Charts -- Oil and Gold Blast Off!

I posted this on my blog this weekend, but just in case you didn’t see it …

Fortis Expects Complete Breakdown of the American Financial Markets Within Days or Weeks
RUSSEL/AMSTERDAM (DFT) - Fortis expects a complete breakdown of the American financial markets within days or weeks. This explains, according to the bank insurer, the series of interventions on Thursday with the aim of strengthening themselves by € 8 billion. "We are ready at the last moment. The U.S. is doing much worse than we had thought,” said Fortis chairman Maurice Lippens, who insists that CEO Votron shall not be replaced. Fortis expects bankruptcies of 6,000 U.S. banks that have low coverage. "But the same goes also for Citigroup and General Motors, and thereby starts a complete meltdown in the U.S.”

In other news …

Oil Rises to Record Above $143 on Concern Iran Supplies May Be Disrupted Crude oil rose to a record above $143 a barrel on speculation the dispute over Iran's nuclear program may disrupt supply from OPEC's second-largest producer.

XX Sean’s note – yeah, that’s really the reason. “Concern.”

BIS Warns of Deepening Contraction (Not for the Fainthearted)

"The current market turmoil is without precedent in the postwar period. With a significant risk of recession in the US, compounded by sharply rising inflation in many countries, fears are building that the global economy might be at some kind of tipping point," it said.

Gold Rises, Set for Quarterly Gain, on Dollar; Platinum Climbs

Gold may extend gains as the European Central Bank prepares to raise borrowing costs on July 3, pushing the dollar lower against the euro, said Manqoba Madinane, an analyst at Standard Bank Group. The U.S. currency has fallen 7.7 percent against the euro so far this year, while gold has advanced 12 percent.

Blind Dog Finds Bone

Thomas Friedman actually says something worthwhile in his most recent column …

“Since President Bush came to office, our national savings have gone from 6 percent of gross domestic product to 1 percent, and consumer debt has climbed from $8 trillion to $14 trillion.”

Check out my new gold and energy blog at MoneyAndMarkets.com