4:47AM PDST GOOD MORNING GOLD BUGS!

TODAY'S REPORTS: Housing starts Consumer sentiment Gold has fallen $27 since midnight pdst with very weak rallies on the way down. One futile debate right now is over deflation vs inflation. We all SHOULD KNOW that inflation is built into the system with the influx of all this new FREE PAPER MONEY just created. INFLATION IS THE INCREASE IN THE MONEY SUPPLY. The slowdown in the economy due to all the losses in equities and collapses of major financial institutions is causing a slowdown in the economy, if not the beginning effects of a total collapse which is all but certain and is in the PROCESS of happening. It doesn't just happen all in one day like we have been told the Crash of 1929 happened. Somethings happen in one day, but the results of those sudden crashes then take time to filter through the system as a heart attack slowly kills the body. DEFLATION IS THE DECREASE IN THE MONEY SUPPLY. We are not suffering deflation. This is a slowdown in the economy due to a lack of consumer activity, and the lack of productive capacity which we shipped out of the country long ago. We have been living on consumer gluttony and cheap credit for many years now....AND IT IS NOW OVER FOR GOOD! We ARE suffering from STAGFLATION...where the economy slows, but the prices of everything keep rising because of the flood of new money in the system. This is almost as bad as deflation where prices fall and no one purchases anything waiting for better prices to use their dollars to buy cheaper goods You should read the Gary North articles I posted and the many links he provides. Gary is one of the smartest, and earliest, providers of good info you can read. He is way out in front of the crowd, and therefore, is not paid attention to soon enough, but he is usually correct in what he says eventually. As I type this, gold is dropping below 790 and approaching yesterday's low at 78670. These are buying opportunities and should be bought as you average your purchases of gold IF gold continues to fall, as there will be a point where it will reverse in a flash as the ultimate low is reached and it becomes obvious that gold is the only thing that will save your life as the economy, and our culture, begins to crumble beneath our feet very rapidly. When the panic begins, it will be much too difficult to get in your supplies. You will only want to hunker down in your home and pray the violence doesn't invade your personal space. As for leaving home to get supplies or go to work (if you still have any), that should be an increasingly dangerous event. You will look back on this period as merely the end of tolerable times, and the beginning of our descent into hell.