Since we are nearing the end of 2024, I think a good question to ask is what we might expect to see in the year ahead- 2025.

What I am personally seeing is something akin to what Clubber Lang said in Rocky3 when asked what his prediction was for his upcoming fight with Rocky- “PAIN”.

Many might say I am being negative. I wish that was all it was. There are MANY signs that have my attention right now.

#1 2025 is the year that the Bank of International Settlements has mandated that all central banks have a digital currency. While this does not necessarily mean that they will all roll out this year I have always believed that a crisis would have to take place to usher in this new system. There are MANY things that could happen to bring this about- War, currency debasement, civil unrest, and many other things. Right now, it appears that those clinging to power are doing all they can to ignite world-war three.

#2 Inflation is starting to rise again and could rise uncontrollably in 2025. I say this for many reasons. If the Fed were really interested in stopping inflation, they would not be lowering rates- they would be raising them. If those “in charge” were interested in stopping inflation they would be decreasing the money supply and reducing spending. The deficits we have seen in the recent past may appear to be peanuts compared to what appears to be coming in 2025. Fiscal 2025 started in October of 2024. According to the US Treasury, the spending that took place in October and November was over $1.2 TRILLION in 2 months! This is higher spending than we had in 2021 during the lockdowns. Even more concerning is that revenue (TAXES) came in at $628 BILLION. This means that ½ of all spending was DEBT. If this keeps up our $2.1 TRILLION (admitted) deficit for 2024 would balloon to $3.5 TRILLION in 2025. Who knows how many more trillions that are not “official” there are.

#3 is closely akin and inevitably tied to #2. De-dollarization is in full swing in the global south and could ultimately lead to inflation that most cannot imagine. The only question is where is the tipping point?

#4 Economic stagnation will likely heat up in 2025 as the “green push” starts to be exposed for what it is- a pipe dream at this time. We are already seeing most car manufacturers ending their push to go all electric because many see that we already have problems producing enough electricity. Wind and solar farms are going bankrupt. Massive amounts of government subsidies have been spent and the money has been vaporized.

Since most of us are not anywhere near experts in this field, it was easy to lead people down this path. People who ARE experts in this area like Leigh Goehring of Goehring and Rosencwajg, have been pounding the table on this for years. The fossil fuels that those “in charge” want to replace with renewable energy give an EROI (Energy Return On Investment) of 30 to 1 meaning you get 30X more than you spent to get it. Offshore wind gives EROI of 10-15 to 1, or the 5:1 for solar farms. He has also said that nuclear can give up to 80:1 EROI. There is also a technology that has existed for a long time that is now being used, the molten salt-based modular reactor (SMR) which could lead to 100-180:1 EROI.

Since all of human advancement has come as a result of more abundant and efficient energy it appears to me that those pushing this agenda would probably know that this path would lead to stagnation rather than advancement.

#5 Threats of tariffs and downsizing of government. While the downsizing of government is a good idea it will likely lead to a LOT of short-term pain as many are laid off and even more stress is put on our spending on social programs. This will also lead to lower economic activity and growth. Tariffs, if enacted, will supercharge inflation. In the long run maybe, manufacturing starts to come back but keep in mind that this will likely take a decade or more to play out. Short-term it could be painful. Another possible unintended (or maybe intended- we never know) is that as countries retaliate, we could not only see FAR higher prices but a lack of goods. If cheap imports become expensive and we stop buying the products, the manufacturers will seek out other more friendly markets and leave us out in the cold.

Just like the sanctions that were supposed to destroy Russia backfired when they just decided to sell their goods elsewhere.

#6 Our “leaders” still believing that we call the shots and not recognizing that the geopolitical and economic landscape is changing. While most of the world is interested in growing economies and trade it appears that all we are interested in is chaos and mayhem. The USA has used color revolutions, sanctions, wars, and all at their disposal to oust uncooperative leaders around the globe while trying to maintain a stranglehold on resources and trade. Most of the rest of the world is on to our tactics and they are uniting to put an end to it.

#7 Another attempt by those “in charge” to take away more of our rights through some sort of fear campaign. Could the drones in NJ be a sign? Could the bird flu or monkeypox be the next CV 19? Could the mass deportation efforts- if they ever take place- lead to massive violence in our streets? Could the citizens of the USA start taking matters into their own hands as many see the illegals getting assistance that they could only dream of? Where is that tipping point?

As the economy continues its downward trajectory, we have stock “markets” that just keep on rising making the chasm between the PRICE you pay and the VALUE you get historically wide. When will this resolution take place? History says it always happens. Common sense says that we are probably not far away from a reckoning.

Be Prepared!

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