Eric Sprott - Mainstream Bashes Gold, But New Highs Coming

"Today billionaire Eric Sprott told King World News the central planners are desperately trying to convince the masses that everything is okay. Sprott, who is Chairman of Sprott Asset Management, also said the mainstream media continues to bash gold. But first, he had this to say about the global economy: “I think it’s safe to say we’ve hit that ‘Minsky moment’ where the productive capacity of the country is not capable of paying off the debt. All we’re trying to do is push it down the road so maybe there is some luck and these economies will come to life.”

Eric Sprott continues:

“But all the data we get, whether it’s European PMI, UK GDP, almost any data point we get seems to point to a contraction in Europe. So it’s pretty hard to imagine that anyone is going to pay off their debt when their GDPs are contracting.

So, I think it will be an ongoing process. The powers that be are trying to convince the masses that everything is okay, but the opposite is the case..."

at http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/3/29_Eric_Sprott_-_Mainstream_Bashes_Gold,_But_New_Highs_Coming.html

ECRI Leading Economic Index Drops To 44 Week Low, Predicts Massive Economic Contraction

"David Rosenberg's favorite leading indicator, the Economic Cycle Research Institute (ECRI) Leading Index, fell to 123.2 in the week ended June 4, down from 124 the week before, a -3.5% annualized contraction: the first time this has gone negative in over a year. This is the lowest level since July 31, 2009, when it was at 122.4...

What is more troubling is a historical comparison to the dark days of the 1970's recession. While the amplitude of the recent pick up has been unprecedented, from -30 to +30, it is only mirrored by the -20 to +20 jump seen in 1971-1973. However, as can also be seen below, the ensuing crash following the first spike, was the worst one in the past 35 years. If history is any predictor, does the ECRI Leading Indicator index anticipate a comparable collapse in the economy to what was seen in late 2008?..."

at http://www.zerohedge.com/article/ecri-leading-economic-index-drops-44-week-low-predicts-massive-economic-contraction?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29

More On The Huge Slowdown Predicted By The ECRI Leading Indicators

"As just mentioned, the ECRI's leading economic indicator has nose-dived. Zero Hedge believes it's a very worrisome sign and adds some good perspective with the following chart:
David Rosenberg's favorite leading indicator, the Economic Cycle Research Institute (ECRI) Leading Index, fell to 123.2 in the week ended June 4, down from 124 the week before, a -3.5% annualized contraction: the first time this has gone negative in over a year. This is the lowest level since July 31, 2009, when it was at 122.4, as the chart below demonstrates."

at http://www.businessinsider.com/leading-economic-indicator-drops-2010-6#ixzz0qZJbB8BF