US Government To Be Forced Into QE To Avert Crisis

It has been just predicted the fact that the US government will probably print more and more money. Check out the latest reports about the matter below.

According to macro investor Luke Gromen, the US government will be compelled to print more money in the near future to address its growing debt and obligations.

In a recent interview with Peter McCormack on the What Bitcoin Did podcast, Gromen stated that due to declining productivity and rising costs, the US will face a straightforward choice between printing more money or defaulting on its debt.

Gromen, who is the creator and president of investment research firm Forest for the Trees (FFTT), has argued that efforts to balance the US budget by reducing public entitlements would be difficult to implement politically and practically.

The investor also believes that cutting defense spending is even less feasible, leaving printing more money as the only viable option.

“[People say] they’re just going to have cut entitlements. It’s not going to happen. It’s not going to happen, in my opinion. So then what’s left? Print the money, do the QE (quantitative easing). Slash defense? They’re not slashing defense. All that’s left is [printing money]…”

The notes continued and said the following:

“They’re not going to cut the entitlements, they’re going to print the money, and they’re going to print the money with oil at $90 or $84 or wherever it is, and they’re going to print the money with Bitcoin at $35,000. They’re going to print the money.

And people say ‘They wouldn’t do that because that means they’re going to have to do yield curve control and that means you’re going to have significant inflation, and the US inflation is going to look like Argentina…’

It’s like yeah, that’s what’s going to happen, because there’s only two things you can cut here in the US: entitlements or interest. That’s it. You can try to cut defense, [but] good luck being the guy who raises his hand right now and says ‘let’s give Israel and Ukraine a pat in the ass and say hey go get’em guys’ and leave.”

Gromen recently stated that continuous quantitative easing and a potential shift in policy by the Federal Reserve could create an environment where assets like gold, oil, and BTC can flourish.