Watching market developments and listening to the Fed is kind of like the old game of “she loves me she loves me not.” The highly anticipated non-farm payrolls data for August was released this morning and we would argue that the Fed is probably no closer to a decision on rates than they were yesterday or the day before or the day before that…
According to the U.S. Department of Labor, the U.S. added just 173,000 jobs in August. Consensus estimates were looking for 220,000 jobs added. The unemployment rate dipped to 5.1 percent.
While this number was certainly a “miss,” the department did make some upward revisions on previous months. Perhaps that is why stocks did not fall even further in today’s session.
The 200,000 mark may be a potential line in the sand for the Fed. While some analysts have said that today’s data may fall more into the hawkish camp, one has to wonder if the Fed really wants to start hiking with employment still not where it needs to be.
Any decision by the Fed will likely be made last-minute and could potentially shock markets or be a “non-event.”
In our view, as far as gold and precious metals go, it doesn’t make any difference…
While recent stock market volatility and weakness coming out of China may also sway the Fed’s decision on rates, we are of the opinion that gold could potentially stage a significant rally once the first rate hike is implemented.
After all of the talk about a rate hike in recent months, the Fed may act simply to preserve its credibility-not out of necessity.
Investors hate uncertainty. In fact, they LOATHE uncertainty…
The initial 35 basis point hike will remove that uncertainty.
It will also put an end to the current era of “free money.”
Stock investors may not be too happy…
In fact, rate hikes often precede bear markets in equities…
Investors have enjoyed several years of cheap money and higher stock prices. That could all be coming to an end-and soon.
The question you need to be asking yourself is simple:
Do I want to take some money off the table and diversify now while stocks are still close to all-time-highs or do I want to wait until stocks fall significantly?
If you have watched recent market action in global equities, you already know what stock markets are capable of…
Don’t fall victim to the “herd mentality” while continuing to chase the stock market higher.
The time to look at alternatives is NOW. Alternatives that may potentially hold their value or increase in value if stocks falter.
Fortunately, you have some great choices at your disposal.
Hard assets like physical gold and silver have been trusted for thousands of years to potentially protect wealth, retain purchasing power and offer a degree of protection from both economic and geopolitical uncertainty.
These assets may prove to be an extremely valuable tool for portfolio diversification purposes as they show little correlation to stocks or bonds.
The time to consider these assets is now…
The clock is ticking. Do not wait until stocks fall further. Explore your options today.
We are here to help…
If you are interested in adding wealth protecting assets to your portfolio-assets that may protect you from the coming equity collapse and bear market-then consider gold and precious metals while they are on sale.
One of the simplest ways to gain exposure to these critical precious metals is through a precious metals IRA. Getting started with a gold IRA is easy. Our experienced executives are here to guide you, step by step, through the entire process. Call us today at 1-800-341-8584 FREE