Our Leaders are Delusional | The Gold Standard 2331

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Hostess Jennifer Horn talks with guest Ken Russo, SVP of the Midas Gold Group, discussing “Our Leaders are Delusional.” They point to economic indicators spotlighting the nation’s reliance on debt and unprecedented money printing to offset it. The duo sheds light on the implications of the US credit rating downgrade and the fragility inherent in the banking system. Jennifer and Ken paint a vivid picture of the intricate economic landscape, encouraging listeners to contemplate the consequences of leadership decisions on the nation’s financial well-being. This episode explores crucial issues that impact every citizen and what they can do to protect themselves financially.

The grand experiment of global fiat currency has its share of challenges, revealing cracks in its foundation. As time progresses, it becomes evident that this system has struggled to deliver the intended stability and security. The potential for an eventual implosion looms large, driven by excessive money printing, mounting debt, and economic imbalances. The average citizen is growing wary of the risks inherent in this system, concerned that they might bear the brunt of its downfall. As problems with the global fiat currency become increasingly apparent, individuals seek ways to safeguard their financial futures and assets, underscoring the urgency of preparing for potential shifts in the economic landscape.

The recent downgrade of the US credit rating by Fitch Ratings has ignited discussions about its potential impact on the average citizen. While the stock markets experienced a dip in response, experts suggest that this downgrade is less of a primary concern than in previous instances. The decision attributed more to political discord in Washington than to financial instability on Wall Street, points to eroded confidence in fiscal management due to repeated debt-limit standoffs. A credit rating downgrade can lead to many consequences, perhaps the most obvious being an increase in the country’s borrowing costs due to a perceived more significant risk of default. As a result, the US Government may have to pay more interest on its new debt issues, further deepening its debt burden. Investors might witness increased volatility in both stock and bond markets. Interest rates could rise across various forms of debt to account for heightened risk, possibly leading to higher mortgage and credit card rates, potentially impacting household budgets. However, the consensus remains that a default is unlikely since the US can print as much money as it likes.

The banking industry is in a precarious state, as recent events point to a fragile banking system that might continue to experience challenges in the coming years. We probably haven’t seen the last of bank closures. A trifecta of concerns raises red flags:
• Deposit costs have led to higher expenses for retaining deposits amidst competition from money market funds.
• Bond losses due to rising interest rates impact securities’ value and bank profitability.
• The anticipation of losses in commercial real estate loans due to low occupancy rates.

Amidst economic uncertainties and potential market volatility, considering the diversification of paper wealth into tangible assets like gold and silver is a prudent strategy for the average citizen. These precious metals have proven to be safe-haven assets, capable of preserving and even enhancing one’s spending power. Unlike paper currencies subject to inflation and devaluation, gold and silver, although severely manipulated, have maintained their intrinsic value over long periods. Precious metals serve as a hedge against inflation, economic downturns, and geopolitical turbulence, offering a reliable store of wealth.

The Mexican $50 Gold Peso holds profound historical and cultural significance, making it a cherished and sought-after numismatic treasure. Gold Pesos were minted between 1921 and 1947. This iconic coin bears the image of Winged Victory, symbolizing Mexico’s triumph over oppression and its struggle for independence. Its weight of 1.2057 troy ounces of gold underscores its intrinsic value, appealing to collectors and investors alike. As a tangible link to Mexico’s past, the $50 Gold Pesos represents a tangible connection to the nation’s rich heritage and a testament to its resilience.

THE GOLD STANDARD keeps you informed about trends in our nation's economy and gives valuable insights into the consequences of our monetary policies. The series promotes precious metals as a safeguard for your financial future. Stay informed on all the latest developments impacting our financial realm. Stay informed.
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