There are two issues dominating the financial world and a third that is only discussed in special reports. First is the Debt Ceiling debate, the President & Congress are facing off to gain political currency towards the 2012 Election while playing Russian Roulette with the AAA rating of the U.S. Warren Buffett of Berkshire-Hathaway told CNBC It’s just silly to do and we raised the debt ceiling seven times during the Bush administration and now in this administration, they’re using it as a hostage and you really don’t have any business by playing Russian roulette to get your way in some other matter. We should be more grown up than that.
The Second is Greece’s inevitable default potentially causing a prolonged domino effect in the European Union. Billionaire investor George Soros said in an editorial for the Financial Times on Tuesday, Greece is heading towards disorderly default and/or devaluation … A Greek default may be inevitable but it need not be disorderly. Soros is a known investor in metals mainly gold & also made his first billion shorting the British Pound in the early 90’s.
Finally, is the Global Demand on metals spear-headed by the emerging markets of China & India. This along with central banks becoming net investors of gold for the first time in almost 15 years is adding pressure to the price of metals continuing to push up in the last week. All of this is just part of what is driving investors to safe-haven investments like gold & silver.
The Summer Swoon is a great time to acquire metals for your Tangible Asset Portfolio, don’t miss this opportunity before it is too late.