Is this the world stock market crash in history? Will stocks keep going down and should companies fail.. Georgia Tucker of Cambridge House International sits down for a three person panel interview with guests Nick Hodge and Stephen Quin.
With Global Debts soaring and interest rates getting smashed, along with seemingly unlimited fed rate cuts, a major stock market crash is looming.
Of course, since the March stock market haircut, stocks have retraced half of the losses that were sustained.
Leading the way as one of the strongest asset classes in 2020 has been the US Dollar. It has shown to be very strong in a crisis. But how long can that last?
In an analysis to 2008, stocks went down 56% overall. As of publishing this video, the market is still not near those levels as stocks only went down 30% and have nearly regained much of the losses.
Will the economy have a V shaped recovery as predicted?
Q1 earning will only have one month factored in and wont give us a great idea as to whats happening in the earnings of companies. Q2 on the other hard is going to be really bad for earnings, there will be nowhere to hide.
Companies wont hire people back as fast as they let them go. This is going to lead to more jobless claims and a sustained downturn. Combine that with poor Q2 earnings and the potential for Q3 to be even worse, a potential depression is looming. Stocks can still have big rally days. These are refereed to as bear market rallies.
This will lead to a massive Gold Bull Run. Notably Bank of America just raised its 18 month gold price to $3000. Nick predicts at least $2000 by 2021.
3 Different Ways Gold is Valuable:
Safety Net - In Gold Coins
Insurance Policy - In Royalty Companies
Speculation - In Companies like Midas
Gold Gold is currently at 7 year highs and going higher.
Switching gears to Midas Gold and their Stibnite Gold Project: With a Market Cap of just 160 million, Midas Gold (MAX) is a strong buy. The Stibnite Gold Project owned by Midas has a sensitivity value of over 1.4 Billion dollars. With the final permit expected in Q3 2021, this could be the perfect time to get in on Midas Gold. As of this video Midas Gold was trading at .59 CAD.
About Stibnite Gold Project: Long Life, Good Cash flow - size and grade of gold for mid team production is unmatched. Great shot of getting permitted because of the landscape and the jobs its going to create in the local community. 6.6 million ouces of gold resources. 340,000 ounces of gold per year for a dozen years.. Cash cost near $600. In Idaho USA. Low Geopolitical risk. Premium asset in premium country.
1000 jobs, high wages, great economic impact for the community.
Challenges: Fragmented Land Ownership
Permits not secured
Q32021 Final Decision for Permit
Stephen Quin- President and CEO of Midas Gold Corp TSX: MAX