Elon Musk’s Coming Gold Shock

Addison Wiggin / February 5, 2025

The maverick financial fraternity that predicted the Internet boom, the Great Recession, and the incredible rise of Bitcoin has a bold, new prediction…

Elon Musk’s Coming Gold Shock
The maverick financial fraternity that predicted the Internet boom, the Great Recession, and the incredible rise of Bitcoin has a bold, new prediction…
Donald J. Trump is declaring next Wednesday, April 2, “Liberation Day” — the day reciprocal tariffs go into effect against America’s trade partners, starting with Canadian auto parts. And the clock’s ticking. The real timer? July 4, 2026. That’s when the DOGE mandate — Trump’s emergency executive power coalition — expires. It’s a race against time. 

money ought to be a moral anchor. A measure of value, not a hallucination conjured by central bankers on caffeine. But sound money hasn’t had a seat at the grown-ups’ table since Tricky Dick took the dollar off gold in ’71 and let it wander off like a dog without a leash. You accuse Trump & Co. of tearing down the house. Maybe so. But let’s not forget: the rot was already in the beams when they moved in.

The U.S. government runs a massive spending gap. That gap has been widening. And until it gets closed, or close to it, we’ll continue to run up the national credit card at an unsustainable rate. This year alone, the government's deficit will amount to $1.6 to $1.9 trillion, per the Congressional Budget Office. The data behind this gap comes from two points.

BREAKING NEWS

“Flooding The Zone” and More Strategery
“Flooding The Zone” and More Strategery

John Robb / March 18, 2025

Networked warfare didn’t begin in Trump’s America; it emerged earlier, far from Washington, in the chaos of the Iraq War. During the early 2000s, traditional military analyses failed against an insurgency that defied conventional explanation. Over seventy distinct Iraqi insurgent groups—driven by diverse motives such as religious zeal, tribal loyalty, or economic despair—operated together with astonishing adaptability. Though fragmented, they became a networked insurgency unified around a single goal: expelling American forces.

Real Money Tells the Tale
Real Money Tells the Tale

Bill Bonner / March 17, 2025

If the price of gold stays around $3,000, it would mean the Dow would have to fall to 15,000…another two-thirds drop. Or if gold were to go to $5,000, we’d be looking at Dow 25,000 to reach our trigger point.

Whatever. We’ll wait. And when (and if) we get a Dow priced at 5 ounces…we’ll sell gold and buy every quality stock we can find.

Do we get rich this way? It depends. More importantly, we don’t expect to get poor.

The Trump Master Playbook
The Trump Master Playbook

Addison Wiggin / March 14, 2025

Enter the Trump Master Playbook — a scenario where interest rates fall enough to dodge a recession (with or without the Fed), and the economy roars back from slowing growth fueled by massive government cuts.

Late 2025 kicks off like a scripted comeback, and the 2026 midterms keep the MAGA coalition in power.

Under this playbook, markets wobble early, spooked by tariffs and policy shifts, but the bond market forces Powell’s hand, slashing rates. By year’s end, cheap money fuels a new bull run. By 2026, the economy hits full stride — booming housing, surging small caps, and a stock market on a sugar high.

The Forced March of White Collar DOGE Refugees

Addison Wiggin / March 13, 2025

Forget steel and aluminum tariffs — the next market crash will be because some guy on Twitter claims Canada is threatening to cut off maple syrup exports… or electricity, one of the two.

Musk, DOGE and tariff skirmishes have markets reacting like a cat on bath salts.

So, with all the fury and bluster, what’s an individual investor supposed to do?


Sunburns and Swashbuckling: Exploring the Bahamas As Markets Sort Out the Latest Chaos

Addison Wiggin / March 12, 2025

We’re here in Nassau this morning, watching the major U.S. stock indices tick lower, even after we’ve seen considerable signs of declining inflation over the past 24 hours.

The headline CPI data cooled, and a site called Truflation, which looks at 80,000 prices in real-time, suggests that inflation in the U.S. is actually at 1.35%, far under the Fed’s 2% target rate.

The Dow, S&P 500 and Nasdaq all opened higher, but have been bleeding out their gains. Funds and institutions continue to deleverage at the fastest pace since the 2020 Covid crash.


The Market’s Worst-Case Scenario: A Lost Decade

Andrew Packer / March 11, 2025

If the AI revolution plays out like the internet, we could see AI technology continue to develop, but for high-flying AI startups to collapse like dotcom stocks.

That’s not to say investors should get out now. By some measures looking at AI development versus the internet, 2025 may be another big year for tech stocks, much like stock returns in 1998 and 1999.

If anything, today’s high market valuation reflects a high level of overconfidence in stocks, as seen by how quickly sentiment has changed in recent weeks as companies like Tesla Motors have slipped 50% from their recent highs.

Animal Spirits and 7 Stocks to Buy Now
Animal Spirits and 7 Stocks to Buy Now

Addison Wiggin / March 10, 2025

Altogether, the largest banks on Wall Street appear to be taking Donald Trump’s promise of “a little wrinkle” caused by DOGE “chaos” and cliche tariff uncertainty seriously.

JPMorgan Chase’s forecast is the most philosophical. The nation’s largest bank is citing “animal spirits,” the phrase John Maynard Keynes coined to allow economists freedom from admitting they have no idea what’s going to happen next.

Markets Price in a DOGE-Induced Recession
Markets Price in a DOGE-Induced Recession

Andrew Packer / March 7, 2025

Right now, the headline numbers are scary.

Of course, tariffs were the big headlines all week, but the end result was more of an on-again/off-again news cycle that really only drove uncertainty. One estimate for the impact of tariffs came to 0.2% of GDP. Hardly worth the panic that tariff headlines bring.

In the meantime, where does this leave markets? Well, if we go to the S&P 500, our preferred tracking measure for the economy as a whole, we have pulled back to the 200-day moving average. We’re now slightly below where we started the year.

The Plot To Seize Russia, Redux
The Plot To Seize Russia, Redux

Addison Wiggin / March 6, 2025

We also happen to agree with a point of contention that Russian President Vladimir Putin has made repeatedly.

Way before it became a social media meme, we discussed NATO’s outlandish goals and ambitions after the fall of the Soviet Union.

In one interview we did on our podcast, The Wiggin Sessions, our friend and military historian, Byron King, outlined the gross mission creep of the bureaucracy NATO became following the collapse of the Soviet Union.

Trump Eats World
Trump Eats World

Addison Wiggin / March 5, 2025

It’s no surprise that Trump sees himself as the ultimate hero. And the narrative he outlined in his “Technically Not the State of the Union” speech last night perfectly follows a three-act structure.

Only history will reveal the actual plot, whether it’s a Greek tragedy ending in torture and death… or a comedy with some happy couple getting married in an unforeseen sunlit, leafy venue.

In Trump’s first act, he became, in his mind, America’s savior in 2016. In the second act, the 2020 election was shamefully taken from him, leading to a setback. Now, he’s in the third act, the triumphant return.

That three-act “hero’s journey” narrative is one of the most powerful story frameworks that resonates with humans. It’s a structure that makes stories like Lord of the Rings and Star Wars epic and compelling.

From the creators of The Daily Reckoning, I.O.U.S.A, Empire of Debt and The Daily Missive

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