Here are the latest news items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. In this column, JWR also covers hedges, derivatives, and various obscura. This column emphasizes JWR’s “tangibles heavy” investing strategy and contrarian perspective. Today, we examine the recent rise in the value of Bitcoin, in Dollar terms. (See the Forex & Cryptos section.)
Precious Metals:
Over at Gold-Eagle.com: What Happens to Gold When Bonds Are No Longer a Safe Haven?
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A Kitco video: Preparing for the next recession with gold and silver.
Economy & Finance:
From Bankrate: Mortgage rate forecast October 2023: Higher for longer.
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Reported on October 19th: Powell says inflation is still too high and lower economic growth is likely needed to bring it down.
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A “Big Picture” accounting tidbit: As of August for the year-to-date, national defense spending was $659 Billion USD, but the interest payments on the national debt were nearly as large: $639 Billion USD.
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Target Is Collapsing Faster Than You Think As Mass Store Closings Begin.
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Stocks Plunge, Bonds Bust Some More.
Commodities:
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Artificial Copper Demands Meet Artificial Bottlenecks.
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From OilPrice News: Oil Refiners Struggle To Access Financing As Banks Shun Fossil Fuel Projects.
Inflation/Deflation Watch:
The Federal Reserve claims the average American household is now a millionaire—but if you look closely, the middle class is going nowhere. JWR’s Comment: As I’ve often said, inflation is robbery, in slow motion. The only winners in an inflationary environment are those who mint and manage the mountains of Funny Money — namely the U.S. Treasury and the Federal Reserve banking cartel.
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H.L. sent this news from Australia: ‘Shock After Shock’: Central Bank Says Israel-Hamas Conflict May Impact Inflation.
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Beef prices are at record highs — how much pricier will your steak get?
Forex & Cryptos:
Reported by CNBC on Tuesday: Dollar up as risk sentiment sours, Treasury yields rise.
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At Currency Thoughts: What Might “Higher for Longer” Imply.
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Bitcoin price rockets to $35K as ETF excitement grows. JWR’s Comments: There was some profit-taking, earlier this week. But as of Thursday morning, the USD cost of 1 BTC was back up to $34,266. With much more regulation of private cryptos planned as governments roll out their CBDCs, I still recommend keeping your crypto holdings small. If you have more than 5% of your net worth in Bitcoin, then I recommend selling half of your holdings, now, at this relatively high point. Put the proceeds into something tangible. (For example: Productive land, physical precious metals, guns, and ammunition.)
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‘Cashless Society’ Would Leave Millions Struggling.
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Japanese Financial Giant SBI Predicts XRP Price to Hit $0.62.
Tangibles Investing:
News of the recent attacks in Lewiston, Maine will surely make the shortage of 5.56mm ammunition even worse. So, top off your 5.56 ammo supply, immediately. I expect to see a return to $1-per-round prices, by December. Other military chamberings are also likely to suffer shortages. And, of course, there could also be another run on AR-pattern rifles. This is like watching the post-Sandy Hook market repeat itself.
Meanwhile, if the recent 9th Circuit Court decision overturning California’s 11+ round magazine ban is upheld, then Californians will soon have the opportunity to relieve their 23 years of pent-up demand for magazines. That surge in magazine purchasing could create a nationwide shortage that could last for more than a year. Therefore, I strongly recommend topping off your supply of magazines, as well. You should have at least 10 magazines for each of your battle rifles, and six magazines for each of your semi-auto handguns. And twice those numbers, if you are planning multi-generationally. See GunMag Warehouse, PSA, Brownells, and our other advertisers, to fill those needs. – JWR
Provisos:
SurvivalBlog and its Editors are not paid investment counselors or advisers. Please see our Provisos page for our detailed disclaimers.
News Tips:
Please send your economics and investing news tips to JWR. (Either via e-mail or via our Contact form.) These are often especially relevant because they come from folks who closely watch specific markets. If you spot any news that would be of interest to SurvivalBlog readers, then please send it in. News items from local news outlets that are missed by the news wire services are especially appreciated. Thanks!