Investors should adjust their portfolios to emphasize gold and commodities and reduce their holdings of stocks and bonds. We believe the future performance of bonds over the next decade is likely to be in the low single digits and the benefits of declining interest rates are diminishing. The European and Chinese economies are slowing and risk dragging the US economy into a recession. Further, if US economic growth turns negative, earnings will decline and then this ten-year old bull market will be over.
The Cyclical Transition to Gold and Commodities
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