MIDNIGHT IN AMERICA PART II By Dylan Jovine (Go to Part I to...

MIDNIGHT IN AMERICA PART II

By Dylan Jovine (Go to Part I to read first)

The second warning sign is coming from the gold market.

Everyone’s been amazed that gold has been hitting new highs the past six months. And that’s great for gold investors.

But don’t let the good news fool you.

For stock investors, the recent rise in gold is the canary in the coal mine. It’s signaling serious danger for investors.

See this chart?

What you’ll notice is that gold was selling at about $1,800 an ounce in October 2023.

Right around the time, word began to leak on Wall Street that the U.S. government was having trouble borrowing money.

By the following month, gold hit $2,100 an ounce, a 16% gain in 30 days. That’s a big move for an old-fashioned metal. It almost moved like an AI stock.

But then reports kept coming out showing how hard it was becoming for the U.S. to borrow money.

That’s when Wall Street started to get nervous.

And the price of gold began its historic rise, hitting $2,400 an ounce.

Now here’s the part I find most troubling. And why I rushed to get you this presentation.

Gold has always been a great predictor of a stock market crash. Its price tends to rise in the six months before the market gets hammered.

For example, gold rose from $256 August 1999 to $337 in October in the 3 months leading up to the 2000 market crash.

Right afterward, the S&P 500 dropped 50%.

Gold rose from $675 April of 2007 to $871 in October 2007…

Right before the market crashed 50% in the Great Recession.

And gold is flashing the same warning signal once again.

That’s why I rushed to get you this presentation.

The third warning sign is the price to earnings ratio.

The price to earnings ratio tells you how many years of earnings it would take to get back what you pay for a stock.

In a healthy, normal market, the P/E ratio is about 16.

That means, it would take 16 years for a stocks’ earnings to equal the price.

But right now, the average stock in the S&P 500 has a p/e of 35.

That’s over twice the historical ratio!

Now there have been two other times in history that the p/e ratio has been this high.

The first was right before the market crash in 1929….

Right before the market crashed 80% from its highs.

The second time this happened was in 1999…

Right before the dot com bubble burst and the market crashed 50%.

Now these are just some of the indicators signaling that a massive collapse which will blindside most investors is coming very soon.

To be frank, a 50% correction in the stock market is actually a conservative estimate.

If the market drops to the lows we hit during Covid, we’ll actually see a 60% decline.

But the bigger problem is that this is just one of the five cracks in our foundation.

What makes this coming crisis so unique, is that there are four more cracks that are just as dangerous. Maybe even more so.

And they are breaking apart the foundation of our prosperity each and every day.

When one of these cracks gets big enough, it will blast open all the other ones causing the market to crash 50%, real estate to plummet 40%, bonds to lose 30% of their value and unemployment will triple.

It’s already starting to happen.

But again, there’s a way for you to survive this and I am going to show you how. It’s the same way my family and I will prosper.

Just like people made great fortunes in the 1930’s, I will show you the exact steps you have to take to make yourself a fortune over the next five years.

But first, let’s look at the other cracks in our foundation.

Just like the government wants to play down the problems they’re having borrowing money, they want to play these problems down as well.