Nothing to see here! Central Banks are buying a lot more gold. Under Bidenistas, nations worldwide are de-dollarizing or planning it. The US days of the dollar as the reserve currency are ending.
The problem is gold is no bargain either.
Additionally, the debt-to-income ratio on FHA loans is 44%. That’s not good.
Here’s a chart of Central Bank gold purchases back to 1950.
Even during the historically high inflation in the 1980s, Central Banks did not purchase gold.
There’s a clear shift in sentiment over the last 10 years.
Follow us @KobeissiLetter for more analysis as this develops. pic.twitter.com/xudIZ2i6DE
— The Kobeissi Letter (@KobeissiLetter) April 7, 2023
Texas is looking to go to the gold standard, but the economy is great. Just ask Joe Biden.
Is the Gold Standard Coming Back in Texas? Legislators Propose Gold-Backed Digital Currency
This may be legal. The US Constitution does provide that states can “coin” #gold. The courts would have to recognize a digital gold currency as a “stable coin” within that. pic.twitter.com/FQMrzb4acQ
— Wall Street Silver (@WallStreetSilv) April 7, 2023
Down payments on FHA loans are under 5% while monthly payments take nearly 50% of income.
These loans have massive balances outstanding while wage growth is not outpacing inflation.
Foreclosures are likely next.
Follow us @Kobeissiletter for more analysis as this develops.
— The Kobeissi Letter (@KobeissiLetter) April 7, 2023
We also don’t save any longer, we can’t afford to, and the money blown to help the economy was a disaster. By the way, does anyone know how much gold is in Fort Knox? It hasn’t been audtied in a very long time.
Here is a chart visualizing this data.
The massive spike in 2020 was due to $4 trillion in stimulus which was printed and handed out.
This money quickly disappeared as inflation soared.
Again, there’s no such thing as “free” money.
Follow us @KobeissiLetter for more analysis. pic.twitter.com/QD321J1oOp
— The Kobeissi Letter (@KobeissiLetter) April 5, 2023
You can comment on the article after the ads and subscribe to the Daily Newsletter here if you would like a quick view of the articles of the day and any late news:
We NEED to use money which governments and banks do not control, WHATEVER that is.
Currently, those are gold, silver, and cryptocurrency.
1. Gold and silver payments over long distance are not practical.
2. Most cryptos, including Bitcoin, reveal your balances, purchases, and to whom you are donating, to whole world. So, Bitcoins, Ethereum, etc, are crap. They fulfill government and banker goals, just without their complete control. So, these are nothing more than CBDC-training coins.
3. The best option is Privacy cryptocurrencies, because they do not reveal how much money you have, or what you buy, or to whom you give. Privacy cryptos reveal nothing to anyone. No one can know if you even have them or use them, true Cryptography.
You can even get crypto which is backed by gold 1:1, but its not private. Others will know. Its called PAXG
The only cryptocurrencies that actually maintain complete privacy are Monero, Dero, and especially Pirate Chain.
Better get a little of each, in case government and banks go crazy.
May as well start using privacy cryptos now, since you’ll have to use government cryptos in a year or two, anyway. Those CBDCs will control what you can buy, and how far from home you can spend it. They also plan to impose universal basic income where your CBDC will expire at end of month so you can’t save ANY money.
To stop crypto, government would have to shutoff electricity and internet. But they need both for CBDC so they can’t shutdown either and continue same controlling plans. So, by using Privacy cryptos and alternative networks, crypto communications (transactions) can continue just fine. With privacy cryptos, no one even needs to know you made a transaction with a buyer or seller at all.
We need to start adopting Privacy crypto usage, before government forces us to adopt their CBDC.
Its either that, or revolution, aka “to alter or to abolish” government.
Crypto will be gone if the Government shuts down the Internet. You can’t eat Gold and just as in the Depression the Government will confiscate Gold. Those who Farm and Ranch will have the most power in the coming Collapse. People will defend them against the Government because they don’t want to starve.
…and then they’ll artificially undervalue it. Just watch.
This why people are depleting their savings, Biden is turning cash into trash! In Big Blue Cities houses will be worthless when the War breaks out. Urban homes can’t be defended against the mobs who will pillage and plunder and Democrats have disarmed most Big Blue Cities.
When the USD collapses, Red States will be forced Coin Money to stabilize their economies based on their economic output. Since Big Cities don’t actually produce anymore, i.e. Manufacture, they will become 3rd World slums for decades.
This can only be stopped if the Federal Government is defunded to less than 4% of GDP for discretionary spending, the Military budget is cut to 2% of GDP, and we pay down the National Debt Principle at a rate of 1 Trillion per year. That is what it will take!
Curious. Does TX have a mint? Just checking, because if they do, that might be my option.
Yes
Saving is just another tradition being rejected by so many who have never learned common sense.
Imagine raising the federal debt limit to $50t. Insanity!
When the Manure hits the fan you can’t eat Gold.
If people take your food you wont eat that either.
Constitutional carry came online last week, there’s been a “nervous” silence from south of Daytona…
Lead, worth more than gold if applied correctly.
In rural America we learned that Lead is King a long time ago. I just bought a few more thousand rounds. Monday we will be back out on the skeet range. A shotgun trumps an AR-15 in wooded areas or in urban warfare. A .338 lapua magnum trumps a AR-15 at 1000 yards. A Slug or a .338 lapua magnum also trumps most body armor.
A month after the collapse, a .223 round will be worth an ounce of Gold.