I have a few choice comments regarding the situation for precious metals in the context of a geometrically skyrocketting stock market.
I just listened to a veteran stock market participant talk about the parabolic curve in the stock market.
Some people keep flooding in to the market for USD's and buying US Treasuries.
But, what happens in the context where the President's administration is under extreme pressure, including possible impeachment proceedings and even conviction?
No POTUS has ever been convicted in an impeachment proceeding, two have been impeached (Andrew Johnson and Bill Clinton) and one resigned prior to impeachment (Richard Nixon).
This IRS issue is the real deal guys. I listened to the entire hearing and listened very carefully to the parsed phraseology coming out of the IRS Commissioner's mouth. I also listened to the parsed phraseology coming out of the mouths of the Congressional representatives.
Then, I review the KWN postings where very established participants in the financial markets are ALL saying things about the criminal manipulations and misconduct.
The other day, Bill Gates was interviewed on Bloomberg and Gates himself stated that if state employee pensions were held to the same standard as private pension funds, the public pension fund managers would be held for fraud.
I thought the Bush 43 administration was laissez-faire with the banks and financial markets. This AG Holder is totally unable to function. He's lost.
Here's my prediction over the next 18 months.
This is going to run the course of Watergate. Check out the timeline from the Burglary in the 1972 election to the Congressional hearings and then the committee vote. The Senate hearings convened in 1973. The IRS targetting has been on-going for 3 years. I've been on this website complaining about the improper politicization of key agencies, the targeting of individuals by agencies, and the lack of check and balance in law.
This issue of the IRS is the tip of the iceberg. There's more coming down because they telegraphed it in yesterday's House hearing.
The Senate Watergate hearing issued its report in June 1974, after a one year process. This is going down the same way.
Going into the 2014 mid-term election, the President will lose all remaining credibility.
Politicians on both sides of the aisle will be asking "What did the President know, and when did he know it?"
You younger guys need to go read up on that history. The Congressional processes will be similar.
President Obama will need to appoint a "special prosecutor" to investigate the criminal wrong-doing in his own IRS. He won't like the report and will face a choice of either accepting the report and firing people, including key IRS/HHS interface people, or he will face the probability of resignation himself.
The Affordable Care Act is involved here. I have been posting comments to this blog for two years about the ACA actually being a federal government and state government grab for your personal medical information. I stand by that assertion and openly challenge people in the Administration or at least within DC to openly publish the rules for patient privacy.
The IRS manager involved with the targeting of "conservatives" is now the manager involved with the IRS implementation of ACA. In essence, she is the person involved with identification of problematic people and businesses in order to level IRS tax penalties on those people. My guess is that she will execute a financial death penalty on scores of businesses... I'd put it as "decimation"....one out of ten being destroyed by her.
This is EXTREMELY dangerous.
It is NOT acceptable.
It IS capable of destroying this great nation and IT MUST NOT STAND.
The Saturday Night Massacre may happen again. We might see the Obama Presidency seeing the AG/DOJ officers forced into resignation or being asked to leave.
If I was the President, instead of focusing on sexual misconduct in the armed forces, I would be focusing my attention on the Department of Justice's myriad of ethical issues including Guantanamo's continued operation, wire tapping, CFTC fraud, SEC fraud, MF Global and other theft, COMEX/CME fraud, fraud in the state / federal employee pension funds, not to mention IRS financial gestapo tactics, and the outrageous politicization of Benghazi's attack.
I've just mentioned 3 lines of criminal misconduct.
This is not the American way.
It might be the "Chicago" way, but it is NOT acceptable to have the DOJ causing the mayhem (to paraphrase Mr. Daly in 1968).
If the generation of US leadership wants any respect, they need to quit acting like this is 1968 summer of love and realize that the US is in great jeopardy of failing as a nation.
What happens if the Congress finds inappropriate conduct and evidence of criminal behavior at IRS and then does nothing about it?
The people will not stand for having their businesses and lives ruined by government run amok and agencies acting like the Nazi's in fascist Germany or the Italian fascists under Mussolini.
This will not be resolved by the ballot box in 2014.
The fact that some people can not handle the physicality of the situation is not a problem for just me, but is a problem for the 330,000,000 citizens in this great nation.
We the governed do not consent to mob rule and survival of the fittest as the direction of state governance.
This is a representative democratic republic and we should fight to save that principle.
Strongside, You have more faith in the system than I do. Today is very different than Nixon's time, besides the fact that the nation was already tired of Nixon by the time Watergate rolled around but it was a time of change a time of in with the new and out with old and corrupt.
Today more people are just interested in survival on a day to day basis, people are worried about their survival, how they are going to pay for their child's needs as they grow up and their education needs as they graduate high school and then if they can afford to send them to a university whether their child will be able to find gainful employment or if they too will be one of the more than 51% that can only find a part time job at best here in our once great nation.
I regret to say that I do not think anything will come fo this scandal as it is being accepted and if anything does come of it it will only be used as some political fodder or point of negotiation but to lead to impeachment of Obama, doubtful.
Thanks for your comments.
It was interesting reading your message. I hadn't reviewed this thread since it appeared few were interested.
The IRS targetting is one of the most serious abuses in "our system" in the last several generations.
In terms of "this scandal...being accepted", it is interesting that the GOP insiders are reported to have told Darrell Issa to "cool it".
But, Issa is correct in his effort to investigate and to hold accountability.
GOP insiders and thinkers show themselves to be more committed to their own minority position than in defending Constitutional principles. It's like they have been so convinced that their small piece of the power pie is so tasty that the chef is going to remove the pie piece unless they quit quibbling about the chef taking the pie pieces from the others at the table.
I think this IRS scandal and some of the other scandals are so significant that newer leadership is going to surface in both the GOP and the Democratic parties. If newer leadership fails to surface, then several years in the future (by 2016's Presidential election) the nation will have more severe political division and economic turmoil.
I hope that is not the case.
But, so far, in the wake of EVERY Presidential power struggle in the second terms, there has been an economic problem/shock event. This occurred from Nixon's second term (Watergate - slow down in Ford/Carter years), Reagans second term (Iran Contra - the slow-down happened on Bush 41's watch), Clinton (Impeachment - dot-com/stock crash), and Bush 43 (9-11 and 2 wars - 2008 great depression).
Obama hasn't had the impeachment proceeding yet. It's not palatable to the sitting Congress who are more concerned about looking bad for their next election in 12 months.
They are probably just weighing the political risks and benefits of acting now versus after the 2014 election versus during the 2014 election cycle.