Since the earliest iterations of society, individuals have revered the notion of garnering wealth, pursuing both traditional and innovative ways to meet financial goals. Though financial assets have evolved somewhat throughout modernization periods, the potential benefits of acquiring holdings have remained intact. Thus, financial and wealth experts have long generated a breadth of knowledge for the benefit of the general public, predicting potential shifts in global and local economies and subsequent hyper-local impacts.
U.S. Money Reserve, America’s Gold Authority®, has recently published its gold report, “The Big Easing,” starting off the new year with economic insights, warnings, and considerations. As one of the nation’s largest private distributors of U.S. government-issued gold, silver, and platinum products, the company leverages its unique placement to provide market predictions.
In considering the potential changes in the global market throughout the beginning of the new year, the company points to a general industry insider prediction of a potential upcoming stall in the global economy. Thus, U.S. Money Reserve’s publication of the e-book “The Big Easing” is aimed at providing cohesive insight and explanation regarding these predicted changes, drawing from previous historical iterations of change and providing a blueprint for ways that individuals can protect their finances during changing economic climates.
In the e-book, U.S. Money Reserve purports the notion that 2019 saw a dramatic halt in global economic growth after experiencing a robust few previous years. According to the International Monetary Fund, trade tensions, tariffs, political tension, and political policy were key factors in the stalling of global growth, all factors that could very well have consequences into the new year. With 2019’s global projected growth rate previously set at a mere 2.9 percent by the Organization for Economic Growth and Cooperation, these ripples can potentially continue to cast vast effects. With such solidified statistics from industry leaders, U.S. Money Reserve explores the three main areas of projected economic concern and delves into ways that educated individuals can protect their interests against uncertainty.
Throughout the previous year, various leading central banks lowered interest rates, including banks within the United States, Russia, China, and the European Union. Even more notably, several national banks declared negative interest rates, more or less forcing the banks to incur fees for the essential act of storing money. As a result of these changes, financial institution income was impacted, which created inflation and, ultimately, ended up hurting savers. Simultaneously, newly burgeoning trade wars could continue to have lasting impacts on global economics and personal finance. With the U.S.’s new tariffs on over $550 billion in trade goods from China and China’s reciprocal tariffs on over $185 billion in food-related goods, the first wave of impact has already been felt by various industries, including the stock market. Not only do these trade wars impact residents of the respective nations, but each country is involved in all facets of trade, creating a ripple effect on a global basis. Finally, weakened consumer spending in the U.S. in 2019 has generated concern among industry insiders, with various domestic companies forgoing spending on things like hiring, even in the midst of lowered interest rates from the Federal Reserve.
In looking for a potential resolution to these global concerns, individuals can look to the last known occurrence of similar factors, which occurred immediately prior to the worldwide recession of 2008. In considering the various repercussions of previous recession conditions, it is important to recount that savers saw large decreases in the market value of real estate, money, and equities. Conversely, even throughout this time in question, precious metals continued to hold their market value. In fact, gold pricing even rose to a staggering $1,900 per ounce by 2011, showcasing a strong correlation between other diminished markets and the solid market value of precious metals. If the old adage that history is bound to repeat itself remains true, similar trends in the solid nature of precious metals as alternative forms of financial assets are bound to persist.