15 May 2014

Gold Daily and Silver Weekly Charts - What If?

There was intraday commentary on the dollar and gold/silver here.

This being the inactive month of May, nothing of note occurred on the Comex metals or the gold warehouses.

I had a few questions about 'confiscation' of precious metals again today, in response to the intraday comment.

It is one thing to recall your own currency, which in the 1930s was based directly on gold, and to a lesser extent silver, in order to devalue it.  And it is another thing to just go out and start confiscating purely private property en masse from a citizenry that is notoriously well-armed, and not favorably disposed to tyranny.

In the 1930s, how many people were actually prosecuted for refusing to hand over their gold?  Answer, one.  And this was a man who took the government to court in order to fight the constitutionality of the executive order.  Most of the gold was in the banks, and in circulation, and it was taken overnight, voila.   People were glad to cooperate because they were desperate, and they viewed these actions as equitable.

What if the government decided to give the weak and disabled a trip to the hospital for sterilization or a mercy death, and the ethnically disfavored train tickets to Nevada for resettlement? And tried to take away your children for re-education by the State?  What would you do then? What do you think would happen? 

What if the dollar was devalued 1000 to 1, and the $2,000,000 you had put aside for your retirement suddenly became $2,000.  What if the government confiscated your savings and gave them to the banks and gave you an IOU in return?  What if a meteor hit London, or the Yellowstone caldera erupted and took out most of the human activity west of the Mississippi?  What if...?

There are precedents for all of the above that make them possible, but life is a school of probabilities.

There are plenty of things worth worrying about.  And it does not hurt to have some contingency plans.  But it is better to focus on the real problems of the day, rather than to distract yourself with the sick pleasure of worrying about phantoms, and things that could be.  Since you cannot do anything about them, it is a form of escape, a way of avoiding the tasks and the issues of the day.  It is the narcotic of melancholy.

Take care of the day, and the years will take care of themselves.  Have a concern for the state of your soul, because one thing I can absolutely predict, without fear of error, is that all of us will one day leave this world, with nothing but our souls as we are.  Have a mind for that.

Have a pleasant evening.