Silver Could DOUBLE
The bubble is over.
I want to explain why we are living in an inverse world to that of 2009 through 2011.
In those days, the FED was pumping currency like crazy for the time in its existence, and Wall Street was convinced it would bring hyperinflation.
Everyone and their mother was buying silver, but by the time 2011 came around, Wall Street finally realized that if you pump liquidity into the banking system, which doesn’t trickle down to the consumer economy, you can enjoy growth without creating excess inflation.
The gold trade was over, and so was the silver trade.
Both collapsed hard. Gold, as the signature inflation hedge, dove nearly 50% between September 2011 and December 2015. Silver nosedived from $49 to around $12. The FED then signaled in late 2015 that it might have overestimated its ability to keep rates at zero without causing inflation, so it raised rates.
For the first time in 4 years, Wall Street saw a need to hedge its portfolios. Gold and silver rallied big in the following 9 months until the threat of inflation evaporated once more.
With very low lending rates and credit circling at the top, not filtering through to the lower classes, which didn’t enjoy the deflationary boom, no real inflation materialized even though businesses were hiring left and right.
Powell even said that the connection between wages and inflation seemed to have decoupled.
In 2018, with tariffs and slow growth, gold again sank to $1,180 at the lows.
From then on, it was obvious the economy was heating up. Gold started to climb, reaching nearly $1,800 when the world realized the government’s plan to shut down the entire economy.
From its March 2020 bottom, gold and silver rallied. In July 2020, silver had its best month since 1980. In August, gold hit a new all-time high!
Gold peaked just as markets were hitting all-time highs again as the consensus began to build that central banks had made a huge mistake by igniting a bailout bubble and they’d have to take back their enormous stimulus measures.
The 10-year bond yield went from 0.5% in August 2020 to about 4% recently in one of the most aggressive re-ratings in U.S. history.
It will take another 12-18 months of unwinding to shrink the balance sheet to normal levels acting as more rate hikes, but that isn’t the issue that makes Wall Street reconsider gold after more than a decade of zero returns.
The new job economy gives more wage power to entry-level workers than executives because the party of zero interest rate policies, which saw stock compensation and buybacks go through the roof, HAS ENDED.
93% Of Investors Generate Annual Returns, Which Barely Beat Inflation.
Wealth Education and Investment Principles Are Hidden From Public Database On Purpose!
Build The Knowledge Base To Set Yourself Up For A Wealthy Retirement and Leverage The Relationships We Are Forming With Proven Small-Cap Management Teams To Hit Grand-Slams!
In the coming few months, every business in America will look at how it can function without raising capital as if it has no access to lending, no access to VC money, no access to share dilution, and no way of growing unless it is by investing its own earnings back into itself.
Those that don’t make that pivot and shift to profitability or offer a path will be bought out by competitors for pennies on the dollar.
The indices can’t rally if the world’s largest companies are contracting, and they won’t.
Bonds won’t rally if the U.S. consumers remain strong, which they are.
Therefore, in this cocktail of stagflation, gold will rally to $2,000 again as portfolios clearly need to be hedged for inflation.
Governments Have Amassed ungodly Debt Piles and Have Promised Retirees Unreasonable Amounts of Entitlements, Not In Line with Income Tax Collections. The House of Cards Is Set To Be Worse than 2008! Rising Interest Rates Can Topple The Fiat Monetary Structure, Leaving Investors with Less Than Half of Their Equity Intact!
Protect Yourself Now, By Building A Fully-Hedged Financial Fortress!
We are not brokers, investment or financial advisers, and you should not rely on the information herein as investment advice. We are a marketing company. If you are seeking personal investment advice, please contact a qualified and registered broker, investment adviser or financial adviser. You should not make any investment decisions based on our communications. Our stock profiles are intended to highlight certain companies for YOUR further investigation; they are NOT recommendations. The securities issued by the companies we profile should be considered high risk and, if you do invest, you may lose your entire investment. Please do your own research before investing, including reading the companies’ SEC filings, press releases, and risk disclosures. Information contained in this profile was provided by the company, extracted from SEC filings, company websites, and other publicly available sources. We believe the sources and information are accurate and reliable but we cannot guarantee it.
Please review our entire disclaimer at FutureMoneyTrends.com/disclaimer.