The new consensus view is that the Fed will be done with its tightening crusade by the end of the year, with only two more hikes over the next two months.

However, there are some reasons to believe the end could be at hand now.

October 26, 2022

Dear Fellow Investor,

I want to let you know of some important news I’m about to deliver to our Gold Newsletter subscribers.

You see, our November issue of Gold Newsletter, which will be dispatched tomorrow, reports on how hundreds of investors at our recent New Orleans Investment Conference were actively buying junior mining stocks.

No one knows if this is the bottom. But our attendees — who are among the smartest resource investors in the world today — felt it was close enough to begin snapping up the bargains that are seemingly everywhere in this market.

Frankly, I’m joining them.

Our November issue of Gold Newsletter will reveal many of my top recommendations in the junior mining space.

That alone is more than enough reason to make sure you get this important issue.

But just as critically, I’m reporting on dire warnings that some of our speakers at New Orleans 2022 just delivered.

The bottom line: The risk of a global financial crisis is as great right now as at any time since 2008.

On our stage in New Orleans, noted former Fed insider Danielle DiMartino Booth pointed to the high-yield corporate bond market as one possible landmine set to go off. She noted that the BBB corporate bond market two-year to 10-year spread recently closed at the lowest point ever recorded.

If this spread inverts, she warned, it could force Jay Powell to not just pause but reverse the Fed’s tightening. The risk is growing, as there have been eight straight weeks of redemptions for high yield corporate bond ETFs.

So what if at some point all the liquid bonds have been sold? There is a risk that these ETFs may at some point be forced to halt redemptions. Danielle stressed that this would be “something breaking, and it would probably be systemic in importance, because these are in almost every 401K plan in America.”

For his part, the always-eloquent and insightful James Grant pointed to the fact that the rapid rise in interest rates “underscores the risk of destabilization in the Treasury market itself.” The problem, he remarked, is that investors don’t realize how highly leveraged positions are in this otherwise foundational asset class.

I share some additional impressions from the conference in our November issue of Gold Newsletter, but for now you should know that many of today’s brightest analysts are worried about something breaking in the global financial system, and soon.

And then there’s the other issue that’s now coming to the fore...and which I report on in tomorrow’s newsletter.

I firmly believe that the information provided in our November issue of Gold Newsletter is worth the entire cost of a year’s subscription.

That’s how strongly I feel about what we’re providing, and how momentous this moment is in investing history.

But your benefits won’t end there: In December, we’ll deliver our massive year-end edition, including extensive excerpts from our New Orleans Investment Conference that are alone worth thousands of dollars. (I know this, because hundreds of investors paid that much to get these insights.)

Make sure you get this vital market intelligence while it’s hot off the press — click on the link below to subscribe to Gold Newsletter now.

All the best,

Brien Lundin
Editor, Gold Newsletter
CEO, the New Orleans Investment Conference