{"id":723,"date":"2024-02-07T13:04:03","date_gmt":"2024-02-07T13:04:03","guid":{"rendered":"https:\/\/businesstriumphs.com\/index.php\/2024\/02\/07\/matthew-piepenburg-end-game-is-inflationary-gold-will-get-the-last-laugh\/"},"modified":"2024-02-07T13:04:03","modified_gmt":"2024-02-07T13:04:03","slug":"matthew-piepenburg-end-game-is-inflationary-gold-will-get-the-last-laugh","status":"publish","type":"post","link":"https:\/\/businesstriumphs.com\/index.php\/2024\/02\/07\/matthew-piepenburg-end-game-is-inflationary-gold-will-get-the-last-laugh\/","title":{"rendered":"Matthew Piepenburg: End Game is Inflationary, Gold Will Get the Last Laugh"},"content":{"rendered":"<p><strong>Matthew Piepenburg, partner at Von Greyerz, shared his expectations for the US Federal Reserve, interest rates and inflation in 2024, also explaining how he sees gold performing against a tumultuous economic backdrop. <\/strong><\/p>\n<p>Although the Fed hasn\u2019t cut rates yet, Piepenburg said it\u2019s clear the central bank will throw in the towel before reaching its 2 percent inflation target. In his view, that\u2019s because the US government can\u2019t afford higher-for-longer rates.<\/p>\n<p>\u2018Cuts are probably coming. That will be good for gold, that will certainly be good for the S&amp;P 500 (INDEXSP:.INX) \u2014 that will be good to stave off in the short term a recession,\u2019 he said. However, the US dollar will weaken.  <\/p>\n<p>\u2018Every broke country, every broke regime has to weaken its currency to save its system, and in this case the system is the bond market,\u2019 Piepenburg explained. \u2018The bond market will be \u2018saved\u2019 (and) the S&amp;P will be saved at the expense of the inherent purchasing power of the US dollar. And that will be the same across other countries as well.\u2019 <\/p>\n<p>He went on to note that raising rates quickly like the Fed has done is of course disinflationary. However, looking longer term he sees inflation rearing its head once the Fed is forced to monetize US debt with \u2018money from nowhere.\u2019 <\/p>\n<p>\u2018The end game is inflationary. The pause right now is disinflationary because we just raised rates by 5.75 percent \u2014 of course it\u2019s disinflationary. It knee-capped the middle class, it knee-capped the bond market, it knee-capped the S&amp;P in 2022, it knee-capped just about everything but the US dollar,\u2019 Piepenburg emphasized. <\/p>\n<p>\u2018But again \u2014 this is my thesis, if I\u2019m wrong, I\u2019m wrong \u2026 the end game, which no one can determine the date or the month or the quarter, is destruction or debasement of the currency to save the system. And they will blame that destruction of the currency on global warming, on Putin, on Martians, on COVID \u2014 whatever they want,\u2019 he said. \u2018But the real cause, as I\u2019ve said over and over, is the politicians and central bankers who try to extend and pretend every bubble by creating a new bubble by manipulating interest rates and money supply.\u2019 <\/p>\n<p><strong>Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.<\/strong><\/p>\n<\/p>\n<div>This post appeared first on investingnews.com<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Matthew Piepenburg, partner at Von Greyerz, shared his expectations for the US Federal Reserve, interest rates and inflation in 2024, also explaining how he sees gold performing against a tumultuous economic backdrop. Although the Fed hasn\u2019t cut rates yet, Piepenburg said it\u2019s clear the central bank will throw in the towel before reaching its 2 [&hellip;]<\/p>\n","protected":false},"author":0,"featured_media":724,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-723","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-investing"],"_links":{"self":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/723","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/comments?post=723"}],"version-history":[{"count":0,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/posts\/723\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media\/724"}],"wp:attachment":[{"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/media?parent=723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/categories?post=723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstriumphs.com\/index.php\/wp-json\/wp\/v2\/tags?post=723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}