Saturday, October 23, 2010

Australia Housing bubble Bursting

Bursting the Bubble


Episode of "Insight" that deals with the bursting of the Australian real estate bubble. Aired on 9 September 2008.

Gold At $1,750 -- But When?

In 36 months three huge events are likely to happen which will drive the price of gold to $1,750. The first to pop will be the Australia housing bubble (see here: http://www.heraldsun.com.au/money/aus... -- this will lay bare the Australian economy. The second event is the fall of Japan (see here: http://blogs.wsj.com/source/2010/07/1... into bankruptcy, which will not only bring devastation to the Japanese but implode the world's second safe-haven currency, the Yen. The third event will be the Canadian housing bubble (see here: http://www.nationalpost.com/opinion/c... and debt bubble (see here: http://www.theglobeandmail.com/report... collapse. Furthermore, gold's price is unlikely to significantly fall, because America's total credit market debt as a percent of GDP is at its highest ever (360%) (see here: http://www.pimco.com/LeftNav/Featured... only meaning prolonged stagnation in the world's biggest economy, especially, if the U.S. government insists on creating debt as the private sector tries to pay it off. But that's only part of the 'gold-is-up' argument, because Germany is engaged per quarter in a $1 trillion-plus de-leveraging from the U.S. economy (cash that has helped to finance our domestic investment and economic activity for the last decade), and without it, further Treasury bond market manipulation by the Federal Reserve will occur to fill "the German liquidity gap". That means a broken and contracting U.S. credit system (see here: http://blog.rebeltraders.net/2010/07/... is a given for the future, only meaning a continually sustained strong gold price -- as a broken U.S. credit system means a blinkered U.S. economy with low foreign and corporate investment with concurrent diversification into gold. We would also be remiss to ignore that the London Bullion Market Association's (LBMA) statistics for May show that (see here: http://www.gata.org/node/8858) "*the average net daily trading in gold by LBMA member banks jumped a massive 50 percent from the month before to 24 million ounces each day from 16 million ounces each day. That translates to $7.5 trillion annually. If an operation is running on a razor-thin fractional reserve basis, such step changes are often fatal. It appears that a run on the bullion banks has commenced [which is why the LBMA and BIS is trying to conceal gold swaps information].*" Indeed, and do not be mistaken into seeing pass why the dollar is strong right now -- a falling dollar is unlikely as there are too many global debts denominated in dollars (i.e. too many people who want to unwind their debts and have to get dollars to do so, keeping the price high) but that cannot last forever and that's not a vote in confidence in the greenback. Gold is going to $1,750 in three years -- the only other choices are the Swiss franc (see here: http://www.telegraph.co.uk/finance/co... or emerging markets (see here: http://www.ft.com/cms/s/0/8c6ca37e-96...

Bob Chapman on the Goldseek radio 22 Oct 2010


Mr. Chapman also known as The International Forecaster is a 74 years old. He was born in Boston, MA and attended Northeastern University majoring in business management. He spent three years in the U. S. Army Counterintelligence, mostly in Europe. He speaks German and French and is conversant in Spanish. He lived in Europe for six years, off and on, three years in Africa, a year in Canada and a year in the Bahamas.

Mr. Chapman became a stockbroker in 1960 and retired in 1988. For 18 of those years he owned his own brokerage firm. He was probably the largest gold and silver stockbroker in the world during that period. When he retired he had over 6,000 clients.
Bob Chapman : you got to remove these people from the government
Starting in 1967 Mr. Chapman began writing articles on business, finance, economics and politics having been printed and reprinted over the years in over 200 publications. He owned and wrote the Gary Allen Report, which had 30,000 subscribers. He currently is owner and editor of The International Forecaster, a compendium of information on business, finance, economics and social and political issues worldwide, which reaches 10,000 investors and brokers monthly directly, and parts of his publication are picked up by 60 different websites weekly exposing his ideas to over 10 million investors a week.

In June of 1991, at the request of business associates, and due to retirement boredom, he began writing the International Forecaster.
Bob Chapman : do not expect the government to guarantee your bank account , it is bankrupt
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