Gerald Celente: US Government Pumps $29 Trillion Into Economy - Now We're Going Down!

1 year ago
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As Good As Gold Australia March 11, 2023
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In this latest interview, Darryl and Brian Panes chat with the one and only, Gerald Celente - Director of the Trends Journal Research Institute and the Publisher of the Trends Journal where you read about history before it happens.
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The Governor of the Reserve Bank of Australia just handed down the 10th successive interest rate increase. It was another .25% taking the cash rate to 3.6% -- That's added $1500 a month to a $750,000 mortgage.
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Simply put, Australians can't afford it.
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Australian residential land value to GDP ratio is now higher than Japan's at the height of the 1989 bubble when we saw property prices drop around 70%. During Japan's property bubble, the ratio of residential land value to GDP hit a record of more than 330%. Australia has just beaten that record.
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Also, during the period before the global financial crisis in the US, property prices rose by the equivalent of 60% of GDP.
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Australia has experienced an increase of 100% of GDP in the last 3 years.
Japan experienced a major boom in the early 1980s that saw property and stocks explode in value, with skyrocketing asset prices blamed on easy credit and rampant speculation, coupled with a lax central bank - strong similarities with the US and Australia.
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Land and real estate rose by nearly 170% between 1985 and 1990, while stock prices doubled between 1987 and 1990.
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The bubble began to burst at the end of 1989 when the bank of Japan started to sharply raise interest rates in an attempt to curb runaway prices.
Asset prices subsequently crashed, leading to a period of economic stagnation from 1991 to 2001 - striking similarities.
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Could the US and Australia emulate Japan's lost decade?
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Gerald believes we are in for the worst socio-economic and geopolitical disaster in modern history. We have never seen anything like this before. There are so many wild cards - military conflict in the middle east would send oil prices to over US$130 a barrel.
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This would crash all economies, equity markets, housing markets. It would bring everything down!
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We are on a knife's edge!
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In 2008 the GFC hit and the Federal Reserve grew its balance sheet by more than 500%.
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In 2020 due to the pandemic, the FED expanded again and the money supply increased by more than 100%. In each case, stocks, bonds, real estate, fine art and collectibles surged. In both periods, we had massive money printing which correlates to massive inflation.
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During the GFC period until now, Gold has increased by 180%.
During the pandemic until now, Gold has increased by 7%.
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THE FED's BALANCE SHEET HAS INCREASED BY 10x OR 1000%.
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Should one be seeing this currently as a 'fire sale' on gold and silver?
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