QE

Ray Dalio says ‘cash is trash’ and advises investors to have a certain amount of gold in their portfolios.

This week I will discuss Fed bubbles and a potential imminent major market event, including an extremely important chart and also the safest private gold vault in the world. But first, last week was overshadowed by Iraq and Iran, which again has reminded us of terrorism in various forms.

The central question for 2020 is whether the markets will continue to have confidence in the stabilizing powers of Robert Kaplan (Dallas Fed Chairman) and his fellow players, or whether they will feel that the party has definitely gone on long enough.

Bridgewater’s co-chief investment officer Greg Jensen told the Financial Times that gold prices could rally to $2,000 an ounce.

Whether the global economy will turn down early in 2020 or the euphoria will continue for a while is irrelevant. What we do know is that risk is at a maximum and therefore it is absolutely critical to protect your wealth. Throughout history physical gold has acted as the best financial risk insurance money can buy. It won’t be different this time.

Gold is now a major bullmarket as evidenced by its strong breakout from a giant 6-year long base pattern in August. The larger trend is up. We had thought that it might react back closer to the breakout point before turning higher again, but it didn’t, and started higher again in recent days over the Christmas period. This is a sign of greater strength.

2020 seems to be the very early beginnings of the worst global depression that the world has ever experienced. It will be devastating for everybody. We can all prepare financially by holding some physical gold and silver which is the best insurance anyone can buy against what is coming.

Since January 1, 2019, gold has recorded a 21.7% return in euros, 16.4% in dollars and an average of 17.8% in the various currencies considered. Since 2001, this represents an average annual performance of 9.6% in euros, 10.4% in dollars and 10% on average. Is the "barbaric relic" sending us a signal?

The end of the year should see silver prices rise sharply. One thing is certain, 2020 and 2021 will mark a major turning point in the History of money. Hang on to your precious metals. They are your security in the mess ahead.

There are now a few signs in OECD countries that could reveal an incipient flight from money: rising prices in real estate, unlisted equities, gold, bitcoin". Thus, "The limit is no longer inflation, it is confidence in money.