Remy Blaire discusses the recent end of the longest U.S. government shutdown in history, which lasted for 43 days. The shutdown had significant economic consequences, draining approximately $15 billion from the nation’s GDP each week and resulting in the loss of tens of thousands of jobs. Remy highlights the lasting effects on productivity, consumer sentiment, and government operations.
Joining Remy to delve deeper into the implications of the shutdown is Gabriela Berrospi, CEO and Founder of Latino Wall Street. Gabriela shares her insights on the lingering effects of the shutdown, noting that while the government is now open, the economic repercussions will continue to be felt. She mentions an estimate that the GDP could be $11 billion lower by 2026 and expresses concern over the uncertainty surrounding the release of key economic data for October, particularly the unemployment rate, which may never be published.
As they discuss the current state of the markets, Remy points out that the Dow Industrials recently closed above the 48,000 mark for the first time. However, Gabriela emphasizes the importance of focusing on commodities in the current economic climate. She explains that the return to government operations means a return to “business as usual,” characterized by massive spending and deficits. Gabriela warns that this situation is unlikely to improve and suggests that the uncertainty surrounding government data and economic conditions will lead investors to seek refuge in commodities, particularly gold and silver, which are seen as safe havens during times of instability.
The conversation also touches on the potential for inflationary pressures resulting from government spending and proposed stimulus checks linked to tariffs. Gabriela articulates that all these factors contribute to an inflationary environment, making commodities an attractive investment option.