In 2011 U.S. government unfunded liabilities grew by $11 trillion (Bloomberg). Political promises are never retracted; instead the default will be papered over through debasement.
Don Coxe on gold in the Gold Report.
The title on one of the most well read investment blogs: Why you won’t find hyperinflation in democracies (Reuters). Meanwhile, ISA subscribes to Bill Fleckenstein’s school of thought: “In a social democracy with a fiat currency all roads lead to inflation.”
Paul Krugman in the New York Times: “the central bank needs to credibly promise to be irresponsible.”
Powerful long term monthly and CPI adjusted gold charts: Trader Dan.
ECB Plan Said to Pledge Unlimited, Sterilized Bond-Buying (Bloomberg). Now, I don’t know what all that means. But it sure sounds like steps on the papered over path. That, and tomorrow looks to be a big day.
The Miners Look Ready to Dance by Greg Harmon.