Why Money Is Now Pouring Into Hard Assets All Over The World
October 20, 2012
On the heels of the latest jobs data, today Michael Pento writes about the incredible challenges that central planners face in Europe, the US, and China. Pento has been incredibly accurate regarding his predictions in these areas. He also states that “To accomplish the goal of achieving a real rate of return on investments, after taxes and inflation are considered, history proves that can only be supplied by owning hard assets.”
Michael Pento writes exclusively for King World News to let readers know what to expect next. Here is Pento’s piece: “The economies of Southern Europe continue to experience extreme duress. For example, the bad loans of Spanish banks jumped to 10.5% in August, which is up 17 straight months, and has increased from just .72% at the end of 2007.”
Michael Pento continues:
“However, the answer provided by governments and central banks to propel the economy is to create more of the same condition that brought about the problems in the first place. That is, to increase the level of base money in the hopes of increasing the rate of broad money supply growth and inflation.
But despite the fact that inflation is already growing at 2.6% in the Eurozone, Mario Draghi is still promising to do whatever it takes to dilute the Euro’s purchasing power and create more inflation….