Folks, we've got three major things to discuss. Number One: A key measure is about to hit a new all-time high and it sends a Sinister Omen Number Two U.S Manufacturing is getting completely destroyed. Some of the numbers coming out from that sector are downright apocalyptic. Number Three: The latest jobs data suggests that the trend of jobs is accelerating once again in the wrong direction.

Okay, let's go ahead and start. So I Want you to look at this chart hither. Have you ever heard of the saying where there's smoke, there is fire? Well, look at the gold prices. right now.

gold is about to break out to a new all-time high? A new all-time high. So why is gold rallying so much? And why is this such a crucial point in time to look at this? Well, Because this is rallying specifically due to the massive massive currency War and the attempted dethroning of the US dollar central banks around the world are on Brutal Notice that the Usd's dominance is under attack and they are doing what they can to diversify out of it with certain countries leading the way. as we've talked about in recent videos and you've got to follow the money here. Who is the biggest buyer of this gold? Well, it won't surprise you.

China According to Shift gold, China was the biggest buyer in February The People's Bank of China increased gold Holdings by a reported 24.9 tons. It was the fourth consecutive month of reported Chinese gold purchases. In that time, China's official gold reserves have grown by 102 tons. If you look up the data on China's Holdings of U.S treasuries, they are dumping those at a fast rate and pouring right into gold.

China Of course, right now is waging a very deep but behind the surface currency War trying to push their own Yuan And so they're dumping anything USD denominated. But it's not just them. A lot of banks that have previously held huge reserves of USD are kind of like. You know what? I don't want to be caught up in this currency war? I'm going to start diversifying out of the USD and I'm going to start diversifying into gold central banks around the world.

Were already buying gold at records in 2022 and you could see a huge huge increase, but gold buying is showing no signs of stopping into 2023. Turkey continued need to pile up gold, adding another 22.5 tons of gold to its horde in February. The Central Bank of Turkey was the biggest gold buyer in 2022 and has increased its gold Holdings for 15 straight months India as well. After a pause in January, India went back to buying gold in February adding 2.8 tons to its reserves.

India ranks as the ninth largest gold holding country in the world sets resuming buying in late 2017. The Reserve Bank of India has purchased over 200 tons of gold in August 2020. There were reports that the RBI was considering significantly raising its gold reserves. India now holds 790 tons of gold.

Lots of other countries doing this as well Big reason to de-dollarize to hedge against the eventual collapse of the US dollar as a lot of those dollars get repatriated, but also because a lot of these countries own native currencies are losing value at a rapid clip. And if we do head into a massive Global recession, a lot of these countries are gonna have to print endless amounts of their own currencies, which is going to create this Dynamic where they're getting devalued a lot faster. So they're like, okay, well, we want to hedge with gold. We love gold now.

Remember though, historically if countries were worried about their own native currency, they wouldn't go as much into gold. They go really heavily into the USD. USD was originally backed by gold, so they kind of got into the habit of doing that even when the USD was taken off the gold standard in the Nixon era. However, as a result of the currency War, a lot of countries are decided not to do that, and pretty much every single day now, you hear about a new country that has given into China's campaign to abandon the dollar and is now helping themselves weaken the dollar.

Following Last week's State visit to China, the Malaysian Prime Minister revealed that Beijing is open to deliberations with Kuala Lumpur to establish an Asian monetary fund. When I had a meeting with President Xi Jinping, he immediately said quote I refer to Anwar's proposal on the Asian monetary fund and he welcomed discussions. There is no reason for Malaysia to continue depending on the dollar like we were talking about in the last video, China is dangling huge incentives in front of closely Allied countries to completely abandon the dollar and just transact with that you want or some other combination of native currencies and China's Yuan Anything that can be done to completely de-dollarize Listen to this Anwar who also serves as the Finance Minister for Malaysia Further confirmed that the two countries negotiated bilateral trade in Yuan and Ringgit after the Chinese government invested 39 billion dollars into the Malaysian economy. So we're seeing China go to a lot of different countries and they're saying hey, you can trade a lot more with us, you can get massive, massive investment in this case, 39 billion dollars and all you got to do is get rid of that pesky dollar which is getting close to plummeting anyways.

And for countries that are closely allied with China, that's a no-brainer right now. But for other countries that are a little bit more neutral, they're just starting. They're just starting to get attracted by this Prospect and even if you look at a lot of the close allies with the Us, a lot of those they're not going and trading with the Yuan. But what they're doing is they're getting rid of their USD reserves and they're converting it to other things like again, gold.

So this campaign isn't necessarily to get everybody trading with the Yuan so much as it is to get the USD completely weakened and to repatriate all of these dollars back into the U.S economy which of course would then destroy the U.S currency as Supply over lapse demand. Even if these countries only fractionally succeed at de-dollarizing well, it is still going to have huge huge ramifications here at home. Remember, in any market for anything, you have a certain level of supply and demand. and over the last 50 years the US has gotten away with endlessly inflating its Supply because the demand abroad was so high and over the last few years we've expanded that Supply to levels that the imagination can't even grasp.

And over the next coming years you're going to see a lot of the demand contract levels that we can't grasp. So you're going to have both things working against you. and all that supply that has made it abroad that has been abroad for many, many decades is all going to get repatriated back into the U.S as these countries move more and more aggressively to get rid of the US dollar. The print just ran a piece today pointing out that on top of all this, the Brics Nations led by China now contribute more to the world GDP than the industrialized G7 And this is another example of how the dollar and the Euro and and Allied currencies, but specifically the world reserve the dollar.

Well, they are going to be losing their Edge more and more because of the massive imbalance of imports to exports, and that is only going to get worse. The Brics countries Brazil Russia, India, China and South Africa are the main countries leading the way to de-dollarize and are increasingly using non-us dollars in their transaction, specifically the Yuan. We've seen certain agreements over the coming weeks the last few weeks, actually where they've gone ahead and completely abandoned the dollar in their transactions after using the dollar for many, many decades. these countries are actually in efforts to develop their own currency.

Live mint reports. According to reports quoting Russian lawmaker Alexandra Babikov The Brics nations are in the process of creating a new medium for payment, established on a strategy that does not defend the dollar or the Euro. He reportedly indicated that the new currency would be secured by gold and other Commodities such as rare Earth elements. And so there's a few different things you got to take away from this: if they're going to be backed by gold and other Commodities this new currency that they're coming up with.

Well, that's also going to create a lot more demand for gold than those other currencies. and it's also want to create a lot more outflows from currencies like the USD. Again, most likely you're not going to be in a situation where you have the entire Globe going on. A Brics currency or you want, But the fact that these China-led powerhouses are all backing away from the US dollar is going to have big ramifications and is going to create huge demand for things that aren't currencies aren't Fiat currencies that are very, very politically haphazard things like for example, gold, which is why you're seeing so many people rally this shot up Now moving on.

one of the best ways to tell where a country's economy is heading is by looking at its output and let me tell you, we are not heading in the right direction. Some of the data looks down right. Apocalyptic from Free Beacon U.S Manufacturing reached its lowest point since the start of the pandemic, according to a report released just as President Joe Biden embarked on a tour of U.S factories to tout his promise to boost the industry on Monday. The Institute for Supply Management's Manufactured Index reached its lowest point 46.3 since May 2020 Reuters reported excluding the pandemic recession.

The index known as the PMI was at its lowest point since 2 2009. So manufacturing is now at its lowest point. So it's May 2020, which was about two months into near dystopian lockdowns. And if you exclude the pandemic, we were at the lowest point since 2009.

In other words, the manufacturing sector here in the United States is at a level that has only been historically reached during some of the worst economic catastrophes of our lifetime. and it's getting far worse. Far faster. 25 percent of manufacturing gross domestic product had a PMI indicating decline in March compared with 10 percent.

just 10 percent in February. That's a pretty dramatic increase from February to March. And as you know, I'm a trend guy. A lot of people say you should just look at the current data and then not extrapolate anything further because Trends they're not your friend and you should never listen to them because they bent Well, no folks, we care about Trends here at Ziptrader.

I'm pro-trent I Don't like to just look at where things are now I Like to look at the direction they are heading in and you pull up the US manufacturing activity chart from Bloomberg and the Institute for Supply management and you can clearly see that we've been on a rapid and consistent contraction since early to mid 22 21 and a lot of people say oh well, this little contraction into contractionary territory? That doesn't matter, it's no biggie, just look, it's a transitory dip. But if you look at the overall trend, are you convinced of that? Does this really look like it's going to stop anytime soon? Or is this going to be a dip that just keeps dipping? To me, the answer is pretty damn obvious. Aside from stimulatory measures from Congress or from the FED, there's no real reason to believe this is going to reverse anytime soon. In fact, the Fed's current stances were going to continue to bludgeon the economy as much as possible.

So again, if you're looking at this this trend, there's no reason to believe that it's done dipping. Which means pretty quickly we're going to get to levels that are worse than the worst parts of the pandemic. It's going to cost a lot of people their jobs and it's going to be real messy real quickly. Speaking of jobs, let's talk job Market Zero had reported labor market finally crashed job openings.

Hires crashed to lowest since May 2021. Missed nearly every estimate if you pull up the date on total private job openings, they've been plummeting since Peaks about a year ago. If you look at the percentage of firms with positions not able to fill, that's been steadily declining since June 2022. New hires have been falling since Fall of 2021, and if you look at job openings by industry, most are in steady and clear decline.

Now, as this economic crisis has emerged, you've had politicians coming out and saying there's no problem here. And it doesn't matter if banks are collapsing or this or that is going wrong, because if you look at the jobs numbers, they're strong, The numbers are changing very, very quickly, and it's not in that favor. and quite frankly, the story is probably a lot worse than it seems. UBS Found substantial evidence that the real measure of openings in Prior reports has been far far, far lower than what the government had originally posted.

Which means what? Well, it means that the government is either accidentally curving the data in its favor or it is lying I'll let you be the judge of that. The fact of the matter is that now that the government's own data is showing this massive massive Trend downward, well, it's hard to argue that employment is heading in the correct direction. This is the way that it works. First, job openings start falling off check, then that Trend decelerates, check.

and then the next stage is you start getting more and more unemployment and they can't be absorbed by the job market. So it starts accelerating and all of a sudden this number here goes skyrocketing. So folks, unfortunately, not so good of news today. But hey, it's the truth.

Don't shoot the messenger, this is what's going on I want you to know about it and hopefully you're following all this stuff because there's going to be a lot of opportunities as this crisis continues to develop. But keep your eyes open. Don't trust anything that you hear and definitely nothing that you see I think I mix those two things up. Trust none of what you hear and half of what you see even with Charlie I Mean when he says stuff, Trust, but verify.

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