The Lebed story was a long time ago. I've been getting his emails the last 9 months...buying very few of his recommendations...but I will say he has been on a tear...many if not most of his picks have been doing well...even over the long term.
So you know I'm not a big fan of stock promotion...but if a person was a day trader...there certainly seems to be money to be made.
He's pretty bearish on the US Economy and dollar...and bullish on gold and silver. Below is this morning's email. It's something to think about.
Our economy has OVERDOSED on money printing. If you compare the U.S. economy to a heroin addict... we are at the point where you feel just about as good as you can possibly feel... right before you die from doing too much of it.
When BONU reached $3.50 per share the other day up 503% from my July 9th pick price of $0.58, I just had to send out an alert that the stock was at a top... because it had a market cap of $218 million despite the fact it had NO revenues. I called the top perfectly on BONU and now I believe the entire stock market is near a top... except for gold and silver stocks which will likely rise tens of thousands of percent higher.
I was in NYC on Thursday and stopped by the Rodman & Renshaw conference... and the people there looked high as a kite. The investment bankers on Wall Street are getting rich again... but have absolutely no clue what is about to transpire. They act like the financial crisis last year never even happened. They think Bernanke solved everything, our economy is perfectly fine, and a new secular bull market has arrived.
The prices of stocks can do ANYTHING priced in dollars... because our currency is not real, it's all an illusion. The Dow can go to 15,000 next year but if Gold also goes to $3,750 per ounce... the Dow will actually be down 58% priced in real money.
I am seeing countless signs every day that our stock market is in a BUBBLE and I have never been more bearish than I am right now. When you see natural gas, the fundamentally weakest commodity, bounce 25% in the past week and now airline stocks starting to rally... you know a major disaster is ahead.
There is an OVERWHELMING amount of excess liquidity sitting on the sidelines thanks to Bernanke holding interest rates at 0% for the past nine months. This money won't go into overvalued stocks forever. In order for stocks to continue rising, their fundamentals need to improve... but U.S. stock fundamentals won't improve until jobs are created.
NO jobs for the poor and middle class are being created. These are the people who Obama and Bernanke promised to help. Instead, Obama and Bernanke have stolen their money and transferred it to Wall Street. Goldman Sachs is getting ready to pay out $11 billion in bonuses this year when they produced NOTHING to earn this money. They simply gambled with Main Street's money just like they were doing before the collapse last year.
The major banks like JP Morgan that are short gold and silver... are trying DESPERATELY to manipulate gold and silver prices down. They think if they can hold gold below $1,000 and knock it down $10 or $15, the leveraged up hedge funds will get frustrated and sell it off to $900. It worked 3 times so far but I doubt it will work this time. The world is waking up and realizing that gold and silver are the only real safe havens.
It is my understanding that JP Morgan got the backing for their short positions though derivatives from China and now China is making plans to default on their derivative contracts. If this takes place, JP Morgan's short position in gold and silver will be exposed as a naked short position that must be covered.
The reason there is such a huge discrepancy between the paper and physical gold and silver prices is because of these naked short positions. Try to buy a 1 oz gold or silver coin on eBay and you will pay anywhere from a 5% to 25% premium over the spot price. This tells me the major banks have sold more gold and silver in the paper markets than what actually exists.
Some people are criticizing me saying our success in 2009 is only because the market has been doing so well. I have clearly proven that I have a real stock and options picking strategy that I have stuck with since 2005. If you don't see this by now... then don't judge me by my performance this year. Judge me by my performance once things get bad again.
I don't flip flop like everybody else out there. I see guys on CNBC like Dennis Gartman who say they are bullish on gold right after every rally and then bearish on gold right after every decline. They flip flop depending on which way the wind blows. I never flip flop, my strategy is for the long-term and it will stay the same until we see hyperinflation... which is just about inevitable at this point.
Most of America believes that because our country has operated with a huge national debt and increasing budget deficits for so long... we can just keep on doing it forever. Nothing can be further from the truth. Eventually interest rates will go up and when they do... just the interest payments on our national debt will be trillions of dollars per year.
I don't know how Obama could even be considering health care reform at a time like this. Obama needs to spend 100% of his time working to reduce the size of government and cut government spending. But instead, every action he takes is setting up a disaster down the road that we will never recover from.
I am waking up early Saturday morning and taking a train over to Washington DC for the 9/12 March on Washington.
You might think I want Obama and Bernanke to keep doing what they are doing because it guarantees our investment strategy will succeed... but here's the thing... even if they reverse course immediately we will still probably see $5,000 per ounce gold and $300 per ounce silver.
If they stay on the same path the dollar will become so worthless than we could see gold and silver go to billions of dollars per ounce. I don't want that to happen because at that point we will see civil unrest, food shortages, martial law, etc... and millions of Americans will be forced to emigrate. Nobody in their right mind wants to see that.
