HUGE GOLD NEWS! China & Russia Are About to Change Gold & Silver Prices FOREVER - Michael Pento
Historically, gold has demonstrated the ability to maintain its purchasing power over time, often outperforming other assets during periods of rising inflation. Over the last two years, as an average of 5.91% has increased the price of gold, US inflation has also risen by an average of 6.6%.
Michael Pento, President and founder of Pento Portfolio Strategies, focuses on precious metals in relation to inflation. Based on his analysis, Michael Pento predicts that we will face unprecedented stagflation after the next recession. Regarding international currency affairs, Pento notes a clear trend of central banks increasingly moving away from the US dollar, diversifying into other currencies and precious metals. Recent data from the IMF's Currency Composition of Official Foreign Exchange Reserves point to an ongoing gradual decline in the dollar's share of allocated foreign reserves of central banks and governments.
Considering his Inflation Deflation Economic Cycle Model, Michael Pento believes our next phase will indicate deflation and recession. He predicts inflation will then surge, as reflected in the rising price of gold, which exposes the flaws of fiat currency. He notes that holding gold is safer than dollars, as it is beyond the US Government's reach. This trend, he believes, is unfolding now. The US dollar price of gold has risen 82% and 496% over ten and twenty years, respectively. One was an inflation hedge, and the other protected your savings from inflation.
Concurrently, Pento anticipates gold prices will rise significantly due to macroeconomic conditions. He warns of unprecedented deficits and debt, expecting a 6 trillion dollars annual deficit in the next recession. He doubts the effectiveness of traditional monetary policy, foreseeing inflation around 3% unless a significant money market issue arises.
During the interview, Michael Pento analyzed the Federal Reserve's approach to economic challenges, drawing parallels to the aggressive rate cuts of 2007-2008. He anticipates the Fed may cut rates twice this year, driven by lagging indicators such as the labor market. Pento warns against immediate rate cuts, fearing they could worsen inflation and economic instability. The market currently anticipates one to two rate cuts of 25 basis points each from the Fed this year. Lower interest rates reduce the opportunity cost of holding non-yielding assets like gold.
Gold prices were set for their second consecutive weekly gain on Friday as demand increased due to expectations surrounding US Federal Reserve interest rates.
Despite the government's enormous deficits and escalating debt levels, Pento predicts that the Fed will likely act too late to prevent a significant recession. He anticipates prolonged stagflation fueled by aggressive monetary policies and economic imbalances.
Follow on X: [ Ссылка ]
"Welcome to our channel dedicated to gold and silver investing! In this video, we provide expert insights and analysis on the latest trends in the gold and silver market. Discover strategies for investing in precious metals, including gold and silver bullion, coins, and jewelry. Stay updated with real-time price updates and market news, and learn how to diversify your portfolio with gold and silver. Whether you're a beginner or an experienced investor, our channel offers valuable tips and guidance to navigate the world of precious metals.
Subscribe now for in-depth analysis, historical data, market forecasts, and more. Join our community of gold and silver enthusiasts and unlock the potential of these timeless assets. #GoldAndSilverInvesting #PreciousMetalsChannel #InvestingTips"
We bring you the latest news, insights, and analysis on gold, silver, and copper. Our videos cover a wide range of topics, including gold price, gold prediction, gold price forecast, silver price, silver price prediction, copper price, market trends, investment strategies, and industry news.
We share interviews from experts like Rick Rule, Peter Schiff, Mike Maloney, Lynette Zang, and many others. Stay up-to-date with the world of finance and make informed decisions with our expert insights. Subscribe now and never miss a video!
#gold #goldpriceprediction #michaelpento
