Richard Russell, the God Father of modern investment newsletter had this to say in a KingWorld interview last week:
From King World News:
With gold and silver consolidating recent gains, the Godfather of newsletter writers, Richard Russell, had this to say in his latest commentary: “Actually, the stock market is acting as though something momentous and frightening is out there. The roof of a monster top is building. Gold keeps creeping higher. The Dow is fluctuating around the 12700 area, not surging above it or falling decisively below it.”
Richard Russell continues:
“If you listen carefully, you can hear the heart-beat of the market. It's a slow, heavy beat, as if the market is waiting for something. That something is going to be BIG. Bigger than what anyone is expecting.
The sheer size of this still-forming top is scary. I think this top will be followed by a phenomenon known as the Kondratief bear cycle, a cycle that can endure for as long as 20 years. The other name for it is the nuclear winter, a rare and dangerous phenomenon that can last for a generation.
I've been sensing something BIG and ominous is in the offing. What could it be? Ah, a front page article in Sunday's NY Times supplies the answer. Israel will attack Iran with nuclear bombs. Israel must attack this year for this is the year when Iran will have nuclear capabilities.
If Israel attacks, the Mid-East will go up in flames. Suggestion -- dollars and gold. If the dollar collapses, gold will make up for the losses by sky-rocketing. The next target for gold -- to trade into the 1800s, and it's getting close.
2012 is fated to be a monster year. Keep your eyes on the dollar and gold, and the newspaper headlines!”
John Williams, of Shadowstats, notes that manipulated government statistics are not changing the fact that the true SGS Unemployment Measure now sits at a staggering 22.5%. Williams can only use comparisons from the Great Depression to put things into proper perspective. Here is what Williams had to say: “The Economy Still Is Not Recovering. As discussed in the Opening Comments and Executive Summary, irrespective of the nature of the factors that helped to boost (recent) labor data, the general outlook has not changed. Even after the 2011 upside benchmark revisions, the January 2012 payroll employment level remains below the level that preceded the 2001 recession, more than a decade ago.”