Powell\u2019s not cutting in July, says Peter Grandich, founder of Peter Grandich & Company, ahead of today\u2019s much-anticipated FOMC meeting. In his conversation with Daniela Cambone, Grandich warns of a potential loss of confidence in U.S. government debt, predicting: \u201cI think that\u2019ll be the big thing come July of next year\u2014that the gold market will be used to help fund some of our deficit spending.\u201d He also cautions that while the Fed may lower short-term interest rates with potential cuts this year, long-term rates could rise, putting pressure on mortgages and auto loans.
\nCould Politics Trigger the Next Gold Surge?<\/p>\n
Will the Fed cut rates to appease Trump? It’s more than political theater\u2014it’s a potential economic earthquake. As Trump pressures Powell to slash rates and abandon the strong dollar, the consequences for your retirement savings, purchasing power, and financial freedom could be severe.<\/p>\n
The phrase “Fed rate cuts” may seem like financial jargon, but if you’re on a fixed income or nearing retirement, the impact is deeply personal.<\/p>\n
<\/p>\n
Jerome Powell may not be a fan of Trump, but the political winds are blowing hard.<\/p>\n
“A lesser man might have left by now,” said Peter Grandich. “Powell staying shows he intends to finish his term, but that doesn\u2019t mean cuts aren\u2019t coming.”<\/p><\/blockquote>\n
If rate cuts are coming, they may be more about optics and power<\/strong> than economics.<\/p>\n
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\n<\/div>\nAmerica\u2019s Two Economies: Who Gets Left Behind?<\/h2>\n
Wall Street cheers lower rates. But what about Main Street?<\/p>\n
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- Top 10% of Americans own 86% of all assets<\/strong> and benefit most from asset inflation<\/li>\n
- Meanwhile, the bottom 50% are crushed by rising costs and stagnant wages<\/li>\n
- Delinquencies on car loans are spiking<\/strong><\/li>\n
- A 2\u20133% drop in interest rates could be the difference between keeping the lights on or not<\/strong> for many Americans<\/li>\n<\/ul>\n
This dual economy is unsustainable. And the Fed knows it.<\/p>\n
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\n<\/div>\nDollar Decline: The Silent Crisis Gaining Speed<\/h2>\n
Trump isn\u2019t alone in wanting a weaker dollar. The global shift away from dollar dominance<\/strong> is accelerating:<\/p>\n
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- First six months of 2024 marked one of the worst dollar performances since Nixon<\/strong><\/li>\n
- BRICS are expanding<\/strong> and pushing for trade outside the U.S. dollar<\/strong>, including via the Shanghai Gold Exchange<\/li>\n
- Major foreign holders of U.S. debt are pulling back<\/strong><\/li>\n<\/ul>\n
“Anybody that thinks the dollar has a lot of upside is making a poor mistake,” Grandich warns.<\/p><\/blockquote>\n
A weaker dollar<\/strong> makes your cash savings worth less. But it does something else too: it lights a fire under gold<\/strong>.<\/p>\n
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\n<\/div>\nThe Debt Bomb Is Primed to Blow<\/h2>\n
U.S. debt is racing toward the edge of a cliff:<\/p>\n
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- National debt: $37 trillion<\/strong> and climbing<\/li>\n
- CBO projects $50 trillion by 2032<\/strong>, not accounting for recession or crisis<\/li>\n
- Even a “modest” 5% interest rate = $2.5 trillion<\/strong> in annual interest payments<\/li>\n
- Nearly $28 trillion in debt must be refinanced in the next 3 years<\/strong><\/li>\n<\/ul>\n
“We’re approaching the point where we can’t even pay the interest<\/strong>, let alone the principal,” says Grandich.<\/p><\/blockquote>\n
If trust in U.S. bonds erodes, expect one thing: gold-backed solutions<\/strong> to re-enter the financial playbook.<\/p>\n
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\n<\/div>\nWhy Gold and Silver Are the Lifeboats in This Storm<\/h2>\n
Wall Street may treat gold like kryptonite, but insiders are turning bullish:<\/p>\n
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- Forecasts of $4,000 gold<\/strong> are no longer fringe<\/li>\n
- Trump may back U.S. Treasuries with gold to restore credibility<\/li>\n
- Asian central banks are aggressively buying gold<\/strong>, while Americans drown in consumer debt<\/li>\n<\/ul>\n
Gold and silver aren’t just shiny metals. They’re tangible assets<\/strong> with centuries of credibility.<\/p>\n
They serve as:<\/p>\n
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- A wealth preservation<\/strong> tool<\/li>\n
- A hedge against inflation and dollar devaluation<\/strong><\/li>\n
- A reliable alternative to a volatile bond market<\/strong><\/li>\n<\/ul>\n
When everything else is paper promises, gold is financial gravity<\/strong>.<\/p>\n
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\n<\/div>\nConclusion: The Political Theater Masks a Financial Collapse<\/h2>\n
Fed rate cuts may happen\u2014but not because they make economic sense. The deeper issue is the unraveling of dollar dominance<\/strong>, soaring debt, and a financial elite detached from Main Street reality.<\/p>\n
If the Fed caves, gold rises. If the dollar weakens, gold rises. If trust in Treasuries crumbles, gold rises.<\/p>\n
Are you ready?<\/p>\n
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\n<\/div>\nAbout ITM Trading<\/strong>
\nITM Trading has over 28 years of experience helping clients safeguard their wealth through personalized strategies built on physical gold and silver. Our team of experts delivers research-backed guidance tailored to today\u2019s economic threats.<\/p>\n