Good Morning. Today is May 6, 2023.

This is Bullion Baron, the weekly newsletter that drops serious precious metal knowledge.

Here’s what we got for you today:

1. Big Bank Failures - Continued

2. China's Allegiance to Russia

3. World War Tensions - Drone "attack"

4. The Fed Raises Rates

The Baron's Investment Forecast

Link to forecast methodology.

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Banks Continue to Falter

Last week, BB took a look at the events that lead up to the recent banking system collapse. That article is here.

BB predicted the fallout was not over. This week, First Republic bank was seized by regulators. That story is here.

First Republic bank had 229 Billion dollars in assets. That's Billion with a B, as in Bust.

It appears that the bank failed to properly manage risks related to interest rate hikes. We talked about this in our last issue. This is not new.

Anytime you hand over your assets to a third party, there is a risk of failure. Smart investors hedge their risk with secure investments like gold.

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China's Allegiance To Russia Exposed

Last week, we mentioned that anyone who is paying attention understands China's deep link to Russia. This week, China announced they would be sending a "Peace Envoy" to Ukraine.

China makes not mention of the Russian invasion. Instead, China makes blanket general statements like, "No one wins in a nuclear war." Thanks, China.

Very few are taking China seriously as a global mediator. Biased mediators are rarely successfully. The story is here.

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Moscow Blames the US for "Drone Attack"

In what can only be described as comic relief, Moscow is claiming that the US "attacked" the Kremlin in an attempt to assassinate Putin. The video and story is here. 

World powers have gone to war over less, so don't take this lightly. Keep your powder dry and continue investing in secure areas like gold.

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The Fed Raises Interest Rates - Again

The Fed raised interest rates another quarter point. The story is here. 

We've seen how rate increases have impacted the market. Many experts have asked for an end to rate hikes. They believe that real estate has cooled and inflation has been curtailed.

Indications are that the Fed will stop hiking rates, but the big question is, "When will cuts begin?" Many speculate that real estate markets will only gain traction after rates are cut, which may not occur until at least the Fall or Winter of this year.

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Do you remember when?

Here's a little 1950's nostalgia:

"Winston tastes good like a cigarette should."

On this day in history:

1941: First flight of the P-47 Thunderbolt. Click through here. 

1915: Babe Ruth hits his first major league home run.

1954: Roger Bannister runs the first sub four minute mile.

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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.