Precious metals news

Global stock markets tumbled as concerns over central bank interest rate hikes raised fears of a prolonged recession. European and Asian markets recorded significant losses, with Hong Kong's Hang Seng Index down 1.7% and Japan's Nikkei 225 falling 1.5%. The Stoxx Europe 600 banks index declined 1%, highlighting the risks faced by lenders in an economic slump. Oil prices also dropped about 1%, reflecting worries about slowing global economies.

While the world is focused on draining the U.S. Strategic Petroleum Reserve, the same thing is happening to Silver.  And, the situation may intensify as China's Solar PV manufacturing more than doubles by 2025, or sooner.  It seems that 2025 may be the Perfect Storm for Silver...

and monetary policy decisions, particularly in the US, have caused volatility in metal prices. Central banks are struggling to balance inflation and economic challenges. The lag in the effects of interest rate hikes will likely lead to further economic damage. Higher rates have already impacted housing markets, bond values, and government borrowing costs. While job availability seems positive, workers are opting for fewer hours, and layoffs may not follow the usual pattern. Despite these complexities, gold and silver are expected to rally again as central banks adjust their strategies.

Global taxation looms as over 130 countries and the OECD agree on a minimum corporate tax rate of 15%. Critics argue taxation is theft, coercion, and a threat to individual liberty. The push for global taxation could lead to increased bureaucracy, a decline in living standards, and pave the way for more taxes. Tax havens diminish, and elites use offshore accounts while promoting global taxation. The world faces a potential collapse of civilization as it moves towards a Great Reset.

US regulators are set to increase capital requirements for Wall Street's major banks, posing a significant threat to their operations. The new rules primarily target the largest banks, potentially hindering their business activities. Smaller banks with assets under $100 billion will face fewer consequences. This move is part of a global effort to reform capital rules following the 2008 financial crisis. The market reacted negatively, and regional banks may also be affected.

Unsealed documents reveal JPMorgan's involvement with Jeffrey Epstein in federal lawsuit. Internal emails show Epstein's influence on the bank's business strategies and client referrals, including prominent figures like Bill Gates. JPMorgan faces legal scrutiny and questions about its compensation to Epstein. The settlement in a related class action lawsuit suggests more revelations may emerge. The use of the bank's corporate jet for trafficking victims raises potential criminal implications.

In a haunting financial landscape, the Federal Reserve unleashed the fastest interest rate hikes in 40 years. Amidst the chaos, mega bank JPMorgan held a staggering $118 trillion in high-risk derivatives. The eerie silence surrounding their ability to dodge massive losses raises unsettling questions about their practices. With hidden risks lurking and transparency elusive, the specter of uncertainty looms over the financial realm, demanding unwavering caution.

U.S. Treasury Secretary Janet Yellen, speaking in Paris, emphasized the criticality of maintaining a relationship between the U.S. and China, echoing President Joe Biden's stance. Yellen's comments came in the wake of President Biden's recent remarks referring to Chinese leader Xi Jinping as a "dictator," which drew condemnation from Beijing. Yellen stated the importance of communication and working together to clear up misperceptions and disagreements. She also expressed satisfaction with China's participation in the climate summit in Paris and highlighted the need for debt restructuring.

US Treasury Secretary Janet Yellen called for disaster clauses in World Bank debt agreements with poorer countries. She also emphasized the need for reforms and efficiency improvements in multilateral development banks before considering additional funding. Yellen suggested the inclusion of climate resilient debt clauses and expressed the potential to unlock $200 billion over a decade. Capital increase remains a possibility, but Yellen stressed the importance of better functioning and addressing global challenges first.

Last week, 64,000 Americans filed for initial jobless benefits, marking the highest number since October 2021. California, New Jersey, and Connecticut experienced the largest increase in claims, potentially indicating the impact of tech layoffs as severance packages come to an end. Interestingly, continuing claims slightly decreased from 1.772 million to 1.759 million. While this data does not provide a reason for the Federal Reserve to assert their position, it's important to note that continuing claims data is lagged by a week.

US investors' tech-stock fever and recession skepticism are reminiscent of the dot-com bubble, warns economist David Rosenberg. He highlights similarities in extreme concentration in tech stocks, high valuations, and the dismissal of crises. Rosenberg cautions that investors are overly optimistic and predicts an imminent recession based on the inverted yield curve. He suggests that government stimulus is losing its effectiveness and anticipates rate cuts by the Fed in the near future.

The Conference Board's Leading Economic Indicators (LEI) declined for the 14th consecutive month in May, dropping 0.7% MoM. Building permits contributed positively to the index, while average consumer expectations had a negative impact. This continuous decline in the LEI, the longest since the 'Lehman' era, suggests weaker economic activity ahead. Rising interest rates and persistent inflation are expected to further dampen the economy, potentially leading to a recession. The LEI's year-over-year decline of 7.9% signals a concerning trend for real GDP. This highlights the impact of the Fed's tightening measures on the US economy.

Existing home sales unexpectedly rose in May (+0.2% MoM), but the supply remains critically low. Total sales remain flat, reflecting a dire housing market. Median selling prices declined by 3.1% from last year, yet they remain historically high due to limited inventory. The number of homes for sale hit a record low for May, down 6.1% from the previous year.

BRICS+ countries announce new currency linked to gold, aiming to challenge the dollar. Gold manipulation is a concern, but the new currency will have a fixed value in gold. China and Russia may influence the dollar price of gold to increase their wealth and undermine the dollar. The collapse of the dollar is expected, leading to inflation and a higher price for gold. Buying gold is a recommended strategy to protect against the currency crisis.

In a future world, a cashless society prevails, where Central Bank Digital Currencies (CBDCs) have replaced physical money. All transactions are tracked, and small businesses are suppressed while major corporations controlled by the government dominate. AI-based monitoring systems scrutinize transactions, searching for any attempts at anonymity. The internet is heavily restricted, with only government-approved websites and AI chatbots controlling information flow. This dystopian vision is being tested by globalist institutions, aiming to implement a global digital currency system as part of their agenda, known as the Great Reset. The timeline for their plans is set for completion by 2030

Georgieva, Managing Director of the IMF, emphasized the importance of interoperability for Central Bank Digital Currencies (CBDCs), stating that they should not be limited to national boundaries. She highlighted the need for systems that connect countries to ensure efficient and fair transactions. Georgieva further argued that global digital currencies would increase financial inclusion, reduce costs, and enhance payment systems' resilience and efficiency. CBDCs could offer cheaper and faster cross-border payments, facilitate remittances, and simplify other transfers.

China's central bank has cut interest rates again as the country grapples with the challenges of a potential liquidity trap caused by the aftermath of COVID. The government plans to boost economic activity through a debt-financed infrastructure-building program and a weakened currency to stimulate exports. However, these measures may be less effective after recent shocks, including trade tensions with the US, restrictions on the tech sector, pandemic-related lockdowns, and a housing market crisis.

Bank of Japan (BOJ) board member Asahi Noguchi emphasized the importance of maintaining ultra-loose monetary policy to support wage growth and achieve the 2% inflation target. Noguchi expects core consumer inflation to dip below 2% in September or October due to the fading impact of past increases in raw material costs. Meanwhile, US Federal Reserve Chairman Jerome Powell's recent congressional testimony signaled the likelihood of additional interest rate hikes, highlighting the Fed's commitment to combating inflation.

Turkey's lira plunged to a historic low against the dollar as the central bank's long-awaited interest rate increase fell short of market projections. The lira reached a new record low of 24.2 against the dollar after the Turkish central bank raised its key interest rate by 650 basis points to 15%. This move marked a significant shift from President Tayyip Erdogan's previous policy of keeping rates low. Additionally, emerging market stocks remained subdued following the hawkish comments made by Federal Reserve Chair Jerome Powell.

The Bank of England's decision to raise borrowing costs by more than expected heightened fears of an impending recession in the British economy. With the main interest rate reaching a 15-year high of 5%, borrowers, especially homeowners looking to refinance, will face significant challenges. The surprise half-percentage-point increase, the 13th consecutive hike, reflects the central bank's concern over stubbornly high inflation.