In this issue:

1. Where We Are
2. What To Do?

1. WHERE WE ARE

Or perhaps we should title this Morning Note, “Where Are We?” Here’s a single data point of interest reported this AM. Over the U.S. Memorial Day weekend the theater box office was down 15% year on year.  Is this a one–off datum or does it represent the new reality of disposable consumer spending in the US?

…..read more HERE

2. WHAT TO DO?

If you believe the global economic scenario that seems to be unfolding, you need to own precious metals and raise some cash (move some assets to the short end of the Treasury yield curve). At some point in the future there will be inflation and you will have a chance to exchange your cash for much cheaper assets.  This is famous barbell portfolio that I have written about so often during the past decade.  Gold is being sought today as a protective store of value.  Whether the central bankers and the establishment like it or not the smart money in the world is moving to gold and silver and has been for some time.  Gold is moving higher this AM while growth oriented commodities are under pressure.  The dollar carry trade seems to be reversed this AM. The U.S. currency is stronger across the board.

…..read more HERE