How The Federal Reserve’s Policy Invites Inflation and Threatens Retirement Plans


The Federal Reserve has announced to keep the interest rates low despite expected inflation of 2%. Dallas Fed President Robert Kaplan announced that inflation could range between an annual rate between 2.25% and 2.5%.

Low-interest rates have been evident in the recent economy and the Federal Reserve keeps decreasing the interest rates on an annual basis. At the start of the 2020 pandemic, the interest rates were 0% to 0.25%.

Who benefits from this? Low-interest rates benefit a consumer or an entrepreneur who values taking short-term loans and purchases, however, it can be drastically detrimental for people who will soon be retirees.

The Fed’s policy that portrays a low-interest rate for years to come has caused many grievances to the folks who are close to retirement, with much of their savings invested in bonds and checks. The low-interest-rate ultimately means low returns on cash-equitable investments like bonds. This might just be a catastrophic measure for people nearing retirement who have buckled-down saving their whole life.

The unpredictability of the inflation rate has seized most of the options that circulate within investments, with inflation presumably grabbing us by the throats with the Fed’s interest rate policy.

These times call for protection. The current economy’s instability is like a ticking time bomb and Americans are looking for ways to protect their savings. Anticipating crises and investing in physical assets like gold can be the move for the future.

Investing in stocks is riskier than ever before and this investment option may not be suited for everyone, especially those looking to preserve their nest egg.

Can you really cope with a loss? Considering the pandemic, the current socio-economic conditions are not suited for putting your savings up for grabs. Investments that may make more sense are physical gold and silver, which have both historically proven to be a hedge against inflation. It’s a simple solution that could emphatically be the investment that secures your savings from the rocky inflation expected in the future.

Click here to learn how thousands of Americans are protecting and diversifying their investments with precious metals like gold. Or call us at 800-462-0071 to receive your free custom-tailored Information Guide.

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