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The financial implications of the Federal Reserve’s monetary policy are drawing significant attention, particularly regarding its potential to trigger a new crisis. Brien Lundin, Editor of Gold Newsletter and CEO of the New Orleans Investment Conference, raises concerns about the Fed’s management strategies.
“The Fed’s management of the price of money is going to create the next crisis, and when that happens, they are going to be forced to get back to zero interest rates,” he said.
Lundin emphasizes that recent cuts in interest rates—25 basis points last week following a 50-basis-point reduction in September—are merely indicative of a more extensive rate-cutting cycle. This trend is largely driven by the unsustainable costs associated with servicing national debt.
“Successive rate cuts are baked into the cake because of the tremendous cost of servicing the federal debt at these interest rate levels,” Lundin continued.
He further elaborates on impending challenges for corporations as they navigate their debt obligations amidst rising interest rates.
“The debt rate tsunami on a corporate level – we’re going to see a lot of debt resets coming up in the months just ahead.”
According to Lundin, companies already struggled with their debts during periods characterized by zero-interest rates; thus, maintaining solvency will become exceedingly difficult under current circumstances.
“Companies had trouble paying and servicing those debts in a zero-interest rate environment. They will find it nearly impossible to service those debts at current interest rates. The Fed really has to get rates down. The longer it waits, the more urgently it will have to do so at some point.”
Moreover, he suggests that negative interest rates may soon be necessary for addressing future economic challenges.
“My longer-term picture view is that we have to have negative real rates with debt loads this high. The cost of servicing that debt needs to be lower than the rate that currency is depreciating. Otherwise, the entire house of cards collapses.”
Jonathan Rose, CEO of Genesis Gold Group, added to the points by highlighting the election of Donald Trump.
“The Fed’s moves combined with President Trump’s fixes in the overall economy will be hugely beneficial for those holding precious metals,” he said. “I know some are projecting much higher numbers but we conservatively see $3,000 and then $4,000 ounces for gold on the horizon.”
In light of these forecasts and analysis regarding monetary policy adjustments and corporate indebtedness trends, Lundin anticipates gold prices soaring between $6,000-$8,000 within this bull market cycle based on historical trading patterns observed over time.
Additionally noted was gold’s recent divergence from its historically inverse relationship with both dollar value and bond yields—a development worth observing as market dynamics evolve amidst changing fiscal policies.
Americans who want to take advantage of physical precious metals ahead of the boom can learn more by requesting a free Wealth Protection Kit from Genesis Gold Group.
‘Merely Coincidental’: Secular Scientist Work Overtime to Explain Away the Miracles of Christ
by Harbingers Daily
Was the miracle of Jesus feeding the 5,000 with just five loaves and two fish a little less than miraculous? Well, that’s what a group of scientists are claiming in a recent paper published in a scientific journal. Instead of a supernatural provision by the Lord, they claim the feeding…
Google Hosts Party for Democratic Operatives Plotting To ‘Resist the Republican Agenda’
by Free Beacon
The resistance’s bar tab is on Google. Priorities USA, a top Democratic super PAC with an affiliated dark money group, is convening a summit of left-wing digital activists on Wednesday afternoon to deliver a post-mortem on Vice President Kamala Harris’s election loss and strategize how to “resist the Republican agenda,”…
“The Correction Before the Surge”: Why Gold and Silver’s Future Is Brighter Than Ever
by Sponsored Post
It was long overdue by most estimates. Precious metals prices have been steadily rising for far longer than even the …
Ukraine Denies Reports From Think Tank That It Is Months Away From Developing a Nuclear Weapon
by Natural News
Ukraine has denied reports suggesting it could develop a nuclear weapon soon, following claims by a Ukrainian military think tank. The report, published by the Ukrainian think tank and nongovernmental organization the Center for Army, Conversion and Disarmament Studies, claimed that Kyiv could use spent nuclear fuel from its remaining…
Alex Jones Reveals Elon Musk Saved Infowars From Being Sold to The Onion
by End Times Headlines
Alex Jones has declared ‘the cavalry is here’ as attorneys for Elon Musk’s X jumped in to help put a temporary pause on the sale of his controversial Infowars to The Onion. The satirical news publication said the bid was sanctioned by the families of Sandy Hook Elementary victims who…
FBI Whistleblower Says FBI Intentionally Blocking Security Clearances for Trump Officials
by The Conservative Treehouse
It should not come as a surprise to see the same methods deployed against President Trump in 2024 that were used by the FBI in 2016. The difference is now that President Trump understands the full power of his office in the security clearance process and that he doesn’t need…
Pastor Greg Locke Burns Voodoo Doll He Claims Was Found on His Property
by End Times Headlines
Even amid ongoing warfare, we are called to stand firm on the Word of God. Pastor Greg Locke knows well the spiritual and physical attacks directed at him; he was recently targeted by a gunman. Now, he faces another spiritual assault, this time from someone attempting to place a curse…
Trump’s Incoming FCC Chief Already Putting Target on Big Tech ‘Censorship Cartel’
by WND
Social media companies have become a “cartel” for suppressing information with which they disagree, and that agenda now is going to be getting the attention of Brendan Carr, President-elect Donald Trump’s pick to be the chairman of the Federal Communications Commission. It was social media companies who played a role…
Sabotage: Two Undersea Internet Cables Connecting Four NATO Nations Were Severed
by Publius
Many in the international community are claiming sabotage as the only viable explanation for two fiber optic internet cables in the Baltic Sea being severed less than 24-hours apart. Fingers are being pointed at Russia as one of the the cables connected NATO nations Germany and Finland. The latter was…
Pennsylvania Supreme Court Orders Democrats to Immediately End Counting of Illegal Ballots
by Infowars
The Pennsylvania Supreme Court on Monday ordered Democrats in several counties to immediately halt their unlawful counting of illegal ballots in the Senate race recount. The Pennsylvania Supreme Court had ruled before the election that mail-in ballots lacking formally required signatures or dates should not be included in official results….
22-Year-Old Woman With Depression Was Almost Euthanized, She Changed Her Mind Right Before She Was Killed
by Life News
Why do you oppose euthanasia, Wesley? If people want to die, we should help them die. No. And here’s an individual example explaining just one reason why. A deeply depressed woman was about to be lethally injected in the Netherlands — but changed her mind just in the nick of…
“Massive Breach”: T-Mobile Network Hacked by Chinese State Sponsored Intelligence
by Tyler Durden, Zero Hedge
(Zero Hedge)—Where’s John Legere in a pink t-shirt when you need him? Among the multiple stories over the last few weeks about Chinese intelligence and hackers either attempting to, or outright gaining access, to U.S. cell phone networks (with reports stating President Trump and his team were targeted), comes news…
Trump’s Idea to Shut Down Department of Education Gets High Five From Top Christian Evangelist
by WND
A priority for the incoming administration of President-elect Donald Trump is to tackle the Deep State, the bureaucracy in Washington that is a self-perpetuating industry, to find what American taxpayers don’t need or want. And get rid of it. One of the targets he’s already identified is the Department of…
Experts Sound Alarm Over ‘Shocking’ Spike in Strokes Among ‘Healthy’ Young People
by Slay News
Health experts have issued a chilling warning to the public over a “shocking” spike in strokes among “healthy” young people. The “alarming” surge was identified in official UK government data. The data shows that recorded cases of deadly strokes skyrocketed in 2023 and continued soaring this year. In 2023/24, the…
