With mainstream media zeroed in on Capitol Hill, savvy investors are looking elsewhere to get a pulse on what’s really happening in the country. That’s because despite the Dow Jones Industrial Average hitting historic highs and surging 17% year-to-date, into the third quarter, all eyes shouldn’t be on Wall Street, but cautiously watching the National Debt Clock.
Currently sitting at $22.5 trillion and growing at a breakneck pace of $2,729.16 per minute, financial watchdogs are frantically sounding the alarm. Economic experts now estimate that by 2025 — just 6 short years from now — the interest owed on the nation’s debt will account for a third of the annual budget.
Related: Renowned economist predicts “$100 Trillion in wealth could virtually evaporate overnight” — See how and what you can do to protect your assets.
That’s why with the recent passage of the bipartisan deal to extend the debt ceiling, budget hawks are warning that economic collapse is all but imminent.
The July 22nd agreement, considered by President Trump to be a “real compromise” permanently ends the sequester that can automatically cut spending, skyrocketing annual spending to $320 billion a year. At this rate, the annual budget deficit will easily top $1.1 trillion, a level not seen since 2012 in the throes aftermath of the 2008 Great Recession in 2012.
And, with crippling debt, the threat of global war, and political instability all at our doorstep, an economic storm is brewing that could have dire and historic consequences.
Dent, known in economic circles for his spot-on accuracy — predicting the 2008 economic meltdown decades before anyone else — is cautioning against running to traditionally “safe” investments like gold.
“You should be worried. And, you should be taking steps now to protect yourself. But no matter what the so-called ‘experts’ tell you, gold WILL NOT protect you from what’s about to happen. In fact, investing in gold right now could be one of the worst decisions you ever make,” Dent explained in a recent presentation.
Related: Harry Dent makes his most shocking prediction yet. “THIS one investment could destroy your chances at retiring” — see what it is here.
With the debt ceiling considered by most to be yet another political bargaining chip for lawmakers to gain favor with their bases, the nation is being put on a collision course and retirement accounts may be the first to take the hit.
In fact, when July 2021 rolls around and the fierce debate ensues about what to do with the then $24+ trillion national debt, retirement accounts are exactly what the Treasury will target with its creative accounting maneuvers.
When asked this year, Treasury Secretary Steven Mnuchin admitted that his department’s “tricks” were proving to be much less effective than anticipated. Which means siphoning more and more from hardworking Americans’ retirement accounts will likely become common practice.
The scary reality will then become, what do you do at 75 years old, when the government can’t pay you your retirement money back?
To see what you can do now to protect your assets, click here to learn how to read Dent’s research and investment recommendations.