We are living in a multi-bubble world: Russell

Veteran gold investment expert Richard Russell says that as a result of Bernanke's knocking down of the US dollar "insane" bubbles are building up everywhere in the American economy.

According to King World News Russell says that the reassuring inflation measure touted by the Federal Reserve is defective, and that bubbles are building up in numerous areas including Wall Street, fine art, and choice collectibles.

Russell believes that the Federal Reserve under Bernanke is squarely to blame for a huge and looming bear market:

In short, we live in a multi-bubble world, a world that the Bernanke Fed has created. All this, as I see it, lays the slippery foundation for an absolutely massive primary bear market. It will be a bear market that I hope to help my subscribers survive through.

As per usual Russell advises prudent readers to extend their holdings of gold, which is impervious to bankruptcy and the manifold vulnerabilities of other investment options:

Gold has one great advantage — you never have to worry about gold going bankrupt. Thus, you can hold actual gold with impunity. The best way to handle actual gold in a bull market is to accumulate –never sell, but just continue to accumulate.

Russell also notes that gold rose into the 1700's in yesterday's trading, with slow stochastics also in the process of turning up.

Graph courtesy of StockCharts.com