Wednesday, July 21, 2010

Bernanke Sees Dark Clouds Approaching

The news in the market today is centered around Bernanke's testimony to Congress. 

He discussed the ominous economic data that he is receiving, (I discussed this data last week in Looking Under The Surface and Another Peak Under The Surface) and his comments sent the stock market sharply lower.

More importantly, he said he stands ready to battle the next downturn (using endless waves of printed dollars) should the economic data continue to underperform.

This is the scenario I anticipate for the second half of the year.

Assets across the board will fall as the economy continues its downward spiral.  This will provide a buying opportunity for investors before Bernanke enters the market with helicopter force.

His next round of Quantitative Easing (money printing) will be the catalyst for gold and silver's next explosion upward.

No comments:

Post a Comment