I Knew I Should Have Bought Gold

February 2, 2010

All should be moved by the following dramatic picture and eye-popping gold price charts. The first is an actual photo of currency traders in Sao Paulo, Brazil in early 1999.

The chart shows how the Brazilian currency (called the "real") price of gold soared nearly 80% in a two week period in January 1999. I believe the US dollar price rise of gold will be equally dramatic, violent and without notice sometime during the next 6-8 months.

Economic and monetary crisis overwhelmed Brazil - as it did a few years later to Argentina and twice in Venezuela...and is a 'preview' of what the US may well see during 2010

To use apropos Chinese cliché, "a picture is worth a 1,000 words"

--------BRAZIL JANUARY 1999

“Eu sabia que devia ter comprador ouro!”
"I KNEW I SHOULD HAVE BOUGHT GOLD”

This Brazilian picture will likely be replayed in a theater near you…in the not too distant future. ....around the globe in all countries.

--------VENEZUELA JANUARY 2002

Yo sabia que debia haber comprado el oro!
"I KNEW I SHOULD HAVE BOUGHT GOLD”

The price of gold denominated in Venezuelan Bolivars soared 800% in six years…that’s +133% per year for 6 years.

--------ARGENTINA JANUARY 2002

Yo sabia que debia haber comprado el oro!
"I KNEW I SHOULD HAVE BOUGHT GOLD”

The price of gold denominated in Argentine Pesos soared 125% in less than TWO MONTHS.

--------VENEZUELA JANUARY 2010

Yo sabia que debia haber comprado el oro!
"I KNEW I SHOULD HAVE BOUGHT GOLD”

To be sure, the Venezuelan nightmare began 9 years ago. Since then the Bolivar value of gold has soared +1,240 percent, that's an average increase of +136% PER YEAR FOR NINE YEARS. See 9 year chart:

Consequently, one is either on-board...or left at the station with a bag full of fiat paper, wringing his hands and screaming his lungs out:

"I KNEW I SHOULD HAVE BOUGHT GOLD!”
“Yo sabia que debia haber comprado el oro!”
“Eu sabia que devia ter comprador ouro!”

However you want to say it, never leave home without some investment in precious metals. Your personal real wealth depends on it.

Unfortunately, by yearend some hapless investors who only listen to CNBC will be crying in their beer, mumbling,    "I cudda, I wudda, I shudda...

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© 2010 Copyright I. M. Vronsky - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

Founder of Gold-Eagle in January 1997.  Vronsky has over 42 years’ experience in the international investment world, having cut his financial teeth in Wall Street as a financial analyst with White Weld. Vronsky speaks three languages with indifference: English, Spanish and Brazilian Portuguese.  His education includes a degree in Petroleum Engineering from the University of Oklahoma, a Liberal Arts degree from Hartnell College and a MBA in International Business Administration from UCLA – qualifying as Phi Beta Kappa and Tau Beta Pi for high scholastic achievements.  Vronsky believes gold and silver will soon be recognized as legal tender in all 50 US states…and many countries worldwide.  You may reach I. M Vronsky at: vronsky@gold-eagle.com and/or vronsky@bellsouth.net

Gold has been discovered on every continent on earth.

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