U.S. Debt Reaches $18 Trillion; Surges 70% In Obama’s ‘Recovery’

Another major cause for concern should be the impending rise in interest rates. The ability of the U.S. to service its debt will be drastically reduced if rates move higher. Already a number of states have defaulted. The luxury of determining interest rates may not be one that the Fed will enjoy for very much longer. When rates do finally rise we may witness the default of the U.S..

If this spectre comes to pass – and possibly independent of it – there will be demand for a new store of wealth. History teaches us, regardless of our own philosophical or economic outlook, that gold will be one such store.

The BRICs countries are major purchasers of gold – both their people and their central banks. If economic influence is moving East it would be prudent to emulate them and acquire gold as a store of value. As always, we advocate allocated and segregated gold coins and bars in secure vaults and in safe jurisdictions around the world.

This continuing surge in the U.S. national debt means that the U.S. is now the largest debtor nation in the world – by a significant margin. This profligacy will be paid back by the American people, and most likely by people every where, in the form of higher taxes, higher interest rates, inflation and almost certainly currency crises.

This article is brought to you courtesy of Goldcore which appeared on ZeroHedge.

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