January 10, 2025 - (Gold Market Wire) - Gold is showing signs of life as the day of Trump's inauguration draws close - and the spectre of a dramatic first 100-days looms. To be sure - this could be one of the most dramatic periods in American history, equal in intensity to FDR's assumption of the Presidency. Gold is reflecting that.

Gold feeds on fear and uncertainty - and right now we have that in spades. Our basic posture - long Gold and long US Dollars has, against the chanting of the "Dollar is finished!" crowd - performed well.

Our decision to move strongly into a leveraged short of the Pound Sterling and Euro vs. the USD is setting up nicely. Both of these currencies look ready for significant sell-offs. Trump's now re-cast admonition to Europe to pony up a now 5%(!) of GDP for NATO is a task beyond Brussels. Europe is flatly - broke. There is no way for them to achieve such a target. Maybe that is Trump's design - to finally walk from the alliance, or at least scale down US participation in it. For someone intimating a return to the Monroe Doctrine, and its (western) hemispheric priority, it is not unthinkable.

Europe without NATO is likely to descend into chaos. The dream of 30+ years of Europe and the Euro becoming challengers to America and the Dollar is about to die. The American populace has had it with financing (and dying for) the nations of Europe - who all still want to compete with each other to be the leader of the Continent. Hundreds of years of history merely repeat the same theme. DeGaulle's shadow is cast over all. Brussels is cooked.

Washington's shift to Asia will have, as its first step, the consolidation of its power in the Western Hemisphere and (apparently!), the Artic region. Equally, Trump's approach to the Oval Office has Gold anticipating a potential war with Iran.

A geo-political shift of monumental proportions is about to commence.

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