Retirement Lifestyle Advocates
The world economy and stock markets have long been propped up by currency creation. Perhaps we are now on the verge of all that changing.
The Great Depression was a painful deflationary period caused by debt excesses. As debt was purged from the system, the price of stocks and real estate fell, and cash gained purchasing power.
In 1929, prior to the onset of the worst deflationary period in the last 100 years, private sector debt was about 140% of gross domestic product, and US Government debt was about 17% of GDP. That’s a total debt of 157% of the economy. Presently, total public and private debt totals 350% of the economy. That’s well over twice the debt that existed in 1929 when a painful deflationary period materialized.
The Fed seems to be poised to begin rate cuts again soon.
Thirty percent of Americans say they never expect to be financially secure.
While most of the market is flat or even negative, the price moves by three companies have been responsible for the gains posted by the stock market.
Cost-of-living adjustments fall woefully short when it comes to keeping pace with the real inflation rate.
Inflation will continue until the US government gets its fiscal house in order.
The wealth gap is not just a United States phenomenon; it exists everywhere that currency creation has been utilized.
One of the best inflation hedges is to own precious metals.