Federal Reserve chair Jerome Powell recently argued that the central bank will be patient on cutting interest rates. Moody’s economist Mark Zandi argues that if interest rates are not cut soon, it could lead to more bank failures and a recession.
“Those rates are corrosive on the economy. They wear the economy down, and at some point, something could break. The risk that they’re taking here is that they undermine the economy and recession occurs.”
—Mark Zandi, chief economist for Moody’s Analytics
How possible is this scenario, and what can consumers do to protect themselves before it plays out?
Click on the video link below for exclusive insights on this topic from U.S. Money Reserve's Coy Wells.
Related headlines from around the web:
- Fox Business: “Fed’s Powell says confidence that inflation will slow is ‘not as high’ as before”
- Business Insider: “Investors and economists are getting worried about more bank failures as interest rates stay high”
- Reuters: “‘Perfect storm’ steers gold to another record high; silver jumps”
Enhance your portfolio with precious metals today.
Widespread market forces like central bank demand, geopolitical tensions, and monetary policy may continue to drive gold prices higher. Gold has also historically been used as a hedge against economic uncertainty and market turbulence. Now may be the perfect time to add wealth protection to your portfolio in the form of physical gold.
Watch U.S. Money Reserve’s “Market Insider” each week for more economic insights. Nothing herein should be considered as portfolio or retirement advice as U.S. Money Reserve (“USMR”) cannot and does not offer financial advice. Clients should consult a financial advisor for specific advice. This commentary is provided by USMR for informational purposes only and is provided on an “as is” basis without any warranty of any kind, whether express or implied. Your use of the information provided in this commentary is entirely at your own risk. In no event will USMR be held liable for any indirect, special, incidental, or consequential damages arising from the use of information contained in this commentary.
