Debt Boom Supporting Global Markets, Buy Gold & Silver Now – Gregory Mannarino

Posted at 10:42 AM (CST) by & filed under

By Greg Hunter’s

Market analyst and professional trader Gregory Mannarino doesn’t feel good about the recent new all-time highs in the S&P 500. Mannarino explains, “The environment we are in now is unlike anything we have seen before in world history. The distortions that exist in this market are hard to get your head around. Again, we have never been here. We do not have any resemblance whatsoever of a free market or a free market economy. We are, unfortunately in the United States, managed across the board. The information being fed through the mainstream media (MSM) outlets is all fake. This GDP number we got recently is fake, and that is easily provable. It comes down to this: in order to sustain where we are . . . the relentless acquisition of debt is all that is supporting the environment we are in. There is no recovery, and there is no economic boom. This is a debt boom. That’s what we have, and it’s not just here in the United States. It’s a global phenomenon. It will correct to fair value at one point.”

So, why is the Trump Administration asking for rate cuts? Mannarino says, “Without a rate cut moving forward, we will not be able to sustain the current valuations in this market. . . . So, they must continue to inflate that bubble, and there is nothing like it and there has never been anything like it.”

If the stock market is in a bubble, what is happening to physical gold and silver prices? Mannarino says, “This is an inverse bubble on an epic scale. Just like the debt market is in the biggest bubble the world has ever seen, and on the back of that, we have pulled stocks higher. We have pulled housing higher.”