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Current gold and silver prices are begging to be exploited while the propaganda machines stay hard at work trying to convince us that everything is just fine.

July 01, 2011 – Current gold and silver prices are begging to be exploited while the propaganda machines stay hard at work trying to convince us that everything is just fine.

Hooray for Greece! They have promised austerity in exchange for another handout! Just don’t look too closely at the books or ask the population what they really think of it. Then again, it is after all, only a promise – and government promises are meant to be broken.

Our government, however, has the experience of the cold war behind its propaganda machine, and they are darned good at the game. The Fed was a quick learner, and with the government’s blessing it invented the cockeyed statistics that made the credit bubble possible. Corporations, now indistinguishable from the Fed, have picked up the torch.

“A new report from TrimTabs, the investment analysts, has blown the whistle on what really went on behind the stock-market ‘boom’ we saw in the first quarter,” says Brett Arends in MarketWatch. It seems that $124 billion of that boom came from the companies themselves, buying back their own stock.

That alone might not be interesting, but the execs of those companies weren’t buying. “We’ve never seen such a sharp contrast between what insiders are doing with their own money and what they’re doing with the money of the companies they manage,” says Charles Biderman, TrimTabs’ CEO. “While insiders are willing to use corporate cash to try to support the value of their stock-based compensation, they don’t seem to think their stocks are attractively priced.”

We must give credit where credit is due. Mr. Bernanke’s low interest policy allowed these companies to float $100 billion in credit over the first three months of 2011. Some used that cheap cash to fatten dividends so they could lure in more investors. Others used it to buy their own stock to fatten their bonuses. Very little of it went to bolstering the economy. And today the nonfinancial corporate debt is nearly 11% higher than it was at the peak of the credit bubble.

It is all a game, and Americans are awakening to that reality. We are already tapped out, and we are beginning to see that the government is not so far behind. Propaganda works for just so long, until what we observe belies what we are told. We are beginning to understand that before we can rebuild, the status quo must first collapse.

We know that gold and silver investments today will see us through tomorrow, and we know that gold and silver prices will never be better than they are right now.

Shannon King

Senior Staff Writer – GoldSilver.org

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