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DON’T GO BROKE!

This article was contributed by Future Money Trends.

Having trouble buying gold at a decent price? Don’t worry, you’re not the only one because premiums have gone through the roof with shortages on many gold coins.

Here are 3 Actions You Can Take to Diversify With Gold Immediately

  1. Physical coins: Miles Franklin has been in business since the 1990s and owner Andy Schectman has let us know that for our readers, he will beat ANY price. We receive ZERO referral fees or commissions – this is purely an unbiased recommendation and who we buy from ourselves. You can call him at 800-255-1129.
  2. Sprott physical gold trust: it’s the only fund I trust that holds real verified gold, and it’s stored in Canada as an added benefit for country diversification. You can buy it on the New York Stock Exchange under the symbol PHYS.
  3. To achieve maximum potential to the upside, you’ll want to look at a few core mining shares. Be very selective and only partner with the right people because the management teams matter more than the gold in the ground itself when it comes to mining stocks. To read our full profile of our top recommendation and largest holding, please click here.
governments, central anksWe consider gold to be a cash-equivalent – it’s the ultimate form of money.

Central banks own it and have been net buyers since 2009.

With the recent actions taken by governments and central banks worldwide, you should consider having a higher than normal position in gold, in our opinion.

I personally have half of my cash in gold coins and half in U.S. dollars.

The world is facing a currency crisis, a reset of what we’ve all come to know as normal. Just know that things are not normal at all.

Be prudent during this time.

We will continue to provide regular updates and investment ideas straight to your inbox.

Click here to review the latest analyst report of the company with a their 1 year price target.

The post DON’T GO BROKE! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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LASSIE COME HOME: GOLD RETURNS TO $1,900!

This article was contributed by Future Money Trends. 

Gold has officially broken out above $1,900!

Under the hood, the gold stocks indices have begun their rally even sooner than gold has!

Gold Mountain (TSX-V: GMTN & US: GMTNF) is one of only a handful of gold companies that are bringing a new gold mine into production in 2021.

According to management, Gold Mountain (TSX-V: GMTN & US: GMTNF) will be in production by November, at the latest!

We’re catching this company, right as they’re commencing their next drill program, with the purpose of further increasing the resource.

Management estimates that the previous owners had spent CAD$50mn on the project, even though Gold Mountain (US: GMTNF) paid only CAD$10mn for it!

Once in production, its cost is set to be only $554/ounce, making it one of the lowest-cost mines I’ve come across.

Secondly, Ciena (CIEN), featured in the August 2020 Watch List, which you can access HERE, has roared to an all-time high of $60/share, up 50%, since we featured it for the first time!

We’re thrilled about the implementation of Watch Lists and will compile one area, where all of the Watch Lists can be easily accessed with one click of a button!

The post LASSIE COME HOME: GOLD RETURNS TO $1,900! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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Russia’s $186 Billion Sovereign Wealth Fund Dumps All Dollar Assets

This article was originally published by Tyler Durden at ZeroHedge. 

Following a series of corporate cyberattacks that American intelligence agencies have blamed on Russian actors, Russia’s sovereign wealth fund (officially the National Wellbeing Fund) has decided to dump all of its dollars and dollar-denominated assets in favor of those denominated in euros, yuan – or simply buying precious metals like gold, which Russia’s central bank has increasingly favored for its own reserves.

Finance Minister Anton Siluanov

Finance Minister Anton Siluanov made the announcement Thursday morning at the annual St. Petersburg International Economic Forum.

“We can make this change rather quickly, within a month,” Siluanov told reporters Thursday.

He explained that the Kremlin is moving to reduce exposure to US assets as President Biden threatens more economic sanctions against Russia following the latest ransomware attacks. The transfer will affect $119 billion in liquid assets, Bloomberg reported, but the sales will largely be executed through the Russian Central bank and its massive reserves, limiting the market impact and reducing visibility on what exactly the sovereign wealth fund will be buying.

“The central bank can make these changes to the Wellbeing Fund without resorting to market operations,” said Sofya Donets, economist at Renaissance Capital in Moscow. “This in some sense a technical thing.”

Jordan Rochester, currency strategist at Nomura International PLC, said, “This is a transfer of euros from the central bank to the wealth fund, we’ll then see the central bank the holder of the USDs and it’s up to them to manage it. No initial market impact.”

The news isn’t a complete surprise: The Bank of Russia, Russia’s central bank, has steadily reduced its dollar holdings over the last few years amid increasing sanctions pressure from the US and Europe. That trend continued through President Trump’s term.

Just a few days ago, we reported that the Russian parliament had just authorized the sovereign wealth fund to buy gold through the central bank. However, the central bank reports its holdings with a six-month lag, making it impossible to determine its current holdings.

Russia’s gold holdings eclipsed its dollar reserves last year despite a halt in gold purchases. This was partly due to an increase in the value of its gold holdings with the rise in gold prices, and partly a function of the central bank’s continued efforts to shed dollar assets.

The wealth fund currently holds 35% of its liquid assets in dollars, worth about $41.5 billion, with the same amount in euros and the rest spread across yuan, gold, yen, and pounds. After this latest change, the fund’s assets will be held 40% in euros, 30% in yuan, 20% in gold, and 5% each in yen and pounds, Siluanov said.

Source: Bloomberg

 

The wealth fund holds savings from Russia’s oil revenues above a cutoff price and is used to help offset shortfalls when the market falls below that level. Together with illiquid assets, its total value is $185.9 billion.

A few years ago, Russian President Vladimir Putin warned that Washington was inadvertently accelerating de-dollarization with its aggressive financial sanctions, which were forcing its geopolitical adversaries to reduce their dependence on the greenback. Just last month, Russia reached a new milestone whereby fewer than 50% of its exports were paid for in dollars.

It appears that after years of steadily reducing its dependence on the dollar, Russia is about to intensify those efforts in a way that Washington will be forced to take notice.

The post Russia’s $186 Billion Sovereign Wealth Fund Dumps All Dollar Assets first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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An Outlook For Gold

As we have noted, the Biden administration’s tax plan and the central bank’s modern monetary theory of creating as many dollars out of thin air as possible are setting up a “perfect storm” for precious metals, including gold. Physical assets are still a great way to protect your wealth and enhance your bartering power should the SHTF.

Talking about the outlook for gold and getting an update on Blue Lagoon Resources and the Dome Mountain project, Rana Vig, CEO of Blue Lagoon Resources tells us a bit about new news at his company, Blue Lagoon Resources. He also tells us what he thinks about gold prices and where we are in the market cycle, writes 2 is 1 YouTube channel. 

Rana Vig: Biden’s Tax Plan & The Central Bank Is Setting Up A “Perfect Storm” For Precious Metals

Gold and silver will continue to become more valuable as more stimulus is handed out. This is the “perfect storm” for gold and silver. Governments are going to continue to create more money and as it goes down, expect gold to go up to $7000, even, says Vig. It’s all perspective and timing.

Vig says he feels that cryptocurrency is here to stay, but so are gold and silver. People are stocking up on metals to protect themselves from a devastating economic situation that is coming down the road. Whether we see something happen this year, next year, or in the next few years, gold will be a hedge against government tyranny and an economic collapse that appears right now to be wholly intentional. -SHTFPlan

Vig also reminds listeners that copper is hitting new highs as well and could be a great option for ownership. Metals such as gold have been around as money for thousands of years and it has outlasted other government collapses. It is likely to do the same. As the currency continues to be devalued, gold will break out and surge higher.  Gold is about a long-term plan to protect your wealth, says Vig.

 

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NO RATE HIKES. GOT IT?

This article was contributed by Future Money Trends. 

One of Future Money Trends’ proudest moments in our newsletter’s history is covering the bullish case of Bitcoin when its price was $13/coin!

It’s been nearly nine years since, and Bitcoin is more relevant and important today than it ever was before.

Its technological adoption by the international community is now a thing of art.

Hype or not and government regulation or not, by this time in 2023, you’ll be seeing Bitcoin ATMs all around you and thousands of businesses accepting the cryptocurrency.

If anything can ever hope to materially change the currency ballgame and the dollar hegemony, it looks like Bitcoin would be it. Having said that, for Bitcoin to reach its reserve role will probably take 15-20 years to develop.

For now, the dollar is what we’re stuck with, unless you prefer one of the other fiat currencies…

 

Courtesy: Zerohedge.com

The global economy had plenty of chances to reinstitute gold as some sort of foundational part of its currency strategy. It has chosen not to do so, and there does not seem to be any strong political, academic, economic, financial, or regulatory will to advance any failsafe that includes it.

If you think about it, letting gold trade freely is actually in our best interest!

I like it when gold trades on the open market since I have an exact system for when to accumulate more ounces:

  1. When gold comprises less than 5% of my net worth. That’s the most important rule of thumb (asset allocation balancing)
  2. When its price falls by 15% or more (buying the dip).
  3. When real interest rates are negative (a hedge against the cost of holding cash)
  4. When my allocation towards stocks is excessive (a hedge against expensive markets)

Courtesy: Zerohedge.com

American consumerism is just not what it used to be!

The millennials saw the unfortunate problems endured by their parents in the 2008 Great Financial Crisis and they’re much more conservative in general.

They are even minimalists.

This fear of an overheated economy is really laughable.

The FED is not going to raise rates with unemployment rates for Asians at 6%, Hispanics at 7.9%, blacks at 9.6%, and whites at 5.4%!

Secondly, there are an estimated 1.6M job seekers who are actively looking and aren’t counted in the official numbers because of the way they are reported.

As you can see from the survey above, most Americans plan on saving their stimulus checks or paying down debt (80% of participants).

Courtesy: Zerohedge

Now, with the euphoria stage out of the way and options traders vanishing from the scene, if the CPI data doesn’t confirm a real threat of inflation (data comes out mid-April), we expect tech to continue leading for years to come.

Don’t be surprised to see rates continue to climb, but as we see it, the 85% rally in yields since the beginning of 2021 is overdone.

Gold has greatly suffered from this bond bear market in 2021. We believe that April might be the best time since June 2019 and March 2020 to own mining equities!

We’ll update on our highest-conviction ideas imminently!

The post NO RATE HIKES. GOT IT? first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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GOLD FINALLY BOTTOMED: WHERE WERE YOU?

This article was contributed by The Wealth Research Group. 

It literally takes five minutes to fact-check that gold and CPI (Consumer Price Index) or the PCE (Personal Consumption Expenditures) don’t correlate with each other. Said differently, gold and inflation aren’t two peas in a pod.

Gold tracks real interest rates, of which inflation stats are 50% of the equation, with bond yields being the second half. The way to calculate real rates is by deducting inflation from the 10-yr Treasury yield. When the subtraction comes out negative, gold’s relevance is, by far, higher than at any other time, since it becomes disadvantageous to hold cash.

In the chart below, you’ll see nearly eighteen years of the 10-Year Treasury yield, adjusted for inflation:

The first thing you’ll notice is that it is currently negative. The last time it was such, gold peaked at over $1,900 in September 2011 and again at $2,069 on August 6th, 2020.

In other words, there is compelling reasoning behind the thesis that August’s rally to an all-time high above the elusive $2,000 was it, that it was the peak, and that we’ve entered a bear market again.

On the other hand, if we compare this period to 2008 and 2009, we can see that back then, the dollar went into the crisis already weak, after it was beaten down by the Japanese Yen and the Euro in the early 2000s.

So, when comparing the two periods, the first decade of this millennia saw a weak U.S. economy, compared with other nations, whereas the coronavirus crisis happened in the midst of an American boom period.

If anything, the 2020 pandemic resembled more of the 1990’s boom, which changed with 9/11 and the Twin Towers tragedy.

Incidentally, there was a regime change from Democrats to Republicans, from peacetime to war, from free markets to more government intervention, but Greenspan’s ZIRP policy caught America unprepared.

To summarize, the dollar was really strong, going into the Dotcom bubble, just as it was, going into March 2020. The market crash might have helped bring a regime change in both cases and, in both cases, the dollar got weak right after.

The demographics in the 2000s did not support a housing boom, so the artificially low rates only served to entice the wrong people to originate a mortgage, forcing banks to take on risks they otherwise would not have, had the FED kept rates normal.

Today, it seems like the housing market is strong and has legs to run, creating velocity of money again.


Courtesy: Zerohedge.com

As you can see, every once in a while, the bond market begins to tell itself a story of epic inflation, due to the easy-money policies, excessive deficits, and a myriad of additional factors, which it convinces itself are sure to bring an inflationary spiral.

Q1 of this year was horrible for bond prices since yields rose ferociously.

The 10-yr bond, which is the barometer of the asset universe, has soared by 85%, from just over 0.9% to 1.7% today.

Those who lent funds to Washington in early January have lost 53%!


Now, it is up to you to decide, whether you are about to allow the same people who have poisoned the well, basically since 1971, to brainwash the masses into thinking the world is coming to an end for the gazillionth time, scaring their followers out of owning stocks or getting into real estate, falsely chasing returns by piling endlessly into cyclical commodities, or if you are instead going to stay leveled, putting a portion of your savings into precious metals – not instead of investing, but on top of it!

Not Biden, nor Jerome Powell, and not even your favorite guru that you believe has the pulse and beat on the markets, can change one iota from this truth: equities and real estate are wealth generators.

As long as entrepreneurship and brainpower aren’t banned in this country, building, running and owning businesses and real estate in the booming areas, will always find a path to outperform any and all governmental stupidity or inefficiency.

Gold has bottomed, massive inflation is nowhere in sight and you must act.

 

The post GOLD FINALLY BOTTOMED: WHERE WERE YOU? first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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MY NEXT MOVES: TECHMAGEDDON/GOLD HORRORS!

This article was contributed by Portfolio Wealth Global.

By now, it’s clear that the world is aware of the changing dynamics in growth prospects for the global economy. After twelve years (2009-2021), where the world’s largest economy was growing very slowly, the millennials and Gen Z demographics are now generating organic growth in the economy. Lowering rates artificially isn’t needed anymore to overcome the demographics cliff.

These age groups, now comprising over one-third of the country’s inhabitants, are searching for better jobs, newer homes, a wife/husband, having children, and moving into adulthood.

They’re going to be responsible for generating higher income tax receipts, servicing the interest payments on the national debt, creating real jobs and incorporating new businesses, and shaping the future of America.

TECH WRECK: THE TRUTH

  1. Dominance: Despite calls for the end of the tech sector, as the leading one, before all others, we don’t think that big tech is going to struggle or languish.

We do think emerging tech (the hype bubble that was rampant and prevalent for years) is over!

Investors are waking up to the fact that real growth is happening, so there’s no need to grasp for straws and pay earnings multiples that make no real-world sense for the few businesses that are “going to change the world.”

  1. Interest Rates: Don’t kid yourself that something like the 1970s is coming.

Rates might continue to go up, but nothing like what the inflationists keep harping on.

As opposed to that period, when America was the creditor for the rest of the world, today it’s the empire of debt. Any rise in Treasury yields is a severe drag on Washington’s ability to balance the books.

The CBO (Congressional Budget Office) calculated a record-breaking $9.7tn to the deficit until 2030, if rates just creep up by 1.00%.

The bonds bull market, which began in 1982 and lasted nearly 40 years, is over.

Courtesy: Zerohedge.com

I’ve been active this past week, adding to existing positions, entering new ones, and planning my entrance into a number of core positions!

The first part of the “buy low, sell higher” sentence mandates, by definition, that one acts when the panic spreads.

PORTFOLIO UPDATES: MARCH 2021

A. Adding cash – I literally built a cash position, equivalent to 30% of the overall portfolio.

In two to three years, you’ll look back at March 2021 and ask yourself why you didn’t buy more.

B. Solar Energy – My two favorite companies, SolarEdge (SEDG) and Enphase (ENPH) have finally come down a lot.

They’ve been on our Watch Lists for years and I’ve been buying.

C. Expensive Tech – I want to take advantage of the balloon deflating and enter into positions, which were so illogically priced thus far that it made no sense.

Therefore, in accordance with our Watch Lists, I entered into positions in BigEcommerce (BIGC), Collective Growth (CGRO), Corsair Gaming (CRSR) and Protalix (PLX).

Each holding represents 1% to 1.5% of the portfolio.

D. Major New Positions – In the next four weeks, we will be revealing two of the highest-conviction speculative holdings in our company’s history.

In order to sell higher, one is forced, by mandate, to buy cheap.

Remember this is the Bible of real investors.

With gold, the bottom is probably within reach. The panic that tightening is coming has been fully discussed by the FED; it’s not planned!

The post MY NEXT MOVES: TECHMAGEDDON/GOLD HORRORS! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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GOLD: SAY GOODBYE!

This article was contributed by Future Money Trends. 

We don’t think investors get it yet. FED Chair Powell didn’t “bomb” his latest speech; in his mind, he believes he did a great job and that the economy is behaving exactly how the central bank would like to.

If anything, Jerome Powell is saying that the FED’s easing won’t have to be extra-aggressive since the economy’s free-market forces are strong enough to drive it forward for the first time in a decade.

In other words, the FED isn’t worried about you or your portfolio dropping in the short-term. Instead, they’re celebrating America’s bullish recovery and are even pushing back against the market’s appetite for another stimulus round (monetary policy), saying that we have enough of it. Of course, the government is expected to continue on its fiscal pro-active approach, but the central bank wants to take a backseat.

What’s actually important to keep in mind is how right they are!

Courtesy: Zerohedge.com

As seen in the chart above, real yields are still at -0.6%. The FED is saying that we’re nowhere near a world of balanced-out yields, where bonds are worthy of people’s attention if they’re searching for income, so don’t expect them to suppress the natural rise for now.

Don’t forget that Janet Yellen is running the show at the Treasury. She is the former chair of the central bank and I’m certain she has a relationship with not only Powell but all of the governors on the board.

If this appointment of Yellen to the Treasury ends up being a sophisticated one, it is because the Deep State is thinking they want a full collaboration between the FED and the government. While they were shouting at Trump for intervening with the FED’s job, what they really meant was that he wasn’t in line with them. The bottom line is that they always wanted a consolidation of power.

Courtesy: Zerohedge.com

All of the signs are pointing towards this last Friday’s crash and rebound being the end or close to that, but not quite. Use the next 30-day period to position yourself in the markets. There will be volatility and I assume one last puke coming from the last of the heavy sellers coming towards mid-April.

The conclusions we’ve drawn here are:

  1. The FED isn’t going to do anything about this wrongfully-presumed market crash, which isn’t one at all – it’s the air leaking out of the SPAC bubble and is actually really good for markets.
  2. The FED is actually content with the way the recovery is evolving.
  3. Investors are now realizing the FED’s 2.0% inflation target could become true and they’re shuffling their holdings accordingly.
  4. Real rates are still negative, even after all of this.

So, what’s the deal with gold, then?

* Gold is now down 18% from the highs, which is right in line with what we wrote in August.

* The Senate just passed the $1.9tn stimulus package, which had a 70% chance of going through, so there’s definitely going to be volatility around that!

* Yields remain negative. The government remains extremely indebted. The populous is still pro-MMT and pro-UBI, so Biden will keep spending.

HOLD YOUR GOLD. Others may think this is the end for it but they are missing the big picture.

Gold has been left for dead since November’s vaccine announcement.

 

The post GOLD: SAY GOODBYE! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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INSURRECTION: RATES TEAR DOWN GOLD!

This article was contributed by The Wealth Research Group. 

Just like Enron, Pets.com, and the bombastic AOL/Time Warner merger bid signify the Dotcom paradigm shift, and as Lehman Brothers, AIG, and Fannie and Freddie are the symbols of the Great Financial Crisis of 2008, so does GME and Reddit’s WallStreetBets fiasco represent the idea that emerging tech has become a massive bubble.

We said it, hedge fund titans like Ray Dalio put it on paper, Buffett and Munger warned about it, and, indeed, this sector has now seen a severe sell-off!

The non-profitable tech bubble is popping and this is not a regular correction. The air has leaked out and it won’t be inflated back, since people’s eyes have been opened to the downside of buying speculative growth companies, paying premiums that portray a perfectly smooth future.

P/E ratios of 100, 200, 300, and even more, which investors have been willing to pay, are now going to become a thing of the past.

Courtesy: Zerohedge.com

You’ll notice that while the emerging tech bubble has been crashing by -20%, -30%, and even -50% in just the past 2-3 weeks, the technology companies that are valued, based on fundamentals, have not suffered the same fate.

Classically, assuming this is part of the grand rally and looking to buy the “dips,” people crammed in, putting new monies, and got burned!

Valuations don’t matter until they do, until market conditions change and then one is forced to look at what he owns, at the businesses he chose to purchase and sees that they are companies that are only rallying because of some short-term anomaly, not a long-term sustainable backdrop. Said differently, this bubble popping means that most of the damaged equities that are now by -30%, -40%, and -50%, will now be viewed with open eyes and won’t go up to their previous eyes unless their fundamentals fit the bill (that might be 5-10 years away!).

Courtesy: Zerohedge.com

As you can see, the appetite of millennials and Gen Z demographics to own equities isn’t over by a long shot. They plan to put their just-approved stimulus checks in the markets. As we’ve been showing, the bubbles are in pockets, in niches, not with the overall stock market.

In the past three weeks, though, some real damage has transpired, since close to $500bn has flowed into equities in this correction. Playing with fire certainly comes with the high probability of getting burned.

Now, with the S&P 500’s yield at 1.52% and the 10yr Treasury yield at 1.56%, there’s an alternative to stocks, when it comes to fixed-income portfolios.

This will continue to drive funds into bonds, but not enough to scare away millennials and Gen Z and not enough to change my own mind, to be honest, which probably means that there are others like me. Bottom line, stocks won’t crash just because the 10-yr bond yields 1.56%, compared with 0.6% at the March lows.

Courtesy: Zerohedge.com

The NASDAQ is now negative for 2021 and has entered an official correction (-10%), the same as the S&P 500. After Powell’s speech on Thursday, I texted one of the best hedge fund managers I know and told him, “What Powell did was to flush out any remaining sellers. He basically acknowledged that this sell-off in crazily-valued tech was a justified response to the changing climate and I think that the worst is behind us. We might get another puke on Friday, but don’t be surprised, if bulls regain control or at least give bears a fair fight.”

Sure enough, mid-Friday, the reversal came and it was aggressive. I don’t know if the rebound will immediately accelerate, as the market opens tomorrow, but I can tell you that I’ve been buying heavily myself and will proceed to do just that with my favorite stocks. The tactic of buying equities in corrections is to accelerate, as the pain extends.

I plan on issuing a full report with these purchases on Tuesday, as well as announce two major positions I’m just now entering.

We don’t think that markets are headed towards a total meltdown and if anything, we take the contrarian view that investors aren’t yet fully aware of how strong and healthy the recovery will be.

If I am to compare this period to others in history, I find many similarities to 1945, after WW2 ended – the world reset and sensational stimulus commenced everywhere.

The post INSURRECTION: RATES TEAR DOWN GOLD! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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These Are The Shadowy New York Financial Institutions That Forced Robinhood To Restrict Trading In Certain Stocks

This article was originally published by Michael Snyder at The End of the American Dream. 

Have you ever heard of the Depository Trust & Clearing Corporation?  What about Cede and Company?  If those names are foreign to you, then you don’t really understand how the core of our financial system really works.

A lot of people are blaming Robinhood CEO Vlad Tenev and the heads of other major trading platforms for the stock trading restrictions that we witnessed last week, but it was actually the DTCC that suddenly jacked up deposit requirements ten-fold.  Robinhood and other trading platforms were put in a vise-like grip, and they had no choice but to act.  Someone needs to investigate how these decisions were made at the DTCC, and if laws were broken those that were responsible for the decisions need to go to prison.

We are being told that retail traders needed to be brought under control “for their own good”, but it was the reckless short selling of the big hedge funds that actually set the stage of last week’s chaos.

Why doesn’t anyone ever talk about restricting their exceedingly foolish trading strategies?

Thanks to relentless buying by “the Reddit Army”, several major hedge funds got absolutely slaughtered last week, and that group included Melvin Capital

Melvin Capital, a premier Wall Street hedge fund entangled in the frenzy over GameStop (GME), lost 53% in January, a source familiar with the matter told CNN Business.

Melvin, a major short-seller of GameStop, bet that the company’s shares would drop. But, on January 11, GameStop announced new board members who could help it with digital sales. That set off a fury on Reddit, namely subreddit WallStreetBets, which catapulted GameStop’s stock more than 1,600%.

Of course, the small fish are not supposed to beat up the big fish like that, and the billionaires at the big hedge funds undoubtedly reached out to their powerful friends for help.

There had been speculation that the big hedge funds leaned on Robinhood CEO Vlad Tenev and the heads of other large trading platforms directly, but the truth is more complicated.

It turns out that the pressure on Robinhood and other major trading platforms came from the clearinghouse level.  The following comes from a piece in USA Today that was authored by Vlad Tenev himself

In a matter of days, our clearinghouse-mandated deposit requirements related to stocks increased ten-fold. These deposits are the collateral we post to ensure our access to clearinghouse services on behalf of our customers. They are what led us to put temporary buying restrictions in place on a small number of securities that the clearinghouses had raised their deposit requirements on. As we noted in a blog on Friday, it was not because we wanted to stop people from buying these or any stocks — we built Robinhood to provide access to investing for all. And it certainly wasn’t because we were trying to help hedge funds.

Tenev didn’t mention it by name, but the company that clears almost all of Robinhood’s trades is the Depository Trust & Clearing Corporation.  If you are not familiar with the DTCC, here is some basic info from Wikipedia

The Depository Trust & Clearing Corporation (DTCC) is an American post-trade financial services company providing clearing and settlement services to the financial markets. It performs the exchange of securities on behalf of buyers and sellers and functions as a central securities depository by providing central custody of securities.

DTCC was established in 1999 as a holding company to combine The Depository Trust Company (DTC) and National Securities Clearing Corporation (NSCC). User-owned and directed, it automates, centralizes, standardizes, and streamlines processes in the capital markets.[3] Through its subsidiaries, DTCC provides clearance, settlement, and information services for equities, corporate and municipal bonds, unit investment trusts, government and mortgage-backed securities, money market instruments, and over-the-counter derivatives. It also manages transactions between mutual funds and insurance carriers and their respective investors.

In 2011, DTCC settled the vast majority of securities transactions in the United States and close to $1.7 quadrillion[4][5][6] in value worldwide, making it by far the highest financial value processor in the world.[6] DTCC operates facilities in the New York metropolitan area, and at multiple locations in and outside the United States.

Theoretically, the DTCC is supposed to be a neutral participant in the markets.

But as we saw last week, that is definitely not the case.

So why should we allow a “for-profit monopoly” to have so much power over our financial system?  The following comes from a piece that was just authored by Omid Malekan

The brilliance of this excuse is that it only proves the skeptics and conspiracy-theory believers right. DTCC is a for-profit monopoly that sits at the heart of America’s financial system. It is controlled by the biggest Wall Street institutions and responsible for all public equity settlement. A subsidiary of it literally owns every single share of publicly traded stock in America. Yes, you read that correctly. You don’t actually own your shares of Apple or Microsoft, they do. You are only allowed to enjoy the financial benefits of being an investor because your corporate overlords let you. Why? Because the government wants it that way (the fact that financial firms like DTCC always donate a lot of money to politicians has nothing to do with it.)

Of course, the DTCC is not actually the top of the pyramid.

The Depository Trust & Clearing Corporation, the National Securities Clearing Corporation, and the Fixed Income Clearing Corporation are all managed “under the umbrella” of a shadowy entity known as Cede and Company…

This small New York based financial institution has a dozen directors and no more than a half dozen employees but holds, according to some reports, some 34 trillion dollars in assets.

A complex system of interlocking bodies, such as The Depository Trust & Clearing Corporation, the National Securities Clearing Corporation and the Fixed Income Clearing Corporation oversee all stock trading in the US. They all come under the umbrella of Cede.

And, on paper at least, own all the stocks traded.

One or more decision-makers at these shadowy entities decided to put an extraordinary amount of pressure on Robinhood and other trading platforms.

We need to find out exactly who was involved in making the decisions, and if something illegal took place the decision-makers need to be held accountable.

For now, Robinhood and other trading platforms will continue to restrict trading in certain stocks as we begin a new week

Robinhood will continue to limit trading on Monday in short-squeeze names like GameStop that have experienced explosive rallies and unprecedented volatility over the past week.

Customers can only buy one share of GameStop’s stock and five options contracts. However, the millennial-favored stock trading app did cut down its list of restricted stocks from as many as 50 on Friday to eight starting Monday.

Our financial system is far more vulnerable than most people realize, and it is just a matter of time before the house of cards comes tumbling down.

Anyone that still thinks that we have a “free market” after what we witnessed last week is simply being delusional.

Very powerful forces look out for the interests of the ultra-wealthy and the game has been carefully designed for them to win.

***Michael’s new book entitled “Lost Prophecies Of The Future Of America” is now available in paperback and for the Kindle on Amazon.***

About the Author: My name is Michael Snyder and my brand new book entitled “Lost Prophecies Of The Future Of America” is now available on Amazon.com.  In addition to my new book, I have written four others that are available on Amazon.com including The Beginning Of The EndGet Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned)  By purchasing the books you help to support the work that my wife and I are doing, and by giving it to others you help to multiply the impact that we are having on people all over the globe.  I have published thousands of articles on The Economic Collapse BlogEnd Of The American Dream, and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe.  I always freely and happily allow others to republish my articles on their own websites, but I also ask that they include this “About the Author” section with each article.  The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial, or health decisions.  I encourage you to follow me on social media on FacebookTwitter, and Parler, and anyway that you can share these articles with others is a great help.  During these very challenging times, people will need hope more than ever before, and it is our goal to share the gospel of Jesus Christ with as many people as we possibly can.

The post These Are The Shadowy New York Financial Institutions That Forced Robinhood To Restrict Trading In Certain Stocks first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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Silver Futures Soar 8%, Rise Above $29 As Reddit Hordes Pile In

This article was originally published by Tyler Durden at ZeroHedge. 

 It was the one print everyone was waiting for, and here it is: silver futures opened up 7%, surging from $27/oz to a high of $29.095 following a weekend of speculation that the next big squeeze on WSB’s radar is silver. And whether that’s true or not, may no longer matter in a world where – as described below – there is virtually no physical silver to be purchased.

 

Spot Silver is back to its highest since the August/Sept cycle highs…

Gold futures managed very modest gains…

And silver’s dramatic outperformance has pushed the gold/silver ratio to its lowest since 2014…

US Equity futures are taking a hit (all down around 1%)…

So as silver approaches $30, keep an eye on major price slams, emerging either out of central banks who desperately need to keep precious metals lower, or the BIS itself, whose Benoit Gilson will have a busy day tomorrow.

* * *

Update (1100ET): For some background on just how unprecedented this weekend’s action in silver markets is, Tyler Wall, the CEO of SD Bullion writes the following (emphasis ours):

In the 24 hours proceeding Friday market close, SD Bullion sold nearly 10x the number of silver ounces that we normally would sell in an entire weekend leading to Sunday market open.

In a normal market, we normally can find at least one supplier/source willing to sell some ounces over the weekend if we exceed our long position (the number of ounces we predict we will sell over the weekend).

However, everyone we talk to is afraid of a gap up at Sunday night market open.

This is about ready to get really interesting as there was very little inventory left from suppliers/mints going into Friday close.

Our direct AP supplier informed us after close on Friday that the “US Mint will be on allocation for the remainder of Type 1” (Current Silver Eagle Design).

Our sales for the month of January exceeded any one month last year during the heart of the pandemic. It was an all-time record month in our company history. 

And, perhaps most importantly, as QTR tweets so succinctly, “this is a red pill moment for many, and it’s beautiful.”

Additionally, there are also signs of a notable regime shift, as Bloomberg points out, investors are holding onto silver they own, rather than trying to take profits.

“Now we’re seeing nothing, no single offer, which is scary,” Peter Thomas, senior vice president at Zaner Group, said by phone from Chicago.

“Whatever we sell, people are holding it. There’s no inflow of metal at all.”

*  *  *

Update (1030ET): It would appear the run on silver has begun. With the market closed, traders have rushed to secure some exposure to silver ahead of what WSB suggests could be “the world’s biggest short squeeze” and that has left bullion dealers

As we noted below, the premium for physical silver had soared late Friday and into Saturday (after the massive flows into SLV), but as Sunday rolled around, bullion dealers are now facing massive shortages of physical coins.

Source: APMEX

 

Source: JMBullion

 

Source: SDBullion

And as one investor noted, the shortages are widespread…

We can only imagine where SLV will open after this.

*  *  *

While all eyes have been focused on GameStop and a handful of other heavily-shorted stocks as they exploded higher under continuous fire from WallStreetBets traders igniting a short-squeeze coinciding with a gamma-squeeze, the last few days saw another asset suddenly get in the crosshairs of the ‘Reddit-Raiders’ – Silver.

On Thursday, we asked, “Is The Reddit Rebellion About To Descend On The Precious Metals Market?” … One WallStreetBets user (jjalj30) posted the following last night:

Silver Bullion Market is one of the most manipulated on earth. Any short squeeze in silver paper shorts would be EPIC. We know billion banks are manipulating gold and silver to cover real inflation.

Both the industrial case and monetary case, debt printing has never been more favorable for the No. 1 inflation hedge Silver.

Inflation adjusted Silver should be at 1000$ instead of 25$. Link to post removed by mods.

Why not squeeze $SLV to real physical price.

Think about the Gainz. If you don’t care about the gains, think about the banks like JP MORGAN you’d be destroying along the way.

Tldr- Corner the market. GV thinks its possible to squeeze $SLV, FUCK AFTER SEEING $AG AND $GME EVEN I THINK WE CAN DO IT. BUY $SLV GO ALL IN TH GAINZ WILL BE UNLIMITED. DEMAND PHYSICAL IF YOU CAN. FUCK THE BANKS.Disclaimer: This is not Financial advice. I am not a financial services professional. This is my personal opinion and speculation as an uneducated and uninformed person.

…and judging by the unprecedented flows into the Silver ETF (SLV) they just got started…

SLV saw inflows of almost one billion dollars on Friday, almost double the previous record inflow for this 15 year-old ETF.

Source: Bloomberg

Which helped prompt a spike in SLV off Wednesday’s lows of over 11% (and note that every surge in price was mimicked by gold, but gold was instantly monkey-hammered lower after the spike).

Source: Bloomberg

And judging by the asset flow, SLV has room to run here…

Source: Bloomberg

 

Just as short-interest in the ETF has been building…

Source: Bloomberg

This surge came after Reddit user ‘TheHappyHawaiian’ posted the following thesis on buying silver noting that “the world’s biggest short squeeze is possible and we can make history.”

‘TheHappyHawaiian’ cites two reasons to buy – The Short Squeeze and Fundamentals.

The short squeeze:

Buy SLV shares (or PSLV shares) and SLV call options to force physical delivery of silver to the SLV vaults.

The silver futures market has oscillated between having roughly 100-1 and 500-1 ratio of paper traded silver to physical silver, but lets call it 250-1 for now. This means that for every 250 ounces in open interest in the futures market, only 1 actually gets delivered. Most traders would rather settle with cash rather than take delivery of thousands of ounces of silver and have to figure out to store and transport it in the future.

The people naked shorting silver via the futures markets are a couple of large banks and making them pay dearly for their over leveraged naked shorts would be incredible. It’s not Melvin capital on the other side of this trade, its JP Morgan. Time to get some payback for the bailouts and manipulation they’ve done for decades (look up silver manipulation fines that JPM has paid over the years).

The way the squeeze could occur is by forcing a much higher percentage of the futures contracts to actually deliver physical silver. There is very little silver in the COMEX vaults or available to actually be use to deliver, and if they have to start buying en masse on the open market they will drive the price massively higher. There is no way to magically create more physical silver in the world that is ready to be delivered. With a stock you can eventually just issue more shares if the price rises too much, but this simply isn’t the case here. The futures market is kind of the wild west of the financial world. Real commodities are being traded, and if you are short, you literally have to deliver thousands of ounces of silver per contract if the holder on the other side demands it. If you remember oil going negative back in May, that was possible because futures are allowed to trade to their true value. They aren’t halted and that’s what will make this so fun when the true squeeze happens.

Edit for more detail: let’s say there’s one futures seller who gets unlucky and gets the buyer who actually wants to take delivery. He doesn’t have the silver and realizes it’s all of a sudden damn difficult to find some physical silver. He throws up his hands and just goes long a matching number of futures contracts and will demand actual delivery on those. Problem solved because he has now matched the demanding buyer with a new seller. The issue is that the new seller has the same issue and does the exact same thing. This is how the cascade effect of a meltup occurs. All the naked shorts trying to offload their position to someone who actually has some silver. My goal is to ensure that I have the silver and won’t sell to them until silver is at a far higher price due to the desperation.

The silver market is much larger than GME in terms of notional value, but there is very little physical silver actually readily available (think about the difference between total shares and the shares in the active float for a stock), and the paper silver trading hands in the futures market is hundreds of times larger than what is available. Thus when they are forced to actually deliver physical silver it will create a massive short squeeze where an absurd amount of silver will be sought after (to fulfill their contractually obligated delivery) with very little available to actually buy. They are naked shorting silver and will have to cover all at once and the float as a percentage of the total silver stock globally is truly miniscule.

The fundamentals:

The current gold to silver ratio is 73-1. Meaning the price of gold per ounce is 73 times the price of silver. Naturally occurring silver is only 18.75 times as common as gold, so this ratio of 73-1 is quite high. Until the early 20th century, silver prices were pegged at a 15-1 ratio to gold in the US because this ratio was relatively known even then. In terms of current production, the ratio is even lower at 8-1. Meaning the world is only producing 8 ounces of silver for each newly produced ounce of gold.

Global industry has been able to get away with producing so little new silver for so long because governments have dumped silver on the market for 80 years, but now their silver vaults are empty. At the end of WW2 government vaults globally contained 10 billion ounces of silver, but as we moved to fiat currency and away from precious metal backed currencies, the amount held by governments has decreased to only 0.24 billion ounces as they dumped their supply into the market. But this dumping is done now as their remaining supply is basically nil.

This 0.24 billion ounces represents only 8% of the total supply of only 3 billion ounces stored as investment globally. This means that 92% of that gold is held privately by institutions and by millions of boomer gold and silver bugs who have been sitting on meager gains for decades. These boomers aren’t going to sell no matter what because they see their silver cache as part of their doomsday prepper supplies. It’s locked away in bunkers they built 500 miles from their house. Also, with silver at $23 an ounce currently, this means all of the worlds investment grade silver only has a total market cap of $70 billion. For comparison the investment grade gold in the world is worth roughly $6 trillion. This is because most of the silver produced each year actually gets used, as I have mentioned. $70 billion sounds like a lot, but we don’t have to buy all that much for the price to go up a lot.

**If the squeeze happens, it would be like 40 years worth of their gains in 4 months **

The reason that only 8 ounces of silver are produced for every 1 ounce of gold in today’s world is because there aren’t really any good naturally occurring silver deposits left in the world. Silver is more common than gold in the earth’s crust, but it is spread very thin. Thus nearly every ounce of silver produces is actually a byproduct of mining for other metals such as gold or copper. This means that even as the silver price skyrockets, it wont be easy to increase the supply of silver being produced. Even if new mines were to be constructed, it could take years to come online.

Finally, most of this newly created silver supply each year is used for productive purposes rather than kept for investment. It is used in electronics, solar panels, and jewelry for the most part. This demand wont go away if the silver price rises, so the short sellers will be trying to get their hands on a very small slice of newly minted silver. The solar market is also growing quickly and political pressure to increase solar and electric vehicles could provide more industrial demand.

The other part of the story is the faster moving piece and that is the inflation and currency debasement fear portion. The government and the fed are printing money like crazy debasing the value of the dollar, so investors look for real assets like precious metals to hide out in, driving demand for silver. The $1.9 trillion stimulus passing in a month or two could be a good catalyst. All this money combined with the reopening of the economy could cause some solid inflation to occur, and once inflation starts it often feeds on itself.

What to buy:

I will be putting 50% directly into SLV shares, and 50% into the $35 strike SLV calls expiring 4/16.

This way the SLV purchase creates a groundswell into silver immediately that then rockets through a gamma squeeze as SLV approaches $35.

Price target of $75 for SLV by end of April if the short squeeze happens.

Edit: for the part of your purchases going into shares, some people recommend PSLV because they think SLV might start lying about having the silver in their vault. Or that the custodian will be double counting, ie claiming that the same silver belongs to multiple people (banking on the fact that people wont all try to get their silver at once). So if you buy SLV shares and calls, that’s great. But I think it could be prudent for us to buy options in SLV (no options on PSLV) and shares in PSLV. It all depends on how paranoid you want to be. There is a lot of paranoia in the precious metals world.

Alternate options:

  • buying physical silver; this also works but you pay a premium to buy and sell so its less efficient and you take fewer silver ounces off of the market because of the premium you pay
  • going long futures for February or March; if you are a rich bastard and can actually take physical delivery of 1000s of ounces of silver by all means do so. But if you simply settle for cash you are actually part of the problem. We need actual physical delivery, which is what SLV demands and is why SLV is the way to go unless you are going to take delivery
  • miners; I don’t recommend buying miners as part of this trade. Miners will absolutely go up if SLV goes up, but buying them doesn’t create the squeeze in the actual silver market. Furthermore, most silver miners only derive 30-50% of their revenue from silver anyways, so eventually SLV will outperform them as it gets high enough (and each marginal SLV dollar only increases miner profits by a smaller and smaller percentage)

Details on SLV physical settlement:

When SLV issues shares, the custodian is forced to true up their vaults with the proportional amount of silver daily. From the SLV prospectus:

“An investment in Shares is: Backed by silver held by the Custodian on behalf of the Trust. The Shares are backed by the assets of the Trust. The Trustee’s arrangements with the Custodian contemplate that at the end of each business day there can be in the Trust account maintained by the Custodian no more than 1,100 ounces of silver in an unallocated form. The bulk of the Trust’s silver holdings is represented by physical silver, identified on the Custodian’s or, if applicable, sub-custodian’s, books in allocated and unallocated accounts on behalf of the Trust and is held by the Custodian in London, New York and other locations that may be authorized in the future.”

‘TheHappyHawaiian” ends with a call to (financial) arms:

Join me brothers. Lets take silver to the moon and take on the biggest and baddest manipulators in the world.

Please post rocket emojis in the comments as desired.

Disclaimer: do your own research, make your own decisions, everything here is a guess and hypothetical and nothing is guaranteed, not a financial advisor, I have ADHD and maybe other things too.

Bear case: silver does tend to sell off if the broader market plunges so it’s not immune to broad market sell off. It’s also the most manipulated market in the world so we are facing some tough competition on the short side

Interestingly, ‘TheHappyHawaiian’ dropped this update on 1/29:

Due to the manipulation and collusion of citadel, hedge funds, and brokers to change the rules and rig the game in their favor. Who likely knew ahead of time and bought puts right before and calls at the bottom, GME is too important to abandon still. SLV is still my next play but GME needs to go to $1000 and these people need to go to jail.

However, judging by the massive physical premiums for silver we are seeing this weekend at APMEX

… JM Bullion

… and SD Bullion.

…there are more than a few who are already rotating to SLV from GME.

The post Silver Futures Soar 8%, Rise Above $29 As Reddit Hordes Pile In first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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Corporations do not consent Donald Trump government is slavery Headline News Intelwars Joe Biden left vs. right paradigm lie liars in suits Mitch McConnell no control no masters no slavery Precious Metals taxation is theft unity voters withdraw consent

BIDEN WON’T GET HIS WAY!

This article was contributed by The Wealth Research Group. 

Democrats have the legislative path to push through the $1.9tn American Rescue & Recovery Plan through the back door if they really wanted to; it’s called budget reconciliation. This is the mechanism that allows Democrats to vote on the plan, which will ease their path and relieve them from having to gain the support of at least ten Republicans, in order to reach the 61 total “YES” votes needed.

Biden presented the plan in a way that aims to unite the country, by hoping that Republican Senators agree to it, but $1.9tn is a huge sum!

Republicans can’t just abandon all logic and agree to this proposed stimulus plan, in the name of uniting the country. The markets, seeing through Biden’s weakness, are not happy with the delays that are projected with this plan.

This anticipated friction between the two camps is the cause of the few red days we’ve been seeing this week, especially in the NASDAQ 100 and, obviously, with precious metals.

BIDEN’S FIRST 100 DAYS

Wall Street’s forecast is that the $1.9tn will be trimmed back all the way to $1.1tn, which is a colossal difference.

The United States’ annual GDP comes out to be around $22tn, so a $1.9tn plan would equal just over 8.5% of it; the impact of it would be enormous.

Just in December 2020, Congress passed the $950bn plan, which took months to get approved and thousands of man-hours to get done. Hence, the idea that the government would easily persuade the majority of representatives to sign off on an additional $1.9tn – double the size of the last one – is proving to be an issue.

The budget reconciliation process, which is the feasible way to just use the Democrats’ majority, is what Biden’s team would resort to if the bipartisan angle doesn’t fly. To them, success would show that there is bipartisan support for the plan, so they’re pursuing this path first; that way, they show the country that Republicans have deserted Trump.

In American politics, there is no precedent for parties coming together on legislation like this, just because the president-elect wants to create an image of unity.

Clearly, Democrats are trying to show the world and their own voters that they are more flexible and civil than their more aggressive counterparts, who bulldozed through Washington, but that’s all a façade. If you know politics like a pro, you know that while Trump might have been a straight shooter in showing his disgust with the swamp, the other side is just as vicious, only they choose to conceal that part of their personality from the public.

Most Republicans won’t be fooled by these theatrics.

If the Democrats want to get ten Republican Senators to vote their way, there’ll be heavy political prices to pay.

Don’t forget that there’s an impeachment trial coming up (Which Mitch McConnell is being devious about {more on that this Tuesday}), which will be a focal point for Congress and might take weeks.

The markets are pricing in these time-consuming issues and they’re not excited about them.

BURNING ISSUES: WATCH THESE CLOSELY

  1. Precious metals must catch a bid this week, or I’m afraid that they’ll consolidate for weeks, perhaps even for 2-3 months, save for a new catalyst that might be introduced that’s not expected at this point.
  2. On the flip side, there are monstrous efforts on the part of central banks around the globe to artificially curtail the slump in the dollar. Many countries’ central banks are buying dollars and making assurances that they’ll keep on purchasing in 2021, in order to put a floor on its rapid decline – they’re creating artificial demand.

In Israel, for example, where I am currently, the dollar is trading at 1996-levels!

  1. Re-Opening the economy would mean that many more businesses would compete for your dollars. While closing Main Street compelled consumers to transact with Wall Street names and do their shopping with publicly-traded companies, re-opening would bring back mom-and-pop shops to our lives, weakening corporate profits and markets would price it in.

I like having cash right now and I like keeping my options open because things could go either way. Therefore, my cash allocation is at 23%, higher than my average 16%.

Lastly, here’s the Total Wealth Report: 12 guiding principles for life – access it HERE!

The post BIDEN WON’T GET HIS WAY! first appeared on SHTF Plan – When It Hits The Fan, Don’t Say We Didn’t Warn You.

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debt limit deflation Gold Headline News Index inflation Intelwars interest rates Precious Metals Silver The Fed The Federal Reserve

CAN SILVER HIT $50/Ounce, SHOCKING EVERYONE?

This article was contributed by Future Money Trends. 

Silver’s price is tied with inflation much more than gold’s is. In the 1970s, as inflation raged in the United States, silver rose to $50/ounce, having started the decade at under $2. It was a sensational decade for the white metal.

However, in the 1980s and 1990s, as deflationary forces brought interest rates down rapidly, the metal’s price languished. Today, its price is HALF of what it was in 1980!

Obviously, investing in silver is NOT similar to investing in gold, which does enjoy a long-term appreciation under both deflationary and inflationary environments.

The question, then, is whether or not there’s a potentially interesting trade setting up in silver now that it has doubled from its March lows.

The answer depends on inflationary pressures and inflationary expectations.

  1. We are seeing that the dollar is dramatically weakening, which is the first sign that silver is likely to enjoy the momentum.

Here’s the dollar chart as it stands today:

Courtesy: Zerohedge.com

It doesn’t feel like the trend is swinging, either. This seems to be a long-term structural decline. Even the price of oil is back over $50/barrel.

  1. Silver’s price has already tested $30 this year and has shown that in the first stages of a recovery, however weak it may be, it can surge by triple-digits.

In 2009, for instance, it appreciated from $9 to $49 in two short years.

Again, this is a trade that could be capitalized upon, not a buy-and-hold idea.

  1. The price of silver has directly correlated with the price of oil over the years. With oil surging, this could be a critical bullish catalyst for silver.

In the end, silver is an ideal way of betting on inflation.

The Federal Reserve has done the heavy lifting for us. It arbitrarily mandated 2% inflation as some magical number. This means that the street will be bracing for inflation if the FED measures it as such.

Therefore, the smartest move is to watch that 2% gauge from Powell and his buddies.

Courtesy: Zerohedge.com

In our world, we’re reaching a point that we call the DEBT LIMIT, which is the moment when deflating the currency supply by simply adding more debt is not productive.

This moment will change how investors view inflation.

Be prepared for it and study the topic thoroughly in the meantime.

The post CAN SILVER HIT /Ounce, SHOCKING EVERYONE? first appeared on SHTF Plan – When It Hits The Fan, Don't Say We Didn't Warn You.

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at risk decades dollar crash Economy Gold Headline News Hoax hyperinflation inflation Intelwars interest rates make ends meet plandemic Precious Metals prices scamdemic Silver small businesses vaccines Virus

PAIN COMETH!

This article was contributed by Portfolio Wealth Global.

No, we don’t think hyperinflation is coming!

How can inflation bazooka higher, when half of young adults live with their parents in 2020 and 38% of Americans are consumed with thoughts about how to make ends meet?

This doesn’t mean that gold and silver can’t or won’t rally in 2021 (inflation has been below 2% for over a decade), since gold responds to real yields, which are measured by 10-yr yield, subtracted by CPI. So even with CPI at current levels (disinflation), as long as rates go down, that negative real yield helps gold.

Silver is an even stranger cat since it responds best to dollar weakness and, boy, do we have plenty of that…

Why are we focusing on pain, though, if vaccines are approved and if the beginning of the end for this unique period is ahead of us? Well, the price that most small businesses paid to indirectly help, by supposedly slowing the spread of the virus to the people at risk of dying of Covid-19 has been huge.

One day you woke up and the government told you that your baby – your source of income, your pride and joy, the business you took time, effort, thought, sweat, and sacrifice to bring to the marketplace – had to remain closed.

Small businesses received minimal assistance and we’ll only learn just how horrible the situation is in 2021.

This is because the dust will settle, restrictions will ease and we’ll see who is left standing.

Courtesy: Zerohedge.com

Bond investors, as you can see, bet on technology advancements and on disinflation. No one buys a negative-yielding bond for the income, of course. The only way to profit from this – and there’s a large incentive to capture gains – is to sell the bond for more than you paid for it.

Appreciation occurs when yields fall. The price of the underlying asset (the bond) shoots up.

Obviously, QE does not create inflation, as was previously assumed, since we’ve had over a decade of it and the FED keeps missing its target. The FED has little control over inflation, but we, the people, do.

What are the implications of so many Americans in this poverty-stricken position?

  1. With 36% of voters believing in fraud and with roughly 80% of Republicans believing foul play, any hardship will serve as a catalyst for more division.
  2. Government will play an even bigger role in the lives of most Americans, who stand to become even more dependent upon it.

It’s time to address this issue, once and for all.

Courtesy: Zerohedge.com

We do not see how the unsustainable bullish stance in the stock market, coupled with the genuine distress of most Americans, continues to remain decoupled for another year.

The fundamental problems in the U.S. economy are bigger than what a central bank can address and, frankly, they’re not only more serious than what the government has to offer to “solve” them, but they’re being addressed with all of the wrong tools.

Nanny state capitalism is not a plan; Americans need to be inspired to get up and figure it out!

Pain cometh in 2021.

The post PAIN COMETH! first appeared on SHTF Plan – When It Hits The Fan, Don't Say We Didn't Warn You.

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crash deflationary dollar chart Economy Federal Reserve Financial Gold Headline News Intelwars interest rates Jerome Powell metal price Precious Metals Silver The Fed United States

CAN SILVER HIT $50/Ounce, SHOCKING EVERYONE?

This article was contributed by Future Money Trends. 

Silver’s price is tied with inflation much more than gold’s is. In the 1970s, as inflation raged in the United States, silver rose to $50/ounce, having started the decade at under $2. It was a sensational decade for the white metal.

However, in the 1980s and 1990s, as deflationary forces brought interest rates down rapidly, the metal’s price languished. Today, its price is HALF of what it was in 1980!

Obviously, investing in silver is NOT similar to investing in gold, which does enjoy a long-term appreciation under both deflationary and inflationary environments.

The question, then, is whether or not there’s a potentially interesting trade setting up in silver now that it has doubled from its March lows.

The answer depends on inflationary pressures and inflationary expectations.

  1. We are seeing that the dollar is dramatically weakening, which is the first sign that silver is likely to enjoy momentum.

Here’s the dollar chart as it stands today:

Courtesy: Zerohedge.com

It doesn’t feel like the trend is swinging, either. This seems to be a long-term structural decline. Even the price of oil is back over $50/barrel.

  1. Silver’s price has already tested $30 this year and has shown that in the first stages of a recovery, however weak it may be, it can surge by triple-digits.

In 2009, for instance, it appreciated from $9 to $49 in two short years.

Again, this is a trade that could be capitalized upon, not a buy-and-hold idea.

  1. The price of silver has directly correlated with the price of oil over the years. With oil surging, this could be a critical bullish catalyst for silver.

In the end, silver is an ideal way of betting on inflation.

The Federal Reserve has done the heavy lifting for us. It arbitrarily mandated 2% inflation as some magical number. This means that the street will be bracing for inflation if the FED measures it as such.

Therefore, the smartest move is to watch that 2% gauge from Powell and his buddies.

Courtesy: Zerohedge.com

In our world, we’re reaching a point that we call the DEBT LIMIT, which is the moment when deflating the currency supply by simply adding more debt is not productive.

This moment will change how investors view inflation.

Be prepared for it and study the topic thoroughly in the meantime.

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GOLD COMEBACK: HERE’S THE BLUEPRINT!

This article was contributed by Portfolio Wealth Global. 

Gold does not directly correlate with the dollar. This couple has ceased from trading inversely to each other for many years. It’s very common to see a strong dollar and a strong gold rally, as well as a weak dollar (like right now) along with a weakening gold price (like right now). So, if the dollar isn’t the leading indicator for future gold prices, then what is?

The answer isn’t government debt either; the federal deficit and the national debt pile are contributors to the macro case for owning and storing precious metals, but the debt rises by the second, so if that were the case, gold would always go up.

It’s not inflation either; there’s inflation in the system inherently. Our global economy keeps adding more currency to circulation with each passing year and gold has been rising at more than a 1.6% pace, which is what the Federal Reserve cites as its gauge for CPI (Consumer Price Index).

Inflation and gold correlate much more once inflation becomes a noticeable issue, which any person can see and recognize. The truth is that the average American not only does not know how to define the term monetary inflation, he also has no idea what the consumer price index is – which means that inflation isn’t a hot topic, mentioned daily by influential figures.

Courtesy: U.S. Global Investors

This, as you can see, is an inverse correlation at its best. Bond yields, especially real yields, are the best barometer for where gold is headed next. Real yields are the result of discounting CPI from the nominal 10-yr bond yield.

Right now, the 10-yr bond is 0.84%. Because inflation is higher than that in the United States, there are negative yields, when accounting for real life. If one lends the government $100,000 for a decade, receiving 0.84%/annum, while his purchasing power erodes by more than that, he’s actually banking a guaranteed loss.

In that type of world, one is incentivized to allocate a portion of his savings towards precious metals, since bonds don’t offer much of an alternative to cash.

But, if the sentiment on the street is that this trend is reversing – which means rates are headed higher, while inflation stays tame, causing negative rates to disappear – the reason to own gold, as a trade, goes away.

This is what’s happening right now: Wall Street is convinced that rates bottomed in March and after six months of recovering from the initial shock, lenders have more options to choose from, so they’ll demand higher rates from the U.S. government.

Courtesy: Zerohedge.com

We do not anticipate inflation remaining the same as today. In fact, with the latest reporting about oil prices in 2021, it seems that the street doesn’t either.

On top of that, as you can see above, the markets are euphoric, with valuations resembling Dot.Com era levels. Right after it burst, gold bottomed and then soared for eleven consecutive years.

That’s not what we’re envisioning, but if stocks peak soon and trade sideways for a number of months, gold could do well, as money rotates toward it.

The point is that this slump could be based on a totally false narrative.

So, what we’re doing is building our watchlist and waiting for the SWING, which will occur the moment the trend reverses.

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GOLD COMEBACK: HERE’S THE BLUEPRINT!

This article was contributed by Portfolio Wealth Global. 

Gold does not directly correlate with the dollar. This couple has ceased from trading inversely to each other for many years. It’s very common to see a strong dollar and a strong gold rally, as well as a weak dollar (like right now) along with a weakening gold price (like right now). So, if the dollar isn’t the leading indicator for future gold prices, then what is?

The answer isn’t government debt either; the federal deficit and the national debt pile are contributors to the macro case for owning and storing precious metals, but the debt rises by the second, so if that were the case, gold would always go up.

It’s not inflation either; there’s inflation in the system inherently. Our global economy keeps adding more currency to circulation with each passing year and gold has been rising at more than a 1.6% pace, which is what the Federal Reserve cites as its gauge for CPI (Consumer Price Index).

Inflation and gold correlate much more once inflation becomes a noticeable issue, which any person can see and recognize. The truth is that the average American not only does not know how to define the term monetary inflation, he also has no idea what the consumer price index is – which means that inflation isn’t a hot topic, mentioned daily by influential figures.

Courtesy: U.S. Global Investors

This, as you can see, is an inverse correlation at its best. Bond yields, especially real yields, are the best barometer for where gold is headed next. Real yields are the result of discounting CPI from the nominal 10-yr bond yield.

Right now, the 10-yr bond is 0.84%. Because inflation is higher than that in the United States, there are negative yields, when accounting for real life. If one lends the government $100,000 for a decade, receiving 0.84%/annum, while his purchasing power erodes by more than that, he’s actually banking a guaranteed loss.

In that type of world, one is incentivized to allocate a portion of his savings towards precious metals, since bonds don’t offer much of an alternative to cash.

But, if the sentiment on the street is that this trend is reversing – which means rates are headed higher, while inflation stays tame, causing negative rates to disappear – the reason to own gold, as a trade, goes away.

This is what’s happening right now: Wall Street is convinced that rates bottomed in March and after six months of recovering from the initial shock, lenders have more options to choose from, so they’ll demand higher rates from the U.S. government.

Courtesy: Zerohedge.com

We do not anticipate inflation remaining the same as today. In fact, with the latest reporting about oil prices in 2021, it seems that the street doesn’t either.

On top of that, as you can see above, the markets are euphoric, with valuations resembling Dot.Com era levels. Right after it burst, gold bottomed and then soared for eleven consecutive years.

That’s not what we’re envisioning, but if stocks peak soon and trade sideways for a number of months, gold could do well, as money rotates toward it.

The point is that this slump could be based on a totally false narrative.

So, what we’re doing is building our watchlist and waiting for the SWING, which will occur the moment the trend reverses.

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STALEMATE: 2ND STIMULUS – THIS CHANGES EVERYTHING!

This article was contributed by Future Money Trends. 

Nancy Pelosi wants a stimulus bill that is over $3 trillion. Mitch McConnell wants to pass something in the order of $500 billion. These leaders are clearly worlds apart. Nancy even rejected bills that were $1.5 trillion, saying that they were “nice but not nearly enough.” On the other hand, conservative Republicans are saying that the free market ought to be taking the lead while the government has done enough and that the debt is already gigantic.

The problem is that neither party wants to concede, giving even an inch to the other side since they’ll appear weak in front of their voters. Both parties desperately want to win the Senate race in Georgia. It’s going to get very political, with hundreds of millions raised for the cause, and January 5th is the vote – even Trump and Biden might campaign. The problem is that January 1st comes before that and if nothing is done, millions of people, many of which are parents with children, face evictions since they’re not capable of paying rent, while millions of others will cease receiving enhanced unemployment benefits.

Therefore, a bipartisan group of senators is working on a bridge-stimulus plan as we speak.

Future Money Trends believes that there’s a strong chance that, when it comes to rent, an extension of the moratorium will be introduced. If it doesn’t, Q1 2021 could be one of the best times to purchase homes since prices will dip because of the excess inventory.

Courtesy: Zerohedge.com

November has been the best-ever month for stocks on a global basis. It’s absolutely mind-boggling how much euphoria is out there. When you think about mortgage forbearance, which has allowed households to “save” $1,000 to $2,000 every single month since the bill was introduced, you can understand how much leverage is being put into the stock market that will need to be taken out later. Households have been using the extra cash to invest, but they’ll need to pull it out, at some point.

It’s happening all over the place and the temptation to trade has never been bigger.

As you can see above, indices of entire nations have gone up in one month as much as stocks return in 4 or 5 years.

The technical Relative Strength Indicators (RSI) are just green everywhere, save for precious metals most likely.

Courtesy: Zerohedge.com

On the 15th of December, the FED will convene to discuss interest rates and asset purchases, going forward. If there’s no bipartisan bill by then, we believe they’ll increase QE again.

There are now talks about forgiving student loan debts from $10,000 to upwards of $50,000. There are 45 million Americans who have student loans, and these are individuals who struggle to originate mortgages, raise their credit scores, and save anything.

On the flip side, forgiving these loans will fuel even more socialistic programs, and will cause tuition in this country to be jacked up further, argue the fiscally-conservative. It’s also unfair to reward debtors while punishing those that chose not to assume massive obligations.

In our assessment, when the next president asks his economic advisors for the best ROI for another fiscal program, they’ll point towards state and local government aid, where for every $1,000,000 spent, nearly 90% of it goes immediately back to the economy.

This is much higher than in the case of student loans, so while Elizabeth Warren and Bernie Sanders introduce far-left initiatives, it doesn’t seem like that’s the way the country is headed.

We currently put the odds of stimulus checks hitting the mailboxes of Americans as being very low in the next 40 days. We give it more of a chance after January 20th, but if the bipartisan proposal somehow passes, markets will celebrate this surprise.

As for us, we are not aggressively participating in this party. There’s not enough alcohol in the world to convince us to play with fire.

 

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DAGGER TO THE HEART: R.I.P. GOLD!

This article was contributed by Portfolio Wealth Global.

Today’s letter is divided into two sections: the first is the update on the bloody mess that precious metals are undergoing and the second is a summary of the hearing that Rudy Giuliani and the list of witnesses reported that gave verbal accounts of their testimony about Pennsylvania’s voter irregularities.

GOLD: IS THE BULL MARKET DEAD?

In short, the answer is NO. There are several instances since December 2015 where we’ve seen similar moments to this. These are instances in which the volatility index plummets, many events conspire to bring hope, and there’s the assumption that central banks might tighten and that there’s no catalyst for precious metals. These instances come and go since you can’t get rid of the underlying issue: more currency is created by the second.

As you can see, gold fights these moments off and rallies:

Courtesy: Zerohedge.com

If this one follows in the footsteps of the ones we saw in June 2019 and March 2020, watch out, bears!

As you can see, in August, the price of gold distanced from its 200-DMA so much that this sell-off was due to arrive. Taking profits in August was very smart.

Right now, our thesis is that the best course of action is a slow accumulation. The value proposition is certainly the best it’s been since March, and in terms of the mining industry itself, the validity of the sector is well intact. The trend is clear — gold is heading down.

The median all-in sustaining cost is still $975/ounce, so mining companies are still able to report strong earnings, which is the key to understanding the reason we’re about to pull the trigger on the most compelling buy-the-dip setups, in our opinion.

This is gold’s worst month in four years!

Courtesy: U.S. Global Investors

Like we wrote two weeks ago, when gold’s price was much higher, we could see gold falling all the way to $1,750. These shakeouts are the best buying opportunities in hindsight. Traders surrender and it feels bad; there’s a sense of desperation about the future’s price action. We think we’re going to see that frustration fairly soon.

TRUMP’S LAWSUITS – PENNSYLVANIA

Pennsylvania had multiple alleged “irregularities” in the state’s vote count:

* At least 21,000 dead people on Pennsylvania’s voter rolls

* Duplicate ballots were mailed out to thousands of registered voters (Pittsburgh officials have admitted that this happened)

* A lawsuit filed against the state of Pennsylvania for having more than 800,000 inactive voters on its voter rolls

* Pennsylvania’s attorney general told Ted Cruz to “stay the hell out of” the state’s disputed tabulation of presidential election votes

* Dominion Voting Systems’ corrupt election software system was reportedly used in Pennsylvania

Along with that, Giuliani cited another set of numbers that don’t add up. Pennsylvania received approximately 1.4 million absentee or mail-in ballots. However, in the count for president, they counted 2,589,242 absentee or mail-in ballots. How will they account for the discrepancy?

“I know crooks really well. You give them an inch, and they take a mile. And you give them a mile, and they take your whole country.” These were Giuliani’s ending remarks for his opening speech.

Could all of these witnesses possibly be lying in a public hearing, making up the very specific details of what they saw and heard? The mountain of firsthand evidence can only lead informed citizens to one conclusion.

Here’s what President Trump is saying about all of this:

“The whole world is watching us. The whole world is watching the United States of America, and we can’t let them get away with it… This election was rigged, and we can’t let that happen. We can’t let it happen for our country.” – Donald J. Trump.

The zero hour cometh; we shall see if these hold up in the Supreme Court or if Biden will be inaugurated on January 21st, 2021.

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GOLD OBLITERATED!

Markets have priced in the vaccine news, so rates are rising, stocks are fully-priced (with hedge funds and retail investor piled-in) and with no stimulus, we are just not convinced that the markets understand that many states are about to hit the reset-button on lockdowns and business shutdowns.

Gold simply has no catalyst in the immediate-term, on top of the fact that investors generated large profits on it in 2020 and now want to cash in their chips.

What does this mean?

For one, it means that the initial reflation trade is over. Now, we will take a breather, before the delayed inflation begins to hit.

* Right now, both case counts (since the tests are truly sensitive) and fatalities, unfortunately, aren’t stopping and we’re entering winter.

* No one knows how large or comprehensive the stimulus package will be.

There are pretty good estimates that it will be between $1.4tn and $2.0tn.

Courtesy: Zerohedge.com

As you can see, if we just wait, the market will give us confirmation of either a breakout or a correction.

What we respect and appreciate is peace of mind, when investing. There are so many unknowns right now, especially as we don’t even know who will be president, or how Americans will react once one is confirmed.

What conclusions can be drawn?

* Covid-19 has shown to everyone that central banks and governments have no idea what creating currency and debt can lead to. They’re not concerned with any of the impact that’s attributed to it.

* Society bails out the rich and the asset owners first.

* People who are working in lower-income jobs must immediately form a side-hustle. The economy has changed and there are innumerable opportunities if one is able to work hard and not wait for government.

* We have no control over the fate of the dollar, but we can prepare by owning alternative currencies. Portfolio Wealth Global has been writing about Bitcoin, for example, for years.

Courtesy: U.S. Global Investors

This is the inheritance of today’s generation to our children and grandchildren. They will have to deal with the debt ordeal – but that’s a myth, in our opinion.

We do not believe that deficits don’t matter; in fact, we believe that now, more than ever, the world sees that printing currency, without a plan on how to pay it back, is a recipe for disaster and a destabilizer for society.

Expect an important update on our favorite side hustles in the coming days!

 

 

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TODAY IS THE DAY: JB vs. DT – MY PREDICTION!

This article was contributed by Future Money Trends. 

The United States and many parts of the Western World, as well as developing nations, are watching their screens today, anticipating how the elections will turn out.

Most voters don’t pick their president based on results, but on how they make them feel. 70% of voters have no idea what the platform of Donald Trump or Joe Biden is; they are familiar with buzzwords and general terms but can’t or won’t devote the time it takes to arrive at a factual, wise, and wholehearted decision.

This election day is determined by peer pressure, media propaganda, and largely by the way the candidate makes you feel about whether or not you’d want to be his friend.

A political leader with the responsibilities of the president doesn’t have to fit into that slot of “a nice guy to have coffee with,” although it doesn’t hurt.

This job of occupying the White House between now and 2024 is about one thing: the ABILITY to perform the work required.

FutureMoneyTrends.com believes that Donald Trump is in trouble in Arizona, a state that could tilt the balance towards the Democrats. We also believe that Trump crusaders woke up at 5 AM today and are doing anything they can possibly do to help their candidate.

Therefore, our prediction is that Donald Trump is likely to win, by securing PA, MI, and NC, as well as FL and GA, giving him 308 Electoral College votes, but we shall see.

What I’d like to do now is analyze the precious metal sector for each of the two scenarios, a Biden victory and a Trump one:

Courtesy: Zerohedge.com

Between now and December 8th, when the electoral college vote is materially finalized, there might be legal debates that arise due to the probability of mail-in fraud, late voting, or other manipulative actions.

What markets want more than the certainty of knowing who will be the next President of The United States is MORE STIMULUS.

Starting in March, after they poured everything they had into this economy, the Federal Reserve has become second fiddle to Congress.

QE programs and low, zero, or negative interest rates are the norm. Markets have already priced in the fact that they’ll stay there for years. Households can only function and originate mortgages thanks to this. Businesses can only recycle loans, refinance debt, and borrow funds because of it. Governments can only keep their giant deficits in motion due to this reality, and it won’t change anytime soon.

Joe Biden and the Democrats – The most important policy change that will be enacted if Biden ends up winning is his attitude towards China.

Biden is likely to ease up big time.

This is important because this kid-gloves approach is likely to cause the world to be less fearful of animosity between these two countries, the world’s strongest empires. As you know, in the past four years, President Trump has not started any new war; his attitude towards foreign policy included far less back-channeling and much more of a public approach, putting pressure on China, Europe, and the Middle East, out in the open. Our opinion is that Biden’s way could lead to a Chinese confidence boost and new war fronts could emerge, just like when Russia felt brave enough to attack Ukraine.

The bottom line is that a Biden victory is likely detrimental to the U.S. dollar and we believe that under his administration, commodities and stocks will trade in tandem, OPPOSITE TO HOW they did in the past twelve years.

Since silver is 55% below its all-time high, our rating of it as a likely winner is even bigger than gold’s. We would not be surprised to see strong silver performance in 2021 and beyond, testing its legendary $50/ounce high.

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Lior Gantz: “It’s Unsustainable! America’s Debt Problem Is Out Of Hand”

Source: YouTube screenshot

Lior Gantz of Wealth Research Group recently sat down with Jake Ducey of the YouTube channel, I Love Prosperity to discuss the state of the economy and how to protect yourself from the coming debt-bubble price explosion.  The world is going to soon realize that America’s debt problem is out of hand, and simply not sustainable.

Gantz’s advice is to invest in gold and silver as a way to protect yourself from the coming debt bubble explosion and economic crash. In the coming years, people all over the world will begin to see the dollar as weak and notice that it isn’t the same fiat currency as it was before.

Ducey then asks Gantz about where we are going economically as far as inflation is concerned. Gantz says that we shouldn’t expect the Weimar Republic, but we should be prepared for negative rates by hoarding gold or silver.

The discussion of inflation is in-depth, but instead of fearing inflation, we should be more concerned about other elements all rolling together in this economy.

Gantz continues to suggest you have one year’s worth of savings, but you should also try to focus on growing a business for income increasing. You could also consider owning some mining stocks and other investments in gold and silver, for profit potential. Physical gold and silver will be a great investment too. Another great way is to ain some kind of marketable expert skill that could be utilized as income generation all the time. Because at some point, this whole debt-based system will crumble as it was designed to.

Be aware of what is going on in this insane economy. It probably won’t matter much who is elected. This destruction of the dollar is planned and orchestrated and it will be done to usher in the digital dollar of complete centralization and control.

Think It’s Bad Now? “It Doesn’t Matter Who Wins, The Dollar Is Going To Be DESTROYED!”

 

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EVERYONE AND THEIR MAMA BETTING AGAINST SILVER!

This article was contributed by Lior Gantz with Wealth Research Group.

Are there any SILVER BULLS left out there? It looks like the rally is over, the EXCITEMENT IS DONE, and that no one outside of the SILVER BUG COMMUNITY has any positive sentiment towards the QUASI-INDUSTRIAL/PRECIOUS metal.

The market believes that BIDEN’S GOT THIS, so much more money is exiting silver than entering it!

The market is betting that the massive CASH PILES, which investors have collectively shelved on the sidelines (most investors are SHAKING IN THEIR BOOTS, because of Trump’s ACTION-PACKED term in office) will exit the money-market accounts and find their way into real estate, equities, and commodities.

Investors believe Biden would have a SOOTHING EFFECT on the economy; they’ve got A TON riding on higher interest rates — the market is SUPER-BEARISH on bonds!

No one believes that they can go ANY LOWER and reach even more negativity, in real terms.

Courtesy: Zerohedge.com

Are you SEEING THIS? Have you ever seen something MORE OBVIOUS?

Man, this is going to cause so MUCH PAIN for these speculators; I can’t wait to see STOCKS SOAR, METALS RAGE, and the dollar pull a U-TURN on everyone!

Don’t let your GUARD DOWN now, because that’s what happened to MILLIONS AND MILLIONS of investors in March and April; Wall Street PULLED THE RUG from under them, convincing them to stay in cash, while they were buying stocks with STEEP DISCOUNTS!

We gave you options, though, with our watchlists and we’ve been RIGHT. The chart above shows the world is betting on higher rates — what do you think WE’RE DOING?

With the World Health Organization now openly DEMANDING quarantines and lockdowns stop, with governments putting MORE STRATEGIC and far more sophisticated solutions in their place, the markets expect MORE STIMULUS, as do we.

Courtesy: Zerohedge.com

Here’s what every DOOM AND GLOOM investor feels in his heart of hearts, and he ends up MISSING OUT on the now +14 stocks that we outlined in 2020 ALONE that are up over +35%:

  1. The markets are rigged.
  2. Governments are drowning in debt.
  3. It’s a fake economy, a house of cards that can TOPPLE OVER at any moment.
  4. Stocks are historically-expensive; it’s a super bubble.
  5. “If I buy into this lie, I’ll end up losing a fortune.”

I’ve heard this LAST ONE (No.5) since 2009!

If the forecasters of -80% price drops, the preachers of SHORT TSLA and the instigators of not owning FAANG stocks would reveal their track records, you’d see that the EMPEROR HAS NO CLOTHES.

I still hear SUPER-POPULAR guests on shows predicting that gold is going to $800 and that we’ll see “1999 levels” in the stock market.

What a disservice these well-meaning frightened commentators do to their audience, who are enthusiastically convinced that the world is COMING TO AN END.

For years, people actually asked me how they get their hands on the actual stock certificates since they thought the brokerage firm was GOING UNDER.

2008 scarred the mentality of millions of people; they can’t trust anything or anyone anymore and that actually has a NEGATIVE PRICE attached to it.

I think silver is going to ALL-TIME HIGHS, due to the cyclical bear market that the dollar has begun. The world isn’t going to end; it is going to GET RICHER — the only question is will JEFF BEZOS grow his wealth to $300bn before you grow yours to 7-figures?

This is your moment; now, more than ever, you have a REAL CHANCE to say:

ENOUGH IS ENOUGH!

It’s your turn; put your CAPE ON and be a superman.

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BRING DOWN THE ROOF: Market Predicts BIDEN!

This article was contributed by James Davis with Future Money Trends. 

This week, we saw markets start to factor in something that many TRUMP SUPPORTERS are refusing to believe, which is that Joe Biden is DEFINITELY LEADING in most polls.

What the Trump supporters cling onto is that in 2016, all of these SO-CALLED GENIUS POLLSTERS were dead-wrong, not accounting for what are referred to as “Shy Trumpsters,” which are supporters who will only admit the fact to themselves and sometimes their close family.

Failure to understand this IMPORTANT DYNAMIC caused the shock around CLINTON’S LOSS in 2016, and they believe history will repeat itself on November 3rd, which is less than a month away.

There is SOME MERIT to this, as the company that predicted Trump’s victory back then is forecasting him to win in a TIGHT RACE!

Courtesy: Zerohedge.com

Despite this being issued by the only polling firm that CORRECTLY CALLED the 2016 election, the wisdom of the crowds favors Biden right now.

For one, China’s yuan just had an incredible week. The dollar dumped to THREE-WEEK lows, even though real rates actually climbed. What’s behind these BIG MOVES? Well, if Biden wins, tensions with China are supposed to ease, which is another way of saying that HARDBALL NEGOTIATIONS will be canceled and the policy that wiped out the American middle class –  which is to allow the Chinese to compete with the West without respecting the rules of the game – WILL RETURN.

In the case of a Biden win, FAR LESS unpredictability is almost guaranteed. One thing about the past four years that was very noticeable is how aggressive Trump’s governance style is. If he has a MISSION AT HEART, it will get done, even at the cost of short-term mayhem.

His supporters love this about him; his haters think it is borderline insanity to run a country in this manner.

Less unknown things and fewer LAST-MINUTE BOMBSHELLS reduce the need to be as LIQUID, therefore resulting in a weaker dollar.

Courtesy: Zerohedge.com

So, a Biden victory is actually BETTER FOR METALS than a Trump one.

Trump has caused the dollar to strengthen significantly in his term compared with other fiat currencies. In 2018, the dollar actually had its BEST YEAR since 1969. This made the gold/silver ratio reach an all-time high of 123:1, so if you’re LONG SILVER, Biden’s policies will actually make you richer.

Regardless of who wins, Future Money Trends believes that the stock market will GO UP.

Our watch lists have brought TREMENDOUS WINS in March, June, over the summer, and just recently, in the SEPTEMBER CORRECTION.

With the INITIAL ONE, there are companies that are up over +70% now!

With the SECOND ONE, there are companies that are up over +50% now in less than FIVE MONTHS.

With the THIRD ONE, released over the summer, we believe that Ciena (CIEN), which we’re personally big shareholders of with an entry price of $44.05, will see a massive long-term opportunity. Put differently, we think that in 2030, when you look at this holding compared with the indices, you’ll potentially see a BIG GAP to its advantage.

In late August, anticipating a TERRIBLE SEPTEMBER, we issued a tech-centered watch list, OUR FOURTH ONE. One company is already up 15.3% for us. Ironically, the other companies are up MUCH MORE, +20% and even +30% and +40%, if one didn’t wait for the price to drop to the proposed LIMIT ORDERS.

Being able to invest DESPITE the innumerable reasons NOT TO, which the gloom and doom crowd always finds, is probably what investors in the 1940s and EARLY 1980s had to DEAL WITH as WW2 ended and the 1970s inflationary nightmare ended.

The eternal mandate is to be a contrarian or SUFFER.

The post BRING DOWN THE ROOF: Market Predicts BIDEN! first appeared on SHTF Plan – When It Hits The Fan, Don't Say We Didn't Warn You.

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