Posted by I was almost 14 years old when America celebrated its bicentennial in 1976. My best memory was when my father won $1776 in the state lottery. That was a big deal for our family back then. It would be worth $10,460 in today’s money, as a result of inflation. I also remember the bicentennial coins (some of which I still have today) and the beer cans. Collecting beer cans was a popular hobby back then. I was mowing lawns in the neighborhood to earn money. We didn’t get an allowance and were expected to work if we wanted money. I think that is what established my work ethic which has lasted over 50 years.
The 2026 4th of July was America’s semiquincentennial. The news channels aways refer to our republic as an experiment. In 1976, Gerald R. Ford was our president. He had taken office after the resignation of Richard Nixon. Ford was a republican, who would lose the November 1976 presidential election to Democrat Jimmy Carter. Just as it is today, there was no shortage of political drama back then. The next presidential election is scheduled for November 4, 2028. A lot of us are counting down the days until we can elect a new president. Hopefully history won’t repeat itself. The economy under Jimmy Carter (D) was defined by stagflation, a rare and painful combination of stagnant economic growth, high unemployment, and historic inflation.
Among other things, the 1979 oil crisis, triggered by the Iranian Revolution, caused severe oil shortages, massive lines at gas stations, and soaring fuel prices. Today, Iran is still causing oil disruptions, 47 years later. I am not a fan of our current president, but the economy always seems to do better with a Republican in office. But Carter may be the exception as the S&P 500 has historically averaged a 14.6% gain under Democrats and only 9.05% under Republicans. America has a long list of fiscal, domestic, and foreign relation problems to solve. Meanwhile, inflation is eating away at our ability to enjoy a middle-class lifestyle.
As the price of silver has decreased from $115 in late January to $62.81 in early July, I bought 100 shares of Sprott Silver Miners & Physical Silver ETF (SLVR). YTD this ETF is down 6.52%. I bought my shares in early June and have lost 10% in the past month. Part of the problem is that SLVR tracks a targeted index of 30 to 50 global companies heavily engaged in silver mining. When there is a hint of a rate hike, mining companies take a hit because of potential increased borrowing costs. This caught me by surprise. I was looking at the 3.26% dividend on this ETF as opposed to buying an ETF that holds only physical silver. I still think this ETF will go up in the second half of 2026 if there are rate cuts and demand for silver continues to increase.