Julien Backhaus – Wealth Protection Today (Germany) –
The latest inflation figures have frightened many private households in Germany. In the 20th century, citizens of Germany in particular have a great deal of fear of inflation, especially in the face of inflation. She eats our money and our fortune. Now again, greater inflation could threaten.
Inflation is clearly on the rise
Recently, the inflation rate in Germany has risen to 1.1 to 1.7%. The figure is not clear because different inflation rates are measured, depending on the baseline period. The decisive message is anyway different: Inflation is now rising significantly again.
This is the responsibility of the European Central Bank, no one else. The ECB purchases government bonds, for example, from Italy. This program will continue until the end of the year. That is why the amount of money is increasing. Given a relatively uniform economic development with a growth rate of less than 2%, this development means that prices and thus inflation rates will rise.
They pay at the petrol station
This does not have to be directly visible in all products. But you yourself know that real estate prices have already climbed rapidly. Prices continue to rise rapidly. In the meantime, the properties in the margins have already become significantly more expensive. For this, the oil price rises, which you have to pay at the gas stations, of course. Government fees and costs have also risen.
Food is likely to become more and more expensive, but otherwise life is certainly more expensive than just the officially measured 1%. The development is almost unstoppable. Only if the banks were no longer sufficient for loans to business or private customers, the increase in the money could be slowed somewhat.
But this is not probable. Inflation comes. Two questions remain: When does the inflation rate rise quickly and will destroy our assets even faster? And what can you do about it?
2017: The year of further rise
The first question: The inflation rate is likely to grow more clearly in 2017. How strong, no one can calculate seriously. However, do not set the official inflation rate. Much worse is that you have to spend more money in real life than ever before for many products. The unofficial inflation rate in the US, for example, is about 5% according to serious data. We do not have such a good and reliable statistics in Germany yet.
They can defend themselves
Therefore, you must rely on your own flair. Let us, however, come to the second question: What can you do? Many investors are looking to buy foreign currencies. The Norwegian krone, the US dollar or the Swiss franc are considered as good alternatives. However, you should remember that you must store this money somewhere. Foreign banks are the main reason for this. But what if you could hardly travel in the crisis?
Gold and silver therefore remain the best alternatives, even though the prices are currently relatively weak. Gold suffers from the fact that the Chinese are currently hardly on the market as buyers. Observers suspect already , China was going out of money, so the currency reserves in the form of the US dollar to buy gold.
That can hardly be true. The Chinese are sitting on trillions of US dollars. Therefore, the gold price should soon continue to grow.
Politics and the big media are constantly claiming that the rate of inflation is not too high. This is only true. The risk of a sharp rise in the rate of inflation, especially by policy, is particularly high. They should continue to protect themselves and, above all, to consider precious metals as alternatives.