Robert Kiyosaki is the author of an internationally acclaimed book about financial education and awareness. He is also a successful businessman and entrepreneur. Recently, he took on the issue of the rising stock market.
He maintained that the momentum is not organic as it is influenced by the decision to raise the US debt ceiling. He has also expressed concerns about the increasing debt problem of the nation while airing doubts about the strength of the economy.
At the same time, he criticized Wall Street Journal (WSJ) with strong words. Kiyosaki was referring to the absence of any mention in WSJ regarding the stock market rally generated by the US debt ceiling decision. He was quoting from a recent article published in WSJ that maintained that the US economy has recovered from the recession.
The article also claimed 2.4% economic growth during 2nd quarter. At the same time, the popular financial publication also confirmed that GDP growth happening faster than expected. Meanwhile, financial analysts worry about decreasing consumer spending on account of rising interest rates.
WSJ report has projected that in the current financial pretext, a bolstered labor market can break the fall. At the same time, the article has maintained that under ideal conditions, inflation is going to fall in line with the Federal Reserve’s projection of 2% without looming into recession.
However, the analysis by Kiyosaki does not agree with the former assessment. He has iterated that the stock market was rising on account of debt ceiling removal that allows the government to keep borrowing.
In June, President Biden signed a bill to suspend the $31.4 trillion debt ceiling in June until 2025 to avoid default. This suspension led to trigger a recession while postponing the economic crisis. Since the decision, stock exchanges indexes like Dow Jones, S&P 500, and NASDAQ have reported consistent gains to maintain investor morale.
However, Kiyosaki maintains that the national debt has continued to rise all the while. He disagrees with the perception of WSJ that economic consolidation is on account of the impending national debt.
Kiyosaki Advises Investors to Accumulate Bitcoin, Gold and Silver
Kiyosaki has once again advised investors in the United States to prevent the repercussions of economic problems in the country. He nominated Bitcoin, Gold, and Silver as his top investment options.
He has talked about the probability of de-dollarization and projected that the flagship cryptocurrency and precious metals are going to continue to thrive. At the same time, he has also estimated a unit price of $120K in 2024 and $500K in 2025 for Bitcoin.
He tracks the latest developments taking place in the international political arena. To this effect, he has maintained the next BRICS meeting set to take place in August this year can lead to the creation of a new global currency.
He predicted that the new international currency can be backed by gold which can challenge the hegemony of USD over international trade. On the matter, he has claimed that USD may have a new competing currency and trillions of USD can be unlocked out of foreign national reserves. He also talked about the possibility of inflationary pressure increasing. He has also pointed out that Fed USD printing post-COVID can be bullish for the commodity market.