From earlier this month, March 7, 2012 :
Silver investment demand in China soars
‘You have the Chinese sitting on a store of $2.5 trillion US of which they know is completely useless, so I think they are looking at gold, but also at silver as a store of value and a way to hedge against the decline of the US dollar,’...And also from around the same time earlier this month, March 8, 2012 :
China and India are the largest silver marketplaces globally. While unprecedented constructions and setting up of new factories are driving up the industrial demand for silver, rising gold prices is forcing people to opt for silver jewellery in place of gold jewellery.
Reputed American investor Jim Rogers is very well known to be pessimistic on American Dollar and mounting sovereign debt. He is a strong critic of wasteful American foreign policy. This policy spends too much money on unconstitutional militarism (being policemen of the world), and has very little to do specifically with defense of American borders against foreign invasions. This is quite a sobering assessment indeed.
Jim Rogers predicts lost decade ahead
“Prepare for another lost decade.” Due to the easy money policies of global central bankers, there will be little if any economic growth in the years ahead.Weak currency policies will result in higher inflation, and the unwillingness of global authorities — particularly the United States — to take needed steps has made Rogers gloomy.
In the case of the United States, eventually the Federal Reserve will be unable to maintain its low interest rate policies or finance the federal deficit by expanding its balance sheet. When this happens, Treasury bonds will have to compete for investment capital at market interest rates. This will send mortgages higher, devastating the real estate sector. Equities will suffer as fixed income instruments will offer much higher yields, as in the 1980s.
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