Panic Exit Out Of Currencies And Into Gold & Silver

Finance and economic writer David Morgan thinks the global economy very likely could take a sudden turn for the worst.  Morgan says, “There is going to be a panic buy into the metals…and there is only so much to go around.   Here following is an interview with David Morgan.

The way things have gone from the 2008 financial crisis until now have only gotten worse. . . . I don’t think we are going to have a hyperinflation, but what I do believe is there will be a panic exit out of currencies.  That event will cause people to run for the most trusted money that exists, and that is gold and silver.  The other thing is you cannot have currency anymore.  That is a double edged sword because if you can’t have currency anymore . . . people will think if I can’t have currency anymore, guess what I can have?  Gold and silver, and they can’t get around that. . . .People that can think will go to the money of all time, and that is gold and silver.”

What could cause a sudden panic?  Morgan speculates, “One is some event in the bond market that people don’t see and most likely it is the U.S. bond market, but it could be in the Yen. . . .  Japan is so illiquid, and they have gone to basically the hyperinflation route that it is only a question of time and could start there.  It could start anywhere.  There is a bunch a kindling all over the bond markets, all over the debt markets all over the world, and one match could light it off.  I really don’t know where it is going to start, but I do know history teaches us that once the confidence is lost, you can’t get it.  That’s what this game is all about.”

On the gold price, Morgan says, “If you look at the ‘true money supply’ . . . and basically, the true money supply is the money in checking accounts and savings accounts . . . then, you take that and divide it by the amount of gold the U.S. Treasury says we have, which I question, and you come out with $10,000 an ounce gold, and that is without any credit being available.” 

Join Greg Hunter as he goes One-on-One with David Morgan of TheMorganReport.com. 

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Courtesy of http://usawatchdog.com/