Have you ever felt like the world is spinning faster than at any point in living memory? If not, you’re not looking at the right data. In today’s new economic order, owning tangible real assets is not a priority. It’s a must have. As the Fed lowers interest rates, inflation persists, and budget deficit spending reaches $2 trillion a year, global capital markets commentator Kobisi Letter warns that if you don’t own assets, you’ll be left behind.
Interest rates cut to core PCE inflation rate above 2.9%: first time in 30 years
Core PCE inflation is above 2.9%, while the US is on the verge of cutting interest rates for the first time in 30 years. Interest rate easing in an environment where prices remain high.
This shows how desperate policymakers are to stave off serious pain in the real economy, even at the risk of fanning the embers of persistent inflation. Historically, central bankers have waited for inflation to fall to a satisfactory level before turning dovish. now? Everything is available.
The message is clear. If you have cash, the silent inflation thief is preying on your future purchasing power.
US labor market outlook deteriorates rapidly
The US job market is shrinking. Announcements of layoffs from blue-chip companies and Silicon Valley darlings are piling up. With the pace of new business openings slowing and “Help Needed” signs suddenly becoming rarer, the rug is being pulled from under workers’ feet.
If the job market deteriorates, cash on hand alone may be insufficient, and asset ownership may provide a necessary cushion. Anyway, as value investor Mike Alfred points out, the richest people in the world are entrepreneurs and investors.
“Very few people get rich by getting paid.”
Deficit spending exceeds $2 trillion annually
It almost feels old-fashioned to mention America’s ballooning deficit, but the numbers are hard to ignore. More than $2 trillion a year means the possibility of future tax increases, increased borrowing, and currency devaluation.
Huge deficit spending once led to promises of investment and productivity. Now, that’s the cost of keeping the lights on. As the purchasing power of fiat currencies continues to decline, investors who own assets, from highly productive businesses and goods to uncorrelated digital stores of value, have the greatest opportunity.
Employment statistics paused due to government shutdown
Imagine trying to navigate a ship through a storm without a compass or GPS. Policymakers, analysts, and even small investors are left in the lurch when employment statistics are halted in the wake of a government shutdown.
When important signals go offline, markets become volatile and uncertainty increases. The absence of reliable data increases market risk. This is a blessing for traders, but hell for planners.
When the only certainty is chaos, owning a solid, productive, or rare asset like Bitcoin can help you weather volatility.
Fed will cut rates two more times in 2025…leading to stagflation
The term “stagflation” is back, and the situation is as ugly as ever. Stagnant growth, declining purchasing power, and a cornered Fed will likely choose two more rate cuts in 2025.
This cocktail is toxic for savers. Real interest rates will fall further below inflation, and the incentive to hold “safe” government papers will diminish. In these situations, companies that own the assets are not only ahead of the curve, they are also in control of the pace.
Own Assets: Don’t leave your bag unattended
As President Trump talks about distributing stimulus checks, the economic rulebook is being rewritten in real time. We live in a time of crossroads between government aid, inflation, and historic technological revolutions.
As the Kobeisi Letter says, “Own the property or be left behind.” In this new world, asset ownership is more than just a hedge. It’s a lifeline. Now more than ever is the time to accumulate Bitcoin.
