealth of individuals, families and nations. In the coming years many will look back at the lack of and biased coverage of the gold market and wonder as to how it could have been so biased and myopic.

The accident that trapped the miners is not unusual in Chile and is the inevitable consequence of a ruthless economic system that has barely changed since the dictatorship of Gen. Augusto Pinochet. Copper is Chile’s gold, and the frequency of mining disasters keeps pace with prices and profits. There are, on average, 39 fatal accidents every year in Chile’s privatized mines. The San Jose mine, where the trapped men work, became so unsafe in 2007 it had to be closed – but not for long. On 30 July last, a labor department report warned again of “serious safety deficiencies,” but the minister took no action. Six days later, the men were entombed.

For all the media circus at the rescue site, contemporary Chile is a country of the unspoken. At the Villa Grimaldi, in the suburbs of the capital Santiago, a sign says: “The forgotten past is full of memory.” This was the torture center where hundreds of people were murdered and disappeared for opposing the fascism that General Pinochet and his business allies brought to Chile. Its ghostly presence is overseen by the beauty of the Andes, and the man who unlocks the gate used to live nearby and remembers the screams.

I was taken there one wintry morning in 2006 by Sara De Witt, who was imprisoned as a student activist and now lives in London. She was electrocuted and beaten, yet survived. Later, we drove to the home of Salvador Allende, the great democrat and reformer who perished when Pinochet seized power on 11 September 1973 – Latin America’s own 9/11. His house is a silent white building without a sign or a plaque.

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Everywhere, it seems, Allende’s name has been eliminated. Only in the lone memorial in the cemetery are the words engraved “Presidente de la Republica” as part of a remembrance of the “ejecutados Politicos”: those “executed for political reasons.” Allende died by his own hand while Pinochet bombed the presidential palace with British planes as the American ambassador watched.

Today, Chile is a democracy, though many would dispute that, notably those in the barrios forced to scavenge for food and steal electricity. In 1990, Pinochet bequeathed a constitutionally compromised system as a condition of his retirement and the military’s withdrawal to the political shadows. This ensures that the broadly reformist parties, known as Concertacion, are permanently divided or drawn into legitimizing the economic designs of the heirs of the dictator. At the last election, the right-wing Coalition for Change, the creation of Pinochet’s ideologue Jaime Guzman, took power under President Sebastian Piñera. The bloody extinction of true democracy that began with the death of Allende was, by stealth, complete.

Piñera is a billionaire who controls a slice of the mining, energy and retail industries. He made his fortune in the aftermath of Pinochet’s coup and during the free-market “experiments” of the zealots from the University of Chicago, known as the Chicago Boys. His brother and former business partner, Jose Piñera, a labor minister under Pinochet, privatized mining and state pensions and all but destroyed the trade unions. This was applauded in Washington as an “economic miracle,” a model of the new cult of neoliberalism that would sweep the continent and ensure control from the north.

Today. Chile is critical to President Barack Obama’s rollback of the independent democracies in Ecuador, Bolivia and Venezuela. Piñera’s closest ally is Washington’s main man, Juan Manuel Santos, the new president of Colombia, home to seven US bases and an infamous human rights record familiar to Chileans who suffered under Pinochet’s terror.

Post-Pinochet Chile has kept its own enduring abuses in shadow. The families still attempting to recover from the torture or disappearance of a loved one bear the prejudice of the state and employers. Those not silent are the Mapuche people, the only indigenous nation the Spanish conquistadors could not defeat. In the late 19th century, the European settlers of an independent Chile waged their racist War of Extermination against the Mapuche who were left as impoverished outsiders. During Allende’s thousand days in power, this began to change. Some Mapuche lands were returned and a debt of justice was recognized.

Since then, a vicious, largely unreported war has been waged against the Mapuche. Forestry corporations have been allowed to take their land, and their resistance has been met with murders, disappearances and arbitrary prosecutions under “anti terrorism” laws enacted by the dictatorship. In their campaigns of civil disobedience, none of the Mapuche has harmed anyone. The mere accusation of a landowner or businessman that the Mapuche “might” trespass on their own ancestral lands is often enough for the police to charge them with offenses that lead to Kafkaesque trials with faceless witnesses and prison sentences of up to 20 years. They are, in effect, political prisoners.

While the world rejoices at the spectacle of the miners’ rescue, 38 Mapuche hunger strikers have not been news. They are demanding an end to the Pinochet laws used against them, such as “terrorist arson,” and the justice of a real democracy. On 9 October, all but one of the hunger strikers ended their protest after 90 days without food. A young Mapuche, Luis Marileo, says he will go on. On 18 October, President Piñera is due to give a lecture on “current events” at the London School of Economics. He should be reminded of their ordeal and why.

The denunciation was made by the Head of State during the inauguration act of the Bolivarian National Police Training Center in Caracas.

“Who are behind all this’ Big capitalist people, Venezuelan and foreigners, big companies; because, there is an economic conspiracy against the revolution to generate more inflation, shortages, and people’s displeasure.”

Chavez explained that he requested for support to the General Attorney Office, the National Bolivarian Intelligence System and any other investigation organ of the State to counter the speculation promoted by some financial sectors with the currency, trying to put pressure on parallel dollar exchange rates.

Likewise, he underscored that the Government is currently investigating some people that are bringing dollars to the country to promote the parallel market.

The Venezuelan President explained that these destabilizing actions belong to a political plan of Venezuela’s bourgeoisie as to win the parliamentarian elections next September.

“They will fail, but that is the plan: create shortages, economic problems, increase crime rates, because a great part of the crime in Venezuela has a political seal, are just induced crimes,” he stated.

Moreover, Chavez pointed out that these economic systems in which banks and stock houses take part, have some mechanisms and ways to make business that are unknown by most of the people.