11/03/10 Tampa, Florida – Bill Bonner here at The Daily Reckoning writes, “In England, the government of David Cameron has announced the biggest cutbacks since WWII. He’s going to lighten the UK government expense load by 81 billion pounds over the next 5 years. Nearly half a million government employees are to be given the heave-ho.”
In an odd sort of symmetry, it is sort of like that around here, too. Rumors fly like sparks that the company is losing money, and to save money, a lot of people are going to be fired, particularly me, along with a few other lazy incompetents who actually deserve to get fired, if you ask me, because they are so stupid that when I ask them a simple question like, “Are you buying gold, silver and oil in fearful response to the Federal Reserve creating so much money that the wholesale debasement of the purchasing power of the dollar, popularly perceived as inflation in prices, is going to cause the gigantic inflation in consumer prices that was actually predicted earlier in the same sentence, spooky and Nostradamus-like, thus proving everything I said?”
Well, as you probably guessed, none of them has ever, ever purchased any gold or silver, despite my constantly advising them to do, and insulting their intelligence when they don’t, which should make the choice clear as a bell, even for them.
So, as I told my boss recently, I agree: Those people must be fired immediately, as the company needs people, like me, with the ability to see “the big picture,” even when we gifted visionaries would prefer seeing pictures of naked people behaving shamelessly, but I am willing to make that sacrifice if it meant keeping my job for a little while longer, whereupon I will peacefully resign my job.
You could hear the suspicion in her voice as she asks, “How much longer?” I replied, “It won’t be long until the foul Federal Reserve has committed the monetary sin of creating another few trillions of dollars, which means prices will rise, which means gold and silver will rise so high in terms of dollars that I will, one wonderful, wonderful day, come in to work late, barge into your office without knocking, probably whistling a happy tune and disrupting the whole place, and tell you to take your stupid job and shove it!”
Tonelessly, again she asked with a bored undertone to her voice, “How long will that take?”
Feeling myself being squeezed into a making a precise prediction, I evasively said, “Well, James Turk of GoldMoney.com says that silver could double in price sometime this month! Within 28 days! Days!”
She looks at me with a cold stare, and in a whispered monotone, asks, “So, are you saying that you will be gone in 18 days?”
Suddenly, my instinct for survival kicks in, and I lash out like a cornered rat. I yell, “Not soon enough to suit either one of us, I’m sure! But soon!”
Then, with a sudden flash of brilliance born of desperation and a complete lack of imagination, I abruptly shouted, “And now, Zorro away!”
With that surprising Zorro-thing coming out of left field, I took advantage of her slack-jawed surprise by abruptly leaping to my feet and then reaching over her desk to scrawl a big “Z” across her blotter with my pen.
Then, throwing open the door with a mighty theatrical flourish, I bounded, bounded, bounded out of her office, shouting, “Zorro says buy silver, silver, silver, you morons!”
My seemingly strange, desperation-driven theatrics in response to the threat of financial annihilation due to cutbacks and my being given the “heave-ho” must seem extreme to the British, who are handling things with stoicism and their fabled “stiff upper lip,” as Bill Bonner makes clear with a really funny metaphor. He says, “So far, the British public is taking the news like a donkey informed about original sin.” Hahaha! Very clever! And illustrative!
It was sort of like my boss getting the news about Zorro recommending silver!
However resolutely staunch the British remain in the face of misery, she recovered pretty quickly, but I was out of the office all afternoon and missed her calls as I was taking a little “personal time” to buy more gold, silver and oil because, while it is difficult to pin down exactly when cataclysmic inflation and economic destruction will happen because the foul Federal Reserve is creating too much new money, the good idea to buy gold, silver and oil to capitalize on such absurd monetary insanity is so easy that I say, as I always do, “Whee! This investing stuff is easy!”
The Mogambo Guru
for The Daily Reckoning
The Mogambo Guru
Richard Daughty (Mogambo Guru) is general partner and COO for Smith Consultant Group, serving the financial and medical communities, and the writer/publisher of the Mogambo Guru economic newsletter, an avocational exercise to better heap disrespect on those who desperately deserve it. The Mogambo Guru is quoted frequently in Barron's, The Daily Reckoning , and other fine publications. For podcasts featuring the Mogambo, click here.
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what tells us silvers going to dbl or triple very very soon?
going to order tomorrow maybe 200 coins ,morgans I guess early vintage stuff .
someones got 50 coins for $1100 or so i’m being led to believe . find out in the a.m. and advise cause thats money free …….way i look at it anyway,you?
Dear Junior Mogambo Ranger (JMR) William,
I can come up with a hundred reasons why silver should triple soon, but I haven’t any reason to recommend anyone buy coins that have numismatic premiums.
To me it presumes that there will always be other collectors willing to pay more premium at every auction in the future, which puts far, far, far too much expensive trust in my fellow man!
Oh GMG/Z,
Your watching people at the TSA lines @ the airport, right?
Mogambo – that was good advice you crazy fool you! First I am happy that I have so much gold silver and oil and made a bundle today but then I get upset that I did not put every penny into gold oil and silver! arggh! Problems like this I can live with! Wheee!
I talked my daughter into a deal yesterday: pay me $500 to invest in Silver Eagles, and in 1 year we can sell: you get $600 (20% return in 1 year) and I get anything left over.
It should be a great investment for both of us.
See, O Mighty Mogambo, you’ve been going about this all wrong: cheat your descendants out of their lunch money, invest it in silver, and earn their wide-eyed thanks once you cash in and repay them!
Of course, the “repaying them” may be negotiable….
All hail the Mighty Mogambo!
To my Dearest High Priest of Compassion and Worldwide Forensic Financial Failure Foresight, the almighty Mogambo Guru:
Greetings from longtime admiring Mogambo J.R. & devotee of the three G’s of truth: God, Guns, & Gold. Seems that factors driving our PM price climb are still pegged at full W.O. throttle for years to come. Also evident to any who are willing to ponder our predicament: we are far below any sort of top for PM prices. We like evidence as comforting proof, don’t we, eh? How about the following:
a.) none of my acquaintances have been charting PM trends, nor, pitching PM to their spouse (quite fashionable with the tech stock & real estate bubbles);
b.) none hold any PM beyond a wedding band lifted from the ex, or a pair of what look to be 10k plated tin earrings from the old boyfriend;
c.) none have raised cash by giving up hard liquor or selling their kid’s bikes to buy a few more shares of CEF;
d.) none have dumped their job as hair stylist or mechanic to day-trade SLV.
These indicators will become part of a clarion call for me to trade out some of the PM stash…. maybe swap a few coins for clear title to the home (or bunker) right about the time when the real estate agent starts day-trading GLD.
We are well on schedule to get there in 5 to 10 years. It’s baked in the cake.
Between now and then, those who climb on-board the PM express at peaks of frenzy like Nov 4, 2010 will be likely to get their teeth knocked out by the wife when she looks at Kitco a while later only to find PM have backed off by 25% +/- from what the old man committed to pay for it (used her charge card). Better to dive into PM when you are mired in relentless daily PM Panic Price Drops, not when your gut feels the fear of missing out on another week of huge back-to-back PM price surges.
Easy to say, but it takes conviction to pull the PM trigger when they fall hard! We can have a bellyfull of confidence the power-up price waves will continue to arrive, and they will bring PM riding the tide. Why are we so solid? We’ve got the entire government gang of Judicial, Executive & Legislative branches on our side, working overtime, making it happen for us. Their banking buddies are in full compliance, all of them forging the way for a booming worldwide PM full-meal-deal. With Ben & QE2, the program continues, forging competitive fiat devaluations. The PM climb won’t be stopped. Now that’s a team I can get behind with full confidence. Just look at their track record, and relax!
I believe that acquiring PM is OK to consider more like savings, not investing. Specifically, it is a low risk route to saving my butt, and my family, from the evils brought by the purveyors of mischief, our very own government and their indentured servants who keep begging for more handouts in exchange for more votes!
With highest regards,
Yours Truly, Proverbs25.2
The FED is running the biggest crap game in the world and has now allocated an additional $600 billion to its kitty so stop telling us to invest in anything because THEY are controlling not only the share markets but the perception of value eg dollars for gold or silver etc anything and the heard/masses are more likely to listen to them then you so just stock up n all your favorite anythings and let the collapse come quickly so we can get on with the reconstruction or destruction if that has to come first?
FED is running the biggest crap game and now have an additional $600 bil in the house so not only are the cards stacked but they have the zero’s to drive any share or commodity up or down and thus control the market so how or why would you convert bullion to paper? and what kind of paper will have value? stop misleading us or great one!
@Dave, too right Mogambo maybe crazy, but he’s right, anyone not in PMs is a moron!
I recently sold more Gold for Silver (both allocated Bullion), and I’ve already seen a near 7% (UKP) Silver paper gain, in 2 days! My first Silver purchase has paper gained near 61% (UKP) in under a year, so hopefully near 70% pa!! I wish I’d bought more Silver now.