Gerald Celente - Trends This Week - June 28, 2016
Although stocks bounced back on â€œTurnaround Tuesdayâ€ on the belief that contagion has been contained following the rout that wiped out $3.6 trillion from equity markets following Great Britainâ€™s referendum last Thursday to â€œBrexitâ€ the European Unionâ€¦ we disagree. Itâ€™s bigger than Brexit. Despite many of the worldâ€™s largest hedge funds betting billions on a â€œRemainâ€ victory and British bookies putting the chances of â€œLeaveâ€ at barely 10 percent, in our June 15 Trend Alert, we wrote, â€œShould the â€˜Leaveâ€™ vote win, we forecast the US dollar and gold prices will spike while equity markets, particularly those currently under downward pressure, will sink deeply lower.â€ Since then, gold hit two-year highs, the British pound fell to 31-year lows and currencies around the world hit new lows against the US dollar â€“ or tested old ones â€“ as investors sought safe-haven assets such as the dollar and Japanese yen. The criticism in the â€œinvestorâ€ world has long been that gold yields no interest. However, as interest rates around the world keep trending lower and holding cash yields nothing, in a climate of ongoing market volatility, for many, holding gold is considered the ultimate safe-haven commodity.