• Categories

  • Archives

  • Join Bangladesh Army

    "Ever High Is My Head" Please click on the image

  • Join Bangladesh Navy

    "In War & Peace Invincible At Sea" Please click on the image

  • Join Bangladesh Air Force

    "The Sky of Bangladesh Will Be Kept Free" Please click on the image

  • Blog Stats

    • 315,676 hits
  • Get Email Updates

  • Like Our Facebook Page

  • Visitors Location

    Map
  • Hot Categories

Example of How Gold Can Be A Protection

Jason Kaspar


During the Civil War, an independent thinker from San Antonio named Edward Steves made a savvy business move that would forever change his fortune and that of his family for generations. He made a bet against a dying currency in favor of the only currency that has never failed.

http://steveshomestead.files.wordpress.com/2010/05/steves-family-portrait.gif

Edward and Johanna Steves and Their Three Sons

In Texas, truth and myth are often blurred, as stories of what the human spirit accomplishes are stretched into tall tales for open camp fires and star filled nights. Perhaps the story of Mr. Steves borders on exaggeration. Perhaps not. In either case, the moral offers a profound lesson in wealth preservation and accumulation.

Steves immigrated to the United States in 1849 from Barmen, Elberfeld, Germany. He ventured into the Texas hill country as a farmer with mediocre success as he battled unpredictable weather, threat of local Indians, and rocky soil.  He scraped every penny; and in early 1861, with an entrepreneurial spirit as big as Texas, he spent his entire savings on a newly invented machine – the first mechanical combine to make it to the South Central Texas region. As fate would have it, this machine arrived on the last ship to make it into Galveston, Texas before the Union blockaded the port in July 1861.  After his mechanical contraption arrived in San Antonio, Steves had a monopoly over the local farmers surrounding the area.

https://i0.wp.com/www.unc.edu/depts/europe/conferences/eu/Images/cnfd1000.jpg

The farmers wanted to pay Steves for the use of his mechanical combine in the local currency, Confederate dollars. He refused. He negotiated to take his payment in kind – a percentage of what his combine would process. Steves then bundled up his portion and regularly set off for Mexico, where he would sell it for gold and silver. This occurred for several years until finally the Civil War ended. The Confederacy collapsed along with the monetary system.  Confederate dollars and Confederate bonds became worthless, sending many individuals into financial ruin.

The end of the Gavelston blockade marked the death of his monopoly, but by that time he had amassed a fortune in gold and silver.  With this fortune, he bought Union dollars and effectively bought back into a working economic system.  In 1866 he launched a lumber company that by 1916 had become the largest millwork operation in the Southwest.  It exists today as Steves & Sons, offering more than 300,000 variations of doors throughout the United States.

In today’s world most individuals, including investment professionals, have very little understanding of the history and purpose of precious metals as a monetary asset.  Monetary systems have come and gone for thousands of years, but our lives are so cloistered that the probability of living through two entirely different monetary systems seems highly unlikely. As the Steves story illustrates, even in the United States monetary systems collapse and evolve.

https://i2.wp.com/www.goldprices.net.au/wp-content/uploads/2011/05/1306517426-14.jpg

Precious Metals

The impetuous drive towards globalism and a “world currency” may impact our monetary system more than even the national debt. Initially, the evolution of a system brings chaos.  People cling to staples . . . land, guns, and food production. As a new system emerges, individuals who have precious metals maintain the capacity to buy back into the new system – buying a home, starting new businesses, regaining the quality of life of the previous system.  After 5,000 years, this continues to remain the ultimate benefit of precious metals. The irony is that a true global currency has always existed in the form of gold and silver.

https://i0.wp.com/www.tradeviewforex.com/forex-blog/wp-content/uploads/2011/03/gold1.jpg

Gold is a store of wealth not a generator of wealth

Unless an investor trades precious metals effectively, which very few can do over a long period of time, precious metals do not generate wealth in a functioning economic system. Gold is a store of wealth not a generator of wealth.  It is much better to own thriving companies that produce a superior return over their cost of capital.  Owning businesses that generate a superior return on invested capital is the way to move up the social status in a functioning capitalist system.  Unfortunately, American capitalism has been compromised and is now sputtering.

Ten years ago I would have argued that the probability of an American monetary collapse over the following decade was zero. The next ten years present far less certainty.  One may disagree whether the probability of a collapse over the next ten years is 2%, 25%, or 60%. But the probability is no longer zero. The criticality of gold and silver as an asset class has reemerged.  The Edward Steves story is an illustrative parable of how to build and preserve wealth when economic systems are in flux.

Jason Kaspar is the Chief Investment Officer for Ark Fund Capital Management, focusing on investment and portfolio management. This article first appeared on Gold Shark.

 

Russia Says IMF Chief Jailed For Discovering All US Gold Is Gone

A new report prepared for Prime Minister Putin by the Federal Security Service (FSB) says that former International Monetary Fund (IMF) Chief Dominique Strauss-Kahn was charged and jailed in the US for sex crimes on May 14th after his discovery that all of the gold held in the United States Bullion Depository located at Fort Knox was ‘missing and/or unaccounted’ for.

https://i0.wp.com/www.globalsecurity.org/intell/world/russia/images/fsb-logo-l.jpg

Federal Security Service (FSB)

According to this FSB secret report, Strauss-Kahn had become “increasingly concerned” earlier this month after the United States began “stalling” its pledged delivery to the IMF of 191.3 tons of gold agreed to under the Second Amendment of the Articles of Agreement signed by the Executive Board in April 1978 that were to be sold to fund what are called Special Drawing Rights (SDRs) as an alternative to what are called reserve currencies.

http://coveringdelta.files.wordpress.com/2011/05/dominique-strauss-kahn.jpg

Former International Monetary Fund (IMF) Chief Dominique Strauss-Kahn

This FSB report further states that upon Strauss-Kahn raising his concerns with American government officials close to President Obama he was ‘contacted’ by ‘rogue elements’ within the Central Intelligence Agency (CIA) who provided him ‘firm evidence that all of the gold reported to be held by the US ‘was gone’.

https://i2.wp.com/images.businessweek.com/ss/08/09/0904_first_jobs/image/central_intelligence_agency.jpg

‘Rogue elements’ within the Central Intelligence Agency (CIA) who provided former International Monetary Fund (IMF) Chief Dominique Strauss-Kahn ‘firm evidence’ that all of the gold reported to be held by the US ‘was gone’

Upon Strauss-Kahn receiving the CIA evidence, this report continues, he made immediate arrangements to leave the US for Paris, but when contacted by agents working for France’s General Directorate for External Security (DGSE) that American authorities were seeking his capture he fled to New York City’s JFK airport following these agents directive not to take his cell-phone because US police could track his exact location.

Once Strauss-Kahn was safely boarded on an Air France flight to Paris, however, this FSB report says he made a ‘fatal mistake’ by calling the hotel from a phone on the plane and asking them to forwarded the cell-phone he had been told to leave behind to his French residence, after which US agents were able to track and apprehend him.

Within the past fortnight, this report continues, Strauss-Kahn reached out to his close friend and top Egyptian banker Mahmoud Abdel Salam Omar to retrieve from the US the evidence given to him by the CIA. Omar, however, and exactly like Strauss-Kahn before him, was charged yesterday by the US with a sex crime against a luxury hotel maid, a charge the FSB labels as ‘beyond belief’ due to Omar being 74-years-old and a devout Muslim.

https://i2.wp.com/www.odt.co.nz/files/story/2008/09/prime_minister_vladimir_putin_holds_a_tranquilizer_4014831664.JPG

In an astounding move puzzling many in Moscow, Putin after reading this secret FSB report today ordered posted to the Kremlin’s official website a defense of Strauss-Khan becoming the first world leader to state that the former IMF chief was a victim of a US conspiracy. Putin further stated,

“It’s hard for me to evaluate the hidden political motives but I cannot believe that it looks the way it was initially introduced. It doesn’t sit right in my head.”

Interesting to note about all of these events is that one of the United States top Congressman, and 2012 Presidential candidate, Ron Paul has long stated his belief that the US government has lied about its gold reserves held at Fort Knox.  So concerned had Congressman Paul become about the US government and the Federal Reserve hiding the truth about American gold reserves he put forward a bill in late 2010 to force an audit of them, but which was subsequently defeated by Obama regime forces.

https://i1.wp.com/www.redicecreations.com/ul_img/11500fortknox.jpg

Is There Gold in Fort Knox?

When directly asked by reporters if he believed there was no gold in Fort Knox or the Federal Reserve, Congressman Paul gave the incredible reply,

“I think it is a possibility.”

Also interesting to note is that barely 3 days after the arrest of Strauss-Kahn, Congressman Paul made a new call for the US to sell its gold reserves by stating, “Given the high price it is now, and the tremendous debt problem we now have, by all means, sell at the peak.”

https://i1.wp.com/www.edrugsearch.com/edsblog/wp-content/uploads/2009/07/drug-reimportation-ron-paul.jpg

Congressman Ron Paul has long stated his belief that the US government has lied about its gold reserves held at Fort Knox

Bizarre reports emanating from the US for years, however, suggest there is no gold to sell, and as we can read as posted in 2009 on the ViewZone.Com news site:

“In October of 2009 the Chinese received a shipment of gold bars. Gold is regularly exchanges between countries to pay debts and to settle the so-called balance of trade. Most gold is exchanged and stored in vaults under the supervision of a special organization based in London, the London Bullion Market Association (or LBMA). When the shipment was received, the Chinese government asked that special tests be performed to guarantee the purity and weight of the gold bars. In this test, four small holed are drilled into the gold bars and the metal is then analyzed.

Officials were shocked to learn that the bars were fake. They contained cores of tungsten with only a outer coating of real gold. What’s more, these gold bars, containing serial numbers for tracking, originated in the US and had been stored in Fort Knox for years. There were reportedly between 5,600 to 5,700 bars, weighing 400 oz. each, in the shipment!”

https://i0.wp.com/presscore.ca/2011/wp-content/uploads/2011/06/tungsten-blanks.jpg

Chinese officials were shocked to learn that the bars were fake. The gold shipment contained a tungsten core with a thin coating of real gold. These tested gold bars originated in the US and had been stored in Fort Knox for years.

To the final fate of Strauss-Kahn it is not in our knowing, but new reports coming from the United States show his determination not to go down without a fight as he has hired what is described as a ‘crack team’ of former CIA spies, private investigators and media advisers to defend him.

To the practical effects on the global economy should it be proved that the US, indeed, has been lying about its gold reserves, Russia’s Central Bank yesterday ordered the interest rate raised from 0.25 to 3.5 percent and Putin ordered the export ban on wheat and grain crops lifted by July 1st in a move designed to fill the Motherlands coffers with money that normally would have flowed to the US.

The American peoples ability to know the truth of these things, and as always, has been shouted out by their propaganda media organs leaving them in danger of not being prepared for the horrific economic collapse of their nation now believed will much sooner than later.

%d bloggers like this: