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Sprott:  “What has me worried is we are in a financial system where the banking system is massively over-levered, where governments are massively over-levered, where entitlements cannot be paid, and so from an economic approach we all know that somewhere in the next 5 to 10 years it’s going to be a disaster.

Pensioners will be told, ‘You know that social security check we promised you, we can’t pay you that.  We’re going to have to cut it 20%, or we are going to have to change the retirement age.’  There seems to me nothing but problems because the central planners have organized everything to try to stem what should have happened starting in 2000 when the Nasdaq broke. 

We had a damn mania and they’ve been fighting it ever since.  And they end up creating one problem after another....

Continue reading the Eric Sprott interview below...


To hear what billionaire Eric Sprott & Rick Rule are doing with their own

money and which $10 billion company John Embry &

Dr. Marc Faber oversee click on the logo:

“So my outlook for the world’s economy is not strong.  We see a deep recession in Europe.  We see depression in many countries in Europe.  We see China slowing down, no growth in the (United) States.  I’m not optimistic about the economic outlook here.

Eric, one other thing I should comment on is what’s going on in the financial world.  There’s just nothing but financial chaos happening 24/7.  The central planners are always trying to deal with the next issue that they already know about, but they haven’t told us about.

I would suspect that we have bank runs going on in the periphery in Europe.  How anybody could leave money in a weak country’s banks is beyond me.  We saw what happened in Cyprus.  It was a disaster for the depositors.  I would imagine most people say, ‘It didn’t happen to me.’  Well, you know what, IBM, Microsoft, GE and multi-national companies, they operate in every country.  They saw what happened in Cyprus and you can imagine the CFO’s of those companies saying, ‘Oh my goodness.  Who’s next here?’ 

We all know who’s on the list of potentially who’s next.  You know they’ve got to be taking their money out of the banks.  That’s why we have that emergency G-7 meeting three weeks ago.  That’s why we are talking about a ‘banking resolution.’

Every time you hear the word ‘banking resolution’ just read the words ‘bail-in.’  That’s what they are talking about here because they have that template.  And I suspect it’s going to happen again.  I think when we get one more ‘bail-in,’ people are going to realize that having money in a bank is risky.

And knowing that the money will have to come out of the banks, just a little bit of it needs to go to gold, not that we need any more demand than we have by the way, but it will bring further interest into gold in my mind.”

This is the second in a series of interviews with Sprott that has now been released today which discusses the chaos behind the scenes that central planners are dealing with, the massive surge in demand for physical gold and silver, ongoing bank runs and what has him worried going forward.  Sprott also spoke about silver at length and much more.  In addition to the written interviews, the KWN Eric Sprott audio interview is available now and you can listen to it by CLICKING HERE.

The audio interviews with Eric Sprott, Dr. Stephen Leeb, Rick Rule, Gerald Celente, Jim Grant, Michael Pento, Egon von Greyerz, Andrew Maguire, Art Cashin and William Kaye are available now.  Also, be sure to hear the other recent KWN interviews which include MEP Nigel Farage, Marc Faber and Felix Zulauf by CLICKING HERE.

© 2013 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

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