Financial, Economic and Social Mood Update (July 1, 2025)
Like it or not, the entire global financial system is now in the midst of a major multi-generational reset. The world’s financial weight or center of financial power has been and continues to shift toward Asia – Mainland China, India, the ASEAN nations of Southeast Asia, the Middle East / Persian Gulf and Russia / Central Asia / Siberia. A multipolar world is in the process of replacing the historical US dominance which goes back to 1944 when the USA replaced the UK as the number one global financial center of power. The global dominance of the UK endured from 1588 to 1944. The Royal Navy’s defeat of the Spanish Armada (navy) is the generally accepted milestone for this event. The Roman Catholic powers of the Kingdom of Spain, the Kingdom of Portugal and the Frankish Kingdom (which eventually became the “Holy Roman Empire of the German Nation” which included much of modern day Central Europe) was the primary financial power (in the western world) before the British Empire. This in no way minimizes the power or the accomplishments with great respect to the very advanced and even older civilizations / empires in Egypt and Mesopotamia / Iraq (the “Semites”), India, China (the great “Middle Kingdom”), the Inca Empire of South America and of course the great Aztec and Toltec Empires of Central America.
One very positive sign amidst the debt, deficit, liquidity problems and fiat currency problems especially in the USA, Europe and Mainland China is the fact that gold bullion now represents an impressive 3.95 percent of all global financial assets. This is happening in particular because gold reserves are being bolstered by Mainland China, Hong Kong (part of China), Dubai (part of the United Arab Emirates), Malaysia, Singapore, the ASEAN nation block of Southeast Asia, Taiwan, South Africa and Germany.
Safewealth Group of Switzerland (an ally of Elliott Wave International of Atlanta and a provider of precious metal and cash note storage services to many of the world’s wealthiest individuals and families) believes that the price of gold will reach as much as USD $12,500 per ounce by the end of this decade or so.
The financial problems of the US federal government have pushed 20-year yields on Treasury Bonds above 5.1 percent per annum. Insurance companies such as Gainbridge pay up to 5.8 percent on their annuities which run up to 10 years in maturity – keep in mind this is not a commercial bank and this type of product is not “guaranteed” by the FDIC. Whatever inflation still existing amidst an emerging global deflationary depression and human demographic collapse (declining fertility rates and declining birth rates) is now caused by underlying supply chain constraints (made worse by how the Covid-19 pandemic was handled globally with lockdowns, social distancing, remote work, economic stimulus masks and vaccine mandates) and trade tariffs. Corporate profit margins are being squeezed and real incomes adjusted for purchasing power continue to decline. Tax cuts and stimulus spending both risk making things worse instead of better due to the ill health of governments in the western world and China.
Following up on the themes discussed in my June 2025 blog, Safewealth Group of Switzerland believes that the stock market will likely bottom around 2031 or 2032. The two other primary precious metals (in addition to gold) likely to increase in value are silver and platinum. Silver both a major precious metal and an industrial metal – it may reach USD $70 per ounce by the end of the decade. Platinum has historically been even more valuable than gold but is today severely undervalued. It should reach at least USD $5,000 per ounce by the end of the decade or so.
Every single war on earth must stop (no exceptions whatsoever) and the US federal government is going from already very bad to even worse by growing its never-ending deficit spending and money printing. The entire system is hopelessly corrupt, bought off and must be replaced from the ground up.
