Hi,
On any given day you are seeing stories come out from all over the world that on their own may not signal something of the utmost significance is happening, but when you begin to piece all these stories together the larger picture points toward a monetary system that will be simply unrecognizable by 2030, if not a lot sooner.
One of the major stories this past week came out on Thursday as the Federal Reserve launched their FedNow instant payment system, a project they have been working on since 2019. This system allows for central banks, credit unions, mega banks, small banks, and corporations alike to cut out intermediaries like PayPal and Venmo when sending money between parties, rather using the Federal Reserve itself; this being through their FedNow payment system. While the benefits of this system are easy to identify as users of the system do not need to wait days for funds sent to arrive at their desired location, but rather seconds, and this is bound to speed up business dealings allowing for the economy to run at a more efficient level.
However, the downside is far less obvious, as it is less understood what this will eventually mean for the public. When looking behind the curtain, it becomes clear that this system was specifically designed for a digital monetary system that aims to cut out the transfer of any tangible wealth, but rather putting all its focus on intangible illusionary wealth. It should come at no surprise that this system was in its infancy right as the pandemic was taking place, which in large part began to eliminate the circulation of physical cash. From there, the first Central Bank Digital Currency (CBDC) was introduced in 2020, just a year after the Federal Reserve started planning for a fully digitized world economy. It is important to remember, that there are now over 100 countries working on their own CBDC, which will be used by the general public. While this is happening, as we have stated many times before, central banks from around the world have been accumulating gold at RECORD speeds, all the while mainstream news providers have been slamming gold to deter the people from buying it themselves. Again, it is becoming quite obvious that those in powerful positions of government/corporate banking are hoarding real tangible wealth, while encouraging the people to use intangible illusionary forms of wealth that can be far more easily manipulated by creating more with the click of a mouse.
Remember, wealth is not created nor destroyed; it is merely transferred, so if one party or group of people becomes impoverished, another is becoming obscenely rich. That is why during The Great Depression, what most people remember is the devastation seen amongst the middle and lower class, what few people remember is that the most amount of millionaires at the time was created during those years of economic calamity. Also, during the pandemic when many were thrust into poverty due to business closures, you saw a new billionaire created every 17 hours; in total 493 people, who were not before the pandemic, became billionaires seemingly overnight.
When diving deeper to try to figure out why this digital transition is taking place, it is simply because the current financial system has run its course. Every 30-40 years the world goes through a financial overhaul, the system we find ourselves in now is over 50 years old dating back to August 15th, 1971, when Richard Nixon took the world off the gold standard. Today, the United States as the world superpower with control over the world reserve currency is beginning to show signs of severe financial illness. On Thursday, the U.S. Treasury Department announced that from October 2022 to June of 2023 the government ran a financial deficit of $1.4 TRILLION. This is up 170% from the same time last year, adding to what is already a ballooning national debt of $32 trillion. On top of that, due to the rapid increase of interest rates, the United States government over the past nine months has paid $652 billion in interest on their national debt; an increase of 25% from the same time last year. If we annualized that number, the United States now pays more to cover the interest on their debt, than they do for their entire defence budget, making interest payments on their debt the “program” they spend the most toward on an annualized basis. When looking at the photo below, you can see why people are shouting from the rooftops that something is going to break, forcing real tangible wealth like silver and gold back into the spotlight.
It would be hard for anyone to say with a clear conscience that an increase in interest payments as rapid as the one above, in anyway is the sign of a healthy economy that is at no risk of collapse.
When quickly turning our attention over to silver, with recent gains made this past week, silver is beginning to show signs of strength that if continued, has the potential to send silver price to a level not seen in decades, if ever.
It feels almost like an inevitability that silver will break through the decade long trend line shown above, and when it does, there will be no price resistance markers holding silver back from finding incredible highs. Going back to 2020 when silver first took off like a rocket due to pandemic crashes in risk assets like stocks, it clearly bounced right off the trend line shown above, stopping it in its tracks. Silver has retested the same trend line 3 times, called a triple top, and is now going back for a 4th attempt. It is safe to say, silver is poised for the incredible breakout in price that many in the precious metals community have been waiting for, and when it does, no one could possibly own enough silver.
With all that said, here at Au Bullion we have continued to try to make the affordability of precious metals a priority to try to get these metals in the hands of as many people who want/need them for wealth protection as possible. This week, we have cut prices on all our generic 10-ounce silver bars allowing for buyers to get more metal for every dollar spent.
