Gold Valuations and The Democrat Party in the 2020 U.S Election – January 20, 2020

With the exception of Peter Schiff, most Gold Bugs aren’t factoring the possibility that Donald Trump will lose the 2020 election. During the Obama era, Libertarians many of whom are now Trump Supporters came together as if Barry Goldwater was resurrected from the grave. Under Obama, all of sudden Ron Paul began making a whole lot of sense, men and women who were openly pro-war in the middle east all of sudden embraced smaller government peace promoted only in the manner Ron Paul trumpeted for years when it wasn’t popular, organically the tea party movement was born.

Those were the fun times and Donald Trump being the smart businessman marketer that he was, paid close attention to the Tea Party movement and used his prominent position in both media and television and gave the Tea Party Movement a voice. Understanding that there was a chance he would run for President Donald Trump made sure not to leave any voter feeling left in the dark. Barack Obama was such a great politician for his generation that the only way to stop Obama from pushing through his socialist agenda was for the Republican House to stall.

People forget why the market started to stabilise and go up under Obama, it was the Republican-led Congress, the House had a Republican majority and they did everything in their power to make sure that Obama made concessions to the expansion of the Government. Sure some of their tactics were dirty, but they were necessary and ultimately the Obama administration was the beneficiary of the Government shutdowns, as the market saw it as the Government being restrained from full-blown Socialism in the future. I think people forget why Hilary Clinton was seen as the nail in the coffin for the U.S economy.

With that said the opposite to a Ron Paul Libertarian is a Bernie Sanders Democratic Socialist because Obama wasn’t able to implement his socialist agenda, Bernie Sanders was able to emerge from the ashes, why can’t America give Socialism a chance, people began chanting? It’s important to remember that the socialist seed was planted under Obama. It would have been maintained under a Hilary Clinton Presidency and the plan was to eventually have socialism or I could argue a new world order could have been implemented after 8 years of Hilary Clinton as President.

The socialist seeds planted by Obama may very well flourish under Bernie Sanders or Elizabeth Warren, by flourishing, it doesn’t necessarily mean that Bernie Sanders or Elizabeth Warren can win the 2020 election, it’s just that the thought that in 2024 that a socialist could win will shake the markets at their cores, so this could very well equate to a slow creep up in price for Gold, Silver, and other precious commodities in the long term.

More and more Californians and other Americans from Democrat hell hole States are relocating and populating the Republican States, while at the same time newly arrived legal and illegal immigrants are making the Democrat sanctuary States their homes. Hilary Clinton won the popular vote, and a lot of the morons in California who voted for Hilary Clinton have now moved to Texas and Florida and the other Republic States. Now, possibly this election might be sparred for the Republicans, but let’s call it for what it is, Trump is a hard act to follow and whether it’s 2020 or 2024, if Free market capitalism isn’t embraced by the vast number of Americans, the U.S economy is in serious trouble.

Now, that I’ve gotten to the bottom of Peter Schiffs argument which revolves around crashing the U.S economy sooner than later to avoid the belief by socialists that socialism will fix everything, under Trump the ‘can is being kicked further down the road’.

The public school brainwashed youth who can vote at 18 would like nothing more than to vote away their debts and responsibilities, will be in for a surprise when credit markets tighten under Bernie Sanders, Elizabeth Warren or any of the other Democrat hopefuls who want to grow the size of the public sector while overly regulating the Private sector, making matters worst is Donald Trumps Business approach to diplomatic relations, the moment other world leaders realize that the economic idiots are back in the white house they’ll undermine U.S regulations, undermine U.S laws, undermine U.S sanctions and undermine the U.S markets, this of course also equates to an economic downturn which is good news for Gold, but bad news for the economically poor.

U.S Politics have been priced into the markets, however, most traders aren’t going to know how to interpret the data. Because, in the event, a Democrat comes into the office and wants to reverse most of what Donald Trump did, well similar to the Obama Administration there will be economic consequences, the problem with a Bernie Sanders or an Elizabeth Warren Presidency is they would have made a lot of promises to voters to change the system in which they’ll have to back off of, if they don’t want the markets to crash.

I don’t see Bernie Sanders backing down from his Socialist agenda, Elizabeth Warren is a liar, but if she wins and is proven to be a liar, she could easily go down as the worst U.S President ever, because the people who vote for Elizabeth Warren will do so with the expectation that she will change things if she’s proven to be a fake, which we all know she is, and she’s viewed upon as weak, which I imagine she will be, well long-term this could be god for America but in the short-term, it will feel like Jimmy Carter all over again.

Remember, most American retirements are reliant on stock market performance and the problem with Democrat politics is their growing of the size of Government. Democrats tend to spend more taxpayer money on social-economic experiments, yes Republicans spend and grow the size of government too, but it’s typically in a manner that benefits the markets, yes, unfortunately, war machines, stimulate economic growth. Democrats, spend money to hopefully buy future votes and this obviously will be priced into the markets. A Democrat President could be a vacation period for the markets and this bodes well for safe havens like Gold.

Socialism or a socialist president also could equate to a very bad thing for the U.S dollar. Even Donald Trumps’ threats can’t push down the U.S Dollar, a Bernie Sanders Presidency, that will be a sign of misery ahead. Bernie looks like disheveled like a typical Communist, he’s exciting to imagine to young people who imagine stuff that will benefit them, but once Bernie is President, he’s only as cool as the results he can produce and eventually, his ignorance about economics will be put on full display for all of America to see.

Obama was more problematic because he did understand the Free market, Bernie Sanders, on the other hand, he wasn’t even a community organizer, Bernie Sanders was a career politician, he has no reference of working in the Private Sector for an extended period of time. Elizabeth Warren a former Republican also is quite the ignoramus to the functions of the Private Sector, plus she comes across as pleaser, which isn’t a good leadership quality.

So in the event of Democrat win in the U.S elections, expect an immediate downturn in the economy, furthermore, if it appears that Donald Trump might lose this election, expect a downturn in the U.S economy, sooner than later which means good times for Gold.

Interesting times ahead!