Today top trends forecaster Gerald Celente just issued one of his most important Trend Alerts of 2016, with exclusive bonus material only available through King World News!
Today Gerald Celente (pictured above) just issued one of his most important Trend Alerts of 2016!
Gerald Celente: Oil is on a tear. Gold is shining, silver is surging and the dollar is tumbling…
Continue reading the Gerald Celente piece below…
Gerald Celente continues: Over the last few weeks, Federal Reserve Chair Janet Yellen and fellow Fed members bombarded the business media with the refrain that America’s economy was strong, and to expect an interest-rate rise “in the coming months.”
The Street bought it and the markets believed it. Gold prices, for example, on a 20 percent upward streak since the new year, sharply dove on the pending interest-rate-hike hype. Since the great criticism from the “investor” world is that gold yields no interest, with interest rates among developed nations in negative or near-low territory, and holding cash yields nothing, holding gold was deemed safer than holding cash. But with the Fed signaling rising rates, that rationale for owning gold no longer held and a selling wave ensued.
What a difference a day makes – Gold & Silver Surging
However, following May’s US job report last Friday, in which only 38,000 jobs were added to the economy – the fewest in five years – gold spiked some $30 per ounce on the realization that there would be no rate hike “in the coming months.” And gold is continuing to surge today along with silver.
Among the major data points Fed officials have been long touting as evidence for economic growth are the Labor Department’s monthly employment reports. Indeed, in her speech Monday at The World Affairs Council of Philadelphia, Yellen stressed that economic “gains have been impressive. In particular,” she said, “the job market has strengthened substantially,” while suggesting that May’s dismal number was an “aberration” and “one should never attach too much significance to any single monthly report.”
Disastrous Jobs Release Exposes Economic Weakness
While May’s job number may be an “aberration,” what the Fed Chair failed to acknowledge is that the job slowdown is greater than “any single monthly report.” Since January, the economy has added 125,000 jobs per month compared with a monthly average of 229,000 last year. Also not an aberration is that the labor force participation rate had decreased to nearly a four-decade low of 62.6 percent and some 460,000 people left the workforce in May.
In addition, as for the unemployment rate dropping to a nine-year low of 4.7 percent from 5 percent in April, economist and Trends Journal Contributing Editor Dr. Paul Craig Roberts noted it dropped “because people unable to find jobs ceased looking and are no longer counted as being in the labor force. If you are unemployed but not considered part of the labor force, you are not included when unemployment is measured. The Bureau of Labor Statistics says that in May there were 1.7 million Americans who ‘wanted and were available for work,’ but were not counted as unemployed because they had not searched for work in the four weeks preceding the survey.”
While Yellen states “the economy has registered considerable progress over the past several years toward the Federal Reserve’s goals of maximum employment,” hard data dispute her jobs-progress claim. In fact, since 2009, 95 percent of all income gains have gone to the richest 1 percent while median household income remains below 1999 levels. There is no recovery. We forecast recession. And this won’t be a garden variety recession, it will impact the entire world.
Trend Forecast: Moreover, our forecast and analysis for a new gold bull run is established on broader Globalnomic® indices, including current and emerging geopolitical and socioeconomic factors. Thus, we forecast that gold will break through $1,300 an ounce and reach $1,400 per ounce. After finding strength above the $1,400 range, we then anticipate a sharp gold spike toward $2,000. As gold prices soar, global equity markets will tumble, and major economies will sink into depression. ***KWN just released an absolutely jaw-dropping interview with the man who advises the most prominent sovereign wealth funds, pension funds, hedge funds, and institutional funds in the world and he discusses the gold and silver markets, coming chaos and much more! To listen CLICK HERE OR ON THE IMAGE BELOW.
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