Without any public attention, the US government debt ceiling has been increased by another $1.2 trillion. This not a small number; one trillion has twelve zeros behind one. So the total government debt has jumped to $16 trillion. How much is it? Very difficult to visualize the huge size of this number. It is just too big to think about. Let's make it simple. Suppose each person (7 billion of men, women and children) on the earth equally shares the debt, it mean everyone has the debt of $2300. If we are talking about the US persons only, then every one in the US will share $54000 debt now. Do you get the point? Will anyone with a right mind really think there is any way that the US government can ever pay back the debt? Don't be so stupid to even think about that! So what's the implication? Either the US government declares bankruptcy to wipe out the debt or it has to print the money to inflate away the debt. Almost for sure, the latter is the way to go. Looking around not only in the US but all the countries in the world, which one is not printing money? Even Switzerland is doing so. That's why gold has been appreciating 11 years straight and will 100% continue with the trend. Most important, gold is increasing its value against all the paper currencies. No exception!
Look the chart below for the past 5 years: gold has increased by 153%, compared with 7 major currencies (FXA-Austrialia, FXE-Euro, FXC-Canadian, FXY-Japan, FXF-Swiss, FXB-British, and UUP-US$). The best currency (Jap Yen) is only 1/3 of gold's growth. The US$? The worst performer in the past 5 years!
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