Analysts at PIMCO say that for the Fed to reach its goal of lowering inflation to 2%, we need fewer people to be employed. Reduced incentives to offer raises and bonuses and less spending from the “resilient” American consumer can help cool down inflationary pressure. But there’s an elephant in the room: Why do we let a handful of unelected central planners decide what’s best for markets (and human beings) to begin with?
In this episode, Peter reacts to a hotter-than-expected CPI report, big trades in Bitcoin, and the federal bill that would ban the popular social media app TikTok. He also notes silver’s historically low price, which is nearly 50% of its 2011 high.
Ron Paul’s recent op-ed from the Ron Paul Institute for Peace and Prosperity, reprinted in the Orange County Register, breaks down the profound damage caused by central bank money printing: it pits savers against speculators, encouraging consumers to use debt to fund basic needs since their savings are constantly evaporating due to monetary debasement.
The gold price has been surging, with unprecedented central bank demand gobbling up supply. It has been a force to behold — especially as US monetary policy has been relatively tight since 2022, and 10-year Treasury yields have rocketed up, which generally puts firm downward pressure on gold against USD.
On Super Bowl Sunday, President Biden took to X (formerly Twitter) to skewer consumer brands for “shrinkflation,” a phenomenon where product vendors reduce package sizes without proportionally reducing price, in what essentially amounts to a per unit cost increase for consumers. The video explicitly calls out popular snack brands such as Breyers, Gatorade, and Tostitos— all food products that are likely on the top of consumers’ minds when thinking of inflation.
While broader macroeconomic trends are always what’s most significant for the gold price during any given election, some interesting trends emerge when you look at the numbers. And when an election is contentious, historic, or chaotic as 2024’s promises to be, the outcome is all the more significant for gold.
In the landscape of economic foresight, John Exter, a distinguished hard money advocate and former precious metals expert for The Fed, offers a model that resonates with the principles upheld here at SchiffGold. Developed in the 1970s, Exter’s Inverted Pyramid of Risk remains as relevant as ever, especially in assessing assets through the lens of counterparty risk. The pyramid serves as a guide to comprehend the risks facing America, particularly in anticipation of what may be the most severe credit crisis in the coming decade or two, centered around the USD crisis.
In the realm of institutional asset management, the copper/gold ratio (blue line) has served as a key indicator for some, providing insights into the potential trajectory of 10-year Treasury yields (red line).
A US government operation led by the Secret Service from 1865 covertly dismantled the gold and silver currency system.
This strategic move, propelled by two acts of Congress, was a cunning ploy that centralized economic power.
A commentator from the Mises Institute explores the little-known involvement of the Secret Service in this historical development, and how it impacted the very concept of US currency.
At the start of a new year, we’re excited to announce new co-hosts to the Friday Gold Wrap Podcast: JD and Joel Bauman. In this episode, JD and Joel discuss recent gold price action and key factors affecting gold in 2024 such as interest rates and global elections.
