Do the Opposite of the Fed!
If they buy junk, you buy gold and silver!
Monetary policy in this country is coming apart at the seams. In our last post, we commented on the Federal Reserve now venturing into junk bond territory.
If the Fed is buying junk bonds for its portfolio, it’s like a screaming siren alarm going off in the middle of the night that you need to do the exact opposite. If the Fed is buying risk assets, you must buy safety assets, gold and silver. Go to the high end of the spectrum to protect your personal wealth while the dollar in being destroyed.
By the way, it appears that the Federal Reserve does not even have the legal authority to buy junk bonds (more on that from Michael Shedlock, here). But we’ve never thought legality would stop the Fed from doing something foolish.
Here’s the way the New York Times reported on the Fed’s new $2.3 trillion foray into dangerous territory: “The Fed announced that it would use Treasury Department funds recently authorized by Congress to buy municipal bonds and expand corporate bond-buying programs to include some riskier debt.”
Get that? “Riskier debt.”
The lapdog press couldn’t even bring itself to use the word “junk” until the 28th paragraph, long after most readers are finished with the story.
The 2008 panic and the bursting of the mortgage bubble should still be fresh in the minds of many of our clients. The mortgage industry and those that loaded up on subprime mortgages – we’re talking about you Lehman Brothers and Bear Stearns – learned that risk assets have, well, risk. Especially headed into a recession. As we were by the end of 2007.
So now, headed into a brutal recession thanks to the staggering economic costs of the COVID-19 lockdown, the Fed is following the example of Lehman and Bear.
When the Fed is buying junk, it’s a good time buy precious metals. A growing number of people are figuring that out.
Because of the extreme demand for precious metals, the prices for real gold and silver have decoupled from the price of gold substitutes and paper benchmark prices. The world gold prices and index prices you read about in the newspaper are not the real price for physical gold you can take home and put in your safe. There is not enough gold at those benchmark prices.
Most dealers are unable to make prompt delivery to their customers at any price.
But Republic Monetary Exchange has gold and silver. Today! For immediate delivery! Right here in Phoenix!
But you must hurry. We don’t know how long we will be able to meet the extreme demand.
It is strictly first come, first serve!
Buy TODAY, take delivery TODAY!
Call your Republic Monetary Exchange gold and silver professional today. Lock in your order and take delivery today.