The Global Monetary System is Coming Apart at the Seams

“Everything pretty much in terms of how we understand the global system whether it be the security architecture, the geopolitical architecture, the geoeconomic architecture or the geo financial architecture is coming apart at the seams and to some extent it’s unplanned and unforced and in other areas it’s very deliberate and being either ripped or snipped. 

“But it’s happening. We have to deal with it.”

That’s an all-encompassing conclusion that even if overstated makes a powerful case for protecting yourself with gold and silver.  Yet we don’t believe it is overstated.  We believe it is a realistic appraisal of things: “The security architecture, the geopolitical architecture, the geoeconomic architecture, the geofinancial architecture.”

That is the readout from Rabobank’s Senior Global Strategist Michael Every.  Rabobank is a major Dutch multinational banking and financial services company with a special focus on food and energy, both segments profoundly impacted by the Iran war.  Rabobank warns that our global appetite for both is outpacing resources.

In an environment of cascading challenges including the bond market strain and Japan’s fiscal reckoning, Every points to the genuine prospect of military clashes between Türkiye and Israel, and the potential for escalation of the Ukraine war to include the use of a tactical nuclear weapon.

“The U.S. is very, very clearly overstretched.  It’s still a giant compared to anyone else.  But it’s surrounded by a very large number of ever larger opponents… And collectively they can really hold it down short of really extreme measures which I wouldn’t rule out.”

Every says that if this isn’t “an environment in which people who like gold aren’t rubbing their hands together, I don’t know what is.” 

Imperial overstretch is an oft- repeated syndrome in which military empires deplete their financial resources to attempt to maintain their hegemony.   The financial resilience that made the empire possible in the first place is drained when the economic challenges they face are misunderstood to be military challenges.  A $40 trillion national debt, already unpayable and compounding quickly, eventually leads to currency destruction by means of inflation.  U.S. gold reserves are inadequate to cover U.S. Government debt at today’s prices.    Gold would have to rise to more than $153,000 an ounce for U.S. gold reserves to cover U.S. government debt.

When things are coming apart at the seams, gold provides a welcome safe haven against unconscionable government debt.    Speak with a Republic Monetary Exchange precious metals professional about a sensible plant to protect yourself and your family before the global reckoning.