Central Banks Trapped as Fiscal Dominance Grips Western Economies; Gold Sees Historic Underallocation in Investment Portfolios, but Shifts Signal Compelling Investment Opportunity

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Central banks are stuck, and the way governments handle money is causing trouble. Many people who suggest where to invest don’t have much gold in their plans right now. But, history shows that big money sources are starting to change and invest more in gold, making it a really good opportunity to consider.

See also  Banks weaning off Fed support and global investors offloading U.S. securities—this chart explains why Warren Buffett is panic selling.

The U.S. is Reaching an Inflection Point Where Debt Quickly Gets Even Worse: Ray Dalio

Ray Dalio, founder of Bridgewater Associates, warns that the soaring U.S. government debt, now at $33.7 trillion, is nearing a critical point. The rapid 45% increase in debt since early 2020 and a $1.7 trillion deficit last year have escalated the financial burden, with $659 billion spent on debt interest in fiscal 2023. Dalio highlights the danger of this trend, noting that the U.S. is reaching an inflection point where continued spending and borrowing will exacerbate existing political and social issues. Additionally, he points out a supply-demand problem in U.S. Treasurys, with foreign buyers, who constitute 40% of the market, reducing their holdings significantly.

Global Silver Industrial Demand To Achieve New High In 2023

Silver’s industrial demand is projected to surge by 8% to a record 632 million ounces in 2023, driven by investments in photovoltaics, power grids, and 5G networks. Additionally, growth in consumer electronics and increased vehicle production are contributing to this heightened demand for silver. These insights were shared by Philip Newman and Sarah Tomlinson from Metals Focus at the Silver Institute’s Annual Dinner, highlighting silver’s expanding role in various industries and its growing market potential.


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