Where to invest in this current economic crisis?

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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@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:

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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:

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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.


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I am Co-founder of the erarium@erarium project, in this community we offer training processes in trading, finance and economic management. Consider joining our official Discord by clicking HERE.

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Where to invest in this current economic crisis? | Ecency