A Bull in a Silver Shop
Source: The Daily Reckoning, Mogambo Guru (10/5/09)
"Legislators were almost embarrassingly ignorant of how the financial system works."
He noted that "These people who were often truly not worthy of the education they received rose to the top of companies such as AIG, Bear Stearns and Lehman Brothers and all levels of our government. All of this behavior supporting the aristocracy," he says, "only ended up making it easier for me to find people stupid enough to take the other side of my trades. God bless America."
This goes along with an article in the St. Petersburg Times about Tom James, chairman and chief executive of Raymond James Financial, who had "some tough words for the wizards of Washington, DC who oversaw the $700-billion bailout package."
He reports, "The Brave and Wonderful Mogambo (BAWM) was right all along! Those government weenies are the biggest freaking morons you ever saw, and we as a country should be ashamed of ourselves for having elected such corrupt, half-witted, utter failures and congenital idiots!"
As you have probably guessed, he did not say those exact words, but he implied every syllable when he said, "Legislators were almost embarrassingly ignorant of how the financial system works." It's actually beyond scary, in a terrifying kind of "ain't-nobody-buying-nothing-in-a-consumer-economy" kind of way.
Well, maybe not all buying is drying up, as silver market analyst, Ted Butler, reports that in the last 10 months, "some 150 million ounces of silver can easily be documented to have been bought by investors. Undocumented purchases would add tens of millions more ounces."
When you add it all up, "Investment demand for silver this year is running at a full 25% of world mine production and over 20% of total production (including recycling). This is a remarkable historical turnabout." Butler also notes that the gold/silver ratio is at more than 80, which is "one of the biggest differences in history."