Where to invest in this current economic crisis?
Image of Canva
A few days ago I told you that I would be publishing where it is safer to invest in the current global and economic crisis that we are experiencing, or at least what is my assessment on where it is safer to safeguard our funds while they gain value and do not depreciate, as it is time to do so, in this publication I will briefly comment on some current negative economic aspects of the erroneous monetary policies that the Fed is taking for example in the USA, how this affects the economy and the dollar and what would be those assets that I believe are our best option to invest.
Without further ado I will begin...
The Fed and its bad monetary practices
It is not a secret that the Federal Reserve of the United States, is leading the economy more to the disaster, with the impression of more and more money to it, in addition recently they announced that they will inject about 2.3 billion dollars with the only purpose of trying to save an economy full of debts and almost destroyed, pretending to make life mattresses so that the stock market and these great stock market indexes do not collapse and so that the dollar also stays afloat.
In addition to this, there is the unemployment rate in the US, which has already reached historical highs, there are approximately 16 million people claiming unemployment in only 3 weeks, something totally unbelievable and which, of course, increases even more the recession and the imminent disaster which, in spite of all these practices, is inevitable to come. Along with all this and the current pandemic crisis due to Covid-19, the US Treasury Department is providing critical support for established programs, using the powers of the Central Bank to combat emergencies.
ETF Purchases of Junk Bonds
As if that were not enough and that is where we realize that everything is going very badly in the economy and that they are not well at all, the FED also announced the purchase of Garbage Bond ETFs, to understand a little more that I will briefly explain what are the so called Garbage Bonds:
These Garbage Bonds, are the debts that nobody can collect, are the loans that nobody can pay, in short they are the things that nobody wants to have because they are precisely, as their name says "Garbage", that is, the FED will get a lot of garbage debt and while this happens the US debt keeps growing so strongly that it is destroying the dollar, because while they were announcing this and the new aid package, right away the dollar started to lose value and inflation started to increase to a stronger one. Imagine a market with a weak dollar, with inflation and with unemployment at its highest and it is just the tip of the iceberg.
The safe haven assets of salvation (Where to Invest)
First of all, I must say to all my readers that this is only my opinion of where I see more investment opportunities in this current crisis, it is not a direct recommendation, however, if you want more help or advice on this with bases to guide you with hesitation to contact me, in the end I always leave the server of Discord of the project @erarium in which you can talk to me.
Now, continuing with the subject, where I think it is better to invest, or which are these assets that will help us to safeguard our money. Many will already know and are already investing in it, but without a doubt the first option and the active refuge par excellence is:
Gold:
Image of Pixabay.com - Gold as a refuge
for a long time gold is considered the refuge asset par excellence before the economic recessions, so without any doubt this is my first option, currently has already reached record highs in a very short time and no doubt, according to my analysis will surely reach the value of $2000 an ounce of gold very soon, so stay tuned, because soon in other publications I will talk about what platforms we can buy gold and invest from the comfort of our homes.
Bitcoin:
Image of Pixabay.com - Bitcoin as a new refuge
This is my second investment option, many will wonder why, since currently the Bitcoin is having a very marked correlation with the traditional markets and the stock market, however, at least within what I believe, the Bitcoin very soon could be decoupled from the stock market and begin an imminent rise because many will also see it as a store of value and of course the so-called "Halving" that we have it very close to only 29 days approximately on May 11, where historically it has been seen and I commented in my last publication that the Bitcoin after such an event is carried out it tends to go up very strongly, of course as I explained before this makes each Bitcoin even more valuable.
Conclusions
These are my opinions and investment appraisals, all correlated to the current pandemic and economic crisis we are currently experiencing, I am from Latin America, specifically from Venezuela, and of course everything that has been happening in my home country has led me to educate myself and learn how money really works, something that they do not teach us in any institution unless I know, for this and many reasons I have been sharing this type of content so that everyone is informed and also teach them how the economy works.
The current monetary policies of the Fed, along with everything else, we are undoubtedly in a crisis and facing a recession that, although it has not fully exploded, is almost impossible to prevent, so, because of this, we must be more than prepared to face any economic recession, in order to not only protect your money, but to protect your loved ones and support them in these difficult times we are living.
Finally, as I said if you want to know more about the economy, trading, money management and how to take advantage of the financial markets even in crisis, do not hesitate to contact me, I would like all those who want to, leave their opinions in the comments, what they think of these refuge assets that I have commented, I will gladly read them and respond in order to help you or that you also help me.
I am Co-founder of the @erarium project, in this community we offer training processes in trading, finance and economic management. Consider joining our official Discord by clicking HERE.
 |  |
|---|---|
 |  |
Hello friend @lenonmc21, great post.
Very good advice, if I had to do it logically I would choose the options that you advise here.
Thank you for sharing these valuable tips with us.
Do you currently live in Venezuela?
Welcome to Project HOPE!
Hello friend @fucho80, thank you very much for commenting, it is a pleasure to be here with you and share, thank you for welcoming such a great project.
If I currently live in Venezuela, my friend.
Hello friend, me again.
Good to know that, here we are fighting too, I am glad to meet people from my country through this platform, and if they are in Project HOPE much better hahaha.
I am from the Monagas state.
Gold has been known to keep its value for thousands of years now and it is a safe haven to invest in currently the same with bitcoin being a digital gold.
The economy is falling and it is really a good idea to invest in commodity market or the commodity itself.
Also for thousands of years gold has functioned as a store of value and a great investment, with respect to Bitcoin I expect great things because of how its protocol is established and the type of money it is, with its triple accounting, I totally agree with digital gold. Thank you very much for reading.
Hello @lenonmc21
It is a good idea and a good option, gold has for a long time had a fantastic history, but speaking for myself I would like to invest for now only in cryptocurrency, but also a good form of investment would be to learn to acquire shares without using your own money, ie invest money from third parties and of course giving them as a reward the profits generated. Everyone would make a profit in a smart way.
A good investment would also be the purchase of cars, it may sound strange in this time of world crisis, but most people buy a car instead of preventing to maintain good health.
Most people only think about spending money on anything, but honestly they are not used to thinking about a future that will give them profits from smart purchases or smart contracts.
Very cool publication.
Greetings friend @edgarare1, thanks for commenting, you are very right, are very interesting those investment ideas that you share, it would be interesting to be able to manage investments not of our pocket if not of third parties, but with certain insurance behind these investments so that the client of course also knows that any eventuality, there is a plan b.
You are also right, most people do not know how to properly manage their money and spend, this happens and a lot.
hi there
upvote on the way. just wondering - is there any reason why didn't you publish same post on HIVE? you could enjoy double rewards (which could balance out current drop in price of STEEM, caused by selling pressure that comes from many large accounts powering down their SP and moving to hive).
Thank you very much, if I have realized that, and to precisely solve that problem I am already doing that with the publications.
I think for the time being it is more suitable for investing gold.
Because gold has many advantages in the future, when compared with stock / money investments.
Greetings friend, that's right, gold has many advantages, now the investment in shares can be profitable, however, you have to know in which to invest, a clear example to invest in short in some company would be the airlines, which due to the Covid-19 have been quite beaten by this situation going down a lot.
Hi @lenonmc21
such a nice post about investment. last weekend I was checking about gold and it showed good growth in its price and even as per one of the analysts it will grow even more. In fact its expected get an increase of 10-15% by end of 2020.
The stock market is way down these days because of covid-19 and some stocks can be a good idea to go for however must choose carefully. and above all, I think crypto is also a good one however here one has tp invest what he can afford to lose. Thanks.
Greetings friend @alokkumar121, thank you very much for commenting, that's right, it's a primordial rule at the moment of investing, we should only do it with funds that we can afford to lose, otherwise, it's better not to do it since we would risk our money for necessary expenses in our home and day by day.
With respect to Gold, it has had a lot of growth, but I hope it will reach new highs this year.
Hi @lenonmc21
nice post and I like the way you shared. I think gold is still a better and traditional option and in the last 1 year time, it has shown a nice price rise.
Even its expected that the gold price will go up by 10-15% by end of 2020. Some good stocks can also be considered however must choose the company carefully. Thanks.
That's right my friend, for investment in stocks you must choose very well the company and its type of business to know if it is feasible to short or long.
@tipu curate
Upvoted 👌 (Mana: 6/9 - need recharge?)
Thank you dear @crypto.piotr
Currently, gold is the only valuable commodity that can stand this economic downtime. Thanks for the advice, it will be good for people to start investing somewhere so when the down time is gone, profit can be made.
That's right, buddy, it's an excellent investment right now, thanks for reading.
This are great investment platforms you shared with us, nice job.
Thank you very much, I appreciate your comment, greetings.