Trump’s Market Crash and Depression Warnings
Former U.S. President Donald Trump has issued a stark warning about the potential consequences for the U.S. economy if he fails to secure victory in the upcoming presidential election. Trump believes that the country could face a stock market crash worse than the one experienced in 1929, leading to a Great Depression. He emphasized his concerns by highlighting the poor state of the U.S. economy and the significant impact of inflation on the buying power of consumers.
In a post on his social media platform, Truth Social, Trump expressed his views on the current state of the economy. He stated, "The economy is terrible, and inflation, which some accounts estimate to be more than 30% over the last three years, has completely eroded the purchasing power of consumers. The only thing keeping the economy afloat is the remnants of our achievements during the Trump administration."
Trump further asserted that the high levels of the stock market are largely due to the expectation and belief that he will emerge victorious in the 2024 presidential election. He issued a warning, stating, "If I don't win, I predict that we will experience a stock market crash worse than that of 1929, ultimately leading to a Great Depression."
While official data from the Bureau of Labor Statistics (BLS) shows a 17% increase in prices since President Joe Biden took office, alternative measures of inflation using the methodology employed in the 1980s estimate the figure to be even higher, surpassing 30%.
However, Trump's path to securing the 2024 Republican nomination is not without obstacles. He is currently facing legal battles and is prohibited from appearing on the primary ballot in Colorado and Maine. The Supreme Court is expected to make a ruling on whether states have the authority to prevent presidential candidates from running.
This is not the first time Trump has warned of economic calamity should he lose the 2024 presidential election. In July, he predicted an economic depression, and in April, he expressed concerns about a weakening U.S. dollar and the potential for World War III. He also highlighted the U.S.'s struggle in the currency war against China, noting China's attempts to challenge the dominance of the U.S. dollar as the world's leading currency.
Interestingly, there are predictions that a Trump victory in the presidential election would have a positive impact on Bitcoin. Asset manager Vaneck, for example, anticipates that Bitcoin's price would reach an all-time high following Trump's win. Some even suggest that Trump's stance on cryptocurrencies could experience a dramatic shift. John Reed Stark, a former internet enforcement chief at the U.S. Securities and Exchange Commission (SEC), speculated that Trump may change his anti-crypto position significantly. Additionally, it is worth noting that Trump recently launched his third non-fungible token (NFT) collection and reportedly sold millions of dollars' worth of ether (ETH) received from NFT sales.
It is essential to consider the implications of former U.S. President Donald Trump's warnings for the economy. Share your thoughts on his statements in the comments section below.
Frequently Asked Questions
What does gold do as an investment?
Gold's price fluctuates depending on the supply and demand. It is also affected by interest rates.
Due to limited supplies, gold prices are subject to volatility. Additionally, physical gold can be volatile because it must be stored somewhere.
How much should precious metals be included in your portfolio?
This question can only be answered if we first know what precious metals are. Precious Metals are elements that have a very high relative value to other commodities. They are therefore very attractive for investment and trading. Today, gold is the most commonly traded precious metal.
But, there are other types of precious metals available, including platinum and silver. The price volatility of gold can be unpredictable, but it is generally stable during periods of economic turmoil. It also remains relatively unaffected by inflation and deflation.
The general trend is for precious metals to increase in price with the overall market. That said, they do not always move in lockstep with each other. When the economy is in trouble, for example, gold prices tend to rise while other precious metals fall. Investors expect lower interest rates which makes bonds less appealing investments.
The opposite effect happens when the economy is strong. Investors prefer safe assets such as Treasury Bonds and demand fewer precious metals. They become less expensive and have a lower value because they are limited.
Therefore, to maximize profits from investing in precious metals, you must diversify across multiple precious metals. Furthermore, because the price of precious Metals fluctuates, it is best not to focus on just one type of precious Metals.
How do I open a Precious Metal IRA
The first step is to decide if you want an Individual Retirement Account (IRA). You must complete Form 8606 to open an account. Next, fill out Form 5204. This will determine the type of IRA that you are eligible for. You must complete this form within 60 days of opening your account. Once this is done, you can start investing. You can also contribute directly to your paycheck via payroll deduction.
If you opt for a Roth IRA, you must complete Form 8903. Otherwise, the process is identical to an ordinary IRA.
To qualify for a precious Metals IRA, there are specific requirements. The IRS requires that you are at least 18 years old and have earned an income. Your earnings cannot exceed $110,000 per year ($220,000 if married and filing jointly) for any single tax year. You must also contribute regularly. These rules apply to contributions made directly or through employer sponsorship.
You can invest in precious metals IRAs to buy gold, palladium and platinum. But, you'll only be able to purchase physical bullion. This means that you will not be allowed to trade shares or bonds.
You can also use your precious metallics IRA to invest in companies that deal with precious metals. This option may be offered by some IRA providers.
However, investing in precious metals via an IRA has two serious drawbacks. First, they're not as liquid as stocks or bonds. This makes them harder to sell when needed. Second, they are not able to generate dividends as stocks and bonds. You'll lose your money over time, rather than making it.
Is gold a good IRA investment?
Any person looking to save money is well-served by gold. You can diversify your portfolio with gold. But gold has more to it than meets the eyes.
It has been used throughout history as currency and it is still a very popular method of payment. It is sometimes called the “oldest currency in the world”.
But gold, unlike paper currency, which is created by governments, is mined out from the ground. Because it is rare and difficult to make, it is extremely valuable.
The supply and demand factors determine how much gold is worth. The economy that is strong tends to be more affluent, which means there are less gold miners. As a result, the value of gold goes up.
On the flip side, when the economy slows down, people hoard cash instead of spending it. This leads to more gold being produced which decreases its value.
This is why both individuals as well as businesses can benefit from investing in gold. If you have gold to invest, you will reap the rewards when the economy expands.
Your investments will also generate interest, which can help you increase your wealth. In addition, you won’t lose any money if gold falls in value.
Is buying gold a good retirement plan?
Although it may not look appealing at first, buying gold for investment is worth considering when you consider the global average gold consumption per year.
The best form of investing is physical bullion, which is the most widely used. There are other ways to invest gold. The best thing to do is research all options thoroughly and then make an informed decision based on what you want from your investments.
For example, purchasing shares of companies that extract gold or mining equipment might be a better option if you aren't looking for a safe place to store your wealth. If you are looking for cash flow from your investment, buying gold stocks will work well.
ETFs allow you to invest in exchange-traded funds. These funds give you exposure, but not actual gold, by investing in gold-related securities. These ETFs often include stocks of gold miners, precious metals refiners, and commodity trading companies.
How much are gold IRA fees?
The Individual Retirement Account (IRA), fee is $6 per monthly. This fee covers account maintenance fees, as well any investment costs that may be associated with your investments.
Diversifying your portfolio may require you to pay additional fees. These fees can vary depending on which type of IRA account you choose. Some companies offer free checking accounts, but charge monthly fees to open IRA accounts.
Most providers also charge annual management costs. These fees range from 0% to 1%. The average rate for a year is.25%. These rates are usually waived if you use a broker such as TD Ameritrade.
Can the government seize your gold?
Your gold is yours and the government cannot take it. It's yours, and you earned it by working hard. It belongs to you. There may be exceptions to this rule. For example, if you were convicted of a crime involving fraud against the federal government, you can lose your gold. You can also lose precious metals if you owe taxes. However, even though your taxes have not been paid, you can still keep your precious metals, even though they are considered the property of United States Government.
Statistics
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
External Links
finance.yahoo.com
law.cornell.edu
- 7 U.S. Code SS7 – Designation Boards of Trade as Contract Markets
- 26 U.S. Code SS 408 – Individual retirement funds
bbb.org
wsj.com
- Saddam Hussein's InvasionHelped Uncage a Bear in 1990 – WSJ
- Want to Keep Gold in Your IRA at Home? It's Not Exactly Legal – WSJ
How To
Investing gold vs. stocks
It might seem risky to invest in gold as an investment vehicle these days. This is because most people believe that it is no longer economically profitable to invest gold. This belief is due to the fact that many people see gold prices dropping because of the global economy. They feel that gold investment would cause them to lose money. In reality, though, gold investment can offer significant benefits. Let's take a look at some of the benefits.
The oldest form of currency known to mankind is gold. It has been used for thousands of years. It was used by many people around the globe as a currency store. It is still used as a payment method by South Africa and other countries.
You must first decide how much you are willing and able to pay per gram to decide whether or not gold should be your investment. You must determine how much gold bullion you can afford per gram before you consider buying it. If you don’t know what the current market price is, you can always call a local jewelry store and ask them their opinion.
It's worth noting, however, that while gold prices have fallen recently the cost of producing gold is on the rise. So, although gold prices have declined in recent years, the cost of producing it has not changed.
When deciding whether to buy gold, another thing to consider is how much gold you intend on buying. For example, if you only intend to purchase enough to cover your wedding rings, it probably makes sense to hold off on buying any gold. However, if you are planning on doing so for long-term investments, then it is worth considering. You can profit if you sell your gold at a higher price than you bought it.
We hope this article has given you an improved understanding of gold investment tools. We recommend that you investigate all options before making any major decisions. Only after you have done this can you make an informed choice.
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By: Kevin Helms
Title: Donald Trump Warns of Stock Market Crash and Great Depression if He Doesn’t Win Presidential Election
Sourced From: news.bitcoin.com/donald-trump-warns-of-stock-market-crash-and-great-depression-if-he-doesnt-win-presidential-election/
Published Date: Tue, 02 Jan 2024 01:00:22 +0000
