Wednesday, September 29, 2010

John Paulson's Scary Speech: Double Digit Inflation By 2012, Gold At $4,000

John Paulson scared the pants off of a packed audience at New York's University Club recently as he warned them of huge changes in the economic environment in the years to come.
“If you don’t own a home buy one."
”If you own one home, buy another one, and if you own two homes buy a third and lend your relatives the money to buy a home.”
Paulson has been bullish on housing for a while now (he runs a housing recovery fund), but this is him hitting super-bull territory. His reasoning is that home prices are great, the bond market is dead, and commodities like gold, which he also has a big prediction for, are on the rise.
According to InfoWars, he told the audience that he thinks the price of gold will hit $2400-$4000. And a whopping 80% of his assets are in gold.
Given his expectation for further money printing by the Fed – and that in 1980 the gold price rose by 100% more than the correlation implied – Paulson noted that the price of gold could hit $2,400 based only on monetary expansion, and as high as $4,000 per ounce based on a projected overshoot.
Lastly, he noted that 80% of his assets are denominated in gold.
We rarely get to hear Paulson's opinion on the market unless it's filtered through his stiffer research reports. As a result, he has never been so extreme in his predictions as he seems to be now.
Here's what Paulson sees coming:
  • Low double-digit inflation by 2012, killing the bond market, and restoring strength to equities and gold.
  • 2% GDP growth for 2011 and 2012
  • Gold hitting $2,400 to $4,000
It's worth noting that if gold goes to $4,000, Paulson will be a top contender for the richest man in the world.
Read more: Here..

Trucking Volume Plunges 
Trucking serves as a barometer of the U.S. economy..

How Realistic Is $5,000 Gold? 


  1. Gold at 4,000 pretty much means the dollar is toast. Do I want to buy extra houses so I can be unable to pay the bills until then? Or are these to be used as fortresses?

    John Palsy, what a fool. This guy's inability to hold congruency with actuality makes me wonder about the interests of the editors of some of these publishers. Wallstreet Journal, Businessinsider, whatever it may be must push these people into platforms like that to make people act out accordingly.

    Anyone left in this world that still hates greed? No, not the Marxist kind that want to rob the people and give the money to the government. Is there anyone out there anymore who hates lies, material obsession, greed, perversion, mind benders, manipulation, blind leading the blind, and violence? ANYONE!?

    I'll hang in here for another year maybe, if nothing happens I'm just going to eradicate my existence.

  2. While you're at it, buying 2-3 more houses, go ahead and buy a couple of big SUV's, a second motorboat, some ATV's, and a summer cottage on the coast of florida. I hear that tourism and fishing down there is stupdendous. No doubt housing prices are going to rebound any day now....

  3. While I have some emergency fund gold, I wonder how you'd be able to sell a huge surplus. If you're just bartering, you don't need all that much. I mean if the dollar is useless, why would you trade your gold for useless dollars?

  4. 1:06 -

    At that stage of economic churn gold would be your monies! Fiat is now and will soon be dead. of self defense !!

  5. Just remember--even if you buy a property free and clear, it's truly not free and clear because of property taxes--which can be increased. I see a day when many people will be homeless and will be forced to rent any place they can get...going back to truly peasant status. These times, they are a changin'. Our way of life is going to change drastically and will be a shock to many. Most truly don't know what's coming. Or--we'll be living in our cars (if they are paid for, that is) Get out of debt asap.

  6. 5:59 you at least seem to have a sense of what the deal is, not like the gold bugs.

    Man ANYTHING you think you own can be taxed away or taken if "needed", from your so called "owned" home or car, to your guns and ammo. And a lot of good that stuff you may have will do you when your dead cause you "fought for whats mine".

    There are so many fkn laws now out there that I'm sure I commit at least 3 misdemeanors and 2 felony's a day with out knowing.

    And seems these so called law enforcement groups keep creating more as we sleep. After all they all seem to think they're part of DOD now as the 5th branch of the military.

  7. I can't stand the law enforcement groups and the government fines/surveillance they have up everywhere. EVERYTHING is illegal and the stupid fuck sheep always go along with it claiming it is for "safety" and if you aren't doing anything wrong you shouldn't complain.

    Cops and politicians hate being held accountable for anything and won't actually submit to the same type of surveillance and checking. They know better than to leave anything at the discretion of another person.

    There is no place for a police state in an allegedly democratic, free society. Socrates warned about this thousands of years ago. Those Ancient Greek philosophers were far more brilliant than I recognized since they foresaw all the problems we go through now and warned against them. The founding fathers also probably had similar ideas and definitely wouldn't have wanted what this country has become, in fact they fled UK precisely because of what it had become and wanted something different.

    Jefferson especially hated banks and corporations and warned against them having any power. This country has become a total joke.

  8. so, he's saying, "buy from me."

  9. yeah-runs a housing recovery fund-so's best interests to make a sale of his snake oil lol
    buying now could be more then a mistake as it seems some-JPM GMAC, can't prove deed and falsifying court summons and notices buy buy buy is his yell as I'm thinking he's worried and just waiting to get out of housing on any uptick...
    Gold up, economy down..oh well :))

  10. I'm to lone beliver. I agree, homes are the best hedge against inflation. first off I"m talking about homes that have dived 80% off their highs. Homes that are half the price they where in 1999 before the run up even began. I have to agree with the writter. Buy a home, or homes. I am, free and clear. If the dollar dives who wants their cash in the bank, if the FDIC goes under, who wants to lose. I get 18-22% return on my cash homes. So even if rents go down more, I'm ok.
    Keep an open mind folks ! All my 11 homes are in california too, 4 I picked up for mid 50k range. YES..and rent for ove 1,000 each. Do the math. It's fine, we all have to choose a direction. Cheers Cheri

  11. At 9:58 pm, I hope you don't eradicate yourself. Find something to hold on to and live on. I understand your frustration. As a student of history, I can tell you that the world has ALWAYS been this way. The troubles we are seeing in the world today are not original. They've always been there. Humans are pieces of shit, and have been treating each other like crap since 2 people walked the earth.


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