By Richard Russell
Half an hour before the close, the Dow and the Transports are both happily up triple digits. The Nasdaq is up 23 and is 111 points above the symbolic 5,000 level. Gold is flat at 1096.6 and silver is up 14 cents to 14.78.
John Williams of Shadow Statistics claims that the US is sinking back into recession. If Williams is correct, and I believe he is, the Fed should fight the deflationary trends. In opening the monetary spigots wide, the Fed will be setting the stage for what John Williams predicts will be hyperinflation. The correct stance in a hyperinflationary situation is to own physical silver and gold.
We are moving into an economic situation unlike any we have ever seen before. Meanwhile, the Fed and the government are spinning news of a new golden era. The question to ask is: if the economy is as good as the Fed and the government claim, why ... Log in or subscribe to continue reading.