October 5, 2009 – Our government blatantly lied about the health of some corporations that received large sums of taxpayer-provided stimulus money, and the fallout from this revelation led some investors to liquidate their gold bullion holdings this morning. According to Bailout Special Inspector General Neil Barofsky, Treasury Department officials created "unrealistic expectations," when they deemed their first bailout beneficiaries to be healthy. Government officials claimed at the time that these benefiting entities would be in the perfect position to lend more assistance to less fortunate companies. Each time our government’s malicious shortcomings are laid bare, gold bullion investors cringe, because raw metal investors were extorted by a backhand gesture from our government, when gold was confiscated from U.S. citizens in 1933. Our government is desperately searching for a viable solution to our nation’s financial problems, and gold bullion holders fear the implementation of second gold confiscation.

Barofsky said in his most recent audit that the benefits of the bailout package, which initially provided $125 billion to nine major banks, is questionable. When American citizens question the motives of our government’s financial decisions, many feel more comfortable investing in privately held goods, instead of government regulated markets or accounts. Many investors fear that the entire stimulus plan is merely a “Trojan horse,” meant to redirect consumers into traditional markets. Some investors would prefer to keep the Obama administration at arm’s length, but government intervention into the financial markets could make this a fruitless task. Many gold investors are worried that our government could recall gold bullion and artificially manipulate its price, as was done by President Theodore Roosevelt in 1933. Investors are increasingly uneasy about our government’s mysterious plans, and some of these investors are selling their gold bullion before the government attempts to confiscate it again.

From 1933 to 1973, investors were not allowed to own gold bullion products. Today’s bullion investors, who would otherwise be forced to give their bullion to the U.S. government, are encouraged to explore other options. Gold bullion could be a wise investment if a hold of 1 to 14 months is planned, but investors who plan to hold long-term may be more aptly matched with certified gold coins. Investors who are interested in learning more about certified gold coins should visit www.certifiedgoldexchange.com for a free gold tutorial. 

Daily Updates Archive

Jonathan Monroe

Senior Staff Writer - Gold-Bullion.org