Gold is seeing slight gains in Friday morning trading as bargain hunters jump back in the market and the dollar index weakens. Gold last reported a.m. is $1192.70 and silver is $16.83.
According to the Commerce Department, the U.S. economy contracted by 0.7 percent in the first three months of 2015.
The report said, “The decrease in real GDP in the first quarter primarily reflected negative contributions from exports, nonresidential fixed investment, and state and local government spending that were partly offset by positive contributions from personal consumption expenditures (PCE), private inventory investment, and residential fixed investment.”
While mainstream pundits looks for any explanation other than the truth to explain what happened, reality shows that the U.S. economy is suffering because we are an importer nation. Due to intentional mismanagement from Washington, we no longer have manufacturing jobs that once allowed the U.S. to be the number one exporter of goods. Consumer spending, which accounts for around 70 percent of U.S. economic activity, slowed to annual growth of just 1.8 percent for the quarter. Consumers are spending less on groceries, clothing and other needs and wants because the money just isn’t there.
In typical fashion, Paul Ashworth, chief U.S. economist at Capital Economics, said he dismissed the first quarter data as seasonal weakness and is now looking to second quarter growth, expecting to see a strong rebound from the current contraction.
“Accordingly, we still expect second-quarter GDP growth to be between 2.5% and 3.0%. More generally, while the evidence of a second-quarter rebound hasn’t been overwhelming, we still think that the outlook for the economy is very encouraging,” he said.
Mr. Ashworth is so insulated within his cushy high paying federal job that economic reality, now becomes, what he says it is. The fact that the average working class American is being destroyed economically year after year doesn’t play into in his “merry assessment.”
Over half of U.S. households make less than $52,500 per year. Subtract taxes across the board and that gives these families a cool $26,250 to live on at best. There’s not much hope for savings or retirement these days for the working masses. Everyday is a struggle just to survive as Washington’s “Baghdad Bob” media tries to convince us that we are actually doing better than we think we are.
Washington’s platform of “Hope” is based solely on lies and it’s obviously not putting food on the table or a roof over anyone’s head, unless you are the average politician.
John Quincy Adams once stated: “You will never know how much it has cost my generation to preserve your freedom. I hope you will make good use of it.”
Freedom only belongs to those who are willing to defend it.
It’s time to consider protecting our assets and there’s no better way to do it than owning physical gold bullion and silver bullion. Gold, Silver, Platinum and Palladium are all available for your IRA as well.
Give us a call to begin the process at 1-800-577-3195
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