Gold investment Good or bad story Telling?
by Douglas Stahl
“This isn’t a revolution. It’s a joke.”
This is a huge story for the People who invest in Gold or predict the end of our Financial System. So you have to just buy Gold instead. This was a whistle blower and one of the most important Gold Blogs in the world of Finance: “Zero Hedge.”
“I can’t be a 24-hour cheerleader for Hezbollah, Moscow, Tehran, Beijing, and Trump anymore. It’ s wrong. Period. I know it gets you views now, but it will kill your brand over the long run,” Lokey texted Ivandjiiski the founder of the Blog. “This isn’t a revolution. It’s a joke.” Colin Lokey revealed big news in Bloomberg this week. Colin Lokey a writer for “ZERO HEDGE”
Colin Lokey was outing “ZERO HEDGE”. Colin Lokey who for the longest time has played the secret writer and blogger for the popular extreme blog “Zero Hedge”. Zero Hedge modeled itself after the Movie “Fight Game” with Brad Pitt. The movie is about some outcast group of guys who have a secret club. All are rebels and all against the Establishment. It turns out to be a total lie. You see the Owners of Zero Hedge are quite the opposite. They are establishment. This quote outed their entire Branding Process for their Blog.
If you don’t know ‘Zero Hedge” you must not know somebody who invested in a lot of Gold over the last few years.
Gold Bullion, Gold Coins and anything to do with it. For the most part “Zero Hedge” has been a conduit filled with stories and reasons to buy Gold. Advertisers for many of the Coin Dealers sellers and people involved in Selling gold for years now have predicted the end of the World and the Financial System. Many stories say the “Jewish Bankers” are behind all the bad news. People went to the Website in droves to get the “so called inside Story”and how it was all gonna come tumbling down. The Financial System that is! The Blog and the people who invested in the Gold had been very successful and they made lots of money. But now we know the truth. Much of it is fiction and the author of it all has come clean.
“Zero Hedge” it’s idea and It”s future is more uncertain now.
As Gold prices went up from from 2002 to 2012. They went up big time. 628% So if you bought 100K of Gold walla you now had $628,000 dollars. Sweet!
Since then things have been going down.
Many of “Zero Hedges” Blog post are filled with “end of the world scenarios” and crazy stories about the Federal Reserve Bank. If you read them they would scare the hell out of you. It scared the hell out of me. It is like Armageddon for the Financial System. But like Craig Pirrong a Professor at the prestigious “University of Houston Business School said.” with this comment recently on his blog: “There is some interesting stuff and some scary stuff.”
When Lokey revealed this week that all the stories were staged and the lifestyle of the young guys weren’t as described in the blog. It was all made up. This was big. These guys weren’t living like outsiders as they portray in their anti-bank tirades. They live like Hollywood Movie stars. This is it as Lokey revealed this week. The stories were pre-baked and you could always count on then to boost the demand for Gold: Stories like. Russia Good. Obama an idiot. Putin is a superman. John Kerry is a Dunce. The blog boomed after the Financial Meltdown in 2009.
There is also something to learn from “Zero Hedge.”
What was fiction before some of it just might turn out to be true on some levels.
Lets not be so smug as to think we have solved our financial problems. We have not really solved or come out of the financial crises yet. Since 2008 the Banking World has stabilized but is on very shaky ground.
Europe for example used a “Special Purpose Vehicle” on its goal to mitigate Greek and Italian Debt. Without these bailouts the European Union would have failed. These Special Purpose Vehicles were big part of the type of Financial Engineering that took Enron down. Enron became the poster child for failed corporations that relied on Financial Engineering and volatile markets. One thing about Enron. They were obsessed with Special purpose Vehicles.
Will Gold Soar if World Markets Tumble?
Recently in Europe the European Union using them as agreements with other banks and people who who owe and who are owed money. New Capital infusions are involving many Banks too. This financial engineering is being used to buy back Debt from the Banks and inject cash into the system. Right now there are Negative Interest Rates in Europe and Japan. This is not good. So the System has stabilized but still being held together with “Special Purpose Vehicles”. Ouch!
Will it all ever go down and predicted in some many articles put out by ZERO HEDGE? If it ever goes down now it will be because of the mis-allocation of a resource called money. Money is not being properly priced now. Many now worry that little bubbles are being created in different asset classes. Low interest rates set artificially are being used to determine money and it’s use. Money is like a commodity in normal times. Demand pulls in more money like low interest rates do.
When will we get back to a one to one relationship in the pricing of money? Maybe some fictitious stories put forth on Zero Hedge will come true in the future. Maybe the Bankers and the Fed will run out of liquidity and some day it just won’t matter.
Or maybe just maybe. The world will be lead by the ideal of Yes we can do this. If the United States, Europe, Japan, China, can get this economy rolling again. This would really solve many of our debt Problems. Cash flow will increase values and that helps debt to Equity relationships.
Still it is hard to understand and Grasp the truth. When we read a post from one of the individuals who helped us all love Gold. It makes you ponder how much of of the fiction that is really gonna happen now.
In his own words: He wrote. “I can’t be a 24-hour cheerleader for Hezbollah, Moscow, Tehran, Beijing, and Trump anymore. It’ s wrong. Period. I know it gets your views now, but it will kill your brand over the long run,” Lokey texted Ivandjiiski.
“This isn’t a revolution. It’s a joke.”