All posts by Luke Camposi

Is Gold And Silver a Hedge Against Inflation

The commodity of silver is being potentially setup as the biggest short squeeze in history. The world currencies are almost all fiat currencies and are being held back from hyperinflation through different market manipulations. Keep in mind that silver may not have a spike in price as we predict but all evidence points to this happening.

The manipulations occurring in the banks is due to the fact that never in history have all currencies been fiat currency at once. There are bubbles in real estate and other markets just as there were in the US going on in Asian markets right now. These Asian countries have no idea they are in a bubble. Before only North America and Western Europe could cause the price of gold and silver to rise. Now we have the rest of the world who can easily purchase these commodities to cause the price to rise.

What investors may do when the purchasing power of the Euro or dollar becomes increasingly worthless is to buy silver and gold commodities to cover the difference. When people who are invested in gold and silver start demanding their investment in the physical commodity all of those short sales by the large banks like JP Morgan could present the short squeeze opportunity.

The small mom and pop investors who received their physical gold and silver investment will hold on to their investment in hand as prices for these go through the roof. The currency in peoples bank accounts may become worthless very quickly through hyperinflation but for those who have silver and gold investments in physical form their savings will be protected as these commodities will likely go up in cost.

In conclusion you can save yourself from the heartache of the big governments taking money from the poor and middle class in society. A government system that allows their currency to become worthless by printing more of it makes the middle class as poor as the poorest among us. What they are doing is virtually stealing hard earned dollars from their citizens. To get around this horrible situation a few precious metals in hand can protect against the worst possible scenario.

Before you look into gold and silver online read this short report on the US financial bubbles here, Why Do Economic Bubbles Keep Happening. Through these fiat currency government scams a transfer of wealth happens as people who knew ahead of time position themselves to make money rather than lose all of their money.