Greenspan Says Euro ‘Breaking Down’

I want every reader of my blog to read this.  Keep in mind these opinions are coming from a former Fed Chairman, in fact one the most visible and influential Fed Chairmen ever, if not THE most.  This opinion is not coming from  the blogosphere.  Having said that, us "lunatic fringe bloggers" have seen this coming a mile away.  Ignore Greenspan's warnings at your peril. 

http://www.bloomberg.com/news/2011-08-23/greenspan-says-the-euro-is-breaking-down-may-harm-stock-prices.html

No Gold Bubble

Greenspan also said that he did not think gold, which reached a record above $1,900 an ounce this week, was in a bubble.


“Gold, unlike all other commodities, is a currency,” he said. “And the major thrust in the demand for gold is not for jewelry. It’s not for anything other than an escape from what is perceived to be a fiat money system, paper money, that seems to be deteriorating.”

After leaving the Fed, Greenspan founded the consulting firm Greenspan Associates and has been a consultant or adviser to Deutsche Bank AG, Pacific Investment Management Co. and hedge fund Paulson & Co.

Again, put this into context.  As Fed Chairman, Greenspan was the master anti-gold evangelist.  He knew that confidence in the USDollar as the global reserve currency meant the price of gold had to be incessantly knocked down (i.e. price suppressed).  Even current Fed Chairman Ben Bernanke denied gold was money in a Congressional testimony.  When queried by Ron Paul why gold was stored in vaults as reserves on our nation's balance sheet, and why not diamonds, Bernanke lied and said it was due merely to "tradition", and that gold was NOT money.

Greenspan, Bernanke's predecessor, completely refutes Bernanke in this article.  It certainly appears central bankers only speak the truth when they are OUT of office, not while IN office.