Why is the Fed so terrified with even a relatively small market drop from all-time highs? Hoffman thinks,
"Their fear is a loss of confidence in the dollar. It's that simple. . . . Since 2008, all they have left in their arsenal is money printing, market manipulation and propaganda. The propaganda doesn't work anymore. Nobody believes in recovery, and everyone knows it's not true." Hoffman also points out, "Just think about the perception if the Dow fell a thousand points in a day or, let alone, three or four thousand points in a day. They would call it the crash of 1929. Look at Europe. Twenty-five European banks failed the stress test. . . . The banking system, as a whole, is on the precipice right now, and the slightest drop will cause the whole 2008 calamity to start all over again. . . . Once that confidence leaves, everyone races out of currencies, and the stock market and the whole economy mirage collapses."Hoffman also contends that "economic Mother Nature" is going to have the last word on all markets despite propaganda and manipulation. Hoffman says,
"If you are going to try to push gold and silver prices below the cost of production, if you are going to take interest rates way below what they should be and take stock prices way above where they were in 2008, you are going to have a catastrophic collapse. People say the stock market is up and things must be fine - no. . . . Across the board, you are seeing commodities and currencies crash around the world. Of course, the real way economic Mother Nature is going to get back at us is with gold and silver because manipulators cannot create physical gold and silver, and you are seeing inventories drained with record demand. We are going to see economic Mother Nature showing all of her claws."Hoffman closes by saying,
"This is decades and decades of a mad experiment in global fiat currency, and it's going to come to an end. No matter how we get to the other side, it's going to be ugly. The other side one day will be good, but the other side is going to take a long time to get to, and there is going to be a lot of pain and hardship and, hopefully, not world war."Join Greg Hunter as he goes One-on-One with Andy Hoffman of Miles Franklin, one of the biggest precious metals dealers in America.
(There is much more in the video interview.)
After the Interview:
There is lots of free information, articles and analysis on MilesFranklin.com. Andy Hoffman is a prolific writer who puts out several articles each week. If you want to follow Mr. Hoffman's work, please click here.
I do not see the collapse this year, but it is getting closer. In the meantime the elite will follow every possible avenue to keep the banks going and asset strip the rest of the world's population.
Precious metals are manipulated down but within limits set by supply and demand. The gold price is manipulated and suppressed at the cost of having to supply additional gold from Western reserves to the East where gold is appreciated. In silver there is little in the way of reserves these days so the price suppression is aimed at investment sentiment/demand which is a fraction of the whole demand which is mainly industrial. Unfortunately for the FED when the price falls show a significant bottom (which is pretty much in and especially for gold) investment demand will rise, encouraged by the alternative of losing money in the various stock bond and commodity markets which are increasingly being subject to deflationary fears and reality. Both gold and silver are on the market below the cost of production - in silver, primary miner production. This can no longer be said to be due to cooling-off from the 2011 bubble peak and indeed demand in gold is especially huge with China alone taking more than annual world gold production. Most of the 1 ounce gold eagles must be coming out of Fort Knox and the Fed by devious routes. Buy one before they're all gone.