Kicking the "debt" can down the road pumps up gold and stock

 

Kicking the "debt" can down the road pumps up gold and stocks. 

Deficit spending increases corporate profits, increasing stock market returns. This spending also affects the price of gold, as its price adjusts to a larger monetary base.  

For the major secular trends in equities and gold to change, I believe we will need to see fiscal and monetary restraint. However, it is unlikely the U.S. Administration is incentivized to do this.  So, it is sensible to assume the government will use the tools at their disposal to keep prices elevated for the foreseeable future.