Turkey Turns To Gold As Money
The outlook for real money over paper money is only getting stronger. Gold and silver are both being purchased at low prices. Federal Reserve Chairman Ben Bernanke said it is essential that the U.S. central bank hold interest rates close to zero to create jobs. Despite recent gains, the number of Americans holding jobs and the hours they work are fewer than they were before the financial crisis in 2008. “The job market remains far from normal,” Bernanke said. CrushTheStreet.com sees this as fuel in the gas tank for why the trend in gold is still so incredibly appealing for those looking to profit from the money printing coming from America’s Central bank. Zero Hedge called attention to Turkey’s increasing recognition that gold is money with an important place in the country’s banking system. The Turkish central bank has doubled the amount of gold that lenders can hold in reserves (as opposed to paper money – Lira) as part of their reserve requirement changes. The truth of the matter is that governments understand what is going on behind the scenes and the fact that Turkey is doing this points to the case for why gold will be set to break through 2,000 and into the 3,500 dollar range in the near future.
Government Stimulus and America’s Chemical Dependence
How’s this for injecting optimism in the veins of the American economy, Federal Reserve Bank of New York study predicts that the U.S. jobless rate could drop from the current 8.3% to as low as 6% by the first half of 2013. “Simulations based on historical patterns suggest that the fall in the unemployment rate could be quicker than many forecasters predict,” says economist Aysegul Sahin. Unfortunately, those predictions and estimations are most likely taking into account all of the people who are going to fall off the unemployment.
The House of Representatives has passed the Jumpstart Our Business Startups Act with bipartisan support. It was the last step before the bill can be signed into law by President Obama, which he said he will do. A small number of Democrats opposed easing corporate governance and financial reporting requirements for initial public offerings and loosening other rules because they claim such measures will increase financial fraud.
China is putting our kids through college and supporting our way of life. U.S. exports to China passed $100 billion last year, according to a report from the U.S. China Business Council. The report finds that 30 states count China as one of their top three export markets, and Vermont, South Dakota and South Carolina more than tripled exports to China over the past two years.
Despite all the tools such as low interest rates, government backed loans and more that the government uses to prop up the housing market, U.S. home prices still managed to fall in January to their lowest since the financial crisis, according to the Standard & Poor’s/Case-Shiller Home Price Index. The index declined 0.8% from December and 3.8% from January 2011. Many analysts said they expect the housing market to hit bottom this year and begin a slow recovery. Because the Federal Housing Administration relies on unrealistic revenue projections, its risk of needing a taxpayer bailout is increasing, according to Moody’s Analytics. The FHA was counting on “robust growth” in the market this year to rebuild its insurance fund, but that growth hasn’t arrived. Although this is obvious to us at CrushTheStreet.com, still people put their faith in the government to achieve simple things that they suspect will sustain the markets.
The European Debt Crisis Is Alive and Well
The Organization for Economic Cooperation and Development warned that Europe’s sovereign-debt crisis is not over. The OECD said financial markets have calmed, but the eurozone must not become complacent and economic reform is necessary. “Market confidence in euro area sovereign debt is fragile,” according to an OECD report. “The outlook for growth is unusually uncertain and depends critically on the resolution of the sovereign debt crisis.”
Obamacare Is Unconstitutional!!!
Really, where does the government get off on thinking that forcing Americans to engage in commerce is okay? Healthcare is one of the few things in the economy that has gone up substantially as most other industries fell. Reason TV’s Damon Root was in attendance for the third and final day of oral arguments before the Supreme Court on the Patient Protection and Affordable Care Act (ACA), which focused primarily on the issue of severability, which brings into question whether the individual mandate be excised from the law, or if the law in its totality must be struck down. His response is in the video that we have posted on our front page.
Click the image link below or go to CrushTheStreet.com to watch the video!!!
|Obamacare #FAIL: Day 3 at the Supreme Court
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