All the toxic paper still in the banks

Ian McAvity is an excellent analyst. In this interview he talks about the economy, the stock market and precious metals.

Anyone interested in these subjects should read this material from Goldseek.

Be Careful What You Wish for

The Gold Report caught up with Deliberations on World Markets Writer Ian McAvity between sessions at the 36th New Orleans Investment Conference, held October 27–30. In fact, Ian was among the experts featured on the conference agenda, graphically updating his big-picture expectations for stocks, gold and the dollar. He continues here in that vein in this Gold Report exclusive.

The Gold Report: Over time, Ian, you have accurately predicted the bull market in the ’80s, the housing bubble and the credit crisis. So the obvious question: what are your key predictions going forward?

Ian McAvity: Despite people thinking that with all of the bailouts and everything else in the last year somehow the crisis is over, I think basically that the crash of 2007 through 2009 was only the first half of a much larger problem. I don’t want to say the worst is yet to come, but the second half may not be any more pleasant. The housing, banking and financial industry situations have not changed at all. The accountants changed the reporting rules so you just don’t see all the toxic paper still in the banks, and they don’t have to report it.