We’ve been telling you about this for months now, letting you know that things are not rosy at all; that there are no green shoots. As I write this, the UDSX is at 75.261 and dropping like a lead zeppelin (good for music, bad for economy). People are losing faith in the US Dollar, and the American People are going to feel the pain of that loss.
Gold is at all-time highs of over $1060/oz and silver is just under $18/oz.
Keep in mind that as the dollar falls, imported goods will become more costly, or will simply no longer be imported anymore. When you look at how much of what we consume comes from China and other Asian countries, it’s not difficult to connect the dots here.
On the other hand, a weak dollar makes exporting goods from the USA more attractive to other countries. But, I wouldn’t get too overjoyed at that prospect, because there’s a lot of financial pain coming our way first. And with the ever increasing taxes that the Obama administration will be levying upon us, it’s doubtful that many small businesses will be around to take advantage of the export opportunity.
We are heading into winter. Take a look at those things that you will need to make it through the winter. Stock up on anything that you can’t do without during the cold season, including what you need to survive if you have no utilities. Food, water, medicines, blankets, warm clothing, alternative heat, alternative cooking, etc.
Take care to ensure that you’ll have shelter for you and your family this winter, even if you’re unfortunate to lose your home. These things don’t happen spontaneously, you have prior warning. These are the warning signs that you need to heed. Pray that it doesn’t happen, but be ready in case it does.
Plan now. Prepared now. Survive Later.
The U.S. dollar index (DXY 75.25, -0.30, -0.40%) , which measures the U.S. dollar against a basket of six currencies, has lost 4% since Sept. 1, bringing its drop this year to nearly 7% and its level to a 14-month low.