On August 28th while the geographical area formerly known as Iraq descended further into chaos, President Obama announced to the world "We don't have a strategy, yet."
Growing political pressure from around the world, and growing dissatisfaction among domestic voters have shaken, and perhaps cracked, the German resolve.
While it may be no surprise that Republicans are preparing to yield on tax hikes, it should raise investor concerns the world over that a budget agreement will likely involve a Congressional surrender of its authority to set the federal debt ceiling.
Future historians of the European Union likely will ponder how democratically elected governments of once proud empire nations willingly surrendered their sovereignty without full and open discussions.
Gold held in the vaults of key central banks around the globe may not have been accurately recorded. A report issued last month in Germany has brought this issues to the fore.
The German economy is undoubtedly the powerhouse of Europe. As a result, an understanding of the developments within Germany can offer a strong indication of the path that the rest of Europe is likely to take.
At a time when complex financial instruments allow for the seemingly effective hedging of all manner of risks, why should precious metals, which involve considerable downside risk, continue to be attractive?
