Economist’s “News and Views” Friday 5-10-2024


Fed to Raise Its 2% Inflation Target? Seismic Re-Pricing Across All Asset Classes Coming – McDonald

Kitco News:  5-9-2024

Michelle Makori, Lead Anchor and Editor-in-Chief at Kitco News, interviews Larry McDonald, Founder of The Bear Traps Report and New York Times bestselling author of ‘How to Listen When Markets Speak’ and ‘Collossal Failure of Common Sense.’

McDonald warns that we are headed into an era of persistent inflation, escalation in global conflict, a multipolar world, a weakening U.S. dollar, a series of sovereign debt crises, and capital fleeing out of financial assets into hard assets.

He sheds light on how the Federal Reserve will approach its 2% inflation target amid sticky inflation. McDonald also explores the coming commodity bull market, going over the top winners. He shares his price outlooks for gold, silver, platinum, oil, and natural gas.

00:00 Coming up

 00:44 Introduction: Fed’s Inflation Target

 01:19 Inflation and Economic Shifts

03:15 The Future of Financial Markets and Debt Solutions

 04:57 The Inevitable Shift Towards Higher Inflation Targets

07:55 The Impact of Inflation on Investment Strategies

 15:17 Navigating the Commodity Bull Market and Asset Allocation

 20:25 The Global Economic Landscape and Commodity Demand

23:50 Strategic Outlook on Oil and Natural Gas

28:10 The Current Equity Climate and Market Risks

33:48 Commodity Investments

 34:50 The U.S. Banking Sector’s Troubles

37:52 The Perils of Passive Investing and ETFs

 47:09 U.S. Debt and Dollar Dynamics

52:39 Gold and Silver

 58:59 Platinum

 01:05:59 Potential Threats to the Commodity Bull Market Thesis

Why Warren Buffett Is Raising Cash: Market ‘Euphoria’ In Final Stage | Bill Smead

David Lin:  5-10-2024

Bill Smead, Chairman of Smead Capital Management, discusses the late stages of market euphoria.

0:00 – Intro

0:50 – Berkshire Hathaway and cash

 4:33 – Markets entering new era

19:20 – Passive investing

22:20 – Valuations and investing

30:55 – Energy sector

36:45 – Inflation and monetary policy

 40:46 – Financials sector

China CHECKMATES Europe’s Economy As Countries Flee Dollar Assets To Buy Gold

Sean Foo:  5-10-2024

China just dropped a bombshell on the EU. While Brussels mulls punishing Beijing with trade barriers, Xi Jinping just upgraded Hungary’s relations and announced a big free trade agreement with Serbia.

Meanwhile, countries around the world are progressively exiting US bonds for gold.

This is the effect of the US government’s never-ending spending and bond issuance that is flooding the market relentlessly.

Timestamps & Chapters:

 0:00 Xi’s EU Bombshell

3:23 Serbia & Hungary Chooses China

 6:46 US Treasuries Hit Brick Wall

8:12 Sponsor: Indigo Precious Metals

9:33 Horrific US Debt Estimates

10:41 Countries Flocking To Gold

 13:28 Narratives Are Collapsing