After the June Federal Open Market Committee (FOMC) meeting, Fed Chair Jerome Powell committed to “do whatever we can, for as long as it takes.”
Nothing has changed — the July meeting was rewind and replay.
For years, Peter Schiff has been warning about a dollar crash and the end of the greenback’s role as the world’s reserve currency. Suddenly, the mainstream is starting to see that possibility as well.
In a recent research note, Goldman Sachs warned that the dollar’s role as the world reserve currency is at risk.
According to a Bloomberg report, the US Mint complex in West Point, N.Y., is taking measures to reduce the spread of COVID-19 among its employees and expects production slowdowns for the next 12 to 18 months. According to a US Mint document, the facility can no longer simultaneously produce both gold and silver coins, forcing it to choose one metal over another.
Gold broke through $1,900 on Friday morning and kept pushing upward, setting an all-time record during Asian trading hours on Monday.
Gold was trading as high as $1,944 an ounce early Monday.
The previous record price for gold came in the third quarter of 2011 at just over $1,920 an ounce.
Permanent business closures are rising as the economic impacts of the coronavirus-induced government shutdowns continue to ripple through the economy.
This is yet another sign that the promised “v-shaped” economic recovery will likely never materialize.
The world is drowning in debt.
And central bank policies globally are encouraging even more borrowing. Most people don’t seem to care. “This is necessary during this time of crisis,” has become the mantra. But the ugly truth is the world was already drowning in debt before the coronavirus pandemic. The government response to COVID-19 has merely exacerbated the problem. And it’s important to understand that debt is neither free nor irrelevant.
Last week we reported on a looming wave of evictions on the horizon as the economic consequences of the coronavirus-induced government economic shutdowns begin to rear their ugly heads. Now for more gloomy news, there are also signs of trouble in the mortgage markets.
Mortgage delinquencies soared at a record pace in April. And that was toward the beginning of the pandemic’s economic impact.
The Federal Reserve’s monetary Hail Mary is blowing up bubbles throughout the economy. Peter Schiff has been talking about this for months, but the phenomenon has been mostly ignored by the financial media. The Fed’s monetary stimulus is almost universally spun as prudent and necessary. But last week, the mainstream media suddenly spotted the bubbles. Reuters declared, “Federal Reserve’s $3 trillion virus rescue inflates market bubbles.”
The economic consequences of the coronavirus-induced government economic shutdowns continue to pile up.
According to one expert on eviction, between 20 million and 28 million Americans could face eviction between now and September. That compares to about 10 million evictions over a much longer period of time following the foreclosure crisis in 2008.