I hope you and your family are well and are staying safe, please accept my apologies for getting this newsletter out to you a day late.
For those who are unaware, the Free Bullion Investment Guide donates at least half of its monthly earnings to the Angel of Healing Cancer Fund.
Once the fund collects more than $100, it donates that money to an
individual who is battling a type of cancer that coincides with the same
month's Cancer Awareness Ribbon.
In April 2022, the Free Bullion Investment Guide earned a total of $38.29 of which $19.15 will be donated to the Angel of Healing Cancer Fund.
April Earnings & Donation to The Angel of Healing Cancer Fund
# of Orders Income Source Earnings Donation
1x SilverGoldBull ...$6.29 ...$3.15
2x Money Metals Exchange ...$32.00 ...$16.00
Total Gross:...$38.29 Donation ...$19.15
The April Donation will be reflected on the guide's Ledger Spreadsheet on the 15th of the this month (May)
I'm not going to waste your time on a lot of bloviating, instead, I'll
give you the facts that run through my mind every time I hear the
Federal Reserve is going to fight inflation by raising rates, and in
doing so I will first talk a little about history.
Fact: Inflation is too many dollars chasing too few goods, and the best
way for any Central Bank to fight inflation is to raise interest rates
to draw-in excess money from the economy.
Fact: The Federal Reserve (the United States Central Bank) cannot beat
inflation unless they raise the interest Higher than the rate of
inflation, as Paul Volcker did in the early 1980s, when he raise rates over 20%.
Fact: In 1981 when Paul Volcker raised rates to over 18%, the United States Debt was about $1 Trillion Dollars (source), while Revenue for the United States was around $599 Billion, (source).
When Volcker raised the Federal Funds Rate to over 20% in 1981, it added
a $180 Billion Dollar Expenditure to the U.S. Budget, certainly, it is
not something that could be sustained but with the Debt-to-GDP ratio
only being 31% at the time it was doable. Furthermore, Volcker did not
keep the rate up at that rate for a full year (source - click "Max" to see full interest rate chart).
On Wednesday of this week (5/4/22), Jerome Powell, the Fed Chair raised
the federal funds rate by 50 basis points, making it now 1%.
Fact: 2022 United States Debt currently is a little over $30 Trillion
Dollars, and the Revenue for the United States currently is around $4
Trillion (source).
Fact: 1% of $30Trillion = $300 Billion,
Fact: Current Government spending for FY 2021 budget is $4.829 trillion (source).
Fact: 2022 United States inflation rate is over 8% (source).
Fact: To beat Inflation Jerome Powell will have to raise the Federal Funds rate to around 10% to fight inflation.
Fact: 10% of $30Trillion = $3 Trillion
Question: How Can interest rates go to 10% or higher when the Debt to GDP ratio is 137.2% (source)
Answer: They Can't without bankrupting the country.
P.S. - The Policies of the Biden Administration are causing inflation,
the best way to fight inflation outside of raising rates is to make
energy more affordable, or in other words remove the regulations on our
Fossil Fuel energy sources.
Fact: the only way we can overcome inflation and reduce our Debt to
GDP ratio is if we Gut the Federal Government by at least 50% and, at
the same time, raise rates. Is this possible, yes, anything is possible,
but will we ever have the 'will' to do it?
Until that time, I recommend Covering Your A** with tangible assets, including some precious metals.
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In times like these...the best thing you can do is get your heart
and soul right with Jesus Christ because this life will not last
forever, however eternity does and when this life ends for you, will you
have eternal life or eternal death? I hope you have eternal life, but that decision is yours to make, not mine.
Jesus answered, "I am the way and the truth and the life. No one comes to the Father [God] except through me. John 14:6
Take Care & God Bless,
Steven Warrenfeltz
www.free-bullion-investment-guide.com
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