Sunday, February 26, 2012

Gold, Oil, Interest, O'Reilly, Obama

The price of gasoline is soaring while interest rates remain at historic lows. Working people and their families are suffering from high unemployment and gas prices, while seniors, dependent on interest income, are eating dogfood. All Americans are suffering from the housing crisis in various ways.

Bill O’Reilly on The Factor goes on a nightly rant against the oil companies (everyone hates them), but, although many factors are involved, the main reason for rising gas prices and low domestic interest rates is rooted in policies of the Obama Administration.

First, a little history: although the Arabs publicly stated that the reason for their oil embargo in October, 1973 was payback for our support of Israel, the main reason was economic. Traditionally, Arabs sell oil for dollars and convert their dollars to gold. From 1933 to 1972 the gold price was fixed at $32 per ounce, and it was illegal for Americans to own gold. In 1972 gold was freed, and its price soon went to $100. The oil embargo caused the dollar-price of oil to jump so that the gold-dollar-oil relationship was repaired, and the embargo ended.

Now, as the debt-financing of the Obama Administration continues, see what is happening to the price of gold:

Now look at what has happened to interest rates within the United States:

In other words, Obama is deliberately keeping interest rates near zero here while causing the value of the dollar as an international currency to plummet, thus causing gold and oil prices to increase dramatically.

One might ask what Obama’s motives really are in arranging this catastrophe, especially since he is doing everything he can to throttle domestic production.

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At 10:38 AM, Anonymous Joe said...

My question is, why is Obama's approval rating 60% right now? Supposedly, his approval rating is higher than all the GOP presidential candidates. Go figure!
If I had my way, Obama would be tarred, feathered, and run out of Washington DC on a rail. Am I the only one who thinks this way?

If so,I apologize to no one because I am an American who believes in the policies and rich traditions that made this country great. I don't know what Obama believes in but it's not American and I wouldn't follow a person such as him.

At 11:09 AM, Blogger RussWilcox said...

Joe, You know the answer - because Democrats and the mainstream media lie, lie, lie. They manipulate ignorant people and people who don't pay attention to vote for them,

At 11:17 AM, Anonymous Joe said...

You are absolutely right. They can't stay ignorant forever though. When people have to make a choice of putting gas in their tank and food on their table, they're going to need to wake up to the fact that this guy we have in the WH is useless.


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