Something doesn’t quite seem right, does it? The S&P rises to a record high and at the same time the National Debt surpasses $20 Trillion and gold falls from $1,339.30 to $1,325.60. What does CNBC say about the National Debt milestone? Nothing. It’s as if debts and deficits don’t matter to Wall St. Party on!
Special shout out to the National Debt passing $20 trillion
Also, look at that 127% rise in US Federal Spending in the table above and recall what the Budget of the U.S. Governmentsaid in March;
Some reminders from the Trump Campaign as well;
President Obama said of Bush’s spending that it was “unpatriotic” increasing the national debt $4 trillion. President Obama raised it about $9 trillion.
Do we understand yet that government only knows how to do one thing; Spend! If not, please read my book Illusions of Wealth.
Where To With Gold?
While the government scrutinizes where every dollar is spent, the answer is higher, but we have to see what legs the downturn has as the dollar moves up. From my perch I still see a dollar bounce in the works that can put pressure on metals and miners. USD/JPY also bounced off the recent lows and is over 109 again. Sentiment fell double digits today in gold and the dollar which had a reading of 7 for the Daily Sentiment Index on Friday, moved up 8 to 15 today.
Current Price
Friday’s Price
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About Doug EberhardtDoug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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