Ken Gerbino Says There is No Credit Crisis and Gold Is Going $1500

Source:

...The dollar will continue to go down as the Fed has decided to save the banks and flood the country with as much money as is needed to handle their crisis (the banks).

(Ken Gerbino is a gold fund manager) The U.S. Press and just about everyone from Main Street to Wall Street have bought into yet another massive misunderstood concept. Misunderstood concepts are very dangerous to your financial health.

The sub prime mortgage melt down and future ramifications are very real and the major financial institutions associated with all the second and third level repackaging of this toxic paper are in big trouble. But the “crisis” is a hoax. Some big institutions lost a lot of money in their investment portfolios but this is not a credit crises.

The Fed, the Treasury, the European Central Bank and the British National Bank are all pumping in hundreds of billions of new money to bail out the banks not the economy. But the economy will certainly get “stimulated” by all the new money...

The dollar will continue to go down as the Fed has decided to save the banks and flood the country with as much money as is needed to handle their crisis (the banks).

Gold is going up because this “crisis” handling means inflation is going to come back, possibly at the highest levels we have ever seen in modern times...

In the present environment the banks investment portfolios are losing hundreds of billions and maybe as much as a trillion dollars eventually but the amount of money in circulation is increasing not decreasing. Therefore the so called “economy” will move on and the inflationary impact of all this new money on top of all the old money that has been shoved into the system will make inflation take off...

The authorities have no choice but to inflate or have some major institutions go down. Eventually this will be an inflationary disaster. Gold will most likely go to $1500 within a few years. If one takes $850 gold and allows for only a 7% increase a year for 5 years – the price is $1200.

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