This article was contributed by James Davis at Future Money Trends.
I’ve been publishing economic and financial commentary for years and consider TODAY’S LETTER to be one of my top 10 most important alerts EVER.
The coronavirus has made it ABUNDANTLY CLEAR that the federal government in D.C. and the Federal Reserve are never going to allow the U.S. economy to suffer through a dollar deflation event if they can help it.
They will walk over HOT COALS and will BEND every rule in the book in order to put money in the pockets of the SYSTEMATICALLY-important institutions and there’s no greater example of it than the chart below.
America is a DUALITY and two conflicting forces create the drama of the free markets.
On one hand, America’s economy is built on CONSUMPTION. About 70% of its GDP is determined by the average American’s shopping habits.
That’s not what creates job growth, though… the innovation and power of the individual to launch a small business and hire employees does.
More than 50% of S&P 500 companies’ earnings are foreign-sourced.
Therefore, the powers-that-be aren’t about to let corporations run low on liquidity. When they see the bids drying up, they will swoop in like a HUMPBACK WHALE:
When the bond bubble burst into OBLIVION, the Federal Reserve started buying. The following day, all of the short positions disappeared.
Our markets are free, but only to an extent; it’s not PURE CAPITALISM anymore. When your competitor is having a heart attack, the U.S. Government and its tentacles will not let you dance on their hospital bed and capitalize.
“DON’T FIGHT THE FED” is the mantra of the 21st century. More importantly, don’t DARE to fight Washington.
This isn’t to be construed as standing down and bowing to tyranny, but rather refers to the INVESTMENT world. Neel Kashkari, president of the Minneapolis branch of the central bank, told us time and again that they’re not going to err on the side of caution this time.
The U.S. Government is also not HOLDING BACK while entering the most important two-week period of the COVID-19 “stay at home” medical policy. We are looking at stimulus packages of UNPRECEDENTED proportions.
The world’s largest economies are currently successful at DEFEATING both the panic and the curve of new infections, which means that by the end of April, guidelines might begin to relax. This is combined with the hotter weather of spring, which will help stop the infection before the 2nd wave of October re-emerges.
By then, thanks to the work of medical device companies, we will have probably tested most of the population.
Still, the impact of this sustained period of QUARANTINES is certainly not quick to pass. Therefore, we will have a few years of less than STELLAR earnings, which is always one of the CRUCIAL catalysts of great returns for gold stocks.
Since markets are forward-looking, I give us a maximum of 24 months before the clear trend emerges.
Not until 2023 will earnings per share go back to 2020 levels, and that’s OUR WINDOW of capitalization on gold and on mining, in general.
During this period, we expect roughly $1.8 trillion TO FLOW into gold, which will take its price to an estimated $3,400/ounce, conservatively.
All else being equal, I’m going to invest in best-of-class gold companies, which ought to deliver SPECTACULAR returns, but the 1,000% gainers are the ones that will either make discoveries or meaningfully de-risk their development-stage assets.
Of course, the crown jewels will be the companies that are BOUGHT OUT!
The most important obstacle is to break gold’s previous all-time high in dollars terms. That will spark the MANIA.
I don’t have any gold just silver because it is wwwaaaayyy more useful and needed. But then, I try and make the most intelligent decisions to preserve my $$.
So sell in May and go away. Hahaha. Any poor sucker that buys into this again is going to lose everything. Looks like that would be the Federal Reserve, based on their statements.
Like a drowning victim, the third time that they go down, (or 2008 in this case for the economic system of financial fraud,) its over, this has just been a floating corpse since then.
So sick of the bullshit financial fraud economy which is not capitalism! Obviously, since over 70% of trades are in dark pools, my guess is that they are mostly employee trades. paying back bond holders is the only remaining capitalist element for many corporations which are more like black market organized crime rings than legitimate businesses! They should not be bailed out! It’s like bailing out hitmen, grand larseny theives, and the worst of the worst! That would explain both their repeated stock buybacks, and their aversion to paying back bond holders.
Now they demand to be nationalized. They are just as, if not more corrupt and incompetent than the government!
Dan Ameduri is a penny stock pump and dumper. Ignore Future Money Trends and don’t even think of giving them a dime. They’re paid hundreds of thousands to pump and dump horrific stocks and are rich as hell. They disgust me coming on here and begging for more money. This article was written by Dan Ameduri himself. James Davis my a** !!!!!!!!!!!!!
More corona hysteria propaganda from Sputnik, in print creating an illusion that Sweden has so many people dying of coronavirus, that they must store extra bodies in places other than morgues, omitting that the reason for the bodies being stored is because families have delayed funerals. Sputnik failed to report that the likely reason for the delays is because gatherings have been limited to 50 people, Easter is approaching, and many may have relatives in other countries who have been barred from traveling by those countries. Sputnik also says that Sweden has had higher fatalities than other Scandanavian countries that did use lock downs, but failed to point out that Sweden has a much larger population, because it is Fact Inconvenient!
Sweden has not over-reacted the way that other countries have, but as you can see, even limiting gatherings of 50 people does bottle neck things. It is unclear how many Swedes would have done that voluntariily. Considering that the majority of deaths are of the elderly between the ages of 80-90 years old in nursing homes, relatives may have chosen to do this since many attendees may be in a high risk category, since the elderly, know a larger segment of the elderly population.
Although fewer deaths have occured this year than a normal flu season, with it being in the head-lines 24/7, it is bound to affect some people’s decisions.
“Since markets are forward-looking, I give us a maximum of 24 months before the clear trend emerges.”
(Broken line in graph, “Strategy Forecast,” is from 2 yrs ago.)
If he wants to use your money to effect his own stock trend, why not be a hedge fund manager, under legally binding conditions — for instance, promising a dividend or minimal ROI for each tranche of his Ponzi scheme.
I’ve heard this sort of thing for decades now, and for decades I’ve seen gold performing about like any other commodity, with its occasional peaks and lows and an overall moving average showing it as a solid but not very outstanding investment.
Palladium, OTOH, has done exceptionally well and may continue to doing it or not depending on certain high tech developments.
If you want to buy gold dodo so but do it for solid and well considered investing reasons, not with the idea of getting rich quick (something that almost never happens for the average person).
Silver saved my arse in 2010-11. My job went to shit but I am debt free too and sailed right on through no problem. Sold a bunch for 5 times what I paid for it. Even put myself through solar school and got a job doing that. But then, why try and convince you? The same thing is going to happen again. Try paying your property tax with cans of beans lol…
Can’t pay em with beans OR silver rounds. Sure, you can use silver or gold coins to pay taxes, but what an ass raping that will be as they will be valued at face. You will have to trade your precious for FRNs in order to pay in legal tender.
20s in #10s