Jim Rickards - Financial Equivalent of the Atomic Bomb on Eric King's King World News

To hear the recent in-depth interview with Jim Rickards on King World News CLICK HERE

Jim Rickards - Financial Equivalent of the Atomic Bomb

There are legitimate concerns over the safety of citizens in the event of a financial collapse in the United States where confidence is lost and the dollar plunges. We are mired in a depression, and the central planners continue to look for solutions to keep the monetary system from completely buckling. In his latest interview, Jim Rickards warned of a coming financial catastrophe and civil unrest. This was a portion from that sobering interview:

July 1, 2010

Jim Rickards: "But that could be a very chaotic process...Some people did die, there were riots in the streets. I mean people think that this is far fetched, and there is always the attitude that it can't happen here. But I know in my own lifetime you know in 1970 and '71, I mean I saw armored personnel carriers with armed troops in the streets of Georgetown, tear gas on the mall, civilians rounded up, and there weren't enough jails to put them in, so they herded them into RFK Stadium. I mean this sounds like scenes from Allende's Chile, but they were actually scenes from the Nixon administration from Washington in the early 70's."

Eric King: "Those people that were rounded up, that was in the tens of thousands wasn't it?"

Jim Rickards: "Correct, right, this is not fantasy, this is not fringe thinking. These are concrete facts. I mean I saw them with my own eyes, I don't need a historian to tell me what happened. I was there, and when you tamper with very fundamental things such as the value of your currency which everyone uses to make all of their investment decisions, all of their economic decisions, all of their job decisions, people are basing all of that on a unit of value and when you undermine the unit of value you undermine the entire economy, and from that you can very easily slip into civil disorder. It's fair to give people warning about that."

As mentioned in Jim Rickards interview with King World News, this week, here is the promised link to his 40 page piece “Economics and Financial Attacks” - (Attacks in this line of operation include targeting or acquiring sensitive financial, trade, or economic policy information, proprietary economic data, or critical technologies, and the potential impact to national security.)

Jim was asked not only to attend, but also to put together the above piece, be a speaker, and to sit on discussion panels at the high level Unrestricted Warfare Symposium. This was a gathering of the leading figures from the military intelligence community.

Jim gives a hypothetical description of the Russian Central Bank introducing a gold backed currency which would cause an overnight massive devaluation of the US dollar. Jim described this as the financial equivalent of the atomic bomb.

Eric King

KingWorldNews.com

Strength In Gold A Surprise To Many Traders
We stand at a moment in history which is characterized by the decline of Keynesian economics, and a reminder globally that paper currencies are inherently worthless. As confidence continues to erode, central planners are looking for a fix, and finally we are seeing discussion in the mainstream media that we will have some form of a gold backed currency.

June 30, 2010

Although gold has pulled back off the highs, sentiment is anything but giddy among retail investors. Gold stocks have lagged the price of gold, and many quality juniors are trading for next to nothing.

Many professionals are looking for a correction or even a significant decline in the price of gold. Yes gold is extended, but bull markets can get overbought and stay overbought. What would make for an interesting summer is for gold and gold shares to take off to the upside catching many professionals by surprise.

Let’s not forget silver. Yes silver is about $2.50 from a hitting a new high in this secular bull market, but silver can move violently so that could happen quickly.

Consolidation is coming to the mining sector. Many quality juniors will be taken out by mid-tiers and majors. The interesting thing is that many less experienced investors are selling out of their juniors right before this consolidation takes place.

Remember that bull markets always surprise on the upside, so never give up your position. If you are afraid of your positions because you think gold will fall you have missed the point and probably will never make any money in the markets.

Buy and hold during secular bull markets and stop worrying about gyrations in price.

Eric King

KingWorldNews.com