Rate policy has become even more important since the IT sector’s transition to the subscription business model… it’s not just banking/finance any more…
I’m seeing more and more of this. We expect 10% earnings growth over time. NOT NEXT YEAR…but AFTER we spend on AI it will CERTAINLY kick in. pic.twitter.com/QFytAIMJTF
— Brian Wesbury (@wesbury) October 16, 2025
Grok:
7 comments:
So in the space of a month we have heard two conflicting narratives in two different videos. That cover all outcomes.
1. Rate cuts will be bad for gold.
"If they keep cutting rates, gold will fall to what it costs to produce. They have it all backwards. As zombie trader shows. They started selling gold when the FED started hiking rates as they had it backwards. This time around they are buying gold on the projected rate cuts, combined this time around with FOMO which is stretching the wrong move even more."
" Mark my words we will come back to this video. "
2. Gold now reflects strong flows.
"I've placed a bet with my friend that gold now reflects the strong flows. Gold will only go down if the flows weaken."
Well, which is it ?
I'm sticking with 1. See all this nonsense as a libertarian, gold bug, neo classical, monetarist shit show. Who have it all backwards and brainwashed the sheep into believing rate cuts are fantastic for gold. Fueled by a
frenzy of FOMO.
If they do keep cutting rates and gold falls to production prices with the flows remaining strong as Biden's massive stimulus packages of build back better and inflation reduction act were baked in for 10 years and couldn't be touched.
Then explaining gold is now a reflection of strong flows. Is going to be virtually impossible. Flows going gangbusters combined with gold falling has now become a big X on your back.
Wesbury. Wasn't he bearish for like, forever? (Deficits, spending, blah, blah.)
Foot: I'm with you on #1.
Wesbury a hopeless monetarist… 100% monetarist.,,, “quantity of money!” and the whole enchilada…
Gold run has been amazing..,
(I have zero gold)
Post a Comment