Tuesday, September 29, 2009

Where will capital flow during a time of a systemic crisis? Since 1971, capital has moved up this chart. Now it is reversing. Capital will flow into government bonds , treasury bills, physical cash, and ultimately its final home , gold. - via ZeroHedge

gold

Alexander the Great, tutored by Aristotle, perhaps the richest and most powerful man in the world before the age of 33, was interred in a gold sarcophagus and solid gold casket filled with honey and transported by a solid gold chariot to a solid gold mausoleum in Memphis. It did not take long for various Ptolemy successors to steal the gold and move the body to Alexandria to put it on display under glass, with gold thefts every time it was moved or displayed.

Practically every war included the surreptitious movement of gold from the vanquished to the conquerors, providing stories of Chinese, Indian, Mesopotamian, Egyptian, Israel, Knights Templar, Arabic, Spanish, French, Revolutionary, Civil War, Philippines, Nazi, Korean, Vietnamese and Iraqi gold hoards accompanying inflation.

Since gold is ultimate money and power, is it any surprise Mercantilist Bankers and Treasurers tried for many thousands of years to get or control it?

This is a great conversation going over at ZeroHedge - I suggest you read this post along with all the comments.

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