Reflecting a little on the loss of privileges of the dollar, in an interview with Peter Schiff, emblematic journalist and investor of gold, he talks a little about the loss of credibility that fiat currencies are currently having, not just the dollar. He also comments on the fact that the US government will not stop its monetary expansion or its cuts in interest rates. This brings many interpretations to chapter but the main one is that the lack of confidence on paper is deduced and how some traditional, optional and new options are emerging and filling those gaps that the dollar is leaving because of the Fed's policies.
Investors point to the known, so we see interesting movements in gold, silver and some other metals; all with positive records and taking gold as the vanguard in this new escalation of metals. Some of us continue to wait for bitcoin, it is a past wait but we continue on the line of 200 and with a volume coin, reason to continue with the consolidation until the appearance of new fundamentals.
Certainly, this impression translates directly into inflation and they are very consistent that these Fed decisions only target a select group that only benefits from these policies, where the rich are incredibly wealthier and the poor are woefully poorer.
It is difficult to know what solutions will be taken when the normality of people, companies and markets is reestablished, it will be interesting to know that it will be done with all that monetary mass that currently exists in the markets, because as such, it cannot be made to disappear. For some people, it is more beneficial to receive this help than to reactivate at work, macroeconomic indicators continue to be down and are not far from a productive recovery.
And to make things more interesting, we are in an electoral year and the decisions will have more weight of votes than anything else; the sympathy to stay in power is far from the reasoning that the market deserves and how to overlap some of the measures that are currently being taken. That is why I see for a long time, the metals shining and the cryptos entering the field of play, if they do not see PayPal Visa and Master, they have been handling for a long time what is what will be standard in these times and in later ones.
Nice one