To those who have missed the recent rally of gold, silver, platinum, paladium and Dr. Copper, don’t worry about it, there is plenty of time to hop on the band wagon. In fact the price of gold can rise as interest on our debt goes north. This is contrary to past thinking. Friday the dollar rose in value and gold swooned, but this short term movement is not a long term trend.

Fortune tellers are now predicting $20,000 gold per ounce, $200 silver and more to follow. Don’t be alarmed though, with infation on target for 5% or more come by the third quarter, the FED will have no escape hatch other than to debase the once almighty dollar. The writing is on the proverbial wall.

This will not be a one-off affair, the G-7 nations will join the party because they too are in a fix. How did we get to this point in time? Fiat currency is the answer; Keynesian Economics was the culprit. The world is awash in paper currency, worth less than the wallpaper it is printed on. As the Weimar Republic went to the press back in the ’20’s, the U.S. will have no choice but to do the same. As the pundits say, the Day of Reckoning is at Hand.

With the expectation that the interest on the National Debt will be approaching $1 trillion, an obsurd number to say the least, we. will be forced to succumb to the pressure of debasement. How so? One day, and that day is fast approaching, the treasury department will not have any takers on our bills, notes and bonds at any price. The front door will have been closed shut with concrete. When that day comes gold will be offered to those the almighty Green Back an ounces of gold for every $25,000.