The Trump Economy

It's a collective bi-partisan failure in reality when referring to "Trump's Economy." Every American is feeling the effects of President Nixon's decision from Aug 1971 as that monetary system is still in place. What's realized is that the system is failing as the debt is at unsustainable levels and cannot be paid back.

50 years of price manipulation by the BIG banks is what you're not accounting for or you would have much higher gold prices. Gold is considered a safe haven asset in times of economic uncertainty and it's doing exactly what it should be doing, keeping pace with inflation or beating it which it clearly is and the dollar isn't. Why do you think the ladies are raising rates? Cause the dollar is the thing going down. Gold at $5K an oz still seems undervalued when the analyts at the BIG banks are calling for $6K+ price forecasts within 2026. If people think $5K is high then they'll think $10K is high whenever it hits that mark and it will. A fair price would seem like $100K or $150K an ounce according to experts in the precious metals field.

Commodities are in a super cycle why buck the trend when Trump has already announced Project Vault and JD Vance starting a 50 nation silver cartel at the Minerals meeting he was at a week ago with Little Marco? The $12 billion that Trump pledged for Project Vault seems like a conservative estimate and I think the numbers are much higher than what's being reported. The key thing to know is which companies is the government buying from and are they publicly traded companies in the mining sector.

In this environment the dollar or all fiat currencies is the Titanic, Gold & Silver are the life rafts. Trump knows this. He's telling you he wants lower interest rates and wants to print, print, print with the new Fed head Kevin Warsh and Powell needs to go to the retirement home. Originally Posted by CPT Savajo

Deflection.

Trying to blame other for a Trump created mess. Typical MAGAtard reaction.

elg…

Trump math....

"Every point is $600 billion," Trump said. "All he has to do if we went down two points, we don't have a deficit anymore," he claimed.
https://www.foxbusiness.com/politics...st-rates-world

I'd like to see those calculations...

Maybe the Fed should do like Trump did with drugs and lower the interest rate 500%, 600%? Originally Posted by RX792P

Dang....Trump math gets even worse...

And here I thought (well Trump told me) all that tariff income was going to balance the budget, pay off debt and give me a $2000 'tariff rebate'...

We are again the strongest Country in the World, and should therefore be paying the LOWEST INTEREST RATE, by far.
This would be an INTEREST COST SAVINGS OF AT LEAST ONE TRILLION DOLLARS PER YEAR – BALANCED BUDGET, PLUS. WOW!

https://truthsocial.com/@realDonaldT...52538984100960

In my view, the Trump economy is quite a mixed bag. A few unambiguously good things: For example, some regulatory relief (at least relative to the status quo-ante), a boost in tax-based incentives to business capex, the cessation of entertaining "green new deal" fantasies and deep-sixing various impediments to domestic energy production.

But there are some clear negatives: For instance, chaotic tariff policy implementation leading to planning uncertainty which affects smaller firms much more than larger ones, and the continuation of a frighteningly unserious attitude about our disastrous debt-accumulation trajectory.

The extent to which the current (and near future) headline GDP numbers are (or will be) a function of massive spending on data centers and other AI or AI-adjacent spending is uncertain, but you might note new estimates of $650 billion for this calendar year. (That's 2+% of GDP! For how long can that be sustained?)

My take: In other words, the current economy may be "muddling through" (As John Mauldin likes to put it), but it's hardly anything to write home about.

It was mentioned in several earlier posts that the skyrocketing gold price largely arises from severe angst about the US's (and indeed the world's) financial condition.

Just a couple of relevant observations:

Yes, there are certainly concerns about the long-term status of the dollar as a global "anchor" and the risk that it will rapidly decline further in value, or that the US will experience anything resembling hyperinflation. People occasionally get a bit carried away with what we sometimes call "extrapolation bias" and buy into a lot of "doom porn" scenarios? (Any of you old-timers remember Howard Ruff?)

Here is a clip from the sort of movie I've seen before:

But i'd lay odds that if you invested $100 day 1 Wall Street opened and $100 in gold, the Stock Market would have a better return on investment. Originally Posted by Precious_b

You would lay odds and lose your bet in a simulation ran a billion times over. Such a bet wouldn't be fair from 1834-1933 because gold was pegged at $20, but if we started the bet at 1974 when the American slaves (every citizen living in the US at the time) were allowed to own gold again as a privlege granted by government gold would clearly be the winner. Originally Posted by CPT Savajo

Really? Where did you read that? (Actually, since it became legal for Americans to own gold bullion just over 51 years ago, the S&P 500 has vastly outperformed gold. And that's not even a close call!)