State economies are reopening but it seems that, for many industries and many Americans, the suffering is far from over. COVID-19 continues to suppress our economy and threaten our public health as a “second wave” seems to be approaching, eliminating hope that things would soon bounce back. Many have begun to let go of their financial future as they struggle to preserve their financial present.
If state economies are opening up, why are people still losing work?
With news of a “second wave,” restaurants have reportedly begun to falter again, with some seeing sales as low as the beginning of isolation. Companies like AT&T have reported they will be closing stores and laying off thousands.
Many expect the lack of business travel to have a significant and lengthy impact on industries like hotels, airlines, restaurants and convention centers, since it’s not likely to resume any time soon, if ever, with the growing acceptance of online collaboration. Hilton has announced layoffs, Boeing has taken several hits in the market and Hertz has filed for bankruptcy.
The Wall Street Journal reported that, “Americans have skipped payments on 100 million student loans, auto loans and other forms of debt since the coronavirus hit the U.S.” They also found that, “The number of accounts that enrolled in deferment, forbearance or some other type of relief since March 1 and remain in such a state rose to 106 million at the end of May, triple the number at the end of April, according to credit-reporting firm TransUnion.”
What will happen to the financial institutions that hold these loans? Are they secure enough in the current economic climate to withstand these levels of debt?
The government is doing its best to bailout and stimulate the economy, but many say that though these actions are supposed to be for America’s future, they are also at the expense of America’s future. Many believe the $58 million here and $3.2 trillion there will add up to major inflation and possible collapse of the U.S. dollar altogether.
In the face of a suppressed economy, at-risk financial institutions and overwhelming government and personal debt, it’s time to ensure our personal hedges are secure. Times like these are why we recommend having “wealth insurance” with physical gold and silver. These precious metals act inversely to the market and have performed reliably in the economic crises of the past. As historical stores of value, they even stand up to inflated or collapsed currencies. Contact us today to learn more about how gold and silver protect your wealth – and future – with everything we’re currently facing.
These last few months have been some of the busiest we have ever been. Advisors whom we have not heard from in over a decade are now calling us to be reminded how they can bring up gold and silver to their clients. Now is the time… your clients are searching for this outlet. Let us know how we can help.