• The American banking system is sound as a dollar. Bear Stearns was a one time event. We are in the early stages of an enormous rolling bank-credit crash. Questions on Lehman Brothers have recently surfaced but the larger hidden mess is the regional banks holding portfolio majorities in real estate loans. Thousands of banks are at risk including construction loans failing next. Stress in banks has barely started. There will be thousands of bank failures.

This is a tough one right now. The US dollar index is nearing 75 and is bouncing up heavily currently. The market is trying to give the appearance of dollar strength and that is weighing on gold. Thats why it takes so much discipline to look at the big picture and ignore short term trends. I'm stay long gold futures and select juniors I like but it testing the 'ol patience for sure!