![\"\"](\"http:\/\/www.pgm-blog.com\/wp-content\/uploads\/2012\/07\/Bond_Bubble.jpeg\" "\\"Bond")
![\"\"](\"http:\/\/www.pgm-blog.com\/wp-content\/uploads\/2012\/07\/BOOM.jpeg\" "\\"BOOM\\"")
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Dear\u00a0PGM-Capital<\/strong>\u00a0Blog readers, Yield 10 yearnote, July 24, 2012 – Intraday-<\/span><\/strong><\/p><\/div>\n Yield 10-yearnote -all time chart-<\/span><\/strong><\/p><\/div>\n Subsequently the USD Index rose to a two year high of 84.1.<\/p>\n Buying 10 year US-Treasuries at yield of\u00a01.47%<\/strong> is more or less equivalent with buying a security with a\u00a0P\/E ratio<\/strong>\u00a0of\u00a071.94<\/strong>, which is much higher than the P\/E ratio of the NASDAQ-100 during the high days of the IT-Bubble at the end of 1999.<\/p>\n US-Treasuries are profiting now from the fear-trade due to the debt and budget deficit crisis of the PIGIS. But what will happen when investors and traders, realize that the debt and budget deficit from the USA is even worse than the average of the PIGIS and that the fear-trade should be the trade way from the US-Dollar?<\/p>\n After reading the above please ask yourself the following question:<\/p>\n If you answer the above question with a\u00a0categorical<\/strong><\/span> NO<\/strong>, you should agree with us that currently US-Treasuries are\u00a0 in a bubble and it isn’t if, but when this bubble will burst.<\/p>\n The consequences of the burst of US-Treasuries will be beyond most people imaginations such as, interest rates shooting through the roof, the FED to become the only buyer of US-Treasuries, which will dilute the purchasing power of the US-Dollar and create hyperinflation.<\/p>\n Gold, the canary in the Coalmine, by being slightly positive for the last 60 days, combined with an ascending “neckline<\/a>” as can be seen from below chart, is telling us that a burst of US-Treasuries is much closer than most people believe.<\/p>\n Due to this we advise investors and the middle class to exchange their paper\u00a0or\u00a0<\/strong>fiat-money<\/a> for Real Money:<\/strong>\u00a0Gold, Silver, and other precious metals.<\/p>\n Before following any investing advice, always take your investment horizon and risk tolerance into consideration and keep in mind that the price of Commodities, Precious metals as well as the stocks of their producers can be very\u00a0volatile and that sharp corrections may happen in the short term.<\/p>\n Yours Sincerely,<\/p>\n Eric Panneflek Dear\u00a0PGM-Capital\u00a0Blog readers, Yesterday, July 24th 2012, based\u00a0by fear, investors fled into US-Treasuries\u00a0with the consequence that\u00a0the yield of the 10-year note depreciated to a 50- year low of\u00a01.39%\u00a0as can be seen from below charts. Subsequently the USD Index rose to a two year high of 84.1. Buying 10 year US-Treasuries at yield of\u00a01.47% is more or[…]<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,8,10,11,19,12,13,15,16,1,17,18],"tags":[],"class_list":["post-6050","post","type-post","status-publish","format-standard","hentry","category-commodities","category-debt-crisis","category-eric-panneflek","category-euro","category-financial-news","category-inflation","category-market-volatility","category-pgm-capital","category-precious-metal","category-uncategorized","category-us-dollar","category-world-economic-outlook"],"_links":{"self":[{"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/posts\/6050","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/comments?post=6050"}],"version-history":[{"count":0,"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/posts\/6050\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/media?parent=6050"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/categories?post=6050"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pgmcapital.com\/nl\/wp-json\/wp\/v2\/tags?post=6050"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nYesterday, July 24th<\/sup> 2012, based\u00a0by fear, investors fled into US-Treasuries\u00a0with the consequence that\u00a0the yield of the 10-year note depreciated to a 50- year low of\u00a01.39%<\/strong>\u00a0as can be seen from below charts.<\/p>\n![\"\"](\"http:\/\/www.pgm-blog.com\/wp-content\/uploads\/2012\/07\/10-yearnote-yield-July-24-2012-intraday1.png\" "\\"10")
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\nChairman<\/p>\n","protected":false},"excerpt":{"rendered":"