Egon von Greyerz continues:  

“We talked about Spain last week and the problems in the Spanish banks.  Now the Italian banks are being attacked.  The Italian banks are down almost 10% in the last two days.  Also, spreads are widening dramatically in the German bonds.  

So, here we are as we have always expected.  Italy is next, just like Spain.  This is a never-ending story, Eric.  The problem is that investors are in denial.  People are not seeing the massive catastrophe that is just around the corner.  Most investors are living in an illusion that things will work out in the end.  So, we have Spain, we have Italy, Portugal, and the UK will also be a big problem.

Of course, at some point the dollar will crash.  This is when we will really see gold moving up.  All of this is still to come, which is why people should take advantage of corrections to accumulate physical gold and physical silver.  We are continuing to see very large flows of capital into physical gold on our end.... 

Continue reading the Egon von Greyerz interview below...


To hear legendary Jim Sinclair discuss which company he believes

is the best investment and why click on the logo:

“We are also seeing big money moving gold they own out of the banking system and into the vaults outside of the banking system.  People are simply not trusting the banks.

This is what we’ve been arguing for a long time.  As long as you keep your gold within the banking system, you do not know who the gold belongs to.  The gold could be encumbered.  It could belong to a central bank.  It could be double-counted by the bank.  This is why the smart money is taking their gold outside of the banking system and securing it in separate vaults.  We are also seeing large money flows into physical gold right now.

It should also be noted that the tax in India was repealed.  So, it’s expected that demand for gold will be very strong in India as well.  Chinese imports of gold can only be described as massive right now.  The Chinese and the Indians will continue buying physical gold.  The manipulation in the paper market has created strong demand everywhere.  This is why people should ignore the paper manipulation.”

When asked about silver, von Greyerz responded, “Right now people are scared of silver.  We don’t see the same type of activity in physical silver as we have seen in gold.  That’s understandable because volatility will sometimes make market participants take a step back.

We still believe that silver will move faster and higher on a percentage basis than gold.  It is just not a metal for the faint-hearted.  At some point silver will break through the $35 to $37 level and the rise will begin to accelerate once again.”

Von Greyerz also added:  “I have been totally consistent about the big picture.  There is no chance for the world to survive in its current state with the credit bubbles and the overspending.  The money printing is just around the corner from the Fed and from the ECB.

It is critical for investors to stay focused on the fact that there will be continued money printing, regardless of what kind of propaganda central planners are putting out there.  It will happen.  Without that money printing, there will be no banking system and central banks know this.  We will see, very soon, unlimited money printing.

KWN readers have to remember that we still have less than 1% of world assets in gold.  Investors around the world are going to be absolutely shocked at what’s going to happen before this cycle ends.  People remain in complete denial.”

© 2012 by King World News®. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.  However, linking directly to the blog page is permitted and encouraged.

Eric King

To return to BLOG click here.

© 2012 by King World News®. All Rights Reserved. This material may not be published, broadcast,

rewritten, or redistributed.  However, linking directly to the blog page is permitted and encouraged.

Subscribe to RSS
KWN Blog