Posted by IndianaRed on January 17, 2009 at 05:49:35 from (173.107.58.165):
In Reply to: Deflation? posted by Spook on January 16, 2009 at 14:08:56:
Both can be bad. With the amount of currency being printed, we are going to have serious inflation in the coming months and years. US currency printing is up 70% over the last 6 months. No way whatsoever to keep that up without inflation. The government used to report the numbers on how much currency is in circulation, but they stopped a couple months ago. Gee, I wonder why they would do that?
Additionally, the FED won't release report on how much gold reserves they hold, and again they used to, but have stopped. Hmmm.
China has announced they are going to increase their gold reserves from 1600 tons to 6000 tons. Easy to see what they are thinking. And that will cause gold prices to increase dramatically.
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