Have you heard that the U.S. economy as a whole is reaching an inflection point? Through recent conversations and expert analysis, let’s take a closer look at the economic restructuring, changes in the gold market, and a series of economic strategies that the Trump side is preparing.
──────────────────────────────
- Gold Market Surge and Re-examination of U.S. Gold Reserves
• News is spreading that gold prices have risen by more than 40% over the past 12 months.
• It is noticeable that, in addition to short-term trading in the U.S. London market, actual physical gold acquisitions are increasing.
• Ultimately, there is suspicion that the U.S. Treasury or the Federal Reserve is trying to re-examine and recover their gold reserves. This can be interpreted as a plan for the U.S. to redeploy its 261 million ounces of gold, which has not been audited for a long time, to utilize it for future monetary stability and economic strategies.
──────────────────────────────
2. Trump's Economic Strategy and Restructuring of Industrial Policy
• The Trump side is showing moves to fundamentally redesign the U.S. economic system and global trade order.
• At its core, the aim is to intentionally lower the value of the U.S. dollar to increase the competitiveness of U.S. exports in the international market.
• Pointing out the absence of industrial policies in the U.S., they propose utilizing capital reinvestment, resources, and mineral rights, similar to China's success model.
• To this end, various measures are being considered, including imposing tariffs, utilizing sovereign wealth funds, and even imposing user fees on foreign-owned assets.
──────────────────────────────
3. Implications of Dollar Weakness and Global Economic Restructuring
• Amidst the 'Triffin dilemma' of the U.S. dollar as a global reserve currency, there is a criticism that the artificially high dollar value has weakened the competitiveness of the U.S. economy.
• If the dollar is induced to weaken, U.S. exports become relatively cheaper, which can increase overseas market share, but there are concerns about side effects such as inflation and asset value declines.
• Although such measures may have a significant impact on the economy of ordinary people in the short term, they aim to strengthen the U.S. industrial base and revitalize the economy through domestic reinvestment of capital in the long term.
──────────────────────────────
4. Asset Protection Strategies and the Impact of Economic Restructuring
• Financial assets such as stocks and bonds are likely to experience high short-term volatility during the economic restructuring process.
• Experts advise individual investors, especially those who are concentrated in foreign exchange and dollar assets, to pay attention to real assets such as gold.
• Gold prices are expected to rise as an alternative to the dollar in the future, even by up to 10 times the current value.
──────────────────────────────
5. Changes in Cryptocurrencies and Central Bank Digital Currencies (CBDC)
• As the limitations of the existing central bank system are revealed, there are signs that the introduction of cryptocurrencies and CBDCs will accelerate.
• Trump officials suggest the possibility of building a digital currency system centered on private stablecoins instead of the Federal Reserve.
• This is expected to help resolve the centralization of the financial system and control capital movements due to economic restructuring.
──────────────────────────────
6. Outlook and Short-Term Response Strategies
• In the short term, living expenses may rise, inflation may accelerate, and financial asset valuations may be greatly impacted, so it is worth considering diversifying assets (especially holding physical gold).
• If the U.S.'s new industrial policies and capital reinvestment strategies are successful in the long term, the economic structure itself will be reorganized and the global trade order will change.
• In preparation for these changes, it is necessary to listen to information and make efforts to protect your assets.
Please remember that economic restructuring and changes in the U.S. financial system have implications beyond just familiar statistics, and that future response strategies can determine individual economic stability.
[Related Articles at nextgeninsight.net/]
• Gold: https://nextgeninsight.net/?s=%EA%B8%88
• Trump: https://nextgeninsight.net/?s=%ED%8A%B8%EB%9F%BC%ED%94%84
*Source : [Michael Farris (Coffee and a Mike)] "Coffee and a Mike" with Matt Smith | USER’S GUIDE TO RESTRUCTURING THE GLOBAL TRADING SYSTEM
Leave a Reply