Wealthion, Released on 10/1/21

In the US, the monetary & fiscal stimulus spigots are turning off as the Fed threatens to start tapering in November and Congress devolves into gridlock over both the next stimulus package as well as the debt ceiling. The US currently spends 111% of its tax receipts on the true cost of servicing its debt & the Fed is now chained to printing up the difference. This is a no-win situation. Outside the US, longstanding stable political regimes like Angela Merkel’s party in Germany are voted out of control. And Asia, particularly China, is experiencing a pronounced economic slowdown, exacerbated by failures like the Evergrande crisis. Add to that rising energy costs, natural gas & petrol shortages, and electrical power rationing across the globe, and the road ahead looks downright scary. How will this turbulence resolve? And how are markets likely to react? To shoulder the challenge of making sense of this all, I’m thrilled to welcome Luke Gromen back onto the program.

Part 1 (part 2 below)

Here in Part 2, research analyst Luke Gromen provides a breakdown of the asset classes he favors for the current market environment. He also explains why he remains optimistic for the future prospects of both gold and Bitcoin. Luke believes the US will chart a course inflation to deal with its ever-rising debt burden & building resource shortages. The path may well resemble that of Argentina’s currency woes in recent decades. As a result, Luke thinks investors will be served by inverting the conventional asset allocation model. Instead of being heavy in bonds and stocks, Luke recommends being lightest in those securities, and instead investing more heavily in commodities and other hard assets

Part 2

Luke Gromen is a graduate of the University of Cincinnati and received his MBA from Case Western Reserve University. He earned the CFA designation in 2003. Luke provides strategic consulting services for corporate executives and is the founder of The Forest For The Trees, LLC, a macro/thematic research firm catering to institutions and individuals.

  bitcoin, debt, gold, inflation, investing, luke gromen, markets, oil