The Fed’s No-Win Decision in 2021

The Fed will be facing a decision that spells disaster either way they go… January 12, 2021 UNSUBSCRIBE | ARCHIVES The Fed's No-Win Decision in 2021 Urgent update for any investor in the markets… Every time a Wall Street algorithm makes a mistake, you have the opportunity to profit. (Hint: It happens more often than you think.) This is your chance to level the playing field… No matter what the overall market is doing. I've created a powerful trading system to help you get there. Click here for all the details. Dear Money & Crisis Reader, As I keep asserting, inflation is already in the financial system. And it is going to cause a crisis. The U.S. has $27 trillion in debt. And that is before the next round of stimulus and other social spending occurs. All this debt requires the yields on U.S. bonds stay at historical lows. You see, bond yields represent the rate of interest the U.S. pays on its debt. If bond yields rise, then it means that the U.S. will be forced to pay a higher rate of interest on its debt mountain. With $27 trillion in debt outstanding (and growing all the time), even a small uptick in bond yields can be a MAJOR problem. Consider what happened in 2018… Copy of Official Approval Enclosed (tech) In July 2020, the U.S. Government finally approved a tech project that has the potential to disrupt a $2 trillion industry. Ever since the Official Approval was signed... one financial analyst has been gathering critical data on the project. And based on all the information, he's making his boldest prediction yet. What you'll see when you click here is every shred of evidence that convinced us of what lies ahead. Industries being disrupted, companies going bankrupt.... New opportunities that could turn small nest eggs into massive fortunes... We've even enclosed a copy of the official approval that kick-started this massive project. Click here now to see it while you can. At that time, the yield on the all-important 10-year U.S. Treasury Note broke out of its 30-plus year downward channel. This forced Federal Reserve Chairman Jerome Powell to start aggressively normalizing Fed policy. Under his watch, the Fed began raising interest rates three to four times a year, while also shrinking the Fed’s balance sheet by hundreds of billions of dollars. As a result, Treasury yields plunged back within their downward channel… …But the stock market also collapsed, with the S&P 500 losing over 20% in six weeks, culminating in a mini-crash in which stocks went STRAIGHT DOWN erasing two years’ worth of gains in a matter of days. Bear in mind, the U.S. only had $21 trillion in debt at the time. We’ve added more than $5 trillion since then. Is It 2018 All Over Again? Put simply, the U.S. debt mountain is even more sensitive to interest rates today than it was in 2018. Which is why everyone should be paying attention to what’s happening in Treasury yields today. As you can see, the yield on the 10-year U.S. Treasury has begun rising aggressively again. It’s more than DOUBLED since August 2020 alone. This is going to force the Fed into an impossible situation later this year (2021). They will be forced to either: Allow bond yields to rise, which will blow up the debt markets, triggering a horrifying crash worse than 2008. Or… Let the U.S. dollar collapse. I’ll detail what they’ll do in tomorrow’s article. Until then… Best Regards, Graham Summers Editor, Money & Crisis Have you heard George Gilder's latest extraordinary prediction yet? He was dubbed the “Tech Prophet” by Forbes… once won the White House Award for Entrepreneurial Excellence… and his work is respected by tech insiders like Bill Gates and former Google CEO Eric Schmidt… And recently, Gilder went on camera to explain how a new tech revolution is about to hit America… one that could unleash up to $15.1 trillion in new wealth. According to Gilder, if you don’t understand this new tech you could miss out on one of the greatest moneymaking opportunities for thirty five years. Get more details here. To end your Money & Crisis e-mail subscription and associated external offers sent from Money & Crisis, feel free to click here. If you are having trouble receiving your Money & Crisis subscription, you can ensure its arrival in your mailbox by whitelisting Money & Crisis. Money & Crisis is committed to protecting and respecting your privacy. Please read our Privacy Statement. For any further comments or concerns please email us at MoneyAndCrisis@threefounderspublishing.com. Three Founders Publishing, LLC. 808 Saint Paul Street, Baltimore MD 21202. Nothing in this e-mail should be considered personalized financial advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. 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