This month’s Global Insider looks at precious metals’ recent pull down with the focus on perspective.

Perspective is seeing the bigger picture, not the nuances of daily gyrations.  In the last week we have seen the Vatican call for a world central bank administered by them. They deem nations can’t be trusted to sort out the financial mess; hence, a greater and more worthy administration needs to tell you what to do with your money.

Perspective is seeing 250 billion Euros (that is in itself a derivative of even less real money) leveraged up to create 1 trillion Euros. Yet, in fact, most economists are saying nothing short of 3 trillion Euros will be required to cauterize the failing nation of Greece with its huge exposure to European banks, much less the others in line like Portugal, Spain and Italy. No wonder the Vatican thinks they need to get involved.

Perspective is seeing the global population rush towards 7 billion in number this year while global money supply expands exponentially as well ,and yet being told that tangible wealth like gold and silver are in a bubble with their best days behind them. If anything, the world’s most ancient money is becoming less and less of a percent of population while we struggle to dig it up in any quantity with large discoveries a thing of the past.

At Anglo Far-East we have never said the road up in gold and silver would be a benign curvy line; far from it. It has been violent in the past and it will get even more violent both up and down in the times ahead, thus the need for perspective and a cool head is paramount.

With compliments,
Duncan Cameron
Senior Relationship Manager
The Anglo Far-East Company

You can download this edition of the AFE GI free of charge here:
http://www.anglofareast.com/research/global-insider/gi-archives/?did=58

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