-- Posted Thursday, 8 October 2009 | | Source: GoldSeek.com
by Jake Towne, the Champion of the Constitution
This morning in London the gold price hit an all-time high in non-inflation-adjusted dollars of $1047.
While some who hold gold might be rejoicing, I do not view this as good news at all. The campaign still has plenty of people to reach in this district, and may run out of time since we certainly do not have the funds to launch a major ad campaign.
The all-time high in the gold price is a warning of dire times to come as it merely indicates that the dollar's purchasing power is at an all-time low. The next phase of the dollar crisis may be on the doorstep.
For those of you who would shout "au contraire!!" and are excited about the stock markets gains since the spring, please take a look at the following chart. Note that maximums in the P/E (price-to-earnings) ratio often precede market crashes, as the stock is overvalued as compared to its dividends/earnings. This S&P 500 chart is from 1935-present.
Notice anything strange? We are way out of historical means. I do not believe that such absurdly high P/E ratios are possible to maintain over the long-term.
And note that the Dow Jones Industrial Average would be far worse if AIG, Citicorp, and General Motors were not removed from this index in the past year.
The campaign is extremely busy and continuing to pick up steam, but we need your help to spread the word. The above should not be taken as investment advice, merely facts.
It is also a fact the commercial real estate bubble is only just beginning to burst at the seams, as the Wall Street Journal reported this morning.
I refer you to two presentations from my campaign.
The Problem with the Dollar
and Lecture on the Financial Crisis.
On October 15th, I will be presenting at Moravian College in Prosser Auditorium at 7 PM a talk on "Why the Stimulus Plan Won't Work". Details are here.
Let's hope I am not too late. The incumbent Congressman certainly will not be issuing warnings, but I am a bit of an annoying alarm clock.
October 7, 2009
Jake Towne, the Champion of the Constitution
Jake Towne is running for U.S. Congress in Pennsylvania's 15th District in the 2010 election as a citizen unaffiliated with any political parties. Jake also writes at www.LibertyMaven.com and www.CampaignForLiberty.com. A master campaign presentation for internet viewing is available. [Reach the Author Here!]
-- Posted Thursday, 8 October 2009 | Digg This Article
| Source: GoldSeek.com
