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3.18.24 - BRICS: new currency update

Gold last traded at $2,159 an ounce. Silver at $25.05 an ounce.

EDITOR'S NOTE: If you've been wondering what the BRICS nations have been up to lately, the answer is simple...they've been buying gold. They now represent the most active buyers of the precious metal as they look to distance themselves from the debt-laden dollar.

BRICS Provides Update On The New Currency - watcher.guru

by Vinod Dsouza

BRICS BRICS is looking at creating a new currency in the global markets to settle international trade among member countries. The alliance wants to end dependency on the US dollar and give prominence to the soon-to-be-released currency. The bloc of nine countries wants their native currencies to strengthen as keeping the US dollar in reserve poses a risk to their growth.

The uncontrolled $34.4 trillion debt is making developing countries worried as it could leave a negative impact on their economies. Central Banks are now accumulating gold instead of the US dollar to stay away from the USD currency’s debt. For the uninitiated, BRICS countries are the largest buyers of gold accumulating tonnes of the precious metal, reported World Gold Council.

Brazilian Sherpa Mauricio Lyrio gave an update about the happenings of the BRICS currency. The Sherpa confirmed that BRICS continues working on a common currency and the topic will be discussed at the next summit. Lyrio explained that the alliance is working towards the advancement of the common currency and payment system.

“We are working on that (new currency),” Lyrio said. He added, “The countries are discussing it under the Russian presidency, and it’s one of the topics discussed during this presidency”.

Moreover, if BRICS launches a new currency or common payment system, the US dollar will be the hardest hit. Developing countries will slowly end reliance on the US dollar and opt for the new payment system. READ MORE

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3.15.24 - JPMorgan’s Top Pick in Commodities

Gold last traded at $2,159 an ounce. Silver at $25.25 an ounce.

EDITOR'S NOTE: It would seem as though gold is becoming the safe and preferred investment choice of 2024. JPMorgan sees the price reaching $2,500 an ounce. The time to buy is right now!

Gold Is JPMorgan’s Top Pick in Commodities With Price Eyeing $2,500 -Bloomberg

by Yvonne Yue Li and Tope Alake

money Gold is the No. 1 pick in commodities markets for JPMorgan Chase & Co. and the price has the potential to reach $2,500 an ounce this year, according to the bank’s global head of commodities research.

“We believe that $2,500 is a possibility” after bullion reached an all-time high of $2,195.15 on Friday, Natasha Kaneva said during a Bloomberg TV interview. “Because the market tends to get overexcited.”

To achieve that price target, “we need a confirmation from continued moderation in the inflation and in the jobs numbers as well and the confirmations that the Fed indeed is cutting,” said Kaneva.

The Fed’s long-anticipated pivot to looser monetary policy is widely expected to boost gold’s appeal compared with yield-bearing assets like bonds. Policymakers have said they needed to see more evidence that inflation is headed toward its 2% target before lowering borrowing costs. READ MORE

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3.14.24 - The U.S. Banks With the Highest Exposure

Gold last traded at $2,162 an ounce. Silver at $24.81 an ounce.

EDITOR'S NOTE: There is approximately $5.7 trillion in outstanding commercial real estate debt, and some banks have a higher concentration of commercial loans on their balance sheet than others. This graphic breaks down the most at-risk banks if a commercial real state collapse comes to pass.

The U.S. Banks With the Highest Exposure to Commercial Real Estate -Visual Capitalist

By Niccolo Conte

Article/Editing: Dorothy Neufeld

Graphics/Design: Sam Parker

(click to expand)
Today, there is roughly $5.7 trillion in commercial real estate debt outstanding—with U.S. banks holding approximately half of this total on their balance sheets.

The commercial property sector, which includes office, retail, healthcare, and multi-family properties, has faced mounting pressures amid high interest rates and lower occupancy levels. Given these headwinds, it poses the risk of higher defaults and steep loan losses in a sector that has not fully recovered since the collapse of Silicon Valley Bank last year.

This graphic shows the U.S. banks with the highest exposure to the commercial real estate sector, based on analysis from UBS. VIEW GRAPHIC

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3.13.24 - BRICS advancing at rapid pace

Gold last traded at $2,175 an ounce. Silver at $25.04 an ounce.

US national debt tracker for March 12, 2024: See what American taxpayers (you) owe in real time -Fox Business

Although we live in the greatest country in the world, I find this headline unsettling. Working hard, staying out of debt, and paying taxes is our responsibility as citizens. When you see what we "owe" because of decision made for us by politicians and their misspending, it becomes infuriating.

by Megan Henney

The U.S. national debt is climbing at an astronomical pace and has shown no signs of slowing down despite the heightened scrutiny on government spending.

The national debt — which measures what the U.S. owes its creditors — increased to $34,497,203,823,900.22 as of Tuesday afternoon, according to the latest numbers published by the Treasury Department. That is up about $25 billion from the $34,471,482,665,578.20 figure reported the previous day.

By comparison, just four decades ago, the national debt hovered around $907 billion.

The outlook for the federal debt level is bleak, with economists increasingly sounding the alarm over the torrid pace of spending by Congress and the White House.

The latest findings from the Congressional Budget Office indicate that the national debt will grow to an astonishing $54 trillion in the next decade, the result of an aging population and fishing federal health care costs. Higher interest rates are also compounding the pain of higher debt. READ MORE


US, European Union React to BRICS Rapid Growth -watcher.guru

We have been warning about the impact of BRICS for some time now. The US has addressed the progression of BRICS where it can and the likely economic fallout their advancement represents. It would seem BRICS is moving along so quickly, there will be no catching up.

by Michael Grullon

BRICS The BRICS bloc is ready to continue its expansion in 2024. Successfully inducting multiple new nations in January, the bloc is expected to invite more countries to join sometime this year. With more countries showing interest in BRICS and its missions, the United States and the European Union are facing a new developing threat.

BRICS is advancing at a rapid pace in its de-dollarization efforts by cutting ties with the US dollar. The new members have begun settling trade in local currencies by ending dependency on the greenback. Furthermore, India, China, Russia, and the UAE have started using their respective local currencies, reducing their reliance on the US dollar.

Multiple political/economic voices in the United have shared their concerns about the future of BRICS and its impact on the United States. As BRICS continues to grow, some are sure that its growth will pose an immediate threat.

US Politician Marco Rubio shared a warning to the US recently about BRICS, saying that its growth might interfere with the ability to exert sanctions on other nations. “If current trends continue, it will become harder and harder for the United States to prevent international violence and oppression through sanctions,” Rubio wrote in a recent op-ed article/open letter. READ MORE


Leading Tech Company Is Now Cutting A Whopping 8,000 Jobs -Frank Nez

Big Blue is yet another company replacing jobs with AI, along with many other tech firms. Greater efficiency perhaps, but at what cost for American families?

A leading tech company is now cutting a whopping 8,000 jobs, part of a plan to increase its AI output, sources confirm.

IBM told employees on Tuesday in its marketing and communications division that it is slashing the size of its staff, according to a person with knowledge of the matter.

Jonathan Adashek, IBM’s chief communications officer, made the announcement in a roughly seven-minute meeting with staffers in the unit, said the person, who asked not to be named because the news hasn’t been made public, reports CNBC.

In December, IBM CEO Arvind Krishna told CNBC that the company was “massively upskilling all of our employees on AI,” after it announced a plan in August to replace nearly 8,000 jobs with AI.

IBM said on its earnings call in January of last year that it was cutting 3,900 positions.

“In 4Q earnings earlier this year, IBM disclosed a workforce rebalancing charge that would represent a very low single digit percentage of IBM’s global workforce, and we expect to exit 2024 at roughly the same level of employment as we entered with,” IBM told CNBC in a statement. READ MORE

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3.12.24 - $15,000 Gold?

Gold last traded at $2,158 an ounce. Silver at $24.14 an ounce.

EDITOR'S NOTE: Is it really possible for gold to hit a price target of $15,000 an ounce? Mr. Rickards makes the case here (click the link below to read his theory). But even if it comes nowhere close, gold still has a ton of upside potential between its current price of $2158 (today's price) and $15k. The fundamentals are in place for a major breakout this year, especially given the many nations actively avoiding the dollar.

Gold’s Got the Midas Touch Back - Daily Reckoning

by James Rickards

gold money After two years of trading in a 20% range between $1,600 and $2,000 per ounce, gold finally broke out to the upside, closing at a new all-time high of $2,126 per ounce on March 4.

Better yet, if you’re a gold investor, gold has held its ground around $2,100 per ounce since breaking that ceiling (gold’s trading at around $2,187 today).

The price is volatile, but gold broke even higher on March 5 when it hit $2,140 on an intra-day basis. Before getting too euphoric, gold investors should recall that the $800 per ounce record set in January 1980 during borderline hyperinflation would be $3,200 per ounce in today’s dollars if adjusted for inflation.

That can be a splash of cold water in the face. On the other hand, it’s highly encouraging. If gold is in a new bull market, $3,200 per ounce looks more like a price target than an insurmountable hurdle.

But I continually remind gold investors, whether in bullion or mining shares, not to get too euphoric when gold rallies and not to get too depressed when the dollar price retreats. Gold is still the best form of money and proves valuable to investors over time.

The bigger questions are: What are the factors driving gold higher, and will they continue the trend? READ MORE

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3.11.24 - Central Banks Boost Gold Reserves

Gold last traded at $2,184 an ounce. Silver at $24.49 an ounce.

EDITOR'S NOTE: This headline says it all. The rest of the world sees our economy for what it really is; despite what DC is feeding to the rest of us. Gold is on the move and given the current state of the domestic and global economy, it's likely heading far higher. Call us today to secure your position.

Central Banks Boost Gold Reserves to Diversify from the Dollar -Yahoo! Finance

Authored by Simon White, Bloomberg macro strategist

chart Powell might not be overly worried about inflation - with his recent comments reiterating the Federal Reserve is on track to cut rates this year - but other central banks are not so relaxed. Gold’s new high signals global central banks are likely accumulating the precious metal in an effort to diversify away from the dollar, as persistently large fiscal deficits threaten to further erode its real value and lead to more inflation.

Gold’s move in recent days has been broad as well as pronounced (as well as hinted at by low gold vol), with the precious metal making 50-year highs versus three-quarters of major DM and EM currencies. The biggest holdings of gold after jewellery are for private investment - ETFs, bars and coins - followed by central banks’ official reserve holdings.

In recent years the swing buyers have been ETFs, which hold about 2,500 tonnes of gold. But ETF holdings have been falling even as the dollar price of gold has been rising.

The dollar has been stable and real yields (which anyway have a non-linear relationship with gold) are higher over the last three months. The bulk of seasonal buying, for instance Diwali in India, is likely behind us. Further, silver has not participated in the rise. It’s therefore a reasonable supposition the official sector, i.e. central banks, has been a significant driver of gold’s recent ascent to new highs. READ MORE

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3.8.24 - The 5 Charts The FDIC Doesn't Want You to See

Gold last traded at $2,177 an ounce. Silver at $24.32 an ounce.

EDITOR'S NOTE: Many of our clients have shared their concerns over the solvency of our banks as of late. With Chairman Powell admitting Thursday that he expects to see more banks fail due to their exposure to the commercial real estate sector, it seems those concerns are well founded. The banks have been playing fast and loose with the rules for a while now and it looks like that behavior is finally going to catch up with them. Will the taxpayers once again be footing the bill for their irresponsibility?

These Are The 5 Charts The FDIC Does Not Want You Paying Attention To -Zero Hedge

by Tyler Durden

bank chart Washington's "Problem Bank List" rose again last quarter, capping off a year when US lenders struggled to cope with higher interest rates and more overdue loans for commercial buildings and credit cards.

The FDIC's confidential tally of lenders with with financial, operational or managerial weaknesses had grown by eight banks to 52, representing 1.1% of the institutions it oversees. The total assets held by those firms increased by $12.8 billion last quarter to $66.3 billion.

Although the number of firms on the FDIC’s list remains relatively low compared with historical highs, it continues an increasing trend that started early last year.

Always-friendly Senator Liz Warren lambasted Fed Chair Jay Powell today, claiming that “greedy bank executives” were behind bank failures, and the Fed needs to do its job of regulating those institutions.

Powell responded by saying they’ve reached out to banks with high levels of uninsured deposits and high levels of office real estate debt, adding that The Fed is examining whether they are “being truthful” with themselves.

With regard to being "truthful", as we detailed previously, many of the loans on banks' books are dramatically mispriced (over-valued):

"The worry now is that such firesales will set an example for other major investors seeking a way out of the turmoil too, forcing a wholesale crash in the Manhattan real estate market which until now had managed to avoid real price discovery."

Warren responds by exclaiming that Powell has "gone weak-kneed" on bank regulation, concluding with this shot across the bow:

“the American people need a leader at the Fed who has the courage to stand up to these banks.” READ MORE AND VIEW ALL CHARTS

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