SOURCE: The Gold and Energy Advisor

December 08, 2010 14:28 ET

Gold and Energy Advisor Releases Special Report on Quantitative Easing (QE2)

Find Out Why the Risks Outweigh the Benefits and What This Means for Portfolios

BOCA RATON, FL--(Marketwire - December 8, 2010) - Quantitative Easing (QE2) is one of the most important economic events of 2010 and probably 2011, and the Gold and Energy Advisor has just released a special report that explains what it is, why the Federal Reserve is launching this massive economic intervention and what the risks are to portfolios. 

The Fed will buy an additional $600 billion of treasuries through June 2011, and continue to reinvest proceeds of mortgage payments, interest from government securities, and return of principal from their substantial portfolio of income producing assets. The Fed hopes that by doing this, they will promote a high level of employment, and a low, stable rate of inflation.

James DiGeorgia, publisher of the Gold and Energy Advisor, says unfortunately, he sees too many risks with QE2, including:

  • Devaluation of the dollar.
  • Currency wars.
  • Inflation.
  • Doubts that QE2 will increase lending and improve economic growth.
  • QE2 could cause hyperinflation and a collapse of the dollar, leading to a global depression. This is especially true because of huge deficits by many developed nations, including the U.S.

"The backlash from QE2 is causing more uncertainty, questions and a lack of confidence about the U.S. economy," said DiGeorgia. "As a result, there's never been a better time to invest in gold and other commodity based investments including energy."

DiGeorgia also points out that backlash from our trading partners has been loud. Increased tensions in currency and capital markets and among our trading partners could result in a longer and more difficult global recovery. 

"There are major concerns that currency gaming could turn into an economically dangerous currency war," said DiGeorgia. "The flood of dollars is forcing up commodity prices around the world, and QE2 is another major reason to have gold in your portfolio, and to buy on any dips."

For a copy of the special report and a free 90 day trial to the Gold and Energy Advisor, visit http://www.goldandenergyadvisor.com/page/gez/free/issue.html?x=press-14

About The Gold and Energy Advisor
The Gold and Energy Advisor is a monthly newsletter that covers the precious metals and energy markets, with the single goal of delivering money making recommendations to its subscribers. It also provides frequent updates and special reports about investing. The Gold and Energy Advisor is edited by James DiGeorgia, who has extensive experience in precious metals and the energy markets, and is considered one of the world's foremost authorities in both areas.

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