A funny thing happened to me on Sunday morning, I woke up from a DREAM that left me searching for answers. In my DREAM, I had just quoted a client a price for some currency they wanted to sell. The client was happy with it and the following day, they showed up in the office. Someone else quoted another price and in turn, I ended up taking a huge loss. 

On Monday morning, a similar situation occurred when I quoted a client a price early in the morning and as I waited for a cover price, the market imploded and my profit turned into a loss. It is like I had a premonition in advance of this occurrence. 

Fast forward to today and volatility in stock portfolios continue to be extreme. The world is blaming Trump and his tariff policies as the catalyst for this moment’s reality. Many of his adversaries, mainly on the left, continue to scream as if his policies are destructive by bringing on an unnecessary implosion in stock values. Meanwhile, Billionaires including Elon Musk have reportedly lost <$130B> in market value within his portfolio. 

As the sky is seemingly falling, what is the end game? Click below to gather some insight into an approach being taken and why.  You may agree or disagree but become enlightened: 

https://www.facebook.com/share/r/1HMRGzhMdk/?mibextid=wwXIfr

Remember, these recent rounds of tariffs are reciprocal, meaning if you lower the barriers on our exports, we will reduce or eliminate the tariffs on your imports. 

The Americans are now negotiating from a leveraged position. They are the largest consumer market in the world whereby everyone wants to sell their goods. Yet the reciprocity isn’t extended from the Americans’ point of view. 

Countries have been invited to negotiate. Those that have, they have been placed within the inner circle and are given preferential treatment. The Europeans, Israel, Argentinians, Vietnamese, and a slew of other nations have capitulated.  

On the other hand, those that have chosen to counter with retaliatory policies, will not be within the inner circle and could face even greater consequences for their businesses and the fortunes of their working communities. 

Recently, I spoke to a Canadian business owner who explained, that Canadian businesses try as hard as possible to sell everything they possibly can into the American market. Today, there is a 40% advantage, focusing on the cash cow rather than the local market. It’s just a logical advantage that allows the amplification of profit margins. He went further to say it’s like, Phil, I will buy you a drink and then you buy me 10, does that make sense? 

Consequently, the real crux of this tariff war is with China. They have benefited the most by absorbing the manufacturing base and are responsible for the decay of the middle class within economies in Industrialized nations. As a result, the Chinese have taken the excess proceeds from Trade Surpluses, becoming the major investors of government T-Bills. These are interest-bearing instruments issued by the government to support their ability to operate. 

The Chinese could effectively destroy the American economy if they were to stop purchasing these instruments that are actually used to fund the government and their $37 Trillion deficit. 

I am just speculating, but could this approach be a strategy used to rid the Americans of having another country have total control over their own sovereignty?  Coupled with the endless printing of money by the Central Bankers, it simply turns the working class into a debt-slave society for the benefit of a handful of elites. 

The Chinese economy is teetering because of these tariffs. Action is now required to liquidate their holdings. As a result, the Fed might also be forced to lower rates making the interest payments owed, lower overall. This is a twisted game that the average layman would never understand, heck I am also dumbfounded. 

Keep in mind, that 87% of the stock market is owned by a handful of corporations, like Blackrock, and a handful of others, entitled and in control. The rest of us are just specs on a wall, ready to get splattered at their beck and call.  

Ultimately, it will be a factor of time alone that will decide if the path taken has been successful or a complete failure. But as the Italian race car driver would say, “Solo Avanti!”. There is no looking back at this point. 

As the market turmoil continued, the USD dipped below the 102.0 level. Precious Metals, approaches the USD$3100/oz level after recently correcting below USD$2900/oz level from a new record high. On the other hand, Silver recaptures a level above the USD$30/oz level but is rising at a snail’s pace. Meanwhile, the price of Oil continues to implode as it dropped below the USD$55/B level and now sits in the USD$56/B range.  Boy, if I only listened to myself, when suggesting to short Oil above the $80/B mark. Americans now have the lowest gas prices in 7 years, to help offset inflation from tariffs.

The Canadian dollar continues to be a factor of USD strength or weakness. It presently stands in the 0.70 cent range. If Canadians do not select a competent leader, who puts the country and its’ people first, Canada will be in BIG TROUBLE! Keep in mind, the current PM, placed in his role has not even mentioned the 100% TARIFFS CHINA HAS IMPOSED ON CANADIAN AGRICULTURAL PRODUCTS! I wonder why?

Click here to provide a reality check explained brilliantly: 

https://www.instagram.com/reel/DIL8-zjg3nm/?igsh=MWxzZnVkdmN5Y3l5Zw==

Lastly, Bitcoin continues to come under pressure it dipped to USD$74k/coin and now pops up to the USD$77k/coin level.