By Tom Beck
In the past 25 years alone, 4.2M manufacturing jobs have been lost in the U.S. due to the forces of unrestrained and unchecked globalism. A trade deficit of $15T has emerged in its place. 60,000 factories have closed. Clearly, it was only a matter of time before somebody drew a line in the sand and requested that we address this migration of wealth from west to east, as a global emergency.
The frustration of American workers, in the face of the most unevenly distributed economic recovery in the history of the U.S. (2011-2016) was enough to justify people’s bet on a non-establishment nominee â€“ with no political experience whatsoever â€“ who was running against one of America’s political elites, the Clintons.Â
It’s been 2 years since that shocker and Trump hasn’t wasted a second, tackling some of the heaviest issues out there: China’s trade imbalances, North Korea’s nuclear threat, the Mexican flood of illegal immigrants and other key topics.
In his 38-minute speech to the U.N. general assembly, he made some critical comments. His speech should put a smile on everyoneâ€™s face.Â
It was a coherent and rational one, in which he addressed issues that impact the globe, as well as what he believes is America’s role in solving them.
The bottom line was promoting that each country focus on its domestic economy, thus creating a more flourishing world, as a result. It’s a simple message, much like the one we always tell ourselves and our children: Look at Yourself First.Â
It will be interesting to see how it is received, in light of the announcement to open impeachment proceedings against Donald.
As you can see from the above chart, we have two economies â€“ a real one and another for elites.Â
In the real one, consumer confidence is high, discretionary income is up, and unemployment levels are very low. No matter how you look at the numbers, wages are on the rise, real estate demand remains robust, even though Chinese investors have pulled back and more than 1 million households have rejoined the middle class in the past 2 years.
In the financial economy, driven by globalists and elites, they’re noticing the retail investor is slowly returning to the markets and are dumping their shares onto them, even while pushing through hundreds of billions of approved share buybacks programs.
CEOs and top management personnel have sold a combined $19B of stock in their companies so far. This rate rivals the year 2000, when growth was dead and the hype was over.
CEOs, as a group, are not particularly good investors. Most of them (1) approve buyback programs without discipline, (2) are lousy with their own investments (or mediocre at best), and (3) make some of the worst mergers and buyouts.
I’m not worried in the least about CEOs panicking; it’s another sign that we’re nowhere near euphoria.
Trump, in his speech, talked about peace, about the fact that “America’s goal is HARMONY,” that wars never end and that we shouldn’t start them.
Gold is essential to keeping the peace, which is the reason that central banks are literally buying tons of it.
At the same time, the demand for U.S. dollars is remarkable, so we’re NOT in a classic bull market for gold yet. For us to really see the legendary fireworks that characterize raging rallies, gold MUST surpass its previous all-time high of $1,900.
It will happen, but it’s not likely to happen in 2019.