On the recent strength of the U.S. dollar, David Morgan of Silver-Investor.com, says, “John Exter’s upside down pyramid explains it very well. The derivative markets blow up and you go down the pyramid of liquidity. The step above the run to gold is the U.S. dollar. Most people who are under educated about money think if you have physical dollars under your mattress, you are in the safest position you could possibly be in. If you have all of your savings in physical greenback, you don’t have to worry about a bank failure. That is the most important step until that doesn’t work. When that doesn’t work, faith in the dollar is lost or being lost, then where do you go? The answer is you go to money that has lasted for 5,000 years. So, to see the dollar have all this strength and look good, that’s just the step before you go to the last step, which is a run to gold. So, it (the strength of the dollar) doesn’t surprise me. It’s part of the process . . . and the run to the dollar is a precursor that is absolutely necessary before the next step down the pyramid. . . . This is the big picture, and I see how things narrow down and why precious metals are so important in today’s financial system.”
Join Greg Hunter of USAWatchdog.com as he goes One-on-One with David Morgan of Silver-Investor.com.