Every Shutdown Ends the Same Way… Here's How to Profit |
I've been covering financial markets for nearly four decades. |
I've watched politicians and central bankers drag the market through wars… interest-rate shocks… and debt ceiling theatrics. |
Outside of who we vote for, there's not a whole lot we can do about that. And getting hung up on what you can't control is a recipe for emotional and monetary poverty. |
Here's why I'm telling you this… |
At 12:01 a.m. ET Wednesday, the U.S. government shut down. Expect headlines screaming panic. Choppy markets. And talking heads warning of catastrophe. |
That's because over the coming days, we could see 750,000 federal workers and contractors furloughed (perhaps even fired) while Democrats and Republicans fight over the national budget. |
Friends, I don't talk politics much in my newsletters. My mission is to find ideas that help everyday folks build and protect their wealth. And do it no matter what the economy is doing or political headlines are screaming. |
Here's what I've learned about these shutdowns: At the end of the day, the politicians make a deal… and nothing really changes. |
So whatever the outcome of the shutdown, I don't want you to be paralyzed by fear – especially a fear about something you have no control over. |
Because in investing, there will always be situations you have no control over. |
We're still in a bull market for stocks, metals, and crypto. And in a bull market, you buy into the pullbacks, you don't sell into them. So if we see some sharp downward movements, use them to buy more of the best-performing ideas. |
The key, though, is identifying where the opportunities will be. I'll show you how I did that during the last government shutdown, the longest in history. |
How We Handled the Last Shutdown |
Here's what I know about government shutdowns… |
When they inevitably end, the government has no choice but to resume spending again. And each year, Washington spends more than the year before. |
Just take a look at the last time this happened in December 2018-January 2019. That shutdown lasted 35 days, the longest in history. |
Before the shutdown, the U.S. government was spending about $4.1 trillion per year. A year later in 2019, the budget was $4.4 trillion per year. Today, it's $6.9 trillion. |
Since 2018, the national debt has skyrocketed from around $21 trillion to an insurmountable $37 trillion. |
Friends, when you create $16 trillion out of thin air, that money has to go somewhere. It doesn't sit in checking accounts earning 1% interest while inflation rises an average of 3.2% per year. |
It floods into anything that can preserve purchasing power better than rapidly devaluing currency. Things like: Stocks, bonds, real estate, collectibles. |
That's exactly what happened after the last shutdown. |
In September 2018, the S&P 500 peaked at 2,940 but dropped to as low as 2,346 in mid-December as the shutdown loomed. |
But when the government reopened in January 2019, the stock market exploded. From January 2019 through January 2020, it rocketed 31% higher. |
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To make money from that pullback, all you had to do was identify where the opportunities would be found. And that's exactly what I did. |
Shortly after the shutdown, I published a special report in April 2019 called Trump's $2.6 Trillion "Fed-Proof" Plan to Make You Rich. |
Here's what I wrote back then: |
President Donald Trump's foes have tried everything to get him tossed from the White House. Subpoenas, investigations, and even a full-blown government shutdown. It seems like the criticism – and sabotage attempts – will never end. But no matter how many enemies rally to fight Donald Trump, the outcome won't change. |
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In that report, I identified four policy areas that were slated to receive nearly $2.6 trillion in funding when the government reopened. |
They were defense, infrastructure, banks (due to Trump administration deregulation), and sports betting (which got a legal boost from the Supreme Court that year). |
Companies I recommended in that report like Boyd Gaming (BOYD), Tetra Tech (TTEK), and AECOM (ACM) have seen gains as much as 197%, 177%, and 318%, respectively, since I published that report. |
By comparison, the stock market is up 135% over the same period. |
Even bitcoin, which I continued to pound the table on during the shutdown, surged from a December 2018 low of $3,300 to $10,891 by May 2019. |
And this was during the brutal Crypto Winter. |
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That's how you use volatility to your advantage. |
Why This Time Is No Different |
The White House and Congress will eventually reach a resolution on the national budget. And the markets will calm down. |
I don't have a crystal ball. So I don't know when that will be. |
What I do know is this… |
Every shutdown ends the same way: Washington turns the money printers back on. |
When it does, that tidal wave of cash flows into stocks, crypto, metals, real estate, and any asset that can outpace inflation. |
We saw that during the COVID panic. Bitcoin crashed 63% in 32 days. I told my readers it was a buying opportunity of a lifetime. |
The government fired up the money printers, flooding the economy with $4.6 trillion in stimulus. A year later, bitcoin was above $60,000 – a nearly 12x return. |
We saw it again during the March 2023 banking crisis. In response the Federal Reserve eased banking requirements unleashing more liquidity. Initially, bitcoin slid from $25,000 to $19,500. |
While everyone was panicking, I sent out a video update urging my readers to put opportunistic capital to work. Within 22 months, bitcoin was up nearly 380%. |
Most recently, we saw this type of setup when President Trump began imposing tariffs on U.S. trade partners in April 2025. The S&P 500 dropped as much as 21%, the Nasdaq was down as much as 27%, and bitcoin dropped as much as 32%. |
Since the April lows, the S&P 500 has been up as much as 40%, Nasdaq as much as 54%, and bitcoin has been up as much as 68%. |
Friends, this just goes to show you: Great assets always come back. That's why when they go on sale, you have to buy them. |
So let Washington play its games. Let the headlines scream. Don't focus on what you can't control. Always focus on what you can control. |
Because history shows us – every shutdown is temporary. But the gains you make in their aftermath can last a lifetime. |
Let the Game Come to You! |
Big T |
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