GOLD AND THE MEDIA

It should strike you as interesting especially since the sell off in gold how many commentators stick an epithet on the end of gold to describe gold followers.

This is not new. 

Now we're not among the so-called goldbugs though we have followed the yellow stuff since even before it fell from its $800 pedestal in the early 1980s.

In fact, back when the stuff traded at $278 an ounce we used to fly to another state where there was no sales tax and a much lower premium to buy it for our clients. The point here is, we don't call the paper asset folks, equity bugs or bond roaches or derivative dermatophytes. Or how about subprime pimps?

You know the term goldbugs carries a derisive tone to it. It's one of those PC we're-better-than-you-and-we're-superior attitudes you see so often in today's media. A recent example is this article, "The Evil Fed and Gold Prices: Fear-Mongering Fail" by someone named Dee Gill from the website YCharts.

It's one more example of journalists and their haughty snobbishness. It's also an example of why more and more people today disdain MSM in particular and journalists in general. It's another gauntlet tossed down.

You don't have to be a so-called gold bug to question the reckless and feckless Federal Reserve policy of Big Ben. We've seen it before under Sir Alan. And chances are better than good we'll see it again.

We also know interest rates have been in a long term decline and that politicians and bureaucrats have screwed up mightily before. With rates as low as they are, inflation doesn't have to jump by much to cause major dislocations.

Too many apparently myopic members of the media seem to think it has to return to those early 1980's levels to hurt. It doesn't.

The other side of the coin is the phony government inflation numbers the media and its lackeys continually parrot. It's still early in the game, not so much for the price of gold but for the after effects of all the monetary easing madness.

Shakespeare in his great wisdom suggested decimating the legal profession first. If he were around today he might be inclined to rethink that order.