This week there will be a meeting between G20 leaders and central bankers in London to save the world economy.

Let us make it very clear – the meeting is bound to fail. There is no chance that the G20 leaders will reach an agreement that will save the world economy. Even two world leaders can’t agree on how solve the biggest global financial crisis that the world has ever encountered, never mind twenty.  Each one of twenty leaders has a different political agenda and they will all blame each other, so there is no possibility whatsoever that the meeting will result in more than the normal platitudes about cooperation  to
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GOLDEN TIMES AHEAD
BUT ONLY FOR OWNERS OF PHYSICAL GOLD
by Egon von Greyerz
In this month’s newsletter we will discuss why physical gold is the most important and probably the only asset to protect investors’ wealth from total destruction in the next few years. Gold will not only preserve investors’ wealth, it will also continue to greatly enhance their wealth just as it has done for the last ten years. In 2002 Matterhorn advised investors to put up to 50% of their liquid assets in physical gold. Since then gold has appreciated over 200% against most currencies. But we believe that the big move in gold is still to come as we
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The bankrupt saving the bankrupt
by Egon von Greyerz
Who will save the UK?

Last month we said that the UK will follow Iceland in a hyper inflationary financial depression. Just one month later our predictions are being confirmed both by events in the UK economy as well as by forecasts from the IMF several economists and money managers.
If we look at the chain of UK debtors, every link is on the verge of bankruptcy.

The UK consumer debt is higher than GDP and unsecured personal debt is twice the level of the rest of Europe. The UK consumer debt has been built up during good times and there is no possibility that this
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2009 – A YEAR OF MONEY PRINTING,
INFLATION AND FINANCIAL TURMOIL
by Egon von Greyerz
In our December 2007 report we forecast “a major recession or depression for the world economy in the coming years” as well as “serious problems in the world’s financial markets with the banking system fighting for survival.”
Sadly this has all come to pass but the trends that started in 2008 are only the very beginning of a major change of trend that will dominate the world economy for many years. It will be devastating and life changing for most of us but there are ways of easing the pain by taking the right decisions which we will discuss
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GOLD MARKET UPDATE
Gold had a significant break on Friday 21 November. It broke out of a trading range to a closing high of $ 800.
But more importantly Gold made new weekly closing highs in many currencies including the Pound and the Swedish Kroner and the Euro. Whilst the world’s stock markets in 2008 have lost between 40% and 70%, gold has gained against all major currencies except against the dollar. The table below summarises Gold’s performance in four currencies. Since the lows in the second half of 1999 Gold has gained between 169% and 242% in these five currencies or 18% to 26% annualised.
Gold has also outperformed all major stock
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“There is a tide in the affairs of men Which taken at the flood, leads on to fortune. Omitted, all the voyage of their life Is bound in shallows and in miseries. On such full sea are we now afloat. And we must take the current when it serves, or lose our ventures”
W. Shakespeare, Julius Caesar, Act 4

FORTUNE OR MISERIES

The current financial crisis will have a major impact on virtually every person in the developed world as well as in the developing world. We are today standing at crossroads in our personal lives and affairs. The decisions we take today will either lead us to “fortune” or “miseries”.
Do not for
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