IN GLOD WE TRUST

Group 1: Economic Trends - The US dollar-centric global monetary system is under increasing pressure due to geopolitical tensions and inflation dynamics[5] - Central banks have been forced to sharply raise interest rates to combat persistent inflation, which has led to painful market adjustments[5] - The Federal Reserve faces a critical decision: maintain restrictive monetary policy to lower inflation to 2% or risk triggering a severe recession[16] Group 2: Gold Market Insights - Gold prices are anticipated to break out as they have already reached all-time highs in various currencies, signaling potential growth in US dollar terms[51] - The gold/S&P 500 ratio indicates that gold is undervalued compared to equities, suggesting a potential tripling of gold prices if the S&P 500 remains unchanged[121] - The Bloomberg Commodity Index (BCOM) gained 13.8% in the previous year, indicating resilience in the commodity sector despite economic challenges[157] Group 3: Market Performance - In 2022, both stocks and bonds experienced double-digit losses for the first time in 42 years, with a 17.9% decline in a 60/40 portfolio[138] - The consensus estimate for S&P 500 earnings per share (EPS) is a modest decline of 1.56% for 2023, indicating overly optimistic market expectations[142] - The correlation between equities and bonds has shifted, suggesting that bonds may no longer serve as a safe haven during market stress[154]