Dow peaks above 19000 and its consequences for gold and silver

Dow peaks above 19000 and its consequences for gold and silver


Welcome to illuminati silver we tell you the
truth about silver. Today is Wednesday 23rd November 2016 and
we are discussing yesterday’s rise in the Dow which closed for the first time ever above
19000. The Dow Jones Industrial Average hit a new
record high on Tuesday peaking at 19,044 in late afternoon trading and finished the day
at 19,023 The Dow, which includes 30 brand name stocks,
is up nearly 4% since Donald Trump’s victory over Hillary Clinton in the US Presidential
elections. The S&P 500 and Nasdaq are also at record
highs. So what is happening?
The markets now seems to think that Trump’s win, combined with Republicans retaining control
of both the House of Representatives and Senate, should mean that many of Trump’s market-friendly
policies will be enacted. CNN has reported:
“Investors are betting Trump will get a stimulus package passed that will help rebuild
much of the nation’s infrastructure. That’s why stocks like Caterpillar and U.S. Steel
have surged since the election. The market is also betting that Trump may roll back some
of the provisions of two signature laws passed during the Obama administration — the Affordable
Care Act and the Dodd-Frank Wall Street Reform and Consumer Protection Act.
Drugmakers Merck and Pfizer have rallied on hopes that the Trump administration won’t
focus so much on reining in the price of medications as Clinton might have. This could also be
good news for health insurers. And Wall Street banks JPMorgan Chase and Goldman
Sachs have popped on expectations that Trump will be more lenient to financial firms.”
The latest rally is a continuation of a very long bull run for the stock market during
the Obama Presidency. At the beginning of his term, the U.S. economy was still in the
midst of the Great Recession with the Dow having nearly tripled since then, from its
low of 6,400 in March 2009. But America’s largest companies aren’t the
only ones booming lately. The Russell 2000, an index that holds smaller U.S. companies,
also is at a record high. Investors are betting that Trump’s efforts
to bolster the U.S. economy will also be great for smaller companies, which tend to have
less exposure overseas. Many have asked the question why should the
markets rise now after Trump’s win but fell before it?
Surely it has been aware of his policies for some time. Well the Daily Intelligencer part
of nymag.com addresses this quite well: “When the market rallied the morning after
Trump’s victory, some rationalized the response by noting the conciliatory tone the president-elect
struck in his victory speech. But Trump has been anything but conciliatory in the days
since, and stocks have continued to rally, nonetheless.
It simply isn’t the case that investors rationally adjusted their expectations of
a Trump presidency, on the basis of information that only became available after November
8. The only satisfying explanation for the markets’
sudden change in perspective is that before Election Day, investors indulged in the delusion
that what was bad for the United States was also bad for business.
Then, after Trump’s victory, Wall Street’s superego went silent, while its id saw with
crystal clarity how many opportunities for short-term profit a president who believes
in regressive tax cuts and financial deregulation — but not in climate change — was sure
to present, regardless of whatever else his victory might portend.”
If they are correct, they foresee a Trump Presidency as being good for business and
attractive to entrepreneurs. If this view continues and Trump’s policies head in that
direction, we can see stock markets in the US rise even further. This unfortunately is
not positive for gold and silver prices short term, especially not for gold.
In an era of rising stock markets and potentially rising interest rates, the investment demand
for both gold and silver is likely to reduce thereby directly affecting their price.
Whereas there could be an argument that states an increase in business could mean an increase
in the demand for silver, the Silver Institute has already shown that the growth in silver
this year has not been the result of an increase in Industrial demand or physical coin and
bar demand but an increase in paper investment products which has had to support such investments
with a certain level of silver deposits. The key question is of course, how long can
this stock market bubble continue? Well for the moment, there seems to be no end in sight.
It does look at least initially, that a Donald Trump Presidency will serve to fuel those
fiat and manipulated financial systems which hard-core physical precious metal investors
loathe. We hope you have found this video interesting
and informative and if so, please give it a thumb up and share it on twitter. Also kindly
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is updated daily can be found at facebook.com/illuminatisilver Disclaimer: Illuminati Silver owners come from a background
of Banking, International Wealth Management and Economics. Having now retired from these
worlds we are not qualified to give investment advice. Therefore, this and other productions
must not be deemed to be giving such advice and merely represent the personal views of
its owners.

34 Comments

  1. I Wonder if this is some kind of prop up intentionally to get people out of safe havens then when TSHTF most people won't have a shirt left on their back….

  2. kinda getting a hunch of sentiment shift from yields to capital gains..if that's true then a rate rise might not hold true to a stock rally. the big moves support this and if I was due to retire and I had my portfolio wiped in the gfc id be looking at quick returns. those stocks won't be hitting a decent dividend rate for another 12 months whilst they clear out those non current liabilities..not throwing a pipe dream out there it's just consistent returns haven't been around for a while and well even the trump tax incentives won't be in full force till us tax time next year as a minimum. who knows though I don't so all I can do is look at the movements and ask why till the smoke settles a bit more

  3. I fear your comments are true. Trump has pulled back on a number of his controversial statements that may have got him elected in the first place, and evidently he seems to be joining the 'system' everyone hoped he would be tearing down! Something tells me a lot of voters are not going to be very happy later on, or don't care as long as they get a tax break or two, and pocket some worthless dollars instead.

  4. This is good news. I'm retired, my wife will retire in a couple of years, so your analysis bodes well for her 401k, at least short term. And if that drives the price of metals into the basement, well, that's good, too.

  5. I'm not trading right now. I got out when the market hit 18200. However, ive started to think about cost averaging some shorts in my 401k. Ill take some of the zombies hard earned cash with no reservations when the unavoidable happens.

  6. US debt just peaked $19.9 trillion in debt. Anyone notice? lol. I remember posting on this channel back in October that year end economic numbers (and stock market too) would jump due to federal spending. It has been confirmed that the federal government spent over $300 billion from August-October. This was played out in the durable goods order today, where military aircraft purchases were up a whopping 34%. Illuminati Silver, how can the fed raise rates to say, 3% with this debt load. The CBO has said that if rates were to return to normal, the US would be looking at almost a trillion in interest payments a year, the biggest expenditure item on the budget. Sorry for the long comment. Happy Thanksgiving.

  7. This scenario sounds very much like Reaganomics, only the global position is very different this time. Unlike when Reagan was elected, we have low inflation, Fed rate hike(s) ahead, instead of cuts, and many large and small investors nearly fully invested (401k, IRAs etc.). The elation that stocks are experiencing at present tells me this could very well be the last leg upward. Should rates begin to rise significantly, bonds will sag in a big way, and that money will go into stocks.

    If Trump does what he says, our debt will be much, much worse than it is now, and I hesitate to think what happens when the music stops. I wish I could get people to realize that Reagan was NOT a good money manager. I lived in CA when he was Governor, and it was Reagan who opened the spigots wide, and started the mess in which CA in now finds itself mired. Reagan then brought that same philosophy to his POTUS position, and ACTED as POTUS, while Bush actually ran the govt. All one has to do is look at the numbers before Reagan, and afterward. I'm not anti-Trump, but, Lord, help us!

  8. Thank you IS.  I couldn't have said it better myself.  In fact, I couldn't have said it better.  Still, I think that we have to keep an eye on the fundamentals, especially in regard to preservation of wealth.  I absolutely abhor bubbles.

  9. 50% off long positions. will be 100% off long positions before DOW hits 20000. Will be only holding cash and short positions when DOW reaches 20k. Still possible for the market to crash before then. Trump train still giving a boost to stocks.

  10. Somehow.. I just have this image in my head of Janet Yellen snickering as she gives her new drug user ( Trump) his first hit of free dope (plunge protection).
    Yellen: "Oh Donnie… be dear and kiss my bunion.. and lets drop all that about Glass Stegal, be a shame if the DOW lost a few thousand points wouldn't it? "

    I have also heard that the FED is now guaranteed to raise rates, so money is leaving Bonds and has to go somewhere.. for now thats into the market. If Wall Street thought the economy was moving up.. wouldn't commodities be moving as well? Or are they a lagging indicator?

  11. I don't know. I have invested in the stock market and seen some gains but i am also sitting on some cash. I don't want buy any silver or gold just yet either.

  12. We can look for any rationale in the recent stock market demeanor. We can address any type of cause: bond market flee, Trumph's plans on infrastructures or deregulation. At the end of the day it is the interest of brokers along with financial intermediaries that is keeping the markets rolling at such speed. All of this despite the absence of strong supporting factors such as improvement in the debt situation of people or real gdp growth. To me the recent days' stock market trend is completely irrational. Eventually something has to happen and you don't need special skills to know what will happen.

  13. Wow silver has fallen all the way down to about $16.44 a oz. Should I buy in now or wait for it to drop another dollar or so?

  14. bonds will fold like a souffle. capital flows know the $ is the only real game in town. capital has to flow somewhere so stocks will be flooded. when that bubble bursts there's not much left on Exter's pyramid chaps.

  15. WHAT about the fact that in the last 8 years under Obama there are 3 million jobs less, or better said lost and gone. they manipulate everything, the stocks are mostly owned by the elite to create a picture of positivity ….

  16. This makes the very shakey assumption that Trump will take office.This makes the very shakey assumption that Trump will take office.
    It's a bit like polishing silverware on the Titanic.
    Silverware is very pretty & the shinier the better.
    13:02 2016-11-24

  17. Dow was 995 silver dollars in 1966 and is 998 silver dollars today. Not really a high, is it? It all depends on what ruler is used. In counterfeit currency it is a record. In real US Treasury silver dollars, no gain in fifty years.

  18. Markets are clearly on steroids.
    There's nothing like a reliable & traditional "false Flag" event…
    …to justify military adventures & market correction.

  19. The people manipulating the DOW are using Trump's win to make it look like the DOW is up because of his election so that all the stupid consumer money goes into the stock market and when all of it is in, the criminals will let the DOW finally collapse.

  20. Thank you very much for an objective take on these markets. So many pumpers out there, it is a breath of fresh air to hear someone with an honest take. I also noticed that you called out SD on their BS about 2016 ASE's. Well done.

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